Project Feasibility Report - STRANDED STEEL WIRE ROPE

I.                    PRODUCT & USES

Stranded wire rope is manufactured by twisting or stranding together number of wire strands depending upon the stay wire requirements.  These wire ropes are prepared using either steel wire strands or galvanised steel strands suitable for the usage.  These are mainly used for Electricity poles, Telephone poles, Railway signalling purpose, stay wires for hoardings, cranes hoisting arrangements, rigging ropes, load slings, industrial hoisting equipment, etc.

II.                  MARKET POTENTIAL

Main users are Govt. depts. Like Electricity, Railways, Telephones & industrial establishments.  Due to the Smart city concept, lots of publicity hoardings are coming up in cities which also require lots of wire ropes.  With the infrastructure sector development in India, there is tremendous potential for this product.

III.                PRODUCTION

96 tons per anum.

IV.                PROCESS DETAILS

It is proposed to manufacture 7 strands wire rope of 7.77mm dia.  2.59mm wire rope is used readily available in coils from the supplier.  The thin wire is wound on the metal bobbin machine.  The bobbins are then mounted on the stranding machine and the wire rope is produced.  This is continuously wound on to wooden drum to the required length and then packed for dispatching.

V.                  QUALITY STANDARDS

The main requirement is tensile strength of the product.  Suitable and tested material needs to be used as raw strand material in producing wire rope.  Stands meeting ISI requirements to be used, and certified ropes to be supplied if the client requires so.

VI.                LAND & BUILDING

VI	COVERED  300sq.m Shed Rent		30,000.00 ₹
VII	MACHINERY & EQUIPMENT
	Bobbin winding M/C with elec
	Wire Stranding M/C
	Weighing M/C- 2ton
	Handtools
	Office furniture
	Electrification at10%
	SUB TOTAL		5,25,000.00 ₹
VIII	RAW MATERIALS(PER MONTH)
	G.I.wire 2.59mm	5,28,000.00 ₹
	SUB TOTAL		5,28,000.00 ₹
IX	STAFF & LABOUR(PER MONTH)
	MANAGER
	SUP
	FOREMAN
	SKILLED-2
	SEMI SKILLED -2
	HELPERS-8
	CLERK
	MESSENGER
	SUB TOTAL
			86,250.00 ₹
X	MISCELLANEOUS(PER MONTH)
	ELECTRICITY
	CONSUMABLES
	LUBRICANTS
	TRANSPORT
	PACKING
	RENT(VI)
			70,000.00 ₹
XI	WORKING  CAPITAL (PER MONTH)
	VIII	5,28,000.00 ₹
	IX	86,250.00 ₹
	X	70,000.00 ₹
			6,84,250.00 ₹
XII	TOTAL CAPITAL INVESTMENT
	VII	5,25,000.00 ₹
	XI QUARTERLY	20,52,750.00 ₹
			25,77,750.00 ₹
XIII	COST OF PRODUCTION (annual)
	RECURRING EXP.	82,11,000.00 ₹
	INTEREST ON CAPITAL	3,86,662.50 ₹
	DEPRICIATION	52,500.00 ₹
			86,50,162.50 ₹
XIV	SALES (PER ANUM)
	PROD1-PERTON55Kx190	1,04,50,000.00 ₹
			1,04,50,000.00 ₹
XV	PROFIT CAL
	PROFIT PER ANUM		17,99,837.50 ₹
	PERCENT OF SALES	17.22%
	ROI	69.82%
XVI	BEP ANALYSIS
	ANNUAL FC
	RENT(VI)	14,400.00 ₹
	INT	3,86,662.50 ₹
	DEP	52,500.00 ₹
	SALARIES	4,31,250.00 ₹
	MISCELLAENIOUS	3,50,000.00 ₹
			12,34,812.50 ₹
	B.E.P	40.69%

Cost analysis was based on the prices available at the time of feasibility report preparation which may be different from present prices.   This report made public to help the budding entrepreneurs to understand the project basics.  For more latest details you may contact lotuslinks