SEMIAR ON MULTI LAYER POUCH FACTORY

1. GROUP-06
Guided by- Mr. R.K.BEHERA
Department-Mechanical

2.  JAGANNATH DHAR
 SATYANARAYAN DWIBEDI
 DEVRAJ BEHERA
 ASUTOSH BISWAL
 SUDEEP KUMAR BEHERA
 NABAKRUSHNA NAYAK

3.  An entrepreneur is a person ,who sets up a business
taking on financial risks in the hope of profit.
 He is a who initiates the idea formulates a plan
,organise resources and puts the plan into action to
achieve his goal.
 QUALITIES :
1.Strong desire to be a winner
2.moderate risk taker
3.using feedback
4.ability to work hard
5.independence

4. 1. INTRODUCTION
2. PROJECT LOCATION
3. PROJECT CHARACTERISTICS
4. COMMONLY USED MATERIALS
5. MARKET SURVEY
6. DEMAND SECTOR FOR PACKAGING
7. MANUFACTURING PROCESS
8. PRINTING
9. PROJECT MANAGEMENT AND CONSTRUCTION SCHEDULE
10. PROJECT COST ESTIMATION
11. MANUFACTURING COST
12. UTILITY REQUIREMENT
13. BEP ANALYSIS
14. IRRR/NET PROFIT
15. CONCLUSION

5.  The main purpose of this project for setting up a
plant to manufacture 1000MTp/annum of multi
layer pouch.
 Because of a vast natural resources in the
districts such as cuttack, puri, balasore,
sundargarh, dhenkanal ,this plant should be
surely a good project to establish in orissa.
 The production plant and equipment proposed,
have been selected for the high production
capacity.

6.  BHARANDIA
 RAIRANGPUR
 MAYURBHANJA

7.  Plastics are playing a very vital role in the field
of packaging.
 The very distinct advantages are-
1.energy conversion
2.ease of handling and storage
3.ease of disposal and total prevention of reuse
with superior materials.

8.  POLYEFINES ,LDPE (low density
polythene),LLDPE(linear low density
polythene) ,HDPE(high density polythene)
 BOPP FILMS(bi-axially oriented polypropylene
films)
 POLYSTER FILMS
 ALUMINIUM FOILS
 PAPER
 PVC (poly vinyl chloride)FILMS
 NYLON FILMS

9.  The packaging industry in India had its beginning in
the 1950s, but beginning of 1980 the industry
witnessed considerable progress and it was the golden
era of packaging industry.
 There are about 18,000 factories engaged in the
conversion process of packaging in the country more
than 90% of them belong to the small scale industry.
 This sector has tremendous export potential provided
the industry get raw materials at internaor.ai cost. The
quality has been not Only accepted abroad but also
fully appreciated by them, perhaps even better than
European products. Some companies have started
exporting to countries like Italy, Germany and others.

10.  MILK
 SOAPS
 PROCESSED FOODS
 CATERING FOODS
 WHEAT/RICE
 FRUITS AND VEGETABLES
 MEAT AND FISH
 PAN MASALA
 MOTOR OILS
 TEAS

11.  WET LAMINATION
 DRY BOND/ADHESIVE LAMINATION
 THERMAL OR HEAT LAMINATION
 WAX OR HOT MEL LAMINATION
 EXTRUSION OR MELT LAMINATION
 Plastics are very versatile materials with a wide
range of performance properties to meet even
very major requirements. Mainly plastic always
plays a vital role for manufacturing multilayer
pouch

12.  In the plastic industry printing methods are
used for applying functional information and
decoration to products
 For lay flat film products such as bags,
packaging material gravure and flexographic
printing presses are most commonly used
 For three-dimensional objects screening and
jet printing are used or traditional printing
also be used

13.  GRAVURE:
Gravure transfers ink from cells etched on a copper and
chrome plate cylinder the material being printed. the cylinder
rotes in an ink fountain and the cells pick up the liquid ink. A
doctor blade then wipes the excess ink from roller
FLEXOGRAPHY:
Flexography is a widely used method for printing short to
medium runs, but it also is adaptable to long runs. Flexography
print by transforming images from a flexible raised printing
plate directly to the material.
JET PRINTING:
Jet printing needs no printing plates ink in droplet form is
impinged on to the surface at high speed by the help of nozzle.
electronic circuit provides information from which the image is
formed

14.  Project management and project planning has a direct impact on
construction schedule. The length of the gestation period
determines not only the quantum of financial charges such as
interest but also project costs.
 PROJECT HANDLING :
In the first step registration of the company with
local office , Affairs, allotment of land, approval of foreign
collaboration, sanction of power connection, no-objection
certificate from Pollution Board, Sanction of long term loans from
Financial Institutions, cash credit facility with bank etc. Approval
of foreign collaboration and import of capital goods are necessary
only if the project require such activities.

15.  In such as land, buildings, plant and machinery, and other
miscellaneous assets is considered. Besides the estimation of
the cost of the project the requirements and costs of various
fixed assets such as land, buildings, plant and machinery,
and other miscellaneous assets is considered.
 LAND AND SITE DEVELOPEMENT:
The total covered area of the plant is
estimated at 300 square metres. This includes the area
required for the main production plant, utilities section,
laboratory, administrative office, go down, public
conveniences etc. Taking- this into consideration and
provisions for roads and future expansion, the land
requirements for the proposed plant has been estimated at
600 square metres.

