Index: Topic
Index: Topic
Index: Topic
Topic
1
2
3
4
5
6
7
8
Research methodology
finding
Suggestion & recommendation
conclusion
Bibliography
Page
No.
MARKET POTENTIAL
Does paper have a future in the digital age? Ultimately, it is a question best answered
by the needs of the consumers, but based on the global demand outlook, consumers
still want paper well into the 21st century. World demand for paper has doubled in the
past 20 years and it is forecast to double again by the year 2010.
Per capita consumption of paper & paper board in India at 5 Kg is very low compared to
other developing countries like China (17.2 Kg), Brazil (28 Kg) for the year 2000.
Therefore, despite the threat of paperless transaction, scope for paper demand appears
to be bright. In developed nations it is as high as 152 Kgs per annum.
The challenge for the Indian paper industry to meet the ever-increasing demand of
paper, board and newsprint is getting crippled due to shortage of fibers in the country.
The future demand of paper is expected to grow from 5.6 MT at present TO 9.5 MT in
2010 and 13 MT in 2015. Demand for cream wove paper and Map litho paper is
expected to increase by 7-8%. Demand for different kinds of coated paper has
increased by 8% in 2002, duplex board has recorded increase by 6.5%, Kraft paper has
registered a 6% rise in demand and newsprint an impressive 10%. Current world
production of paper is of the order of 283 million tones.
The per capita consumption of paper is 45 kg. Developing countries average at 12 kg
per annum and developed countries at 152 kg per annum.
Paper is an eco-friendly product. It is made from natural raw materials and as an end
product, paper is bio-degradable. Paper has no real competing product. Plastic which
was rated as a substitute for paper has lost the race, being non bio-degradable.
Electronic media, which was considered a threat to the growth of the print media, has
not dampened the growth of paper usage by the print media. Thus there seems to be
no barrier for growth of the paper industry. Among the regions, Asia is expected to
record the highest rate of growth.
There are certain products for which market demand is always accelerated. Paper bag
is also one of such products. In view of Governments proposal for banning plastic bags
and pouches, the demand for paper bags and pouches is bound to increase manifold.
There is export potential for export of paper bags & pouches. The consumption of
paper boards used in packaging industry has been increasing.
Paper carry bags are used in all types of trade. Some of them are the following.
- Textile Shops
- Bakeries
- Shoe / Chapel Shops
- Grocery Shops
- Fancy Shops
- Book Shops
- Sweet Shops
- Meat / Fish Shops
- Vegetable Shops
- Stationery Shops
- Hardware Shops
- All departmental shops & consumer shops
The Bureau of Indian Standards has not prescribed any standards for paper carry bags.
IS: 1060-1996 parts 1 to 3 deal with methods of sampling and testing and allied
products for various tests, such as bursting strength, tensile strength etc.
A. TECHNICAL ASPECTS
PRESENT PROJECT
The project proposed is to manufacture paper carry bags. With the machineries
Proposed from indigenous sources about 10,000 bags of different sizes can be
Manufactured per hour.
For this proposed project calculation, on a conservative basis 5000 bags per hour is
Taken as capacity. The total capacity providing on single shift basis is assumed at
40000 bags. The capacity per annum is 120, 00,000 bags.
SIZES OF BAGS
The maximum size bags, which can be manufactured by the machine, are the following:
Paper bags :
(Flat Type)
Paper bags :
(Sachet type)
Qty.
MT
Rate
Value
Rs. Lakhs
gms.
53
Add : Wastage 5%
gms.
Gms
56
672
33000
221.76
Glue
Re.
0.03
Per Bag
3.60
Printing Ink
Re.
0.20
Per Bag
24.00
Eyelets
Re.
0.03
Per Bag
3.60
Cotton Tag
Re.
0.07
Per Bag
8.40
261.36
Rs. 2.18
UTILITIES
Electricity: Power requirement is 6 HP connected load.
