Project. Profile. as per your requirement.] PURPOSE. project. M/S Institute for Industrial Development A unit of. M/S Samadhan Samiti.

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1 Project Profile on Woven Polypropylene Bags PURPOSE OF THE DOCUMENT This particular pre feasibility is regarding Woven Polypropylene Bags. The objective of the pre feasibility is primarily to facilitate potential entrepreneurs in project identification for investment and in order to serve this objective; the document covers various aspects of the project concept development, startup, marketing, and finance and business management [We can modify the project capacity and project cost as per your requirement. We can also prepare project report on any subject as per your requirement.] M/S Institute for Industrial Development A unit of M/S Samadhan Samiti 27/1/B Gokhle Marg Lucknow Mail : iidincubator17@gmail.com Web : industryincubator.co.in

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3 Woven polypropylene bags Introduction. 1.Woven Page 3 Woven, or weaving is a method by many threads or tapes woven in two directions (warp and weft), to form a fabric for plastic industry needs. In the plastic woven industry, with a plastic film is drawn into filaments, woven into fabric/sheet/cloth. It can be into tarpaulin, woven bags, container bags, tons of bags, geo textile fabric, color of the cloth and so on. Woven or weaving by industry: Plastic film into a fiber, it should belong to the plastic industry; Filament weaving process from the plastic into view, it should belong to the textile industry. Thus, it is both plastic and textile industries marriage of the body. Woven fabric cloth usually frays at the edges, unless techniques are used to counter it, such as the use of pinking shears or hemming. 2. Woven polypropylene Polypropylene, which is also known as PP for short name, is one kind of thermoplastic resin material that produced by the polymerization of propylene. Woven polypropylene is polypropylene strips/threads that have been woven in two directions (warp and weft) to create a light, but strong and heavy duty material. 3. Woven polypropylene bags Build with circular woven polypropylene fabric, one side sewn as the bottom, leave the other side open, the simplest woven polypropylene bags is done.

4 Reasons of woven polypropylene suitability for packaging use. Page 4 Non toxic Non staining 100% reusable and durable Easy to clean and anti bacterial Light in weight with lowest density breathable or water proof with a laminated film Easy to produce, assembly and an economic material Excellent resistance to stress and high resistant to cracking High operational temperatures with a melting point of 167 C Resistant to most alkalis and acid, organic solvents, degreasing agents. Use names of woven polypropylene bags salt bags rice bags coal bags flour bags sandbags feed bags seed bags cement bags fertilizer bags firewood bags chemical bags

5 Properties of woven polypropylene bags The properties of woven polypropylene bags come from two aspects: Page 5 1. Properties of polypropylene 2. Properties of woven method Polypropylene has qualities of rot/flame/chemical resistance, and woven method means strong yet breath. Combining together with other factors, we got 9 facts of woven polypropylene bags. Woven Polypropylene Bags are reusable. Woven Polypropylene Bags don t degrade when wet. Woven Polypropylene Bags are naturally resistant to tearing. Woven Polypropylene Bags can be printed on one side or both sides. Woven Polypropylene Bags allow the contents to breath until air dried. Woven Polypropylene Bags have better burst strength than plastic bags. Woven Polypropylene Bags can be laminated as the vapor and moisture barrier. Woven Polypropylene Bags can be partially transparent for outstanding presentation. Woven Polypropylene Bags can be side gusseted to accommodate bulky items easily.

6 Manufacturing Process Page 6 PP Woven Sacks are generally manufactured and printed as per the Customers demands/needs. The end users adopt different kinds of Colour Combinations and Designs in the Printing of these Sacks to convey the massage(s), characteristic(s), quantity & quality related details and handling instructions etc. For some kind of specific applications like filling of Hydroscopic Materials e.g. Chemicals, Fertilizers, Food Products etc. these Woven Sacks are laminated also. The Process of manufacturing PP Woven Sacks involves following three steps: 1.Extrusion 2.Weaving 3.Finishing & Stitching Extrusion The process of manufacturing PP woven bags involves mixing raw materials starting with PP or HDPE pellets and other additives, extruding the raw materials into a yarn PP resin is heated with feeler of CaCo3 and pigment, melted and extruded as a flat film. It is then slit into tape yarn by the slitting unit and stretched and annealed. Next, a take up winder winds the heat oriented tape yarn onto a bobbin. The Raw Material (PP & Filler) in the Granules form is fed to a Raffia Tape Manufacturing Plant to obtain the Raffia Tapes of PP. The Raw Material Mix is prepared in a Tray adjacent to the Feed Hopper. The prepared Mix is sucked in to the Hopper by Vacuum. The Raw Material Mix is fetched to the Extruder of the Plant; where the same is melt by applying controlled External Heat on the Barrel. The Molten Mass is forced out through a Die Head into a Cooling Tank, in the form of Sheet/Film. The cooled & solidified Sheet/Film is passed through the Knifes to obtain Raffia Tapes of higher Denier (a Unit by which the fineness of a Yarn is

