Profile No.
: 61 NIC Code: 22033
UTENSILES WASHING POWDER
1. INTRODUCTION:
Utensils washing powder is used to clean utensils. Previously ash and clay was used for the
same purpose but for cleanliness and safety of hands, utensils washing powders growing
demand is justified. Utensils washing powder is used not only in cities but in semi-urban and
rural areas as well. Apart from established names in this field such as of Vim, Odopic etc.
here are popular local brands as well like Saibaba, Sunny, Shivshakti etc.
Cleaning Powder is used for cleaning utensils, floors, toilets etc. The demand of cleaning
powder is hospitals, canteens, hotels etc. In addition to domestic consumptions. Raw
Materials: Calcite Powder. Soda Ash, Acid Slurry, Sodium Met silicate, Trisodium phosphate,
packing materials.
2. PRODUCT & ITS APPLICATION:
The major types of Utensilcleaning materials available in the markets are as under:
1. Powder – outdated category. The players in this category are Vim, Sabena, Odopic
2. Bar – largest category (60 to 70%). Vim has created the dish-wash bar category in
1993. Till that time urban households used dish-wash powders. The bar offered many
advantages to the home maker over the powder which was messy and uneconomical.
Since then Vim Bar ruled the dish-wash market. The other brands present in this
category are Nirma Clean Dish Wash, Nirma Bartan Bar, Odopic, Exo, Private Labels
(Spencer’s Dish Wash Bar etc)
3. Liquid (Dish Wash Concentrate) – evolving category, with Pril being the leader. Other
players are Vim, Godrej Dish Wash, Godrej Glossy, Teepol, Private Labels (Spencer’s
etc), some imported brands Good Maid, etc.
4. Dish Washing Paste (packed in a cup) – Axion and some imported brands like Budget
(from the portfolio of Good Maid corp. SDN. BHD, Malaysia)
3. DESIRED QUALIFICATIONS FOR PROMOTER:
Graduate in any discipline. Promoter with high skill of marketing and having contacts with
local market is advantage.
4. MARKET POTENTIAL AND MARKETING ISSUES, IF ANY:
The use of utensils washing powder is steadily increasing now-a-days all over the country.
This increase has been necessitated by extensive use of modern and sophisticated
kitchenware like stainless steel utensils, pressure cookers, crockery etc. in many homes in
the country. These costly wares are required to be cleaned hygienically and properly without
any detrimental effect to the wares. The old conventional methods mostly spoil the wares,
which are very costly and difficult to be replaced frequently. The standard of living of the
people is increasing, so the use of costly and modern kitchenware will also invariably
increase. This is not restricted to metropolitan cities but also to other big towns where the
use of costly kitchenware has of late, increased tremendously. The utensils washing powder
has well demand both for household and industrial use.
Market/ Consumer Trends
The trend has shifted from Powder to Bars and now it’s moving to Liquid dish-wash
The emerging category in dish-wash market is the liquid dish-wash. Pril from Henkel
commands this market with a share of 70%. The other players are Vim, Teepol, Godrej
Marketers believe that over a period of time, consumers will shift to Liquid since it offers
more economy and convenience. But there is a problem with this category: Liquid dish-wash
is targeted at urban upper middle class home makers and here the users are home maids
rather than home makers. It will be difficult to teach house maids to use the liquid
efficiently. Henkel has targeted the maids as they are influencer like a mechanic for car
spare parts. Henkel undertook an intensive study, which involved talking to housewives
about their dish-washing patterns and learnt that as products like Pril were expensive, they
were reluctant to give it to maid servants to use and preferred scourers with an abrasive
action. While dish-wash liquids do work efficiently against grease, consumers prefer scourers
with an abrasive action to clean grease. There is high sale of 400gm Vim in first week as
compared to rest of weeks, as the wife has disposable income at the start of the monthly.
Subsequently she may go for 200 or 100 gm as per requirement
Pricing
Bars are typically for Rs. 4 for 100 gm
Liquid Dish Wash for Rs. 45 to 55 for 500ml
Vim powder is for Rs. 25 for 1Kg
5. RAW MATERIAL REQUIREMENTS:
The main raw material and packing materials required are – Dolomite powder : 51,000 Kg.
Acid slurry : 1,560 Kg. Soda ash : 3,000 Kg. Trisodium phosphate(TSP) : 2,400 Kg. Salt :
1,900 Kg. Polythene bags : 144 Kg. Perfume/Aromatic material : Small quantity, HDPE
woven sacks/ cartoons for packing’s.
6. MANUFACTURING PROCESS:
All the rubber chemicals are mixed with rubber (both synthetic and natural) after proper
mastication in a Rubber Mixing Mill. Depending upon the nature of rubber used, it might be
sometimes necessary sometimes to pass steam through the rollers. After the compounding is
over, it is usual practice to extrude the same to form slabs and cut to pieces. After weighing,
they are fed into moulds and cured either with steam or electrical heating in presses, which
may be hand operated, hydraulic, automatic or semi-automatic. In some cases, where
metallic inserts are required (like in oil seals) these inserts are first kept in the mould and
covered with rubber compound of definite weight and cured in presses. It is the usual
practice to use a bonding agent over the metal and the moulds are lubricated either with
soap solution or aerosols or silicon.
