shaving cream

Product: SHAVING CREAM

Product Code: (Based on NIC -2004): 24246

Product Code: (Based on ASICC -2000) :36325

Production Capacity:

300,000 Pcks @ 21/- 63,00,000

Month & Year of Preparation : April 2010

Prepared by:

Chemical Division

Branch MSME Development Institute

New Colony, RAAGADA-765001 (Odisha)

Phone/Fax: 06856-222268

Email: [email protected]

PROJECT PROFILE ON

SHAVING CREAM

INTRODUCTION

This project profile envisages the production of Shaving Cream in a

small scale sector with a Production capacity of 1000 tubes containing 100

gms each. Shaving is an essential activity by the gents to maintain clean

face by removing beards regularly using razor. The skin needs to be soaked

well, softened for smooth shaving for which shaving cream is used. Shaving

cream should have the properties of soaking, Lather forming, Preservation

with a pleasant fragrance.

MARKET POTENTIAL

Complete Shaving or Beard shaving is treated as an indication of the

developed civilization. The demand of shave cream is seen everywhere in

the market very cheap to high cost products. Various branded products are

available in the market. The quantity, quality and price are major concerns

for the customers choice. Besides the individual customers, the saloons n

different locations use a huge amount of shaving reams. This product being

an essential commodity is having enormous demand in the country as well

as abroad. Thus it is felt that a unit manufacturing shaving cream will be

having an excellent potentiality.

BASIS AND PRESUMPTION

1. Working hours : Single shift of 8 hours, for 300 working days in a

year. The clicking machines and the injection moulding

plant will work for two shifts.

2. Capacity utilization: 60% during 1st year

75% in 2nd

year

90% in 3rd

year and onwards.

3. Salary and wages : Monthly basis

4. Margin money : 35% of total capital investment

5. Interest Charges : 14% has been calculated on total capital investment

considering the opportunity cost of margin money.

6. Power tarrif : Rs. 4.50 per unit. Its variety features i.e. lather in

shaving is necessary for maintaining the personality which is being

observed from very ancient days. Early days soap was used

to soak and soften the skin for smooth shaving now.

Nowadays shaving has been more popular due to formation

and retaining throughout the shaving besides and softening.

IMPLEMRENAION SCHEDULE

1. Site selection, Registration, Market Survey,

Preparation of Business plan seeking Bank Finance. 2 months

2. Purchase of machine, installation and trial production 1 month

3. Working capital arrangement, market tie up 1 month

Trial Period required for commencing commercial

Production 4 months.

TECHNICAL ASPECT

Manufacturing process:

Formulation:

Stearic Acid 15%

Wax 0.4%

Coconut Fatty Acid 10%

Glycerin 5%

Caustic soda 0.5%

Sorbit Oil 10%

Emulsifying Agent 0.1%

Caustic Potash 0.5%

Sodium Silicate 0.3%

Lathering Agent (AOS)1%

Borax 0.5%

Water to make 100%

Phase 1: First of all the wax is melted at 70 0

C and all oil based chemicals

are added together and mixed well for one hour at the same temperature.

Phase 2: Glycerine, Sorbita oil and water at 700 C are mixed for an hour.

Phase 3: The Emulsifier group such as Caustic Potash, Caustic Soda,

Borax, Sodium Silicate are added together and mixed at 750.

Phase 4: Add all those 3 mixtures together alongwith water and heat at 550

with continuous stirring for one hour. Then cool the stock at 400 and stir for

one hour. Add perfume and keep the stock overnight. Sometimes it is kept

upto 3 days. The tubes are filled, sealed and packed suitably.

QUALITY CONTROL AND STANDARDS

The quality of these products are maintined ask per the buyers’

specification. Important quality controlling parameters are lather forming,

soaking effect and shelf life. The IS specification for shaving cream is IS:

PRODUCT CAPACITY : 3,00,000 tubes of 100 gm pack

Rs.60,00,000

MOTIVE POWER REQUIREMENT: About 10.00 hp

POLLUTION CONTROL: The shaving cream manufacturing unit does

not produce any toxic pollution. However it is recommended to the aprons

and gloves when handling the chemicals.

ENERGY CONSERVATION: The machineries suggested in this project

are advanced and highly captive ones and consumes minimum electricity.

However, regular preventive maintenance can help in minimum

consumption.

FINANCIAL ASPECT

I) LAND AND BUILDING: Built up floor area of 500 sq.ft. for Rs.5,000

on rent.

II) MACHINERY AND EQUIPMENTS

Sl.