16. 1. Land 600 square meter
@300.00 per square meter 1.80
including registration
charges
2. Site clearing expenses
3. Site levelling expenses 0.70
4. Inter road and internal
approach road
TOTAL=2.50Lakhs

17. COST OF BUILDING AND STRUCTURE:
FACTORY BUILDING 8.75lakhs
NON FACTORY
BUILDING( boundary
wall, factory gate, parking)
3.00lakhs

18.  COST OF PLANT AND MACHINERY
 S.N DESCRIPTION ESTIMATED COST
 1. coating and laminating
unit
 2. slitter and re winder
 3. 4 colour printing machine
 4. cooling plant 90.00lakhs
 5. pouch making machine
 6. leak detector
 7. fire lighting equipment
 8. insurance, duties, taxes

19. ELECTRICAL AND WORK SHOP
EQUIPMENT
1.Switch gear , cables, cable trays
etc
2.Workshop equipment including
maintenance and erection tools
7.00lakhs
OFFICE FURNITURE AND
FIXTURES
Table , chair, almirah , cash box
2.00lakhs
OTHER ASSETS
Type-writer , telephone, intercom wall
clock, platform type weighing
machine
3.00lakhs
TOTAL=12LAKHS

20.  PRELIMINARY AND PRE OPERATIVE
EXPENSES:
A. Preliminary and capital 0.59lakhs
issue expenses
B. Pre operative expenses 9.91lakhs

21. 1 LAND,BUILDING,
AND OTHER CIVIL
WORKS
RS. 14.25lakhs
2 PLANT, EQUIPMENT,
MACHINERY
RS. 90.00Lakhs
3 PRE OPERATIVE
EXPENCES
RS. 9.91Lakhs
4 OTHER FIXED ASSETS RS. 12.00Lakhs
5 PRELIMINARY AND
CAPITAL ISSUE
EXPENSES
RS. 0.59Lakhs
5 MARGIN MONEY FOR
WORKING CAPITAL
RS. 27.78LaKhs
7 CONTIGENCIES RS. 5.47Lakhs
TOTAL=160.00Lakhs

22.  It is proposed to finance the project as follows
 1.Long term loans from
financial institutions RS.100.00lakhs
2.cash subsidy RS.0.00lakhs
3.Equity capital
a. from promoters, their friends RS.60.00lakhs
their relatives.
b. From public Rs.0.00lakhs

23.  The plant will produce 1000 MT of 2layer
laminated thickness of 40microns.the inner layer
of the film will be LDPE(20 micron thickness)
and outer layer will be (10 micron thickness)
 LDPE is economical as well as provides a good
seal ability where as BOPP provides a good
barrier resistance
 750 LDPE FILMS=RS.412.00Lakhs
 250 BOPP FILMS=RS.200Lakhs
 ADHESIVE PRINTING INK=RS. 32Lakhs

24.  MANPOWER REQUIREMENT
 Manager=1(1.20lakhs)
 Engineers=1(0.84lakhs)
 Laboratory assistance=2(o.96lakhs)
 Foreman=2(1.20lakhs)
ADMINSTRATIVE AND SALE
 Adminstrative officer=1(0.84lakhs)
 Sales executive=2(1.44lakhs)
 Accountants=1(0.48lakhs)
 Clerks/typist=2(0.84lakhs)
LABOUR , WATCH AND WARD
 Skilled workers=6(2.16lakhs)
 Semi skilled workers=4(1.20lakhs)
 Watchman=2(0.48lakhs)

25.  The break-even point (BEP) in economics, business and
specifically cost accounting is the point at which total cost
and total revenue are equal. There is no net loss or gain, and
one has "broken even," though opportunity costs have been
paid and capital has received the risk-adjusted, expected
return. In short, all costs that must be paid are paid, and
there is neither profit nor loss.
 The main purpose of break-even analysis is to determine
the minimum output that must be exceeded for a business to
profit. It also is a rough indicator of the earnings impact of a
marketing activity. A firm can analyse ideal output levels to
be knowledgeable on the amount of sales and revenue that
would meet and surpass the break-even point. If a business
doesn't meet this level, it often becomes difficult to continue
operation.

26.  Break even point analysis=
plant efficiency*fixed cost of sale/sales revenues-variable
cost of sales
YEAR BEP
FIRST 54.28
SECOND 47.99
THIRD 52.74
FOURTH 50.70
FIFTH 48.68
SIXTH 46.66
SEVENTH 44.63
EIGHT 42.61
NINETH 37.04
Average break even efficiency=47.22%

27.  Internal Rate Of Return (IRR)
 IRR=(Net Profit × 100) / Total Investment
= 23.09%
 Net Profit / Annum
 = Selling Price – Total Investment
 =40lakhs
 Profit Ratio
 =Net Profit / Annual Turn Over
 = 37%

28.  For a small scale industry like multi layer
pouch making manufacturing company profit
plays a vital role. A 37% of profit per annum
will lead to a well growth of each investor,
employer and also for employees.
 With growing Industrialisation and Increasing
construction work we can expect a bright
future and growth of this company, so we are
interested to setup a welding electrode
manufacturing company as based on the above
calculation

29.  THANK YOU MY ALL DEAR FRIENDS……
ANY QUERIES