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PROJECT REPORT ON MFG. OF SILVER PRODUCTS
1. INTRODUCTION :-
a) Availability of Raw Materials :-a) Raw materials will be
available in Kolkata (Barabazar). It is not scarce.
b) Marketability :-a) Mograhat and a part of Baruipur area in
South 24 Pgs. District is famous foras a cluster zone area for
manufacturing of silver made products likeornaments, filigree
works, utensils and decorative items including articles ofsilver
for ritual works. There is a good mkt. allover India for these
products.Marketing will be channelized through the dealers in
allover Indian cities. The
silver products will be supplied to the wholesale market in
Kolkata andBenaras of Uttar Pradesh.
c) Manufacturing Process :-a) Silver ingot will be converted
into alloy of Silver & Cadmium in a 70:30 ratioby an ancillary
unit on job works basis. Inside factory premises metal stripswill
be drawn through our self fabricated spinning machine and with the
helpof utensils will be fabricated by our skilled artisans.
Ornaments and filigree willbe produced by using hand tools.
Number of Working Days / Months : 25 Days
Number of Shift / Day : 01 Shift
Number of Working Hrs. / Shift : 10 Hours
Item Annual Installed Capacity Annual target of Production[ i.e.
activity level ]
Silver Products 750 Kg 600 Kg
Total Electric Power Requirement : 5 KW
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Plant & Machinery
Sl. Description No. Unit Cost Amount
1
5 Double gear Sheet drawing machine, fly-wheel-30 dia., stand
and complete with allaccessories, Power Driven with 5 HP
electricmotor
1 40,000.00 40,000.00
25 Single gear wire drawing machine, withstand, hand driven
1 10,000.00 10,000.00
3Polishing machine in built motor with 0.5H.P. motor, 2800
rpm
1 5,000.00 5,000.00
4Spinning machine (medium duty) selffabricated with 1 H.P.
motor
2 12,000.00 24,000.00
5 Wire bending machine, hand driven 2 4,000.00 8,000.00
CALCULATION OF RECURRING EXPENDITURE / MONTH
A. RAW MATEREIALS EXPENDITURE / MONTH :-
Sl. Description QTY. RATE AMOUNTi Silver Ingot 35 Kg 50,000.00
1,750,000.00ii Cadmium 15 Kg 600.00 9,000.00
iii Others (Zn, Cu) 7,600.00TOTAL : 1,766,600.00
B. SALARY & WAGES :-
Sl. POST No. RATE AMOUNT
i Supervisor (self) 1 5,000(sustenance)
5,000.00
ii Skilled Worker 3 6,000 6,000.00iii Semiskilled Worker 3 3,000
3,000.00
iv Un-Skilled worker 2 2,000 2,000.00TOTAL : 36,000.00
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MISCELLANEOUS EXPENDITURE
12
345678
RentElectric Power
i) Charcoal 50 Kg @ 10/-ii) Kerosene 150 Lt. @ 30/-
PackagingTransport & ConveyanceRepairing &
MaintenanceTax & InsuranceStationery Telephone Charges &
OthersContingencies
500.004,500.00
3,000.00
5,000.00
3,000.005,000.001,000.001,000.00
500.001,500.00
TOTAL : 20,000.00
TENTATIVE PROFIT & LOSS ACCOUNTS PER MONTH
Towards Expenditure:- Towards Sales :-
Description Amount SL. ITEM QTY.UNIT
Rate Amount
Recurring Expenses
Depreciation of Plant &m/c, tools & equipment@10% per
annum
Depreciation of Furniture& Fixture @ 5% perannum
Bank Interest paid@13% p.a. on TermLoan
Bank Interest paid@13% p.a. on CashCredit
1,822,600.00
970.67
337.50
1,667
1,893.83
9,750.00
1 Silver Products 50 Kg 37,500 1,875,000.00
TOTAL 1,835,554.00Gross Profit Before Tax 39,446.00
1,875,000.00 1,875,000.00
Rate of Annual Return : 31.72%Profit to Sale Ratio : 2.10%
B.E.P = Fixed Cost / ( Fixed Cost + Gross Profit )= 34,054.00 /
73,500.00= 46.33 %
Proposed source of Finance as per norms set up by Bank /
Financial Institution.