No.

Name of the machinery Ind/

Imp.

Qnty. Price

(Rs.)

Amount

(Rs.)

01. S.S. Kattle 50 Kg. Cap. 3 20,000 60,000

02. S. S. Mfg. Tank with jacket 1 1,50,000 1,50,000

03. Tube filling machine hand

operated

1 30,000 30,000

04. Storage Tank 2 30,000 60,000

05. Tube Sealing Machine 1 25,000 25,000

Electrification and errection 20,000

TOTAL 3,40,000

III) OTHER FIXED ASSETS:

1. Tools and equipment 40,000

2. Working Table, Furniture and fixtures 20,000

3. Testing Equipments 20,000

4. Office Equipments 50,000

5. Stand by D.G. Set 50 KVA ______

1,30,000

________

IV) TOTAL PLANT & MACHINERY

AND OTHER FIXED ASSETS (II + III) 4,70,000

V) PRELIMINARY EXPENSES: 30,000

VI) TOTAL FIXED CAPITAL REQUIREMENT 5,00,000

WORKING CAPITAL REQUIREMENT

I. PERSONNEL

TECHNICAL

Sl.

No.

Title of the post No(s.) Salary/wage

Per month

(Rs.)

Pay Bill

1. Manager 1 10000 10000

2. Production supervisor cum

chemist

1 6000 6000

3. Skilled worker 2 3000 6000

4. Semi-Skilled worker 2 2500 5000

5. Un-Skilled worker 1 2000 2000

6. Accountant cum cashier 1 3000 3000

7. Store keeper 1 3000 3000

8. Watchman 1 2000 2000

TOTAL 37,000

Expected pay bill per month 37,000

Add 20% perquisites 7,000

44,000

II.RAW MATERIAL REQUIREMENT (including packing materials)

Sl.

No.

Particulars Ind/

Imp

Unit Qty. Price

(Rs.)

Amount

(Rs.)

1. Stearic Acid Ind. Kg. 375 Kg 50 18,750

2. Coconut Fatty Acid 250 Kg 90 22,500

3. Glycerin 125 KG 100 37,500

4. Methyl Paraben 12.5 Kg 400 125

5. Caustic Soda 12.5 Kg 20 250

6. Sodium Silicate 7.5 Kg 50 375

7. Bees Wax 10 Kg 150 1000

8. AOS 25 Kg 150 3,750

9. Packing Tube ( Non

collapsible print & tube

with lead)

25000

Kg

10 2,50,000

10. Cover Pack 25000

pcs

1 25,000

TOTAL 3,60,375

III. UTILITIES

1. Electricity – 2000 units @ Rs.4.50 9,000

IV. OTHER EXPENSES

1. Rent … 5,000

2. Repair & Maintenance … 2,0003.

Other consumables … 2,000

4. Insurance … 1,000

5. Travelling expenses … 3,000

6. Telephone, Fax & Postal Exp. … 3,000

7. Printing & Stationery … 1,000

8. Advertisement and Publicity … 5,000

9. Other expenses … 2,000

Total 24,000

V. TOTAL RECURRING EXPENSES PER MONTH 4,37,000

VI. WORKING CAPITAL REQUIREMENT :

3 Months recurring expenses 13,11,000

VII. TOTAL CAPITAL INVESTMENT:

Fixed capital … 4,00,000

Working capital … 13,11,000

TOTAL 17,11,000

PROFITABILITY

I. COST OF PRODUCTION:

1. Recurring expenditure … 52,44,000

2. Depreciation:

- Machinery @ 10% 34,000 )

- Tools & equip. @ 25% 10,000 ) 62,000

- Furniture and fix. @ 20% 18,000 )

3. Interest on total capital Investment @ 14% 2,54,000

Total 55,60,000

II. EXPECTED SALES PER ANNUM:

300,000 Pcks @ 21/- 63,00,000

III. PROFIT: Net sales – Cost of production = 7,40,000

IV. PERCENTAGE OFK PROFIT: (on net sales)= 11.75%

V. RATE OF RETURN: = 41%

VI. BREAK EVEN POINT:

Total fixed cost per annum:

1. Rent … 60,000

2. Insurance … 12,000

3. Depreciation … 62,000

4. Interest … 2,54,000

5. 40% of salary and wages … 2,11,000

6. 40% of utility and other expenses

(excluding insurance) … 1,20,000

7,29,000

Break Even Point(%) = Fixed Cost

--------------------- X 100 = 49.63%

Fixed Cost + Profit

LIST OF MACHINERY SUPPLIERS

BALL MILLS

1. HSP Engineering Company, C-179/1, Bulandshahar Road, Site No.1.

Ghaziabad (UP).

