Building Area for Agarbatti Unit
To start TataF Agarbatti Contract Manufacturing Unit the building area is various according to the unit size. Three fully automatic machine can be installed in 10x10=100 Sqfts of one room and the separate room space around 200 Sqfts of one room or 10 x 10 =100 Sqfts of two rooms are required for installing filtering and mixing machines and to keep raw material and finished goods.
Building Rent for Agarbatti Making
The building monthly rent should be below Rs2000.00 per one fully automatic machine and the supportive machines. For example, if TataF Agarbatti Contract Manufacturers will install 10 Agarbatti Making fully automatic machines and the supportive machines, the building rent should not be more than 20k per month.
Two unskilled female labours are required for one fully automatic machine. The same labours can operate the fully automatic machine, manage the filtering machine, mixing machine and Drying machine, Feeding sticks and masala, picking wet Agarbattis, shorting damages, bundling, storing, loading, unloading, cleaning machines and production hall.
Labour Cost for Agarbatti Making
The labour cost should not be more than Rs.300.00 per shift. If the labour cost is below Rs.300.00 per shift the company will get more profit. TataF Agarbatti Contract Manufacturers are advised to engage unskilled female labours under daily wage only without salary basic. If the workers will be engaged under salary based, ESI, PF and Insurance will be applicable as per Indian Labour Act even though the business is coming under small scale and cottage industry.
TataF Agarbatti Contract Manufacturers shall bear the transportation cost for incoming Raw material and outgoing finished goods, The consignment can be loaded and delivered to the buyers premises weekly once or ten days once or 15 days once or 20 days once or monthly once according to their production capacity by TataF Contract Agarbatti Manufacturers own responsibility. So, TataF will arrange the Raw material suppliers and provide buyers leads with requirements details from TataF Agarbatti Contract Manufacturers nearby places as much as possible to save time and transportation cost.
Transportation Cost for finished Raw Agarbatti
The transportation cost may be from Rs.0.00 to upto Rs.3.00 per kilogram for to and fro. The vehicle will deliver the finished goods and the same vehicle shall bring the raw material. Otherwise, the raw material may be purchased from a different area and the delivery may be made to different area in low transportation cost and in the low price for the raw material and high price for the finished goods.
TataF Recommended Agarbatti Raw Material Price
The recommended raw material including powder and sticks price is around Rs.43.00 per kg the suppliers those are situated TataF Agarbatti Contract Manufacturers nearby paces. TataF advises manufacturers to purchase separate raw material like Jiggat, Saw Dust, Charcoal and China made 8” and 9” length 1.3mm dia round bamboo sticks and provides powder mixing formulae according to price and strength of the raw material, climate of the area and density of their area water. The price for the raw material is deferred area to area in different parts of India. TataF is not getting any royalty or commission from the Raw Material suppliers.
TataF Raw Agarbatti Price
Raw Agarbatti is the finished goods here. The price for best quality Raw Agarbatti is around Rs.65.00 per kg. In some area and some time the price is upto Rs.70.00 per kg in India. In case TataF Agarbatti Contract Agarbatti Manufacturers may produce in-quality Raw Agarbatti by mistakenly the price will not be given above mentioned level. But TataF can arrange the buyers for such products also without rejection. TataF is not getting any royalty and commission from the Raw Agarbatti buyers.
TataF Recommended Agarbatti Making Machine Price
The recommended machines from branded companies are Indian Made High Speed Fully Automatic Noiseless 6G Machine Rs.1,25,000.00, High Speed Fully Automatic 7G Machine Rs.1,45,000.00, High Speed Fully Automatic 8G Machine Rs.1,85,000.00, Mixing machine 15 kg capacity Mixing vibrator Machine Rs.35,000.00, If TataF Agarbatti Contractti Manufacturers will require PLC control fully automatic machine, Rs.10000.00 will be extra on these above machines. Wooden packaging cost Rs.3,500.00 per machine, GST 18% and Transportation cost Extra from Surat to TataF Agarbatti Contract Manufacturers premises. The transportation cost minimum Rs.1,000 and maximum Rs.1,500.00 per machine according to the various distances from Surat to TataF Agarbatti Contract Manufacturing unit.
