Watch Strap Metallic

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Product Code 349906009
Quality and Standards Buyers'/Manufacturers' own specifications
Production Capacity Qty. : 60000 Nos. (per annum)
Value : Rs. 4776000
Uploaded on May 2007


There are many types of Watch Straps, made of Leather, Nylon, Stainless Steel and Brass etc. Watch straps are made in various designs including ornamental one, being used by the public now a days. In this Project Profile, it is intended to manufacture stainless steel watch straps out of stainless steel sheet scrap and wire. Since the scrap of required gauge is easily available from the manufacturers of stainless steel utensils, it is comparatively more profitable than manufacturing these items out of virgin stainless steel sheets or coil.

Market Potential

Wrist watch has become necessity for the present day life of human beings. It is being used by people from all walks of life, male, female, educated, uneducated, young and old etc. Watch strap being an integral part of wrist watch, it has a good market for supply to meet original demand and in the replacement market. Apart from the large scale wrist watch manufacturers, such as Titan, HMT, Maxima, Allwyn, Timex etc., a good number of small scale units in many States have also come up with their phased production programme for wrist watches. The demand for the production of the item is therefore likely to increase rapidly in near future. Further, due to durability of the product it is preferred over all other types of straps.

Moreover, due to fast changes in the design and liking of people, there is good replacement prospects for the product as well. Therefore, there is a good and assured future for the product.

Basis and Presumptions

  • This report is worked out on 75% capacity utilization, on double shift and 300 working days per year.
  • The machinery and equipment are of standard make.
  • The cost of raw materials and other expenditure is approximate and based on current market rates.
  • The period for achieving envisaged capacity utilization estimated to be one year after commencement of trial production.
  • Interest rate for fixed and working capital has been calculated at 12% per annum.
  • Pay back period would commence after a period of 12 months and the repayment period is estimated as 3 years.

Implementation Schedule

  • The entrepreneur has to arrive at a decision in order to select this product. The guiding factor in this regard would be the market potential, demand and supply gap and availability of resources. It may take 2 to 3 weeks.
  • After selecting the product, the entrepreneur has to get provisional registration from DIC, so that he can apply for allotment of land, power, etc.
  • In order to obtain financial assistance from the financial Institutions like Commercial Banks or State Financial Corporations, a detailed project report is required to be prepared. On the basis of the report financial Institutions may take 8 to 10 weeks' time for sanctioning and disbursing the loan. Accordingly, orders for plant and machinery may be finalized and placed. Simultaneously, orders for purchase of raw materials are also to be finalized and recruitment of key staff is to be done. This would require 3 to 4 weeks.
  • The plant and machinery received may be installed and commissioned within 4 to 6 weeks time and the Workshop staff should also be recruited. The production may be commenced after trial run of the installed plant and machinery.

Technical Aspects

Process of Manufacture

The Metallic Watch Straps consist of 7 to 8 components according to its design. These components are made by balaking, piercing, and binding as per the requirements, and then these components are sent for assembly to form a chain. These chain pieces are grounded to size on a surface grinder. Mat finish on the straps can also be given by using surface grinder. After mating, straps may be polished on a buffing lathe. Links, locks and barrels are fitted to these pieces with the help of spring loaded pins. Then these assembled straps are cleaned in kerosene oil to remove the luster particles. Finally, the final buffing is done to give polishing touch on straps. These straps are packed suitably and marketed.

Quality Control and Standards

Most of the watch manufacturers like Titan, HMT, Alwyn, Maxima, Timex etc., have formulated their own specifications and design for this product, and these may be obtained from them for supply to them. However, in view of sophistication and individual liking the appearance of the straps must be good and have free link movement and reliable locking system along with appropriate polish.

Production Capacity (per annum)

Quantity 60000 nos.
Value Rs 4776000
Motive Power 15 HP.

Pollution Control

The activity does not create any pollution. However, proper ventilation is provided for safe working conditions.

Energy Conservation

General awareness is required for energy conservation.

Financial Aspects

Fixed Capital

(i) Land and Building
(i) Land 400 sq. mtr. @ Rs. 6000 per sq. mtr including registration 2400000
(ii) Cost of land development, fencing, approach road, inside roads, land scaping, drainage etc. @ Rs. 1000 per sq. mtr. 400000
(iii) Total built-up area 300 sq. mtrs.@ Rs 5000/- sq Mtr 1500000
Water System (including Bore Well + over head tank etc) 100000
Total civil cost= cost of land + building 4400000

(ii) Machinery and Equipments


Ind./ Imp.

Qty. Nos.

Rate (Rs.)

(In Rs.)