7. MANPOWER REQUIREMENT:
The enterprise requires 11 employees as detailed below:
Sr. No. Designation of Salary Per Monthly
Number of employees required
Employees Person Salary ₹
Year-1 Year-2 Year-3 Year-4 Year-5
1 Machine Operators 12,000 12000.00 1 1 1 1 1
2 Helpers 8,000 32000.00 4 4 4 5 5
1 Production supervisor 15,000 15000.00 1 1 1 1 1
2 Accounts/Stores Asst 12,500 12500.00 1 1 1 1 1
3 Office Boy 9,000 9000.00 1 1 1 1 1
Total 80500.00 8 8 8 9 9
8. IMPLEMENTATION SCHEDULE:
The project can be implemented in 4 months’ time as detailed below:
Sr. No. Activity Time Required
(in months)
1 Acquisition of premises 1.00
2 Construction (if applicable) 1.00
3 Procurement & installation of Plant & Machinery 1.00
4 Arrangement of Finance 2.00
5 Recruitment of required manpower 1.00
Total time required (some activities shall run concurrently) 4.00
9. COST OF PROJECT:
The project shall cost ₹ 12.97 lacs as detailed below:
Sr. No. Particulars ₹ in Lacs
1 Land 2.00
2 Building 4.00
3 Plant & Machinery 1.10
4 Furniture, Electrical Installations 0.11
5 Other Assets including Preliminary / Pre-operative expenses 0.13
6 Margin for Working Capital 5.63
Total 12.97
10. MEANS OF FINANCE:
Bank term loans are assumed @ 75 % of fixed assets. The proposed funding pattern
is as under:
Sr. No. Particulars ₹ in Lacs
1 Promoter's contribution 3.24
2 Bank Finance 9.73
Total 12.97
11. WORKING CAPITAL CALCULATION:
The project requires working capital of ₹ 25.50 lacs as detailed below:
Sr. No. Particulars Gross Amt Margin % Margin Amt Bank Finance
1 Inventories 1.88 0.25 0.47 1.41
2 Receivables 1.88 0.25 0.47 1.41
3 Overheads 1.88 100% 1.88 0.00
4 Creditors - 0.00 0.00
Total 5.63 2.81 2.81
12. LIST OF MACHINERY REQUIRED:
A detail of important machinery is given below:Power Requirement: 5 HP
Rate Value
Sr. No. Particulars UOM Qtty
(₹) (₹ in Lacs)
Plant & Machinery /
equipments
a) Main Machinery
i. Horizontal mixer (with motor) NOS. 1 20000 0.20
ii. Socket and chain guard Nos 1 30000 0.30
iii. Sealing machine for jute bags Nos 1 20000 0.20
b) Ancilliary machinery
i. Sealing machine for Polybags Nos 1 25,000 0.25
ii. Weighing balances NOS. 1 15000 0.15
sub-total Plant & Machinery 1.10
Furniture / Electrical
installations
a) Office furniture LS 1 5000 0.05
b) Stores Almirah LS 1 3,000 0.03
c) Computer & Printer L. S. 3000 0.03
sub total 0.11
Other Assets
a) preliminary and preoperative 0.13
sub-total Other Assets 0.13
Total 1.34
13. PROFITABILITY CALCULATIONS:
Plant Capacity: The production basis for a typical tiny unit would be as under: Working
hours/day : 8 (1 shift) Working days in a year : 300 Annual Production capacities : 150 MT
Utensils washing powder. The unit has been assumed to operate at 60%,70%, 80%, 90% and
of its installed capacity in the first, second, third, fourth and fifth year.
Sr. No. Particulars UOM Year-1 Year-2 Year-3 Year-4 Year-5
1 Capacity Utilization % 60% 70% 80% 90% 100%
2 Sales ₹. In Lacs 13.50 15.75 18.00 20.25 22.50
Raw Materials & Other direct
3 ₹. In Lacs 9.43 11.00 12.58 14.15 15.72
inputs
4 Gross Margin ₹. In Lacs 4.07 4.75 5.42 6.10 6.78
5 Overheads except interest ₹. In Lacs 3.70 3.94 4.40 4.54 4.63
6 Interest ₹. In Lacs 0.97 0.97 0.65 0.49 0.39
7 Depreciation ₹. In Lacs 0.77 0.55 0.39 0.28 0.25
8 Net Profit before tax ₹. In Lacs -1.38 -0.71 -0.01 0.80 1.51
14. BREAKEVEN ANALYSIS:
The project shall reach cash break-even at % of projected capacity as detailed below:
Sr. No. Particulars UOM Value
1 Sales at full capacity ₹. In Lacs 22.5
2 Variable costs ₹. In Lacs 15.72
3 Fixed costs incl. interest ₹. In Lacs 5.0190682
4 BEP = FC/(SR-VC) x 100 = % of capacity 74.03%
