diupl project text

8/3/2019 DIUPL Project Text

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TECHNO ECONOMIC VIABILITY REPORT

FOR MANUFACTURING HIGH DUTYCAST IRON CASTING (COUPLA

PRODUCT)

BY

M/s DEV ISPAT

(Prop : Shri Suresh Mittal)

(A SSI Unit)

SITUATED AT :

DURGAPUR INDUSTRIAL AREA, NASEER AVENUE

DURGAPUR - 713212.

FEBRUARY-2012


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CONFIDENTIAL

THIS DOCUMENT SHOULD BE TREATED AS CONFIDENTIAL AND MUST

NOT BE REPRODUCED COPIED LOANED OR DISPOSED, DIRECTLY OR

INDIRECTLY NOR USED FOR ANY PURPOSE OTHER THAN THAT FOR

WHICH IT IS SPECIFICALLY FURNISHED WITHOUT THE PRIOR WRITTEN

CONSENT OF M/S DEV ISPAT, WEST BENGAL.

PROJECT AT GLANCE

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NAMEOFTHE CONCERNS : M/S DEV ISPAT.

ADDRESS : REGISTERED OFFICE ,Durgapur Industrial Area, Naser Avenue.Durgapur 713212

FACTORYADDRESS,Durgapur Industrial Area, Naser Avenue.Durgapur 713212

CONSTITUTION : Proprietorship.

SHARE HOLDING NATURE : Not Applicable.

NAME OFTHE PROPRIETOR : Sri Suresh MIttal.

NATUREOF ACTIVITY : Manufacturing ofHigh Duty Cast Iron.

USEOFTHEPRODUCTS : CI Pipe & Pipe Fittings, CI Input Mould,Weight Scale, Sanitary Fittings(All type of Pipe & Pipe Fittings),Man Hole Covers, General Casting items,FAN Body, Machinery Parts Bottom Plate,

INSTALLED CAPACITY : Proposed Capacity

Coupla Capacity : 11,760 TPA (CICastings)

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EMPLOYMENT :

CATEGORYNOS.

ADMINISTRATIVE STAFF

1 Commercial Manager 1

2 Accountant 2

3 Office Assistants 4

4Stores and PurchaseAssistant 2

5 Sales Assistant 1

6 Peon 2

7 Security Guard 3

Sub Total 15

PRODUCTION STAFF

1 Works Manager 1

2 Method Engineer 1

3 Method Assistant 1

4 Chemist 1

5 Laboratory Assistant 2

Sub Total 6

COMMON FACILITIES

1 Mechanical Electrician 2

2 Pattern Maker 2

3 Fitter 4

4 Pump Room Attendant 2

5 Mechanist 3

6 Helper 3

Sub Total 16

CATEGORY

NOS

.

C.I. FOUNDRY

1 Works Incharge 1

2 Cupola Operator 2

3 Molder 8

4 Pourer 6

5 Welder/Gas Cutter 1

6Fitting & FinishingOperator 5

7 Helper 8Sub Total 31

TOTAL 68

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PROJECT COSt :

COST OF PROJECT Rs.in Lacs

Sl.Broad Heads of

Expenditure CostMargi

nMargi

nTermLoan

No.

Rs.in

Lacs %Amou

nt Amount

1 Land & Land Development 5.00100.00

% 5.00 0.00

2 Civil Construction & Shed 207.1445.00

% 93.21 113.93

3 Plant & Machinery 172.9025.00

% 43.23 129.68

4 Miscellaneous Fixed Assets 48.0225.00

% 12.01 36.02

HARD COST PROJECT 433.06

5 Contingencies 0.00100.00

% 0.00 0.00

6Preliminary & Pre-operativeExp. 9.98

100.00% 9.98 0.00

SOFT COST OF PROJECT 9.98

TOTAL COST OF PROJECT 443.04

163.4

2 279.62

MEANS OF FINANCE :

MEANS OF FINANCE Rs.in Lacs1 Share Capital 163.042 Unsecured Loan 0.00

OWN CONTRIBUTION 163.04

3Term Loan From Banks / FinancialInstitution 280.00

OUTSIDER CONTRIBUTION 280.00

TOTAL MEANS OF FINANCE 443.04

INDICATORS1 Debt-Equity Ratio 1.722 % of Internal Accruals 37%3 % Of Debt Fund 63%

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NO. OF WORKING DAYS : 300 Days .

TERM LOAN : Rs. 280.00 Lakhs.

PURPOSEOF TERM LOAN : For Setting up High Duty Cast Iron

Casting,

Grey Iron Casting.

MORATORIUM PERIOD : 14 months from the date of commercial operation or15 months from the date of

disbursement.

REPAYMENTOF TERM LOAN : 24 equal quarterly installments.

INTERNAL RATE OF RETURN : %.

DEBT SERVICE COVERAGE RATIO : : 1

BREAKEVEN CAPACITY : % (In 3rd year of operation).

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INTRODUCTION

M/S Dev Ispat is a newly constituted proprietorship firm which proposes to set up aplant for manufacturing of C.I. Casting & Allied products at Durgapur (W.B.).

