Project Profile
- HERBAL PRODUCTS
INTRODUCTION:
All human
being have urge to look beautiful. It is because of this reason
that they have been using different types of materials from
time immemorial. In early period cosmetics were associated
with religious practices. It is almost true for all old civilizations
like Indian, Chinese, Egyptian & Greek. Ubtan with flour,
turmeric and vegetables oil before marriage is still practiced
in India. Kum Kum is still being applied by women. During
the early period, all cosmetics items were made in the home.
Natural materials like aromatic materials, spices, herbs,
resins, dyes, fats, oils, and the natives of different counties
used perfumes.
Herbs as
medicines are being used since Vedic age. Now-a-days people
give preference to the herbal products, as the chemical products
being used for cosmetics are costlier and have side effects.
Herbal products are based o plants, natural minerals in single
ingredient drugs and compound formulations.
The Ayurvedic
herbal products/ drugs are derived from vegetable sources
from various parts of the plants like root, leaf, flower fruit
extrude or plant as a whole.
MARKET:
There is
more recognition for herbal products in the country now than
the past few decades. This herbal concept is gaining ground
and attracting attention worldwide. There is more and more
scientific research being conducted in our country for treatment
of various skin and hair problems through herbal therapy which
is not having side effects on skin, thus been recognized world
over.
Thus herbal
products are becoming popular day-by-day and demand for its
usage is increasing not only in the country but also world
wide, the inherent quality of herbal treatment of having negligible
side/ after effects has made great potential for its production.
A large number of medicinal plants, herbs, shrubs etc. are
available in our country in the hilly / forest regions.
In order
to boost the production of herbal products, Govt. of India
has also set up a board namely Indian System of Medicine and
Homeopathy to encourage production of herbal products especially
in the regions where basic raw materials are available in
plenty. As the side effects of cosmetics and other chemical
based product is increasing day by day. It gives an indication
that there are some harmful chemical based ingredients, which
are harmful for our body. Therefore, to get remedy for all
above problems only one solution is there and i.e using of
herbal products instead of others. As the demand of herbal
products is increasing day by day and you can sell your products
in general market of the country including this these type
of products can also be supplied to the Govt. Store Depot./canteen
for further distribution among the employees of Defence, Railways
and other Govt. Departments.
IMPLEMENTATION SCHEDULE:
| 1. Preparation of Project profile |
One month |
| 2. SSI Registration & approval from Director of
Ayurveda |
One month |
| 3. Finance/Loan from Banker or Financial Institutions |
Two months |
| 4. Power connection / Building construction |
Six months |
| 5. Machinery procurement & Trial run. |
Two months |
| 6. Recruitment of Staff & Labour |
One month |
| 7. Actual commercial production. |
One month |
| Total Period |
Fourteen months |
BASIS & PRESUMPTIONS:
The project
has been drafted taking into account of the following aspects:
| 1. No. of working shift in a day. |
One |
| 2. Duration of shift in term of time |
8 hrs |
| 3. Number of working days in a year |
300 |
| 4. Working efficiency of the unit |
75% |
| 5. Construction of building ( built up are ) will be
in accordance with the provision laid down by Director
of Ayurveda. |
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| 6. The estimates are drawn from a production capacity
generally considered techno-economically viable for a
modern type of manufacturing unit. |
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| 7. G.M.P will be followed. |
|
| 8. The wages of the Staff & Labour is taken as as
per the prevailing Labour Wages Laws. |
|
| 9., The entire expenditure will be borne by entrepreneur. |
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| 10. The rate of interest has been shown as applicable. |
|
| 11. Plant & Machinery, Testing equipments &
all other equipments used in manufacturing such type of
products may also be employed in manufacturing all other
similar type medicines.. |
|
| 12. Although the unit is free from pollution & effluent
discharge but still provision of exhaust fan may ensure
the fresh environment. |
|
Quality Control & Standards:
At present
there is no pharma copeal standard on each of the active ingredients
of Herbal products like chemical cosmetics for standardization
and quality control of Herbal products various steps can be
followed like physical description, physical tests, pharma
cognized techniques etc. to ascertain the species of plant
and their characters. For manufacture of cosmetic products
related to herbs the approval from Directorate of Ayurveda
is essential including this, it is advisable to the unit that
he must have Govt. approved manufacturing Chemist and analytical
chemist or owner must have degree of Ayurveda or cosmetic.