Rs./Month
Total
1. Operators 1
4000
4000
2. Helpers 2
3000
6000
3. Packing-unskilled 2
3000
6000
4. Supervisor 1
5000
5000
5. Office Assistant 1
4000
4000
6. Sales Rep. 2
4000
8000
33000
6600
Total 39600
Annually Rs. 4.75 lakhs
IMPLEMENTATION SCHEDULE
The machines are available from supplier within one months period. The project
can be implemented within one month period.
1. The unit would work for 300 days on single shift basis. The installed capacity is 120
Lakhs paper bags p.a.
2. The selling price is assumed at
3. Raw Materials cost is assumed at Rs. 2.18 per bag as per calculations furnished.
4. Power charges works out to Rs. 2500 per month.
5. Wages & Salaries works out to Rs.4.75 lakhs per annum.
6. Repairs & Maintenance is assumed at Rs. 3000 p.m
7. Depreciation calculated @ 15% on Plant & Machinery on WDV method.
8. Admn. Expenses is assumed at Rs. 20000 p.m.
9. Selling expenses are assumed at Rs1.08 lakhs during first year.
10. Interest on TL is provided at 12% p.a. on reducing balance.
11. Interest on WC is provided at 12% p.a.
12. Income tax is provided at 33.99% on profit.
MACHINERY SUPPLIERS
1. M/s. Yenyeskey Machine Tools, SF No. 362, Thadagam Road (Next to JM Hospital),
Coimbatore-641025. Phone: (0422) 402228 / 434288.
2. M/s. Jandu Engineering Works (Regd.), R-31, Vikas Marg, Shakarpur, Delhi110092. Phone: (011) 2247671.
COST OF PROJECT
Rs. lakhs
0.56
7.00
0.50
Pre-op. expenses
0.35
4.48
Total
12.89
MEANS OF FINANCE
Capital
7.64
Term Loan
5.25
Total
12.89
120.00
120.00
120.00
Utilization (%)
60%
70%
80%
Production/Sales-lakh bags.
72.00
84.00
96.00
Selling Rate
172.80
201.60
230.40
Raw Materials
156.82
182.95
209.09
Power
0.30
0.35
0.40
4.75
4.99
5.24
0.36
0.38
0.40
Depreciation
1.18
0.89
0.66
Cost of Production
163.41
189.55
215.78
2.40
2.52
2.65
Selling Exp.
1.08
1.26
1.44
0.48
0.36
0.27
0.93
0.93
0.93
168.30
194.62
221.07
4.50
6.98
9.33
1.53
2.37
3.17
2.97
4.61
6.16
Total
Margin
Bank
Amount
Finance
6.53
25%
1.63
4.90
3.40
25%
0.85
2.55
7.20
25%
1.80
5.40
Expenses 1 month
0.20
100%
0.20
0.00
4.48
12.85
17.34
230.40
209.09
Power
0.40
Selling Exp.
1.44
1.54
212.47
CONTRIBUTION
17.93
FIXED EXPENSES
Wages & Salaries
5.24
0.40
Depreciation
0.66
2.65
0.27
9.21
PROFIT
8.72
BREAK-EVEN LEVEL
41%
38%
8.72
Sales
4%
230.40
10.53
Total Investment
25.70
5.76
41%
75%
Promoters Capital
7.64
Paper manufacture
Industries in the Paper Manufacturing subsector make pulp, paper, or
converted paper products. The manufacturing of these products is
grouped together because they constitute a series of vertically
connected processes. More than one is often carried out in a single
establishment. There are essentially three activities. The manufacturing
of pulp involves separating the cellulose fibers from other impurities in
wood or used paper. The manufacturing of paper involves matting
these fibers into a sheet. A converted paper product is made from
paper and other materials by various cutting and shaping techniques
and includes coating and laminating activities.
The Paper Manufacturing subsector is subdivided into two industry
groups, the first for the manufacturing of pulp and paper and the
second for the manufacturing of converted paper products. Paper
making is treated as the core activity of the subsector. Therefore, any
establishment that makes paper (including paperboard), either alone or
in combination with pulp manufacturing or paper converting, is
classified as a paper or paperboard mill. Establishments that make pulp
without making paper are classified as pulp mills. Pulp mills, paper mills
and paperboard mills comprise the first industry group.