7 Page 7 measured). High Density Polyethylene (HDPE) or Polypropylene (PP) granules are first converted in to 2.5 mm wide tapes by Extrusion process. The Raffia Tapes received from the Plant are stretched and annealed. These are then wound on Cheese Pipes with the help of the Sets of Winders. Weaving Weaving the yarn into a fabric in a process similar to the weaving of textiles. These flat tapes are then woven into circular fabric by Circular weaving machine. Thus woven circular fabric is then cut in to required dimension. Thread from the bobbin in the circular loom s creel stand is woven into tubular cloth The Weaving of Raffia Tapes into Cloths is carried out in Circular Looms, which produce Circular Cloth of desired Width. The process of Weaving is Automatic and Continuous in nature. Numbers of Circular Looms are installed so as to match the Effective Output of the Raffia Tape manufacturing Plant. The Cloth produced by each Loom is continuously wound on Rotating Pipes. Finishing & Stitching The Rolls of Woven Cloth are carried out to the Finishing & Stitching Section of the Unit. The Cloth is cut into desired size and the printed. After printing the cut pieces are sent for stitching. Prior to the stitching of the Cloth, a valve is made in one corner of the cut piece, as per the Customers specification. The Woven Sacks passed through the Quality Control Test are bundled in 500 or 1000 Nos. and pressed on a Bailing Press. The pressed Woven Sacks are wrapped, bundled, packed and dispatched. The Quality Control checks are carried out at each and every step to avoid rejections. The parameters pertaining to the Weight, Denier, Bursting Strength etc. are strictly adhered to.

8 Pictorial Representation of Manufacturing Process. Stage 1: RAW MATERIAL (granules) MIXING/DOSING UNIT Page 8 Stage 2: TAPE EXTURTION TAPE STRETCHING LINE PRECISION CROSS WINDING

9 STAGE 3: WEAVING CIRCULAR LOOMS Page 9 STAGE 4: FLEXOGRAPHIC PRINTING MACHINE

10 STAGE 5: CONVERSION CONVERSION LINE BOTTOM STITCHING AND CUTTING Page 10 STAGE 6: MANUAL STITCHING

11 STAGE 7: BALING BALING PROCESS Page 11 STAGE 8:TYPE OF FINISHED PRODUCT

12 Implementation Schedule: Every project requires some specific time for commercial production and is briefly as under: Page 12 Sl. No. Activity Expected time 1. Acquisition of land 1 month 2. Filing of EM I. 7 days 3. Building construction 3 months 4. Financial Arrangements 2 months 5. Procurement of Machinery 3 5 months 6. Installation, electrification and 1 3 months Commissioning of machinery and Other facilities. 7. NOC from Pollution Control Board 1 2 months 8. Trial run from 9 months onwards

13 Financial Aspects. Page 13 Basis and Presumptions While deriving figures and projections in this Project report, following Basis and Presumptions have been made. The project is based on a single shift basis and 300 days of working schedule in a year, working for 8 hours a day, 25 days a month. The project cost and other projections etc. Have been made on present market conditions and the sources available within our sources only and therefore it may vary on account of market fluctuations and with different suppliers and qualities. The cost of machinery and equipment/materials indicated refer to a particular make and the prices are approximate to these prevailing at the time of preparation of this report. Power rate is assumed at Rs.7.00 per unit. Water would be made available through bore well facility at the project site. Manpower requirement for the project has been planned considering the size of the unit. Interest rates considered is 12% on term loan. Insurance charges have been considered Lump Sum. Repair and maintenance have been calculated at reasonably. Non refundable deposits, Preparation of detailed project report fees, Architecture fees, traveling & Convenience amount, Know how & Engineering fees, Application processing fees, trial production, fees etc are considered under pre operative expenses.