Generally,
quality of Herbal products is fully dependent on the quality
of raw materials and process of manufacture.
Manufacturing Process:
There are
so many types of herbal creams and other herbal body care
products are available in the market. The manufacturing process
of each product is different. However, for the manufacture
of creams and body lotion the general process of manufacture
of cream and lotion is involved i.e. saponification of oil
with mild alkali e.g. Bee-Wax. Paraffins, oils in alkali type
material is heated at appropriate temperature to form creamy
base. The base so formed can be added aloevera some emulsifying
preservative color perfume and other stabilizing agent can
be added in the last of manufacturing process. For preparation
of herbal scrub all the herbs can be grinded into fine powder
with the help of pulveriser and it can be diluted with the
help of fuller earth/ masoor ki dal and other ingredients.
All the ingredients are mixed together in a mixer and packed
in desired size packs.
FINANCIAL ASPECTS:
Fixed Capital Investment:
Land & Building:
Land:
500 sq.
meter @ Rs. 2000/- per sq. mtr.
= 10.00
lac.
Building:
Manufacturing
Shed
2 Nos.
Size
10x10
sq.m. = 100
sq. mtr.
size
15x10
sq.m. = 150
sq.mtr.
Raw material
Storage
room size
8x8
= 64
Finished
Goods storage Room 8x8
=
64
Laboratory
=4x4
= 16
Office
= 5x4
= 20
Utilities
= 2x4
= 8
Total covered area
= 422 sq.mtr.
Rest area
may be used for future planning and greenery
Cost of
construction for 422 sq.m. @ 1000/- per.sq.mtr.
= 4.22 lacks
Total Cost of Land & Building = Rs. 10.0 + 4.22
= 14.22 lacs
PLANT & MACHINERY:
Sl.No. |
Name of Machinery |
Qty. |
Price |
Total Cost |
1 |
M.S. Vat 1000 kg capacity |
2 |
15,000 |
30,000 |
2 |
Trey Drier Cap 96 Trey fitted with exhaust fan &
Heating cost |
1 |
80,000 |
80,000 |
3 |
Pulverizer capacity 100 kg fine powder of 400 mesh per
shift |
1 |
75,000 |
75,000 |
4 |
Sieves of different mesh sizes |
5 |
5,000 |
25,000 |
5 |
Distillation apparatus |
1 |
50,000 |
50,000 |
6 |
Bottle sealing m/c |
2 |
25,000 |
50,000 |
7 |
S.S. Mixing vessel with motor |
1 |
20,000 |
20,000 |
8 |
Water Treatment plant 100 lts. Cap. |
1 |
20,000 |
20,000 |
9 |
Filtering unit |
1 |
5,000 |
5,000 |
10 |
Muffal furnace |
1 |
5,000 |
5,000 |
11 |
Weighing scale |
1 |
5,000 |
5,000 |
12 |
Bottle washing m/c |
1 |
5,000 |
5,000 |
13 |
Bottle Drier |
1 |
10,000 |
10,000 |
14 |
S.S. Containers |
5 |
200 |
1,000 |
15 |
Laboratory Equipments |
- |
15,000 |
15,000 |
16 |
Fire fighting equipment |
- |
5,000 |
5,000 |
17 |
Electrification & Installation |
- |
10,000 |
10,000 |
18 |
Furniture & office equipments |
- |
25,000 |
25,000 |
19 |
Pre-operative expenses |
- |
- |
10,000 |
Total |
25,00,000 |
Total fixed
capital investment
= Rs. 10.0
+ 4.22 + 4.0 lac
= 18.22
lacs
RECURRING EXPENSES:
i) Raw Material (p.m.)
