Welded Wire Mesh

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Product Code 349910014
Quality and Standards As per customers' specifications.
Production Capacity Qty. : 3384 MT (per annum)
Value : Rs. 115732800
Uploaded on April 2007


Welded wire mesh is the latest development in land wire product industry. The welded wire, generally called reinforcing wire, is mostly used in cement concrete work for construction of buildings, National Highway pavements, runways, dams, airports etc. It is also used for fencing purposes and for partition walls and as a safety guard in engineering workshops.

Market Potential

Welded wire mesh is used extensively in constructional work and fencing purposes. The wire mesh is made by automatic welding process, thus saving a lot of human labour and achieving uniformity in distance and quality.

Basis and Presumptions

  • The project profile has been prepared on the basis of two shifts per day of 8 hours duration each having 300 working days per year.
  • The capacity utilisation is assumed as 75% for the first year and 100% onwards.
  • Promoters contribution towards margin money is taken as nil.
  • Interest is calculated both on fixed and working capital at a simple rate of 12%.
  • Rate of machinery and equipments, raw material and other items is based upon the prices prevailing at the time of preparation of the project.
  • Break-even point is calculated at 100% capacity utilisation.
  • Building is of own

Implementation Schedule


Period in Weeks

Preparation of Project Report  
Calling quotations 4
Preparation 2
Provisional Registration as SSI 1
Financial arrangement with financial institutions and others 12
Purchase and procurement of machinery and equipment 8
Erection and electrification 3
Recruitment of personnel 4

Some activities shown above can be undertaken simultaneously in order to minimise the period.

Technical Aspects

Process of Manufacture

6 to 20 wires depending on the type of mesh are fed horizontally, parallel to one another over rollers to the machine. Distance between these wires is as per design. From the machine, a cross wire overtapping the parallel wires is fed and all the joints are electrically welded. The rollers move the parallel wires further and another cross wire comes in at specified distance. The process goes on, to give a wire mesh of desired specification. The welded wire mesh is pulled out for making rolls.

Quality Control and Standards

As the product is being processed in an automatic welding machine, the quality raw material of M.S. wire or G. I. wire of standard gauges is to be used to keep the production schedule of the machine. The proper maintenance of machine is necessary from time to time. Production is done according to specifications given by the customer.

Production Capacity (per annum)


Value (In Rs.)

3384 Mt. Rs. 115732800 Lakhs

Pollution Control

The level of pollution in this type of industry is minimal. However, permission and guidance from State Pollution Control Board is to be sought to meet its requirements.

Financial Aspects

Fixed Capital

(i) Land and Building

Amount (In Rs.)

(i) Land 1000 sq. mtrs. @ Rs. 3500 per sq. mtr including registration. 3500000
(ii) Cost of land development, fencing, approach road, inside roads, land scaping, drainage etc. @ Rs. 1000/ sq. mtr. 1000000
(iii) Total built-up area would be 700 sq. mtrs. as follows:
Administrative building 100 sq.mtrs. construction cost Rs. 6000 persq. mtr.
Factory shed 450 sq. mtr. construction cost @ Rs. 4000 per sq. mtr. 1800000
Stores and staff canteen etc. 150 sq. mtrs @ Rs. 4000 per sq. mtr. 600000
Total 7500000

(ii) Machinery and Equipment



Amount (In Rs.)

