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PRODUCT CODE : 94342
QUALITY AND STANDARDS : IS 7402 : 1974, 1975
IS 155011 : 1968
IS 3953 : 1966
IS 3990 : 1967
IS 454 : 1971
INTRODUCTION
Chemical Porcelain is a white vetrified dense translucent or glazed body, made of china clay, quartz, feldspar, talc, alumina and additives in different shapes of thin walled items such as flat tipped basins, beakers, round rectangular capsules, combustion boats, crucibles, funnels dental dissolving cups, parting disks and discs, pipette vest spotting and dessicator plates, pipes, tubes etc, used in the laboratories of educational institutions, scientific development and industrial research, chemical, fertilizer, petrochemical establishments etc. due to their inherent properties like resistance to all reagents except hydrofluoric acid, resistance to thermal shock with low coefficient of expansion, good thermal conductivity and mechanical strength they have wide range of uses.
MARKET POTENTIAL
The demand of chemical porcelain items is ever increasing in view of extensive research and development besides growing industrial activities in the field of chemical, fertilizers and petrochemicals throughout the country. Therefore, there is wide scope for setting up new units.
BASIS AND PRESUMPTIONS
Efficiency and working hrs. considered
for full capacity utilization
Time required for achieving full
envisaged capacity utilization
Labour wages
Interest rate
Margin Money
Pay back period of the project
Land rate
Construction rate
IMPLEMENTATION SCHEDULE
Sl.No. Activity Period
(in months)
1. Time required for preparation of project report 1
2. Selection of site ½
3. Registration of SSI ½
4. Availability of finance 1½
5. Construction of building 5
6. Machinery procurement and erection 3
7. Raw materials procurement 1
8. Recruitment of labour 1
9. Trial runs 10
If C.P.M. chart is drawn of the above activities, the total time taken would be about 8 months to implement the project as many activities may be completed simultaneously.
TECHNICAL ASPECTS
Process of Manufacture
The hard mineral powders like Quartz, Felspar etc. are ground to 200 mesh fineness and mixed with China clay, talc etc. in suitable proportions in blungers with requisite quantity of water. The slurry is passed through vibrating screen consisting of magnetic separator and stored in agitator. The slurry is then passed to filter press by diaphragm pump where it is dewatered and the body is formed into cakes. The cakes are passed through de-airing pugmill for thorough pugging and extrusion into dense homogenous plastic mass free from air bubbles. The body is then shaped into required products by pressing, casting depending upon the sizes, shapes and properties of the end product. The shaped articles are dried and biscuited at about 1000°C. After inspection the biscuited ware are suitably glazed for firing at temperature ranging from 1280°C to 1350° C. After unloading from the kiln, these are sorted out, tested and packed for marketing.
Quality Control and Standards
The Bureau of Indian Standards has formulated and published the following specifications on various chemical porcelain for guidance and maintenance of the quality of the product:
IS 5009:1969 Buchner funnels
IS 7402 (Part 1): 1974 Filter container
IS 7402 (Part I1): 1974 Filter candles
IS 5011:1968 Gooch Crucibles
IS 3953:1966 High temperature ceramic combustion boats
IS 3990:1967 High temperature ceramic combustion tubes
IS 454:1971 Perforated plates for desicators
IS 2837 (Part 1) : 1975 Crucibles
IS 2837 (Part 2) : 1977 Basins
IS 2839: 1979 Methods of tests and quality.
Production Capacity
Production target (per annum)
Quantity 1200 MT
Value Rs. 1,41,99,000
Motive Power 85 HP.
Pollution Control and Energy Conservation
There are no toxic effluents discharged through the waste water. However, to control dust pollution at the place of dry grinding of raw materials and mixing, it is recommended to provide cyclonic dust collector, with connecting chutes and coverage. The oil fired shuttle kiln has to be provided with high stack and modern control systems for attaining high efficienty and low discharge of toxic effluents through the kiln.
FINANCIAL ASPECTS
A. Fixed Ca;ital
B. (1) Land and Building (Rs.)
a) Land 2500 sq. mtrs. @ Rs. 200 sq. mts. 5,00,000
b) Building :
Working sheet 600 sq. mtrs. @ Rs. 2,000 sq. mtrs. (ACC) 12,00,000
Store office laboratory (RCC) 200 sq. mtrs. @ 2,500 sq. mtr. 5.00,000
Total 22,00,000
(ii) Machinery and Equipments
Description Nos. Rate Value (Rs.)