The Registered office of the Firm is situated at New Office. Old Coart, Durgapur-713203 & the Factory is situated at Durgapur Industrial Area, Naseer Avenue,Durgapur (W.B.).

The installed capacity of the unit is 14000 M.T. per annum. The Proprietor decidedto setup this project looking towards the increasing demand of C.I. Castings andAllied Products at Durgapur and its nearby areas.

ABOUT PROPRITOR

NAME : SRI SURESH MITAL

FATHERS NAME : Sri Ram Bilas Mittal

ADDRESS : D/195,Chaffe Street,

Sector 2(B), Bidhannagar,

Durgapur -12, Dist: Burdwan.

AGE : 36 Years

QUALIFICATION : B.Com (Calcutta University)

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ABOUT MANAGEMENT OF THE COMPANY

M/s Dev Ispat. has appointed professionals to look over production, sales &

accounts. Along with professional members Mr. Kuldip Kumar Kedia along with his

two sons will look over overall management & sales of the company.

ORGANIZATION CHART

PROPRIETOR

COMMERCIAL MANAGER WORKS MANAGER

SALES ACCOUNTS MANAGEROFFICER OFFICER

&

PURCHASE ACCOUNTANT SHIFTOFFICER IN CHARGE

OFFICEASSISTANT SUPERVISORS

OPERATOR

SKILLED

WORKER

UNSKILLEDWORKER

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INDUSTRY SCENARIO

RECENT DEVELOPMENTS:

The recent World Census of Casting production conducted by Modern Castings,

USA in December 2008 revealed that economic slowdown has had its negative

effect on the global metal casting industry. . The census state that the global

casting shipments were 95 million tons for 2007 and metal casting shipment are

expected to decline to 90 million by 2010. However despite recession, Asia (and

within it China and India) remains high growth regions for the casting industry in

economic terms. As per world Census India rank number four amongst the top ten

casting producers in the world with 7.8 million tones of various grades of castings

as per international standards.

(Source: Business Standard Dt 19.09.2009)

INDIAN FOUNDRY

Indian foundry industry caters to the needs of a wide range of industries such as

Iron & Steel , Engineering and sanitary pipes & fittings . It is one of the mostimportant sectors shaping the Indian economy.

The casting industry, also classified , as foundry is characterized by many small

and few major players who normally manufacture parts to customer specification.

Despite the growth in production level , this industry remains fragmented with

players operating at all levels of value chain.

There are about 5000 units ( employing around 6 lac employees ) and having

installed capacity of approximately 9.5 million tons per annum ( with annual

production around 7.80 million tons about 90 % units are in small scale and 10 %

are in medium and large scale . The large foundries are modern and globally

competitive and are working at nearly full capacity. Most foundries use cupolas

using Low Ash Metallurgical Coke ( LAM ) . Over the years there has been an

increase in awareness about environment and many foundries are switching overto Induction Furnaces .

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Since opening up Indian Economy in 1991-92 through de-regulation and

globalization rout, more number of green field foundries were set up , with modern

equipments like high pressure mold technology , automatics and plants with latest

equipments like spectrometer magnetic particle testing , Ultrasonic and X ray

examination. Professionals are being inducted in departmental levels like moulding

, melting , methoding , and production. With the view of liberalized policies of

Government of India , foundries have taken a new shape to cater to the present

domestic and export demand of the country.

( Source : Metal World Co. in and Foundry informatic Centre )

INDIANFOUNDRYINDUSTRYISAFTER CHINA , USA AND RUSSIA

Indian Foundry has a sizeable export of goods valued at Rs 2000 crores per year.

The growth in the industry is primarily due to growth in the auto component

industry with a market size of over USD 700 billion. In India also the car production

is expected to be more than double by next 5 years, Hence foundry units have to

double the capacity with structured organized and technological up gradation .In

future , there has been ample scope for the Indian Foundries to forge strategic

alliance with other developed nations that are on the verge of closure primarily

due to high stringent pollution control regulation , high manpower cost and acute

shortage of trained manpower to work for the foundries. This is where Indian

players can make their presence felt in the international market by approaching

foreign foundries to source casting from India at more economical price thus

enhancing price ,thus enhancing their market share .In order to do these Indian

Foundries have to equip themselves with the latest technology such as automation

and casting simulation.

( Source : Business Standard dt 19.09.2009)

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GLOBAL OUTLOOK

European economy probably returned to growth in the current quarter after

government spent billions of euros to pull the region out of the worst recession in

more than six decades, the European Union said. The economics of Germany and

France unexpectedly returned to growth path in the second quarter .Germany,

Europes largest economy, whose GDP to rise by 0.7 % in the third quarter.

(Business Line dt 28.08.09)

Keeping in view the following factors applicable to foundry industry, the scope of

future export potential for the Indian foundry, however, cannot be denied.

Stringent pollution control requirements in European countries restrict setting of

foundry units in those countries.

Standardized product requirements have given an advantage to the cast iron

exporters of India over their international competitors.