Different
type of herbs, preservatives, emulsifying & = Rs.1.75
lacs. Stabilizing agent chemicals, packaging material
etc
2) Staff & Labour (p.m.)
| Personnel |
Nos. |
Salary (Rs.) |
Total (Rs.) |
| Manager cum Mfg. Chemist |
1 |
5,000 |
5,000 |
| Analytical chemist |
1 |
4,000 |
4,000 |
| Sales man cum store keeper |
1 |
2,500 |
2,500 |
| Clerk cum Accountant |
1 |
2,000 |
2,000 |
| Skilled Worker |
2 |
3,000 |
6,000 |
| Unskilled Worker |
3 |
1,800 |
5,400 |
| Peon cum chowkidar |
1 |
1,500 |
1,500 |
Total |
26,400 |
Perquisites
@ 15% |
3,960 |
Total |
30,360 |
Say |
30,000 |
Other Expenses: (PM)
| Electricity / fuel |
2,500 |
| Water |
500 |
| Postage & Stationery |
250 |
| Advt. & Publicity |
250 |
| Maintenance and Repairing |
300 |
| Transportrtion |
2,000 |
| Insurance |
200 |
| Telephone |
500 |
| Misc. exp. |
500 |
| Total |
7,000 |
Working
capital per month:
= Rs. 1.75
lakh + 30000 + 7000
= 2.12.
lac.
Working
capital for 3 months:
= 2.12x3
= 6.36 lac
Total capital investment = 3 months working capital + Total
fixed capital investment
Rs. 6.36
+ 18.22
= 24.58 lacs.
Cost of Production (Per annum):
| Description |
Value (Rs.) |
| Recurring Expenses |
25.44 |
| Depreciation on Building @ 5% |
0.21 |
| Depreciation on plant & machinery @ 10% |
0.40 |
| Depreciation on furniture @ 20% |
0.05 |
| Interest on T.C.I. @ 10% |
2.45 |
| Total |
28.55 |
Turn over
by sale of
1.5 lacs.
Of Herbal Cream/ lotion @ 20/- per piece =
30.00lac
75000 pcs.
Of Herbal Scrub @ 18/- per piece =
13.50 lacs
Total = 43.50
lacs
Less 10.2
% sales Tax = 4.40
= 39.10%
Less 15%
Discount to Whole seller, Stockiest etc. = 39.10 - 5.85
= 33.25
Net Profit
= 33.25 – 28.55
= 4.7
lac
%age Profit
on Sale
=4.7 x 100
/ 33.25
= 14.10%
%age profit
on Total Capital Investment
= 4.7 x 100
/ 24.58
= 19.12%
FIXED COST
40% staff
& Labour
= 1.44 lac
40% of other
expenses
= 0.33
Total Depreciation
on building plant = 0.66
and machinery
and furniture
Interest
on Total Capital Investment = 2.45
Total
= 4.89 lacs
B.E.P.
=Fixed cost
x 100 / Fixed Cost + Profit
= 4.89 x
100 / 4.89 + 3.75
= 50%
Addresses of Machinery Manufacturers:
1.
M/s Ajay Engineering,
L-52, GIDC, Odhav,
Ahmedabad-382415 (Guj.)
2.
M/s Burman Plant & Machinery Pvt. Ltd.,
36, Sarjar Lane,
Calcutta-700007.
3.
M/s Amkay Engineering Works,
B-33, DDA Shed, Okhla,
Industrial Area II,
New Delhi-20.
4.
M/s Famach Machinery Co.,
6, Gurjar Ind. Estate,
Ajod Dairy Road, Rakhial,
Ahmedabad-380023.
5.
M/s Frederick Herbert,
10, Second Pasta Lane, Colaba,
Mumbai-400005.
6.
M/s Ganesh Engineering Works,
1507, Ganesh Pura Main Market, Tri Nagar,
Delhi-110035.
7.
M/s Indo German Phamachem Equipments,
Kothari House, Plot No,. A-13, Off Cross Road,
Steet Nio. 5, MIDC,
Andheri (E)
Mumbai400093.
8.
M/s K. Mahadev & Co. Pvt. Ltd.,
Dutta Mandir Road,
Bhandup,
Mumbai-400078.
Suppliers of Raw Materials:
Raw materials can be purchased related to Herbal products
is easily available at Khari Bawli, New Delhi. However, addresses
of some other raw material suppliers are also given below:
1.
M/s Amritlal Bhurabhai,
Princess Street, Mombay-2.
2.
M/s R. Suresh Chander & CO.,
48, Princess Street,
Bombay-2.
3.
M/s Haribhai Jesbhai,
Princess Street, Bombay-2.
4.
M/s Chemical Market,
Tilak Bazar, Fatehpuri,
Delhi-6.
5.
M/s Veena Perfumery,
Fatehpuri Delhi-6.
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