Ball mill 6’ x 4.1/2” with porcelain lining
10 HP electric motor starter etc. 2 90,000 1,80,000
Ball mill 4’ x 4.1/2’ with porcelain lining
10 HP electric motor starter etc. 2 60,000 1,20,000
Blunger with 5 HP electric motor starter
and accessories 2 70,000 1,40,000
Agitator size 5’L x 5’W x 5’D complete
with 3 HP motor starter and accessories 2 50,000 1,00,000
Filterpress, chamber dia 300 mm.
with 50 plates 1 1,50,000 1,50,000
Diaphragm pump 6’ strokes 2’ suction
and 1.1/2 delivery with 5 HP motor 1 50,000 50,000
Vibrating screen 2’ x 1.5’ size with
1HP motor starter etc. 2 15,000 30,000
Hydraulic press with accumulator,
pipefitting, pressure gauge and
accessory etc. 1 2,50,000 2,50,000
Toggle press Hand operated 7 30,000 2,10,000
Disintegrator 18’size with 7.5 HP
motor, starter etc. 1 1,00,000 1,00,000
Total 13,30, ,000
Electrification and installation charges @ 10% 1,33,000
Total 14,63,000
Tools, dies and moulds etc. L.S. 1,00,000
Pollution control equipment L.S. 1,00,000
Office Furniture 2,00,000
Laboratory testing equipment 1,50,000
Total 20,13,000
Kilns (Rs.)
Tunnel Kiln, oil fired, fiberlined
(HTZ 128 modules) capacity 3.5 MT/day
with equipments and storage tank 12,00,000
Total cost of machinery and equipments 32,13,000
(iii) Pre-operative Expenses 80,000
Total Fixed Capital (Rs.)
a) Land and building 22,00,000
b) Plant and machinery 32,13, ,000
c) Pre-operative Expenses 80,000
Total 54,93,000
B. Working Capital (Per Month)
(i) Personnel (per month)
Designation Nos. Salary Total
(Rs.) (Rs.)
Manager/Ceramist 1 8,000 8,000
Supervisors 2 5,000 10,000
Accountant 1 4,000 4,000
Clerk-cum-typist 1 3,500 3,500
Skilled workers 10 2,500 25,000
Semi-skilled/unskilled workers 20 2, ,000 40,000
Peons 2 1,500 3,000
Watchman 2 1,500 3,000
Perquisite @ 15% 14,475
Total 1,1010,975
(ii) Raw Materials (per month)
Qty. Rate Value
(Rs.)
Ball Clay 20 MT 1,250 25,000
China Clay 50 MT 800 40,000
Felspar 20 MT 1,200 24,000
Quartz 20 MT 1,000 20,000
Zinc/Zirconium chemical 3 MT 40,000 1,20,000
Packing materials L.S. 50,000 50,000
Total 2,79,000
(iii) Utilities (per month) (Rs.)
Power 70 HP 60,000
L.D.O./Kerosenes 21,000 ltrs Rs. 12/ltrs. 2,52,000
Total 3,12,000
(iv) Other Contingent Expenses (per month) (Rs.)
Postage and Stationery 1,500
Telephone 2, ,000
Repairs and Maintenance 2,500
Transportation charge 3,000
Other overhead expenses 1,000
Insurance 2,000
Total 12,000
(v) Total Working Capital (per month) (Rs.)
Staff and labour 1,10,975
Raw Materials 2,79,000
Utilities 3,12,000
Other Contingent expenses 12,000
Total 7,13,975
Working Capital (for 3 months) 21,41,925
C. Total Capital Investment
Fixed capital Rs. 54,13,000
Working capital Rs. 21,41,925
Total Rs. 75,54,925
FINANCIAL ANALYSIS
(1) Cost of Production (per year) (Rs.)
Total recurring cost 85,67,700
Depreciation on building @ 15% 85,000
Depreciation on machinery
And equipment @ 10% 1,71,300
Depreciation on Kilin @ 20% 2,40,000
Depreciation on office
Equipment @ 20% 40,000
Depreciation on tools, dies and moulds
@ 25% 25,000
Interest on total investment @14% 10,57,690
Total 1,01,86,690
(2) Turnover (per year)
Item (Rs.)
Chemical Porcelain ware 1200 MT
@ Rs. 11,832/MT 1,41,99,000
or Say 1,42,00,000
(3) Profitability
= Sales – Cost of Production
= 1,42,00,000 – 1,01,86,690
= Rs. 40,13,310
(4) Profit on Sales
= 40,13,310 x 100
1,42,0040,13,310 x 100
= 28.26%
(5) Rate of Return
= 40,13,310 x 100
75,54,925
= 53.12%
(6) Break-even Point
Fixed cost (Rs.)
Total depreciation 5,61,300
Total interest 10,57,690
40% of salary 5,32,680
40% of other Contingent expenses 48,000
Insurance 24,000
Total 22,23,670
B.E.P.
= Fixed cost x 100
Fixed cost + profit
= 22,23,670 x 100
22,23,670 + 40,13,310
= 35.65% |