2. New Lahore Welding & Engineering Works, B 75, Mayapuri

Industrial Area, Phase-1, New Delhi – 110 064.

3. Mechamico Manufacturing Engineers, 15,Okhla Industrial Estate,

Phase III, New Delhi – 110 020.

BOTTLE FILLING, SEALING AND WASHING MACHINE

1. Amar Mechanical Engineers, 6, Industrial Area, N 17, Faridabad – 1.

2. Amar Enterprisers (India), F11, DSIDC Industrial Complex, Rohtak

Road, Nanglol, Delhi – 110 041.

3. Bottling Machinery Company of India, B-280, Okhla Industrial Area,

Phase-1, New Delhi – 110 020.

BOTTLE WASHING AND DRYING MACHINES

1. Amstrong Smith Limited, 106, Armenian Street, Madras -1.

2. Kiv Group Industries, Sunmill Compound, Lower Parel, Mumbai –

400 013.

3. Kripson and Company (I), Ranade Road, Mumbai – 400 028.

4. Larson and Toubro Limited, L & T House, N. Morarji Marg, Balladr

Estate, Mumbai – 400 001.

CAP SCREWING MACHINES

1. Amstrong Smith Limited, 106, Armenian Street, Madras – 1.


400 013.

3. Rank and Company, A-95/2A, Wazirpur Industrial Estate, Delhi – 110

052.

BOTTLE FILLING MACHINES

1. J.T. Jagtiani, Ntional House, 6-Tulloch Road, Apollo Bunder,

Mumbai – 400 039.


400 013.

3. Kripson and Company (I), Ranade Road, Mumbai – 400 028.


052.

COLLAPSIBLE TUBE FILLING MACHINES

1. Larson and Toubro Limited, L & T House, N. Morarji Marg, Balladr



052.

EMULSIFIERS AND STIRRERS


Mumbai – 400 039.

2. Chemida (India), Maganlal Nagar, 347, Grant Road, Mumbai – 400

007.

3. Frederick Herbert, No. 10, 2nd

Pasta Lane, Colaba, Mumbai – 400

005.

4. Gladwyn & Co., 251, Naoroji Road, Fort, Mumbai – 400 001.

FILTER PRESSES

1. Basp Industries, G.P. Industrial Area Complex, Thane.

2. Dashmesh Industries (India), WZ-470, M.S. Block, Hari Nagar,

New Delhi 110 064.

3. H.S. Engineering Works, 16/17, Singh Sabha, Guruduara, New Delhi

– 110 015.

4. R.P. Engineering Company, 7/8, Gali No.7, Anand Parbat, New Delhi

110 005.

GLASS BOTTLES CONTAINERS

1. Sun India Printing,B-193, Okhla Industrial Area, Phase-1, New Delhi-

110 020.

2. Universal Glasses, Plot No.17, Site No.IV, Industrial Area,

Sahibabad, Ghaziabad.

GRINDING MACHINES

1. Hindustan Metal Works, 17-B, Bhayandar Udyog Nagar, 9-Goddeo

Road, Bhayandar, Thane.

2. Yesco (India) Engineering Co., 21-A, Naraina Indl. Area, Phase-II,

New Delhi – 110 028.

3. Water Well Engineers, 20/76, S. Bhagatsingh Road, Mumbai.

4. Tirupati Industries, 8, Nand Deep Indl. Estate, Kondivitta Road,

Mumbai

– 400 059.

LABEL GUMMING AND APPLYING MACHINES


Mumbai – 400 039.

MARKING AND PRINTING MACHINES

1. Modern Industries, Factory Plot No.98, Sector No.24, Faridabad – 5.

MIXERS (PLANETARY MIXER) AND OTHER CHEMICAL

MACHINERY


007.

2. Process Machinery and Equipments, 144, Ashutosh Mukerjee Road,

Flat No.7, Kolkata – 25.

3. Frederick Herbert, No.10, 2nd

Pasta Lane, Colaba, Mumbai – 400 005.

PASTE FILLING AND CRUMPING MACHINES

1. Mather and Platt Limited, Hamilton House, 8, Graham Road, Ballard


POWER FILLING MACHINES


007.

2. Macneill and Barry Limited, 2, Fairlie Place, Kolkat – 1.

3. Gladwyn & Company, 251, Naoroji Road, Fort, Mumbai – 400 001.

4. Frederick Herbert, No.10, 2nd

Pasta Lane, Colaba, Mumbai – 400 005.

