MAKING OF READY MADE GARMENTS - JEANS
Introduction
The business of readymade garments is
increasing day by day due to changes of fashions in
human life. In the RMg sector Jean pants are showing good growth in local and
export market. There are a number of branded several companies are into the
business of making jeans pants and also supplementary items like buttons and
zips.
Production Capacity
The production Capacity projects at
least at 312,000 Garments per annum will be produced.
Production Process The manufacturing process depends on skills of the workers.
Required cloth to be cut into required sizes and design as per the measurements
of the latest designs. Then the required lining, button stitching and zip are
added to the semi-finished fabric and finished garments are ready for packing
and marketing.
Scale of Investment, Capital Investment
Requirements
The total project investment cost of the project is estimated at USD 348,931.
Market Analysis
The demand for RMg is increasing at around 18-20 % annually in the country. The popularity of jean pants is good among youths and fashion conscious public. The domestic market and the export market are growing rapidly and the unit for manufacturing can be run quite successfully if they can tap the market. However, this sector is not yet developed in Uganda as most of these items are being imported.
Project Costs
Capital Investment Requirements in US$
|
Item |
Units |
Qty |
Unit |
Amount |
|
Zig-zag Machine |
No. |
1 |
175 |
175 |
|
Iron Boxes |
No. |
2 |
50 |
100 |
|
Wooden racks |
No. |
2 |
73 |
146 |
|
Furniture |
No. |
3 |
30 |
90 |
|
Sewing machine |
No. |
1 |
190 |
190 |
|
Embroidery |
No. |
1 |
130 |
130 |
|
Total Amount |
831 |
1. Operating Costs in US$
|
Item |
Units |
Unit |
Qty/ |
Prod. |
Prod. |
Prod. |
|
Direct Costs |
||||||
|
Fabric |
Mtrs |
3.2 |
4,000 |
12,800 |
332,800 |
3,993,600 |
|
Threads |
No. |
1 |
200 |
200 |
5,200 |
62,400 |
|
Zips |
No. |
0.25 |
1,000 |
250 |
6,500 |
78,000 |
|
Buttons |
No. |
0.05 |
1,000 |
50 |
1,300 |
15,600 |
|
Sub total |
13,300 |
345,800 |
4,149,600 |
|||
|
General Costs (Over heads) |
||||||
|
Rent |
500 |
6,000 |
|
|
|
|
|
Labour |
800 |
9,600 |
|
|
|
|
|
Utilities (Power & Water) |
1,000 |
12,000 |
|
|
|
|
|
Sub - total |
2,300 |
27,600 |
|
|
|
|
|
Total Operating Costs |
348,100 |
4,177,200 |
|
|
|
2. Project Product Costs & Price Structure
|
Item |
Qty/ |
Qty/yr |
Unit |
Prod |
Unit |
T/rev |
|
Garments |
100 |
312,000 |
13.4 |
4,177,200 |
15 |
4,680,000 |
3. Profitability Analysis
|
Item |
Per |
Per |
Per Year |
|
Revenue |
15,000 |
390,000 |
4,680,000 |
|
Less: Production & Operating Costs |
13,300 |
348,100 |
4,177,200 |
|
Profit |
1,700 |
41,900 |
502,800 |