Wind Cheater
| Product Code | N.A. |
| Quality and Standards | N.A. |
| Uploaded on | September 2007 |
Introduction
Wind cheater is a special type of garment generally used as an outerwear. This is usually made from synthetic cloth as this is very simple to wash. It is very useful for the two wheeler riders in order to get protection from chilly cold weather and dust from pre-summer. It also serves the purpose of guarding the main formal dress from soiling. Wind cheaters are easily washable as these are made from water repellent synthetic fabrics. It is preferred that unit should manufacture wind cheaters of different colours so as to attract different customers.
Market Potential
At present these products are mostly manufactured in Delhi, and adjacent areas. Earlier, the raw material required for this product was not easily available and due to this, few units were established to manufacture this outerwear. As this product was also not very popular to the consumers, the units are mostly confined in selected places to fulfil the demand. Now-a-days young people use it as a protective clothing from chilly weather and dust. The demand for this product is significantly increasing. Hence, units for the manufacture of wind cheaters can be set up in different areas.
Basis and Presumptions
This project is based on single shift basis and 300 working days in a year. The time for achieving maximum capacity utilisation is considered from 3rd year from the date on which the production is started. Buildling is considered of its own. Costs of machinery and equipment/material indicated refer to a particular make and approximate to those prevailing at the time of preparation of this project.
Cost of installation and electrification is taken @ 10% of cost of machinery and equipment. Non-refundable deposits, project report cost, trial production, security deposits with Electricity Board are taken as pre-operative expenses. Depreciation has been considered at 10% on plant and machinery, 20% on office furniture and fixtures and 25% on workshop accessories. Interest on capital loan has been considered at 14% per annum.
Implementation Schedule
Implementation time for executing different types of works such as selection of site/working shed, forming of company to commissioning of project will take a total period of five months. This, however, depends upon the completion of works within specific time.
Technical Aspects
Process of Manufacture
Synthetic dyed water repellent fabrics are used as raw material for this product. This fabric is cut into pieces as per the design of the product and stitched on sewing machines. Zips and cords are attached to the garment as per specifications. The individual garment is folded and packed for the buyers.
Quality Control and Standards
No Indian standards are existing. Wind cheaters are manufactured and supplied as per the customer's choice. However, attention is required to procure good quality synthetic fabrics and other items.
Production Capacity (per annum)
Quantity |
Value (Rs.) |
| Wind Cheaters | 75,000 |
| Total | 75,000 |
Motive Power
7 HP is required to run this unit at full capacity. This is proposed to be obtained from the State Electricity Board.
Pollution Control
This industry does not generate pollution.
Energy Conservation
Energy can be saved by proper housekeeping.
Financial Aspects
Fixed Capital
| Land and Building | ||
| Land 800sq.mt. @ Rs. 1500p.s.m. Amounting Rs.1200000 | ||
| Building Area | ||
| Factory shed | 250 sq. mt. | |
| Store (Raw material) | 50 sq. mt. | |
| Store (Finished goods) | 50 sq. mt. | |