PULVERISING MACHINES

1. Batliboi Private Limited, Silver Jubilee Park Road, Bangalore – 2.


007.

3. Mechanico, 15, Okhla Industrial Estate, New Delhi – 110 020.

RIBBON BLENDERS


007.

2. Macneill and Barry Limited, 2, Fairlie Place, Kolkat – 1.

3. Crush Machinery Manufacturers, 3rd

Floor, 361, Dr. D.N. Road, Fort,

Mumbai – 400 001.

SCIENTIFIC APPARATUS AND LAB EQUIPMENT


Mumbai – 400 039.

2. Toshniwal Brothers Private Limited, 198, Jamshedji Tata Road,

Mumbai – 400 001.

3. Valcun-Lavel Limited, Mustafa Building, 7-A, Sir P.M. Road,

Mumbai – 400 001.

LIST OF MACHINERY SUPPLIERS AND PRODUCTION OF

COSMETIC PRODUCTS

1. Mamko Machine Fabricators Pvt. Ltd., 105, Heera Panna Indl. Estate,

Goregaon (E), Mumbai – 400 063.

2. Square Pharma Machineries, Unit No.33, Arihant Indl. Estate,Behind

Ansa Estate, Off. Saki Vihar Road, Mumbai – 400 072.

LIST OF RAW MATERIAL SUPPLIERS AND PRODUCTION OF

COSMETIC PRODUCTS

1. Galaxy surfactants Limited, C-49/2, TTC Indl. Area, Pawane, Navi

Mumbai – 400 703.

2. Chemhouse Marketing, 42, 1st Floor, Asiatic Commercial Arcade,

Vartak Nagar, Pokhran Road, Thane (W) – 400 606.

3. International Flavours and Fragrances (I) Ltd., Delphi 501-503, C

Wing, Hiranandani Business Park, Powal, Mumbai – 400 076.

4. Yasham Bio-Science, 3B Nityanand Sadan, Bharadawadi, Andheri

(W), Mumbai – 400 058.

5. WF Limited, 109 Sion (East), Mumbai – 400 022.

6. Stan-Pack Industries, B/5, Mahalaxmi Industrial, Navghar, Vasai

Road (E), 401210, Dist. Thane.

7. Arofine Chemical Industries, 2/11, Arondekar Bhavan, 14 HF Society

Road, Jogeshwari (E), Mumbai – 400 076.

8. Yasham Bioscience, 3/8, Nityanand Sadn, Bhardawadi JP Road,

Andheri (W), Mumbai – 400 058.

9. Alpha Plastic Industries, Gala No.1, Navnandan Indl. Estate, Opp

P&T Colony, Mulund (W), Mumbai – 400 080.

10. Koel Colours Pvt. Ltd., F-11, Nand-Jyot Ind. Premises, Andheri-Kurla

Road, Safed Pool, Sakinaka, Andheri (E), Mumbai – 400 072.

11. Ultra International Limited, 304, AVG Bhawan, M-3, Connaught

Circus, New Delhi – 110 001.

12. Lucid Colloids Limited, 401A, Navbharat Estates, Zakaria Bunder

Road, Sewri West, Mumbai – 400 015.

13. Vivimed Labs Limited, 2nd

Floor, Veerang Towers,Habsiguda,

Hyderabad – 500 006.

14. RYM Expoorts, 23, Anuradha Society, Old Nagardas Road, Andheri

(E), Mumbai – 400 069.

15. Sankhubaba International, 425 Milan Industrial Estate, Opp. T.J Road,

Cotton Green (West), Mumbai – 400 033.

16. Gujarat Heavy Chemicals, 20 Community Centre, New Friends

Colony, New Delhi – 110 065.

17. Evancil Cosmetics, 6/9, Kirthi Nagar, Ind. Area,New Delhi – 110 005.

18. JBT Perfumes (P) Ltd., 9/405 Laxmi Plaza, Link Road, Andheri (W),

Mumbai – 400 053.

19. Anglo American Colour and Chemical Industries, A-40, Gali No.6,

Anand Parbat Indl. Area, New Delhi – 110 005.

20. Oriental Carbon and Chemicals Limited, 5th

Floor, 506, Dahyog

Building, 58, Nehru Place, New Delhi – 110 001.

21. Wesix Chemicals, Marshal Building, 3rd

Floor, 20, Ballard Road,

Mumbai – 400 038.

shaving cream

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