14 At the plant site, availability of unskilled labour is not a problem. Skilled and unskilled labour can be recruited for operating the plant. Initial training will be required for smooth and efficient running of the plant. It is felt that the skilled manpower available locally having some experience in operation can be recruited to satisfy the manpower need. Page 14 Project would be set up at a site that is well connected by road and there is adequate supply of power and water. Cost of Project S.NO. PARTICULARS AMOUNT 1 Land & Building Plant and Machinery Furniture & Fixture Other Tools and Electrical Installations Margin for Working Capital Preoperative exp Total Means of Finance S.NO. PARTICULARS AMOUNT 1 Own Contribution Term Loan Total Production Capacity. S.NO. PARTICULARS Production/MT 1 HDPE Woven Sacks 475MT Total Capital Investment 1 Total Fixed Capital Working Capital for 3 Months Total

15 Fixed Capital Page 15 (i) Land and building Amount (In Rs.) Land 4000 Sq Mtrs Owned Built Up Area 9000 sq 1000/Sq Ft 9,000, (ii) Machinery and Equipment S.no. Description Qty. nos. Price/unit Amount (In Rs.) 1 Tape extrusion line cap kg/hr. model Lohia Lorex E M 1 9,500, Chease winders with shuttles , Circular weaving machine 1 2,000, Heavy duty sewing machine , Two colour printing machine with max. print area 28 X43 with 3 HP motor , Weighing machine 20, Laboratory equipment 1 200, Transformer 11 KVA 160, Other expenses 50, Total 13,150, Electrification installation Office furniture Total Fixed Capital TOTAL WORKING CAPITAL Rs. 1 Salary and Wages (i) 265, Raw Material (ii) 1,885, Utilities (iii) 290, Other Contingent Expenses (iv) 100, Total 2,540, Working Capital for 3 months 7,620,000.00

16 Salary & Wages Calculation. S.No. Designation No. Salary(Rs.) Total(In. Rs.) Page 16 1 Work Manager 1 18, , Sales Representative 1 15, , Accountant 1 12, , Store keeper 1 11, , Clerk cum typist 1 10, , Foreman 1 10, , Supervisor 4 9, , Skilled Worker 4 9, , Un Skilled Worker 10 8, , Electrician 1 8, , Fitter 1 7, , Peon/Guard 2 7, , Total Salary(Per Month) 265, Cost Of Raw Material. S.No. Particulars Rate(Rs) Quantity(Tonnes) Total(In. Rs.) 1 HDPE /PP Granules 62000/MT 30 MT MT 1,860, Other Miscellaneous Items Total 1,885, Cost of Utilities (I) Cost of power from UPPCL Units 280, per Unit) Water 10, Total 290,000.00

17 Other Contingent Expenses. S.No. Particulars Amount(In. Rs) Page 17 1 Telephone & Stationary Travelling & Transport Advertisement & Publicity Repair & Maintenance Insurance Other Expenditure Total Financial Analysis Cost Of Production. S.No. Particulars In. Rs. 1 Total Recurring Expenditure Depreciation on 10% Depreciation on Plant and 15% Depreciation on electrical Depreciation of Furniture/Fixture & Office 10 % Finance Cost TOTAL COST OF PRODUCTION Turnover (Per Annum) S.No. Particulars Production (MT) Unit Rate (in Rs) In. Rs. 1 HDPE Woven Sacks Bags Rs17/each TOTAL TURNOVER Profit ( ) Rs /= Percentage Profit on Sales 10.76%

18 Ratios. Page 18 i) Rate of Return on Total Capital Investment. =Net Operating Profit/ Invested Capital =19% ii) iii) iv) Return on Assets =Sales/Average total Assets =0.30 Return on Equity =Sales/ Stockholder's Equity =0.51 Debt to Equity Ratio =Total Term Liabilities/Total Shareholder's Equity =2.02 v) Interest Coverage Ratio =Earning before Interest & Tax/ Interest Expense =3.09

19 Names and Addresses of Plant & Machinery Suppliers: 1. M/s Lohia Starlinger Limited, Page 19 D 3/A, Panki Industrial Estate, Kanpur M/s Brimco Plastic Machinery Pvt. Ltd., Brimco House, 55, Govt. Industrial Estate, Kandivili, Mumbai M/s Boolani Engg. Corporation, 402, Veer Savarkar Road, Prabhadevi Industrial Estate, Mumbai Names & Addresses of Raw Material Suppliers: 1. M/s Hoechst Dyes & Chemicals Limited, Hoechst House, 193, Backbay Reclamation Nariman Point, Mumbai GAIL, Dibiyapur, Dist. Auraiya. (U.P.)