Business Ideas 2012 - HIGH STRENGTH PLASTER OF PARIS

CHEMICALS & CHEMICAL PRODUCTS

HIGH  STRENGTH PLASTER  OF PARIS

1. INTRODUCTION


Plaster of Paris is required by artisans and for temporary structure constructions used in the film industry It finds several applications where high stress and impact is required. In DSyramic Industry it is used for preparing moulds. The plaster is also used in Industry for making moulds. Plaster boards are used for false ceilings and partitions.  The high strength plaster of Paris has regular crystalline grain structure which imparts to is higher strength of  4 - 5 times of the ordinary products.
Relevant  specifications 
Plaster of Paris for Ceramic Industries - IS :2333 :1981


2. RAW MATERIALS


Gypsum, Malic Anhydride, Sodium Hydroxide


3.  MANUFACTURING PROCESS


The process involves the following manufacturing steps

• Crushing and micro pulverising the raw material gypsum
• Mixing with sodium hydroxide and malic anhydride.
• Heating in autoclave using steam
• filtering and drying in dryer
• Pulveriising to the required mesh size
• Packing.

Before setting up of the unit, clearance from the State Pollution Control  Board would be required.


4. MANPOWER REQUIREMENT : 12


5. PROJECT COST

A. Fixed Capital	(Rs. lakh)
Land & Building	6.32
Plant   & machinery	3.75
Miscellaneous   assets	2.45
Preliminary & pre-operative expenses	1.20
Know-how & Engineering fee	0.65
Contingencies	1.33
	15.70

B.    Working Capital         

Particulars	Amt. (Rs lakh)
Raw material ,consumables & packaging material	0.10
Work-in-process	--
Finished Goods	0.69
Receivables	0.81
Work in progress	1.09
	2.69

MEANS OF FINANCE


Working capital may be financed as:

Bank finance	Rs 2.02 lakh
Margin	Rs 0.67lakh

  Project cost may be financed as:

Promoters contribution	Rs 5.46 lakh
Term loan	Rs 10.92 lakh
	Rs 16.37 lakh

 6. COST OF PRODUCTION

	Rs lakh
Raw material	1.23
Utilities	7.52
Salary and wages	2.82
Overhead expenses	2.50
Interest on term loan	1.80
Interest on bank finance	0.33
Depreciation	1.41
	17.61

7. PROFITABILITY

Annual sales realisation	Rs.21.00 lakh
Annual operating expenses	Rs.17.61lakh
Annual profit ( pre- tax)	Rs.3.39 lakh
Return on capital employed	38%
Break-even point	45%

Market potential :

The product is used in large quantities all over the country for constructing false ceilings. Most of the offices and marketing places use in the facilities for decorating the buildings. Artisans also use the product for manufacturing ideals for display purposes.

Production capacity :

Annual production capacity

850 tonnes

List of Plant, Machinery & equipment :

1.	Crusher with 5 HP Motor
2.	Screw conveyors
3.	Pulverisers
4.	Auto clave
5.	Filter
6.	Boiler (300 Kg/hour)
7.	Dryer trays