Establishments that make products from purchased paper and other
materials make up the second industry group, Converted Paper Product
Manufacturing. This general activity is then subdivided based, for the
machinery
We have acquired latest machinery that is Semi- Automatic, senior
model having the capacity of processing of 6000 bags per Hour with
center pasting. The machinery is capable of supporting 4 color printing .
As part of our motto we use only water colors for the printing of
customers logs, messages and any other printing requirements .
2. Gifts bags:
Comes in with various colors and designs to gift pack and extremely
useful and stylish to use of return gifting.
3. Customized Bags:
A combination of 40 different shades, using mechanized production
resulting in 5280 variables apart from customized solutions. The
potential to bring out any size variable with manual Production is
immense and the option of printing your Corporate logos/messages.
RENEWABLE
RECYCLABLE
The recovery rate for paper bags is four times greater than plastics.
Paper bags and sacks' recovery rate is 37.6 percent, which
helps keep them out of landfills and extends the fiber supply
according to the EPA.
Plastic bags recovery rate is nearly 10 percent. Plastic bags
are the leading cause of ocean litter and are a major threat to
marine animals.
Every ton of paper that is recovered for recycling saves 3.3
cubic yards of landfill space.
More than 58 percent of the U.S. population has access to
recycling Kraft paper bags. In 2008, 87 percent of the U.S.
population had access to paper and paperboard community
recycling programs.
In 2009, 63.4 percent of the paper used in the U.S. was
recovered for recycling.
COMPOSTABLE
ENERGY EFFICIENT
Objectives
SOCIAL RESPONSIBILITY
We aim to plant equal number of trees that had been cut for making paper
Though we are in the business of making eco-friendly bags, we carry a huge social
responsibility. Our primary agenda is to stop customers from using plastic bags
rather than making them buys our own paper bags (if they carry their own
shopping bags we are the happiest). We are planning a large scale plantation of
bamboo trees so that our environment is saved and also the number of trees that
had been cut for paper bag making is equalized by planting new ones.
How much paper bag manufacture beneficial for paper Bag Company?
T o k n o w d e ma n d o f p a p e r b a g mo s t l y i n u r b a n a r e a .
How manufacturing of paper bag is very profitable for business.
To find how the services provided by paper Bag Company are better and
cheaper to their competitors.
Paper bags are fast replacing the ubiquitous plastic bags. Though paper
bags are cheap and very convenient to use, they are a grave threat to the
environment for this reason government of India and several other
countries are imposing a strict ban on the use of plastic bags. In such a
scenario, there is an increased demand for eco-friendly paper bags.
to make attractive paper bags which are convenient to use and also help
users make a definite style statement. Some handmade paper bags are so
attractive that people buy them to carry gifts and sometime even present
the bag as a gift. Today, handmade paper bags come with sturdy cords
so that they can easily be used to carry even heavier stuff. In addition,
craftsmen are making use of various types of color papers such as floral
paper, leather paper, silk paper and mottled paper to make these look
extremely stylish. Handmade paper bags come in various shapes and
sizes so you can always buy one that suits you or you can choose to keep
a collection for various needs.
VISION GOAL
End the use of wood fiber that threatens endangered forests and other
High conservation value ecosystems.
End the clearing of natural ecosystems and their conversion into
plantations for paper fiber.
Source any remaining virgin wood fibers for paper from independent,
Third-party certified forestry operations that employ the most
environmentally and socially responsible forest management and
restoration practices.
Forest Stewardship Council (FSC) is currently the only international
certification program that comes close to meeting this goal.
Eliminate widespread use of pesticides, herbicides and fertilizers in
plantations and fiber production.
Stop the introduction of paper fiber from genetically modified
organisms, particularly transgenic trees and plants with genes inserted
from other species of animals and plants.
Use alternative crops for paper if comprehensive and credible analysis
indicates that they are environmentally and socially preferable to other
virgin fiber sources.
MISSION
Ensure higher profitability than industry average year on year
for continuous growth.
Create working environment for freedom of thought and
innovation.
Hire and cultivate the best people and provide work condition
that energise.