| Office etc. | 25 sq. mt. | |
| Total Covered Area | 375 sq. mt | |
| Total Construction Cost @ Rs. 3000/sq.mt. | 1125000 | |
| Total Investment in land and Building | 2325000 | |
Machinery and Equipments
Description |
No. |
Rate (Rs.) |
Amount (Rs.) |
| Umbrella sewing machine with motor and other accessories | 10 | 6000 | 60000 |
| Overlock stitching machine with motor + stand | 2 | 5800 | 11600 |
| Cutting Table | 1 | 7000 | 7000 |
| Miscellaneous items tools, iron, racks etc. | LS | 30000 | 30000 |
| Total | 108600 | ||
Other Fixed Assets |
(Rs.) |
| Erection and installation | 10860 |
| Electrification | 15000 |
| Office furniture | 50000 |
| Pre-operative expenses | 15000 |
| Total | 90860 |
| Total Fixed Capital | 2524460 |
Working Capital (per month)
Staff and Labour Wages
Designation |
Nos. |
Salary (Rs.) |
Amount (Rs.) |
| Manager | 1 | 15000 | 15000 |
| Accountant / clerk | 1 | 7000 | 7000 |
| Peon | 1 | 5000 | 5000 |
| Production Staff | |||
| Cutting Master | 1 | 10000 | 10000 |
| Production Supervisor | 1 | 8000 | 8000 |
| Machine Operators | 12 | 6000 | 72000 |
| Helpers | 6 | 3000 | 18000 |
| Total | 135000 | ||
| Perquisites @ 20% | 27000 | ||
| G. Total | 162000 | ||
Raw Material (per month)
Description |
Qty. (mts.) |
Rate (Rs.) |
Amount (Rs.) |
| Synthetic fabric | 2250 | 74 | 166500 |
| Cotton sewing thread Elastic tape Zip etc. | LS | LS | 2340 |
| Embroidery and Stickers | LS | 1150 | |
| Packing materials | LS | 8000 | |
| Thickener (Kgs.) Thickener (Kgs.) | 50 | 18 | 900 |
| Total | 298890 | ||
Utilities |
(Rs.) |
| Electricity bill and Water charges | 5000 |
| Total | 5000 |
Other Contingent Expenses (per month) |
(Rs.) |
| Postage/stationery | 2000 |
| Repair and maintenance | 1200 |
| Transport/travelling charges | 2000 |
| Miscellaneous expenses | 2000 |
| Total | 7200 |
| Total Recurring Expenses (per month) | 396700 |
| Total Working Capital for 2 months | 793400 |
Total Capital Investment
| Machinery and equipment | 2524460 |
| Working capital for 2 months | 793400 |
| Total | 3317860 |
Machinery Utilisation
Capacity utilisation is considered as 75% of installed capacity.
Financial Analysis
Cost of Production (per year) |
(Rs.) |
| Total recurring expenditure | 4760400 |
| Depreciation on Land & Building @ 5 % | 116250 |
| Depreciation on machinery @ 10% | 10860 |
| Depreciation on office furniture and other accessories @ 20% | 10000 |
| Interest on total investment @ 14% | 464500.4 |
| Total | 5362010.4 |
Turnover (per year) (Sales)
Product |
Qty. (nos.) |
Rate/ pc.(Rs.) |
Amount (Rs.) |
| Wind Cheaters | 75000 | 75 | 5625000 |
| Total | 5625000 | ||
| Net Profit | 512850 |
Net Profit Ratio
Net Profit × 100 Turnover per annum =20% |
Net Rate of Return
Net Profit × 100 Total Investment =17.49 |
Break-even Point
Fixed Cost |
(Rs.) |
| Depreciation | 132600 |
| Interest | 410550 |
| 40% of salary and wages | 295680 |
| 40% of other contingent expenses | 67200 |
| Total | 906030 |
| B.E.P. | Fixed Cost × 100 ------------------------ Fixed Cost + Profit = 63.86 |
Addresses of the Machinery Suppliers
- M/s. Popular Electrical and
Mechanical Works
Chawal Bazar,
Ludhiana. - M/s. Matharoo Mechanical Works
Bhaiwala Chowk,
Ferozepur Road,
Ludhiana. - M/s. S.T.M. Knitting Machine Manufacturers
Kalsi Nagar,
G.T. Road,
Ludhiana.
Raw Material Suppliers
- M/s. Vardhman Spinning and General Mills Ltd.
Chandigarh Road,
Ludhiana. - M/s. Sona Woollen Mills
156, Industrial Area–A,
Ludhiana. - M/s. Oswal Woollen Mills Ltd.
Industrial Area–A,
Ludhiana.
For further information please contact
Information Manager
TIMEIS Project
E-mail: timeis@ficci.com
