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WelcomeTo

My Presentation

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Feasibility Studyon

cable manufacturing Plant

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MD. MUZAHIDUL HAQUEID# 12305145

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Introduction Market Raw Material Process Technology Utility Location Environment Impact Investment Cost Operation Cost Profitability Analysis Recommendations

Contents

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Feasibility studyAn analysis of the ability to complete a project successfully, taking into account legal, economic, technological, scheduling and other factors

Introduction

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In the 19th century and early 20th century, electrical cable was often insulated using cloth, rubber and paper. Plastic materials are generally used today, except for high-reliability power cables

Only import and sell Now the demand of electrical cable is

increasing

Background

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The basis of low voltage and high voltage cables are manufactures.

Due to the respect of time cable manufacturing technology has changed.

Methodology

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There are various type of cable that’s why it is difficult to find out that which one is more necessary.

There are limitation of manpower, land and also other things

Limitations

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Situational Analysis Market Survey Characterization of Market Demand Forecasting Market Planning

Market

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1965-1969

1970-1974

1975-1979

1980-1984

1985-1989

1990-1994

1995-1999

2000-2004

2005-2009

720000

10000

20000

30000

40000

50000

60000

70000

80000

Situational Analysis

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Total Demand Production of different company Satisfaction with exiting products Unsatisfied needs Attitudes towards various products Socio-economic characteristics of the

buyers

Market Survey

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Assume that total demand of low voltage power cable in market 100000 meters per year

Total demand of high voltage power cable in market 72000 meters per year

Total demand of low voltage power cable in market 8334 meters per month

Total demand of high voltage power cable in market 6000 meters per month

Total Demand

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No Company Name Low voltage High voltage

01 BRB 30000 20000

02 Paradise 35000 20000

03 Others 15000 10000

Total =80000 =50000

Production of different company

These productions is for per year

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Unsatisfied with the existing product Good quality but high rate Low rate but too much bad quality Not long lasting

Satisfaction with existing products

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As per year

Unsatisfied needs

No Product Demand Production Unsatisfied needs

01 High voltage

720000 50000 22000

02 Low voltage

100000 80000 20000

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People wants good quality with reasonable price

Low price but good product Long lasting Good looking

Attitudes towards various products

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Low income of maximum people Small house Demand for high quality cable

Socio-economic characteristics of the buyers

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Effective demand in the past and present Breakdown of demand Price Methods of distribution and sales promotion Supply and competition Government policy

Characterization of Market

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Type of raw material Sources Demand Supply Mode of transportation

Raw Material

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 (General Equipment)

Copper Aluminum Insulator PVC Mica Plastic Paraffin Rubber-like polymers, or varnish. Insulating and jacketing of wires 

Type of raw material

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All general equipments can be found all electronics multinational companies in China, Japan, India, etc.

Low demand accessory are found in local and multinational electrical company.

Sources

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(General Equipment)DemandNo Equipments Demand(Tk)01 Liquid crystal disk 2000-3200002 Inverter 240003 Ir-sensor 35004 Button 24005 Cabble 10006 Power Supply 65007 Signal Input 40008 Speaker 30009 T-con 245010 Tv Stand 25011 Interface Board 36012 Inverter Board 1800

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Local chemical company Foreign chemical company Foreign electronic instruments company

Supply

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Train transportation Truck transportation Sea-port using Air-port using

Mode of transportation

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Outline of process technology Availability and proneness Comparative technology Level of technology Availability of manpower

Process Technology

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Electricity Water Fuel

Utility

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High amount of electricity needed National greed electricity Self generated electricity Diesel generator Gas generator

Electricity

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Needed for washing And many other process

Water

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Gas Petrol Diesel

Fuel

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Proximity to market Proximity to port Availability of raw material Availability of utility Availability of skilled technical manpower

Location

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About the center of Bangladesh. Rail transport system Road transport system Close capital Dhaka

Proximity to market

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Electricity Water Fuel

All these are available here

Availability of utility

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Skilled technical manpower is not available Have to trained few engineers from abroad Extra cost for the project but give us more

benefit in future.

Availability of skilled technical manpower

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Impact on environment Pollution level Impact on human habitation Impact on agriculture

Environment Impact

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Formation of cable CFC CFC potent greenhouse gas. Global warming.

Impact on environment

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2 to 3% of the gas escapes after CFC used.

Pollution level

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Home entertainment Home news Modern cooking style Comfortable life Product idea Developed knowledge

Impact on human habitation

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Capability of farmer to buy LCD television.

Knowledge about modern agriculture.

Modern fertilizer Pesticides Hybrid seeds

Impact on agriculture

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No Cost name Cost(Tk)01 Land 2,50,00,000/=02 Building 1,75,00,000/=03 Machinery 13,40,00,000/=04 Taxes and duties 75,00,000/=05 Installation cost 40,00,000/=06 Depreciation 25,00,000/=07 Interest during construction

(IDLC)12,00,000/=

Total 19,17,00,000/=

Investment Cost

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No Cost name Cost(Tk)01 Raw material 5,50,00,000/=

02 Utility 1,90,00,000/=

03 Manpower 80,00,000/=

04 Maintenance 65,00,000/=

05 Depreciation 12,00,000/=

06 interest 40,00,000/=

Total 9,37,00,000/=

Operation Cost

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B/C Ratio IRR( Internal Rate of Return) Break-even analysis Cash flow

Profitability Analysis

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Type AmountInvestment 28,54,00,000/=Benefit in 1st year 2,00,00,000/=Benefit in 2nd year 6,00,00,000/=

Benefit in 3rd year 7,00,00,000/=

Benefit in 4th year 9,00,00,000/=Benefit in 5th year 15,00,00,000/=Benefit in 6th year 20,00,00,000/=

B/C Ratio

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B/C Ratio

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IRR( Internal Rate of Return)

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IRR( Internal Rate of Return)

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Break-even analysis

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Cash flow forecast(Tk in 1000) Investment 28,000 1-10 yrs Sales 21,000 Variable costs (66%of sales) 14,000 Fixed costs 2,000 Depreciation 3,000 Pre tax profit 2,000 Tax 1,000 Profit after tax 2,000 Cash flow operation 4,000 Net cash flow (28,000) 4,000

Cash flow

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Risky project Govt. help needed Peoples awareness for country-made

product Patience Challenges to importer Future field

Recommendations

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Thanks To All

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Any Question

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