Disposable Paper Plates

Uploaded on

December 2011

Product & Applications

Disposable paper plates and saucers as the name suggests are made out of special quality paper reinforced with polythene sheets to make it leak proof. These products are conveniently used for serving eatables during family functions, eating chats and snacks, fruits, sweets etc. Most of the sweet shops use it for serving their customers with dry as well as wet sweets/ namkeens. The caterers utilize it during parties and social functions. These are a convenient replacement for crockery and utensils. These have many advantages over conventional crockery/ steel utensils. Whereas conventional utensils need care in handling, have to be cleaned before and after use need lot of space for storage and are difficult to handle these products are light in weight, are disposable after use, cheaper and can be stored easily. These are very cheap as compared to convention utensils. The paper plates and bowls are made by fusing two layers of good quality paper with a sheet of polythene. The product can be in any desired shape and size depending upon the die employed for manufacture. The quality of paper used is generally of importance as it should be firm enough to maintain the shape and hold the weight of the eatable served in it.

Market Potential

These products have an urban as well as rural market. These products are mostly used during social functions, religious gatherings, parties, marriages, outings, in sweet shops, by caterers etc. The products have many advantages and are hence preferred as compared to standard utensils/crockery for serving eatables. They can easily be disposed off after use and hence save a lot of labour as far as cleaning/drying of utensils are concerned. These are easily transportable and easy to handle. In our country people are religious and organize functions throughout the year all such occasions call for social gathering and celebrations with meals, snacks sweets being served. Further, our vast population organizes marriages, celebrates birthdays and other family functions on a regular basis. Sweet shops and small eateries can be found at every street corner and all such joints use these disposable plates and bowls. Thus keeping in view the culture of the people and the habits there is a vast market for the products not only in urban areas but also in rural areas.

Manufacturing Process & Know How

The process of manufacturing is not very complicated. The product is manufactured using the specific die. The paper and the polythene sheets are previously cut to size or can also be purchased as per the production requirement. The specific die is mounted on the press and the die is heated to the desired temperature. The two layers of paper and the polythene sheets are placed in between the male-female die parts and pressure is applied so that the product takes shape. The formed product is next removed and another set is loaded. The machine is an ordinary press with one fixed platform nd another moving plunger. The movement of the plunger is through hydraulic mechanism.

The formed products are collected and the edges are trimmed to give it a proper shape. The plates and bowls are packed separately and stocked for dispatch.

Know how is available with the machinery suppliers. The machinery is all indigenously available.

The production capacity envisaged is 30000-40000 nos per day per machine on two shift basis for 300 days per year.

Plant and Machinery

The main plant and machinery required comprise

• Double die press with dies. Electrically operated. - 1 no
• Bag sealing machine - 1no.
• Weighing scales.

The total cost of machinery is estimated to be Rs.0.50 lakhs.

The unit will also require miscellaneous assets such as furniture, fixtures, storage facilities etc. the total cost of these is estimated to be Rs. 0.20 lakhs.

The total requirement of power shall be 3 HP. The unit will need water for general consumption.

Raw material and Packing Material

The basic raw materials for the unit are good quality scrap paper & polythene sheets. For packing the unit will require polythene bags and hessian sacks. The cut to size paper is readily available in two varieties thick and thin at Rs.35/- per kgs. The plastic film costs about Rs. 100/- per kgs. The total cost of production works out to Rs. 18/- per 100 nos of bowl.

Land and Building

For smooth operation of the unit, it will require 225 sq. ft of built up area. The space can be taken on rental basis.

Manpower

For smooth functioning of the unit the requirement of man power is expected to be around 6 persons.

Sales person	self
Skilled Workers	2
Helpers	1

The annual salary bill is estimated to be around Rs.1.56 lakhs.

Sales Revenue: (100% capacity)

Selling price varies depending on the product quality. An average price for thick variety has been taken as Rs. 20 per 100 nos of bowls (Dona). The annual income at installed capacity of 30000 per day works out to Rs 18.00 lakhs at 60% capacity it is Rs.10.80 lakhs.

Cost of Project

	Rs. lakhs
Land & Building	-
Plant & Machinery	0.50
Other assets	0.20
Contingencies	0.05
P & P expenses.	0.05
Margin money	-
Total	00.80
Means of Finance
Promoters Contribution	0.28
Term Loan	0.52
Total	0.80

Profitability:(60%capacity)

	Rs. lakhs
Sales	10.80
Raw material	7.56
Salary	1.56
Utilities	0.08
Stores & Spares	0.04
Repairs & Maintenance	0.02
Selling expenses	0.27
Administrative expenses	0.13
Depreciation	0.03
Interest on T.L	0.07
Interest on W.C	-
Cost of production	9.76
Profit	1.04

Requirement of Working Capital

The requirement is low and scrap cannot be financed. The working capital will be met through own sources

Break Even point

53%

Machinery Suppliers

M/S Nand Machine Tools,
56, Shardhnand Marg New Delhi.

For further information please contact

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