FMC

Bamboo Bathroom Fitting Items

Overview

Product Idea and description
  • A natural, eco-friendly, biodegradable, hygiene, chemical free substitute of plastic & metal bathroom sanitary fitting items. One can reuse the sanitary itemby sanding &making layeringwith PU coating it again.
  • Can be set up as household manufacturing unit.
Target group
  • Premium Hotels, Hospital, College, corporate offices, exports,etc.
Raw material required
  • 80 % Mature Balcowabamboo & 20 % nylon, copper piping & other fitting items as required
Production capacity, facility and labour required
  • Small unit – Production capacity 500-600 pcs per month and involving 20 workers (5 drying & cutting, 5 sanding & sorting, 5 cleaning, 5beautification staff) require approx.1000 sq. ft space.
  • Industrial Unit Automation based- Monthly production of 2500-5000 pieces by involving 20 skilled workers, require approx.3000 sq. ft space
Production Process
  1. Procurement of processed bamboo, Sorting bamboo as per product requirement, cutting the bamboo as per appropriate size, assembling & fitting of cartage, Manual rubbing, PU coating, Sanding &Finishing
Tools &Equipment’s required for production and prices
  1. Angle Grinder (8 No.) – INR 80000
  2. Sanding Belt (40 No.) – INR 200000
  3. Drill Machine (4 No.) – INR 40000
  4. Mini Lathe Machine (4 No.) – INR 280000
  5. Spray Machine (4 No.) – INR 20000
  6. Cutting Machine (4 No.) – INR 28000

These are the customize tools required for production, if want to go for automation then more sets of equipment required.

Financial linkages/ Government schemes National Bamboo Mission to support enterprise PMEGP, SIDBI
Pricing Strategy Rs. 3500 (30% profit)
Package, storage and transportation requirements
  • Final product is packaged in cardboard packet for delivery.
  • Finished bamboo sanitary items can be stored in cardboard packets on racks
Marketing strategy

Estimate of Market size in India and globally
India –   The Indian, sanitary ware and bathroom fittings market was worth US$ 7220 Million in 2019. With sustained public and private measures in recent years, coupled with improving standards of living, the level of sanitation in India has increased manifolds. These measures have created a huge market for products utilized in the construction of public sanitation facilities as well as domestic bathrooms and toilets, namely, tiles, bathroom fittings and sanitary ware.

Globally- The global ceramic sanitary ware market size is projected to grow from USD 32.1 billion in 2020 to USD 44.6 billion by 2025, at a CAGR of 6.8%.

Major B2B & B2C Portals – exportsindia.com, alibaba.com, indiamart.com, amazon.com,

Major suppliers– there is no any major supplier of Bamboo Sanitary fitting in India
Marketing strategy:

  1. Tie up with Corporate
  2. Tie up with hotels/resorts for keeping bamboo sanitary fitting in the bathroom
Distribution Channel
  • E-commerce, local buyers, traders

Production stage

Product SWOT Analysis

Strengths

Weaknesses

Opportunities

Threats

  • Easy to obtain bamboo in any quantity
  • Eco-friendly, natural & and reusable.
  • Perfectly sustainable alternative to plastic & metal
  • Durable and robust,
  • Require less skilled general workforce to operate hand tools and small equipment.
  • Low cost of set-up
  • HeatResistant
  • Lack of knowledge for production process and detailing
  • High demand from, hotels, institutional canteens, corporate
  • High export potential
  • E-commerce platforms viz. Amazon
  • Alternatives available such as metals, plastic

Financial Plan

To start the bamboo bathroom fitting items manufacturing business, one can invest 15.52L INR with a working capital requirement of 8.65L INR per month, assuming the working capital cycle is 25 days and runs for a total of 8 work hours in a day.

Financial Summary Sheet:
S.No Parameters Unit Value
1 Capital Cost INR 1552800
2 Working Capital INR 10380000
3 Total Cost of Investment INR 11932800
4 Sales INR 21600000
5 Gross profit INR 9667200
6 Tax @ 30% INR 2900160
7 Net Profit INR 6767040
8 Pay Back Period (Total Investment/Net Profit*12) Months 21
Capital Cost:
S.No Parameters Value
1 Land & Building 800000
Machinery & equipment
2 Angle Grinder (8 No.) 80000
3 Sanding Belt (40 No.) 200000
4 Drill Machine (4 No.) 40000
5 Mini Lathe Machine (4 No.) 280000
6 Spray Machine (4 No.) 20000
7 Cutting Machine (4 No.) 28000
8 Electrification & Installation @ 10% cost of machinery 64800
9 Pre-Operative Expense 5000
10 Cost of Office Equipment 35000
11 Total Capital Cost 1552800
Working Capital:

S.No

Parameters

INR/Unit

Value

1

Workers (20 No.)

8000

160000

2

Accountant (1 No.)

12000

12000

3

Manager (1 No.)

15000

15000

Raw Material & Utilities

3

Raw Material

600000

4

Utility per Month

20000

5

Water

5000

Other Contingent Expenses

6

Repair & Maintenance

5000

7

Transportation

10000

8

Telephone

2000

9

Other Consumables

10000

10

Advertisement & Publicity

7000

11

Postage & Stationary

1500

12

Insurance

15000

13

Miscellaneous Expenses

2500

14

Grand Total of Working Capital (1 Year)  

10380000

Turnover Calculation:

S.No

Parameters

Unit

Value

1

Production per Month

Pieces

600

2

Selling Price per Product

INR

3000

3

Turnover per Month

INR

1800000

4

Annual Turnover

INR

21600000