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Hollow Plastic Container Manufacturing Guide

The document discusses establishing a hollow plastic container manufacturing business using blow moulding techniques. Thermoplastics like PVC, HDPE, and polypropylene can be used to make containers through a process of heating, applying pressure, and forming to molds. The business could produce 5,250 kg of containers annually worth Rs. 630,000 with an investment of Rs. 123,950 and profit of Rs. 16,807 in the first year. Machinery, raw materials, labor, rent and other expenses are outlined along with projected costs, sales, profits and break even analysis. Suppliers are available locally.

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Ashish Ranjan
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47 views5 pages

Hollow Plastic Container Manufacturing Guide

The document discusses establishing a hollow plastic container manufacturing business using blow moulding techniques. Thermoplastics like PVC, HDPE, and polypropylene can be used to make containers through a process of heating, applying pressure, and forming to molds. The business could produce 5,250 kg of containers annually worth Rs. 630,000 with an investment of Rs. 123,950 and profit of Rs. 16,807 in the first year. Machinery, raw materials, labor, rent and other expenses are outlined along with projected costs, sales, profits and break even analysis. Suppliers are available locally.

Uploaded by

Ashish Ranjan
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

HOLLOW PLASTIC CONTAINERS

I. INTRODUCTION:
Hollow plastic containers can be manufactured by blow moulding techniques. These have a good demand
since they are cheap, attractive and possess utility value. Thermoplastic materials like PVC, High and
low density polythene, polypropylene etc. are used for the manufacture of blow moulded products.

II. MARKET POTENTIAL


There is a good demand for these products due to the properties of plastic like low weight, good
durability, availability of desired colour, water-resistant etc.

III. BASIS AND PRESUMPTIONS:


The unit will work for 8 hours a day and for 300 working days in a year.
The cost of utilities is assumed at the old tariff.

IV. IMPLEMENTATION SCHEDULE:


The unit can be set up in 6 months

V. TECHNICAL ASPECTS:
[Link] of Manufacturing:
thermoplastic materials like PVC,High and low density polypropelene granules are fed into the blow
moulding machine. By applying heat and pressure definite shape is formed as per the mould used.
[Link] Specification
As per the customers order
[Link] Capacity per annum
Quantity: 5250 kgs
Value: Rs. 630000
[Link] Power
2 HP

VI. TOTAL CAPITAL INVESTMENTS


[Link]

Description

Value Rs.

Fixed Capital

75000

Working capital

48950

Total cost

123950

VII. MEANS OF FINANCE


[Link]'s Contribution (5% of total cost)
6198
[Link] subsidy (15% of total cost or Rs.7500,whichever is less) 7500
[Link] loan[total cost-( Promoter's Contribution+ PMRY subsidy) 110252

VIII. FINANCIAL ASPECTS


1. FIXED CAPITAL
i) Land & Buildings : Rented premises of 120 sft. at a rent of Rs.1000 pm
ii) Machinery & Equipment
[Link]

Description

Quantity

Hand operated blow moulding machine

2 no.

Injection moulding machine

7000

Compressore-2HP capacity

10000

Moulds & dies

Erection & Electrical Installation

6000

Furniture

5000

Pre-operative expenses

3000

Total

Value
Rs.
34000

10000

75000

2. WORKING CAPITAL
[Link] & Labour per month
[Link]

Designation

No

@ Rs.

Value Rs.

Manager

2500

2500

Unskilled worker

1000

3000

Total

5500

ii) Raw Material (p.m.)


[Link]

Description

Quantity

HDPE

500 kg.

Value Rs.
30000

Total

30000

iii. Utilities per month


[Link].

Description

Value
Rs.

Power

500

Water

250

Total

750

[Link] expenses per month


[Link]

Description

Value Rs.

Conveyance

450

Postage, telephone

250

Total

700

[Link] working capital per month


[Link]

Description

Value Rs.

Rent

Staff and labour

Raw materials

Utilities

750

Other expenses.

700

12000
5500
30000

Total

48950

IX. COST OF PRODUCTION PER ANNUM


[Link]

Description

Total working capital

Depreciation

Interest

Value Rs.
587400
7200
18593

Total

613193

X. TURNOVER PER YEAR


[Link]

Item

Quantity

Rate Rs. Value


Rs.

Tumblers & cans

5250 kg.

120

Total

630000
630000

XI. FIXED COST PER YEAR


[Link]

Description

Depreciation

Interest

18593

Rent

12000

40% of salaries & wages

26400

40% of other expenses (utilities + OE)


Total

Value Rs.
7200

7200
71393

XII. PROFIT ANALYSIS


Net Profit : sale-total cost =630000-613193 =16807
% of Profit on Sale: Profit / Sale x100 =2.67%
% of Return on Investment: Profit / (Investment) x 100=16807/123950]100=13.56%
Break-Even Analysis : FC / (FC+Profit) x100=71393/71393+16807]100=80.95%

XIII. MACHINERY SUPPLIERS and RAW MATERIAL SUPPLIERS


Locally available

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