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Product code : 291301002
Quality & Standards : As per customer specification and standards
Production capacity : Quantity 1,20,000 pairs Value Rs. 91,50,000/-
Month & year. : December ,
Prepared by : Small Industries Service Institute, E-17/18 Industrial Estate Naini, Allahabad-211 009. Phone: (0532) 2697468. Fax: (0532) 2696809
Hurraichi Chappals and Sandals are mainly used in Rajasthan and Gujarat. This Item is solely manufactured in India and not likely to have competition from other Countries. Its production and productivity have to be increased in relation to increasing Demand. The process of manufacture is on craft basis and fully hand-made. Standardization should be effected to ensure unformity in quality and increase in Production at minimum cost. This industry should be broad-based to enable trade to earn more and more foreign exchange and continue to maintain its grip; on the export market.
Raw materials for the manufacture of these chappals and sandals are indigenously available and there is no dearth of raw materials as well as labour for manufacture of this item. There is, therefore, good scope for setting up SSI units for the said manufacture.
MARKET POTENTIAL
Leather footwear industry in India has been identified as thrust sector for export production endowed with rich cattle wealth, century old tradition of leather making skills and backed up by the most modern facilities. Indian Leather Footwear Goods ,has over the years acquired a significant place in the world market. Today some 120 Countries import Indian Leather Footwear and Leather goods.
Besides internal demand of leather products, the country has traditionally Remained as an exporter of leather goods, leather footwear. Of latae, however, the internal-demand has shown a rising trend.
The Leather Sector occupies a prominent position in export profile of India.. In fact, this is one important industry where there is immense potential for growth and value addition.
India has been steadily transforming its traditional leather industry in the past two Decades into a modern industry. There is beter application of new technologies for producing elegantly designed wide range of. footwear maintaining high standards and better design elements. It is expected that some units can be motivated to start the production of Hurraichi Chappals & Sandals to meet the export demand.
BASIS & PRESUMPTION
(i) the production is based on single shift basis of 8 hours per day and 25 working days in a month.
(ii) Time period for achieving full capacity utilization is 3 years. (iii) Labour will be engaged on monthly basis keeping in view the present rates prevailing in the market.
Land & Building Rented Covered Area 100 Sq. Mtr. Rs. 3000/- per month.
2. MACHINERY AND EQUIPMENT
Sl. Machinery & IMP./ QTY. RATE Value No. Equipments IND. (Rs.)
02 Upper Strap Cutting Ind. 1 25,000 25, Machine (For Lace Cutting)
03 Industrial Swing Ind. 4 10,000 40, Machine, Flat bed (45K) (Power ½ H.P.)
04 Bottom Sole Cutting Ind. 1 75,000 75, Press(Power operated)
05 Bottom Components Ind. 1 30,000 30, Splitting Machine (Power operated)
06 Rolling Machine Ind. 1 35,000 35, (Power operated)
07 Weighing Machine Ind. 1 10,000 10,
08 Tools & Equipments 10,000 10,
09 Wooden Lasts Ind. 400 200 80, pairs
10 Office Equipment 30,000 30,
11 Installation @ 10% 28,
12 Cost of Dies Ind. 6 3,000 18,
13 Spare Parts on 28, Imported Machine @ 20%
Sub- Total(A) 4,74, 15% Pre-operative Expenses (B) 31, Total A+B 5,05, Total Fixed Capital Rs. 5,10,600/-
WORKING CAPITAL PM;
Personnel(Administrative and Supervisory) per month
SI. Designation No. Salary Total (Rs.) No. @ Rs.
01 Manager cum Designer 1 5,000 5,
02 Supervisor 2 4,000 8,
03 Accountant cum Clerk 1 2,500 2,
04 Peon-cum-Watchman 1 1,500 1,
05 Skilled Worker 10 2,000 20,
06 Semi-Skilled Workers 4 1,000 4,
07 Helper-Part Time 2 500 1000
08 Chowkidar/Peon 1 1,500 1,
Total 43, Perquisites @ 20% 8700 Grand Total 52, i) Raw Material (P.M.)
(a) Ladies Chappal
Sl. Description Qty. Rate Value (Rs) No.
01 Bark tanned Goat/Sheep 200 kgs. skins 200 kgs. 200/- kg. 40,
02 Bark tanned Buff calf 125 kgs. 180/- kg. 22,
03 Bark tanned Cow Hide 250 kgs. 175/- kg. 43,750/
iii) Other Contingent Expenses (P.M.) iv) Total Recurring Expenditure (P.M.)
Sl. No. Description Amount (Rs.)
Total: 24,27,
MACHINERY UTILISATION
The machinery utilisation will be the 60% during the first year of its production and will be reach 80% by the third year.
FINANCIAL ANALYSIS
i) COST OF PRODUCTION
SI.No. Description Amount (Rs.)
TURN OVER (PER ANNUM)
SI.No. Description Qty. Pcs. Rate @ Value(Rs.)
Total: 91,50,
Name & address of Machinery & equipment suppliers:-
Name & addresses of Raw Material Suppliers.