Semi-automatic wire mesh Welder model WMW 1800 suitable for manufacturing wire meshes having a width of 6 feet with different sizes and wire diameters varying from 2 mm to 5.6 mm (prestraightened and cut to length) complete with solid state synchronous IC controller, thyristor panel, 6 Nos. of water cooled encapsulated transformers, each having rating 100 KVA at 50% duty cycle holder assemblies and automatic cross wire feeder mechanism. The machine is suitable for connecting 400/440 Volts, 2 line of a 3 phase 50 HZ 1 2500000
Weld mesh cutting machine suitable for 8 mm dia rod x 9' length with 10HP motor 1 130000
Wire cutting and straightening machine upto 8 mm dia with 7.5 HP motor 1 45000
Air compressor with 3 HP motor 200 ltr. tank capacity 1 18000
Wolf make portable hand 6" grinder wheel dia 1 4000
Wire but welding machine 6 KVA 1 19000
Installation and line fitting.   40000
Step down transformer 250 KVA 1 240000
Furniture and office equipment   80000
Generator Set   400000
Total 3476000
(iii) Pre-operative Expenses 25000
Total Fixed Capital (i+ii+iii) 11001000

Working Capital (per month)

(i) Personnel



Salary (Rs.)

Total (In Rs.)

General Manager 1 16000 16000
Production/ Maintenance Supervisor 1 12000 12000
Sales Supervisor 1 10000 10000
Skilled Workers 6 7000 42000
Un-skilled Workers 6 4000 24000
Helpers 4 3000 12000
Accountant 1 6000 6000
Clerk/Typist 1 5000 5000
Peon 1 3000 3000
Watchman 2 3000 6000
Total 136000
Add Perquisites @ 20% 27200
Total 163200

(ii) Raw Material


(In Rs.)

M.S. Wire coil 2 mm to 5.6 mm dia 300 MT @ Rs. 28000 per MT 8400000

(iii) Utilities


Amt.(In Rs.)

Electricity charge 50000
Total 50000

(iv) Other Contingent Expenses


(In Rs.)

Postage, stationery and other office services 6000
Consumable stores, tools, repair and maintenance 20000
Transport and conveyance 30000
Advertisement and sales promotion 15000
Wire conversion charge (drawing) 40000
Insurance 2000
Miscellaneous expenses 10000
Total 123000

(v) Total Recurring Expenditure (per month)



Personnel 163200
Raw material 8400000
Utilities 50000
Other Contingent expenses 123000
Total 8736200
Working capital is considered on an average cycle of 1½ months 13104300
Hence, Working Capital = 1½ months of recurring expenses

Total Capital Investment

(i) Fixed Capital 11001000
(ii) Working Capital 13104300
Total 24105300

Financial Analysis

Cost of Production (per year)

(In Rs.)

Total recurring expenditure 104834400
Depreciation on Building @ 5% 375000
Depreciation on Machinery and equipment @ 10% 307600
Depreciation on office equipments @ 25% 20000
Interest on total capital investment 2892636
Total 108429636

Turnover (per year)


(In Rs.)

By sale of welded wire mesh 2-6mm dia of cross and line wire of different size 3384 MT @ Rs. 38000/MT 128592000
Trade Commission @ 10% (-) 12859200
Total 115732800

Net Profit (per year) (Before Income Tax)

  Turnover– Cost of Production
  Rs. 115732800 – Rs. 108429636
  = 7303164

Net Profit Ratio

  Net Profit per year × 100
  Turnover per year
  7303164 × 100
  = 6.31%

Rate of Return

  Net Profit per year × 100
  Total Investment
  7303164 × 100
  = 30.3%

Break-even Point

Fixed Cost (per annum)

(In Rs.)

Depreciation on building, machinery equipment and office equipments 702600
Insurance 24000
Interest on total investment 2892636
40% of salary and wages 783360
40% of other contingent expenses excluding insurance 580800
Total 4983396

B.E.P Fixed Cost × 100
  Fixed Cost + Profit
  4983396 × 100
  4983396 +7303164
  = 40.56%

Addresses of Machinery and Equipment Suppliers

  • M/s. Jaya Hind Sciaky Ltd.
    D-1 Block, Plot No. 18/1,
    Chinchwad, Pune - 411 019
    Phone Nos. 7475579,7475089 (Purchase), 7475088 (Sales)

For further information please contact

Information Manager
TIMEIS Project
E-mail: timeis@ficci.com