Find solution for customer and add value to their process,
Create a dedicated customer base.
Work as partners with vendors. Ensure integrity and processes
provide them with ease in dealing with us.
Provide optimum ROI to our stakeholder and ensure continos
support.
Invest time, effort and resources to improve the environment
continuously ensure clean and green surrounding for the future
generations.
Develop the community around us by encouraging
entrepreneurship.
Spread the goodwill of our nation around the world.
Research methodology
The Plastic Bag VS Paper Bag Facts
Use-Less-Stuff(ULS) has issued a report comparing plastic and paper
grocery bags. ULS made the following
Steps:
1. Plastic bags generate 39% less greenhouse gas emissions than
uncomposted paper bags, and 68% less greenhouse gas emissions
than composted paper bags. The plastic bags generate 4,645 tons of
CO2 equivalents per 150 million bags; while uncomposted paper
bags generate 7,621 tons, and composted paper bags generate
14,558 tons, per 100 million bags produced.
2. Plastic bags consume less than 6% of the water needed to make
paper bags. It takes 1004 gallons of water to produce 1000 paper
bags and 58 gallons of water to produce 1500 plastic bags.
3. Plastic grocery bags consume 71% less energy during production
than paper bags. Significantly, even though traditional disposable
plastic bags are produced from fossil fuels, the total non-renewable
energy consumed during their lifecycle is up to 36% less than the
non-renewable energy consumed during the lifecycle of paper bags
and up to 64% less than that consumed by biodegradable plastic
bags.
4. Using paper sacks generates almost five times more solid waste than
using plastic bags.
5. After four or more uses, reusable plastic bags are superior to all types
of disposable bags -- paper, polyethylene and compostable plastic -across all significant environmental indicators.
Recyclability
This refers to the conversion of discarded ones after use into new
products. This process involves breaking down the old items and
A landfill site is the final destination of all products once they can
no longer be used. It is a place for the disposal of waste/garbage by
interment. This is the origination of many problems pertaining to
ecological problems like pollution of water and air, etc. A major
proportion of aspiration of eco- friendliness lies in the prevention of
early entry of any product into landfill till it becomes completely
useless..
findings
The shift from one single use bag to another single use
bag may improve one environmental outcome, but be offset by
another environmental impact. As a result, no single use bag
produced an overall environmental benefit.
Recommendation
A more specific marketing strategy of services needs to be developed and followed
up on a continuous basis. This will enable the Centre to provide relevant
information to manufacturers and exporters on market trends.
The research and development should continue with special emphasis on
alternative raw materials and acid free papers. Attention should be given to fibre
preparation with respect to ecology.
The equipment purchases of knotter, vibrating screen (Johnson type), computer
with internet access, pump, drier and photocopier as requested in the workplan is
recommended to complete and enhance laboratory information work.
The Centre should offer certification service for handmade papers to assure
customers and manufacturers of quality. This is of particular importance for acidfree and conservation papers. In this connection, the Centre should consult the
Indian Bureau of Standards.
Conclusions
The result of the present study indicated that most of the
Respondents, regardless of their demographic
Background, are (1) in favor of banning of production,
Distribution and use of these plastic products, and (2)
Aware of the adverse effects of plastic bag wastes on
Environment, animal and human health. However, plastic
Bags are still widely used by the community more than
any other plastic products mainly due to their cheapness.
The survey results and field observations indicated that
the city was seriously polluted by plastic wastes
particularly plastic bags wastes. By and large, it can be
Recommended that various campaigns need to be
organized in order to mobilize the public and other
stakeholders (Government agencies, business
associations,
retailers,
research
institutions,
nongovernmental
organizations
(NGOs),
youth
associations, women associations, religious institutions,
donors
Swot analysis
Strengths
Opportunities
Weaknesses
Inconsistent quality
Inadequate market study and marketing strategy
Lack of adequate infrastructure and communication facilities
Capacity to handle limited orders
Untimely delivery schedule
Unawareness of international standards by many players in the
market
Threats
Decline in Indias share due to:
Better packaging
Bibliography
Google.com
Yahoo.com
Library base.
Business books