The Fully Automatic Agarbatti Making Machines’ pistons, rockets and some of the wear and tear items will be depreciated in the machine while production going on. We can maximum spend Rs.2.00 per Kg for machinery maintenance. If the experienced operators will operate the machines properly, the machinery maintenance expenses will be around Rs.1.50 per kg.
Generally, the manufacturing units shall have some wastage during the production. The raw material for raw Agarbatti is wasted around 2% in the manufacturing units .i.e., Rs.43.00 is the raw material cost including powder and sticks. 2% of Rs.43.00 is 0.86 is the wastage per Kg. TataF Agarbatti Contract Manufacturers are advised to control wastage as much as possible in the manufacturing units..
The single phase power is required for 1.5 HP for one Fully Automatic machine, 1 HP for powder mixing machine, 1 HP for filtering machine, 1 HP for Agarbatti dryer machine. TataF Agarbatti Contract Manufacturers are advised to go for changing their power connections under tariff 3A under cottage industry by producing SSi certificate to the electricity office. The power unit cost will be lesser than commercial for small scale industry
Electricity Charges for Making Agarbatti
For manufacturing one kilogram of Raw Agarbatti, the manufacturing unit spends around Rs.1.00 per kg through a fully automatic and all supportive machines like mixer, filter, dryer, fans and lights
TataF Raw Agarbatti Packaging
Approximately 600 to 650 grams of raw Agarbatti is bundled through the tie and 10 to 15 kg is packed in gunny bags which are coming along with the powder and sticks. Some, buyers will ask the goods in the carton boxes. TataF Agarbatti Contract Manufacturers are advised to go through the used carton boxes and to ask one or two rupees extra on the raw Agarbatti price for the finished goods from the buyers. The use carton boxes are available everywhere in the towns and cities in the craft shops. If the finished goods will be sent regularly to only one buyer the used cartons can be re-used five or more times. If the goods will be sent to different buyers and different area, the used cartons can be used one time only. There is no packing cost for the Raw Agarbattis.
TataF Commission for Agarbatti Marketing Service
TataF will provide buyers leads and their requirements to TataF Agarbatti Contract Manufacturer for supplying their finished Raw Agarbattis. It will get Rs.1.00 per kg as Royalty from TataF Agarbatti Contract Manufacturers for its Buy Back Marketing after directly getting the payment from the buyers for their consignment during the agreement period. No any other charges are collected from TataF Contract Agarbatti Manufacturers and buyers for its marketing support.
Miscellaneous Expenses for the Business
TataF Contract Agarbatti manufacturing unit is having some expanses like coffee, tea, biscuit, visiting, meeting, sampling, telephone, internet, quality testing, feast for visitors, stationery and furniture ect. We can spend Rs.0.20 per Kg for these purposes.
Estimation for TataF Branded Agarbatti Manufacturing
Different types of inner, dozen boxes and pouches in the name of “Poojadeep Agarbattis” and perfumes are supplied from TataF like MRP Rs.5.00, MRP Rs10.00, MRP Rs.15.00, MRP Rs.25.00, MRP Rs.50.00, MRP Rs.100.00, MRP Rs.250.00, and the DEP “Diethyl Phthalate” is a kind of solvent used to dilute the perfumes recommended from entrepreneurs’ nearby places. The price for DEP is around Rs.125.00 right now in Indian Current market. The pouches price is Rs.150.00 to 200.00 per kilogram and the best quality common and fancy perfumes which is supplied by TataF for Rs.600.00 to 900.00 per kilogram.
TataF Agarbatti Making Project Report
The above estimation is approximate Calculation only and the project report can be prepared through using the above information for the Auditors and for TataF Agarbatti Contract Manufacturers understanding or to submit in the banks for the loan purpose.
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