MAKING MOSQUITO REPELLENT MATS.
Introduction
The business idea is to set up a plant to make Mosquito repellent Mats. This business idea is premised on production of 1,560 packs per month which translates into 18,720 packs per year. The revenue potential is estimated at US $ 600 per year. The project cost is US $ 83,703 for the first 3 months of operation.
Production Process
The printed filter pad is colored blue and cut into pieces
of designed dimension of mats by power press and soaked in a mixture
of chemicals and perfumes in an automatic impregnation unit. The mats are
vacuum dried and kept in airtight containers during storage. These mats are
packed in plastic sheets by automatic sealing machines in the forms of strips.
Market Analysis
There is a growing market for the Mosquito mats in the country. The mosquito mats may be supplied to Schools, Colleges, barracks, camps, prisons, Hospitals and for home use to fight malaria. Quality Chemicals (U) Ltd is the major investor in this Industry.
Capital Investment Requirements in US$
|
Item |
Unit |
Qty |
Unit Cost |
Total |
|
Tablet Punching Machine |
No. |
1 |
2,500 |
2,500 |
|
Shearing Machine |
No. |
1 |
1,500 |
1,500 |
|
Mechanical Formulation
and |
No. |
1 |
1,500 |
1,500 |
|
Weighing Machine |
No. |
1 |
50 |
50 |
|
Strapping Machine |
No. |
1 |
2,000 |
2,000 |
|
Hand tools |
No. |
5 |
100 |
500 |
|
Stainless Steel funnels |
No. |
2 |
200 |
400 |
|
Total Cost of Machinery |
8,450 |
Production and Operating Costs in US$
Direct Material, Supplies and Costs
|
Cost Item |
Units |
Unit |
Qty/ |
Prod. |
Prod. |
Prod. |
|
Synthetic |
Ltrs |
5.0 |
3 |
15 |
390 |
4,680 |
|
Pepperoni |
Ltrs |
5.0 |
3 |
15 |
390 |
4,680 |
|
Perfumes |
Ltrs |
5.0 |
2 |
10 |
260 |
3,120 |
|
Dyes |
Ltrs |
2.5 |
5 |
13 |
325 |
3,900 |
|
Absorbing |
Bundle |
0.5 |
300 |
150 |
3,900 |
46,800 |
|
Packing |
Bundle |
0.05 |
300 |
15 |
390 |
4,680 |
|
Sub-total |
5,655 |
67,860 |
||||
|
General costs (Overheads) |
||||||
|
Utilities (power) |
75 |
900 |
||||
|
Utilities (water) |
15 |
180 |
||||
|
Salaries |
200 |
2,400 |
||||
|
Rent |
150 |
1,800 |
||||
|
Depreciation (Assets write off) Expenses |
176 |
2,113 |
||||
|
Sub-total |
616 |
7,393 |
||||
|
Total Operating costs |
6,271 |
75,253 |
Production costs assumed 312 days per year with a daily capacity of 300 mats. Depreciation (fixed assets write off) assumes 4 years life of assets write off at 25% per year for all assets. Direct costs include: materials, supplies and other costs that directly go into production of the product.
Product Cost and Price Structure In US$
|
Item |
Qty/day |
Qty /yr |
Unit |
Prod. cost /yr |
Unit price |
Total |
|
Mosquito |
300 |
93,600 |
0.8 |
75,253 |
2 |
187,200 |
Profitability Analysis in US$
|
Profitability item |
per day |
per month |
per year |
|
Revenue |
|||
|
Mosquito repellant mats |
600 |
15,600 |
187,200 |
|
Less Prod & Operating Costs |
241 |
6,271 |
75,253 |
|
Profit |
359 |
9,329 |
111,948 |