Inclinable Power Press 10 Tonnes with 5 HP Motor Ind. 1 80000 80000
Power Press with 2 HP Motor -do- 2 40000 80000
Bench Drill 12 mm cap. With 0.5 HP motor. -do- 1 8000 8000
Buffing lathe with 1 HP Motor. -do- 1 20000 20000
Disc and Belt sand grinding Machine, 1200 mm x 150 mm with endless belt, titling type table and with 0.5 HP motor. -do- 1 20000 20000
Pedestal grinder 200 mm wheel dia. with 0.5 HP motor. -do- 1 10000 10000
Surface grinder, table size 550 mm x 200 mm with 1 HP motor. -do- 1 65000 65000
Work bench, Vice, Hand tools, Dies, Punches, Measuring tools etc. -do- L.S.   50000
Installation and Electrification @ 10% of the cost of Machines       33300
Office furniture and equipments.       80000
Total       446300
(iii) Pre-operative Expenses 40000
Total Fixed Capital (i+ii+iii) 4886300

B. Working Capital (per month)

(i) Personnel



Salary (Rs.)

Amount (In Rs.)

Manager 1 15000 15000
Supervisor-Cum-Inspector 1 8000 8000
Skilled Workers 4 6000 24000
Un-Skilled Workers 4 4000 16000
Clerk-cum-Accountant 1 8000 8000
Peon 1 3000 3000
Chowkidar/Watchman 1 3000 3000
Total 77000
Additional perquisites @ 22% 16940
Total 93940

(ii) Raw Material



Rate (Rs.)

Amount (Rs.)

Stainless Steel/Scrap 16/20/26/28/30 MT SWG 1.8 60000 108000
Spring Bars and Link Bars 216 55 11880
Packaging Material Total 36,000 L.S.   5000
Total 124880

(iii) Utilities


(In Rs.)

Electric Power @ 5 per unit 7000
Total 7000

(iv) Other Contingent Expenses


(In Rs.)

Transport and Cartage Charges 5000
Postage and Stationery 3000
Telephone 3000
Publicity 10000
Insurance/Taxes 1000
Repair and Maintenance 2000
Miscellaneous Expenses 5000
Total 29000

(v) Total Recurring Expenditure (per month)


(In Rs.)

[(i) + (ii) + (iii) + (iv)] 254820

(vi) Total Working Capital for 2 Months

2 × 254820 509640

C. Total Capital Investment

(i) Fixed Capital 4886300
(ii) Working Capital (for 2 months) 509640
Total 5395940

Financial Analysis

Cost of Production (per year)

(In Rs.)

Recurring Expenditure 3057840
Depreciation on Building @ 5 % 220000
Depreciation on Machinery and Equipments @ 10% 33300
Depreciation on Office Furniture @ 20% 16000
Interest on total capital investment @12% 647513
Total 3974653

Turn-over (per annum)



Rate (Rs.)

Total (In Rs.)

Stainless Steel Watch Straps Nos. each 60000 78 4680000
Sale of Scrap 4 MT 24000 96000
Total     4776000

Net Profit (per year) (Before Taxation)

Profit Turnover - Cost of Production
  = 4776000 - 3974653
  = 801347

Net Profit Ratio

  Net Profit per year × 100
  Turnover per year
  801347 × 100
  = 16.78

Rate of Return

  Net Profit per year × 100
  Total Capital Investment
  801347 × 100
  = 14.85

Break-even Point

Fixed Cost

(In Rs.)

Depreciation on Building @ 5 % 220000
Depreciation on Machinery and Equipments @ 10% 33300
Depreciation on Office Furniture @ 20% 16000
Interest on total capital investment @12% 647513
40% of Salary and Wages 450912
40% of other contingent expenses 139200
Total 1506925

B.E.P Fixed Cost × 100
  Fixed Cost + Profit
  = 1506925 × 100
  1506925 + 801347
  = 65.28

Addresses of Manufacturers and Machinery /Equipment Suppliers

  • M/s. SARB Presses Pvt. Ltd.
    P. No. 52, Sector–24,
    Faridabad-121001 (Haryana)
  • M/s. Gurusharan Industries
    920, New Colony,
    Opp. Railway Station (Old),
    Faridabad–121001 (Haryana).
  • M/s. Lefoot Machines Pvt. Ltd.
    110 (N.P.), SIDCO Industrial
    Estate, Ambattur, Chennai - 98.
  • M/s. Imperial Products of India
    414–A, Industrial Area - II,
    Chandigarh - 160002.
  • M/s. Atlas Works Pvt. Ltd.
    S. No. 119, Ribbon Street,
  • M/s. International Machine Tools Corporation
    5 Bank Street,
    P.O. Box No. 799,
    Behind State Bank,
    Fort, Mumbai - 400023.

Raw Materials Available in the Local Market

For further information please contact

Information Manager
TIMEIS Project