Organization for Economic Cooperation and Development in its report has pointed

out Compared with expectations a few months ago, we now have a recovery

which may be coming a little earlier and may be slightly stronger because financial

conditions have improved more rapidly than we assume a few months ago

( Financial Express Dt 04.09.2009 )

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INDUSTRY OUTLOOK

The casting industry has grown largely in response to the demands of the

automotive industry. The trend toward relocation of automobile manufacturers

production overseas and the demands for greater environmental protection

caused serious challenges to the casting industry. Moreover, increasing demands

for more lightweight automobiles and conversion to lighter materials is also

becoming a key trend in automotive industry.

The casting industry supplies castings not only for automotive industry but also for

a number of other industries including farming and public works machines,

machining tools and public services and engineering industries. It is indeed the

backbone of many industries.

EXPORT MARKET

A positive factor for export is the shrinkage foundry capacity abroad. The foundryindustry in Europe and America had been subjected to severe financial crises in

the nineties; one of major causes being the high cost of anti-pollution measures. In

fact many running units, unable to cope with the strict pollution and environmental

control laws, had to close down. The U.S. and European foundries population has

declined by about one third over the last 20 year, thus opening up the market to

Indian producers. But then the entry into the developed world will be with cleaner

technology. Markets for metal castings are increasingly competitive andmanufacturers are placing greater emphasis on high quality, competitively priced

casting delivered in small quantities more frequently. Thus, there is great potential

for the Indian foundry industry to forge strategic alliances with their counter parts

in the developed countries.

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DOMESTIC MARKET SCENARIO

More than 90% of all manufactured goods and capital equipment use castings asengineered components or rely on casting for their manufacture. Casting is a

manufacturing process by which a liquid molten metal is introduced into a sand

mould, allowed to solidify within the mould and then broken art to make a casting

part. Casting is used for making parts of complex shape that would be difficult or

uneconomical to make by other methods, such as cutting from a solid material.

MAJORUSEOF METAL CASTINGSSHOWNBELOW:

End Use Market Percentage of

CastingsAutomobile 35%Pipes Fittings 15%Construction, Mining & Oil Field

Equipment

6%

Internal Combustion Engines 5%Railroad 5%Valves 5%

Farm machinery 3%Municipal Castings ( manhole covers

etc)

3%

Pumps & Compressor 2%Other Market 21%TOTAL

As has been mentioned earlier, M/s Dev Ispat. intends to setup a State-of-the-Art

ferrous foundry unit for manufacture of 3 types of castings, namely High Duty CastIron (C.I.) Castings, Grey Iron (G.I.) Castings and Ductile Iron (D.I.) Castings.

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CAST IRON (C.I) CASTINGS:

Cast Iron is made by melting pig iron often along with substantial quantities of scrap

iron and scrap steel in coal fired cold blast cupola Furnace. Depending on the

application Carbon and Silicon content are reduced to the desired level, which may be

anywhere from 2% to 3.5% and 1% to 3% respectively. Other elements are added to

the melt before the final form is produced by castings. Examples of High Duty Cast

Iron castings are sanitary fittings like manhole covers, drain pipes, building hard ware

like decorative grills, weights and measures etc.

ABOUT INDUSTRY

The industry has over 6500 foundries in Small, Medium and large scale the present

production data of Indian Foundry is estimated at 5 (five) million tones comprising:

Category Production (inMillion)

Grey / Cast Iron 3.60Ductile Iron 0.45Steel 0.60

Non-Ferrous & others 0.35Total 5.00

PRODUCTIONOF GREY/ CAST IRON:

No where, in any official or non-official circles, has any information been collected

regarding the production separately for Grey Iron and Cast Iron category of

Castings. A large portion of this capacity is primitive, in terms of modern

technology, lacking in basic mechanization and the latest know-how. There are

only few foundries which can meet the sophisticated needs of the end user

industries.

There are at present, 129 units in production in the organized sector

manufacturing various types of Grey Iron Casting, Including Alloy Iron Castings,

having an approved capacity of 6.10 lack tones.

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There are about 30 units in the Ductile Iron Castings having a total installed

capacity of 4.5 lack tones. This includes the Ductile Iron Spun Pipe production, out

of 4.5 lakh tonnes, only about 50,000 tonnes are belong to engineering casting.

A large portion of the installed, as mentioned above is unutilized. It should be

noted here that, this is because of the imbalance in the industry between high

grade foundries, which are few in numbers and low graded foundries are in

thousands. Thus, a large portion of the installed capacity is geared for the

manufactured of such items as railway sleepers, brake block, buffer block, tube

wells etc. For which there is no capacity shortage. Our studies indicate that there

is actually a capacity shortage for high duty grade Cast Iron, Grey Iron and DuctileIron Casting required for the export, automotive and sophisticated industry.

PRODUCERS OF HIGH DUTYIRON CASTINGS

It would be appropriate to examine the capacity installed in the country, capable

of meeting the demand arising out of the automobile and allied industries. This

examination will be necessarily limited only to sophisticated foundries in the

country, which are equipped to produce sophisticated high duty, high grade

castings. In order to manufacture sophisticated castings the foundry must be

equipped with Induction Furnace, modern moulding machine, sand plant, cold box

and hot box machines for core making, effective fettling and heat treatment

facilities, backed up with high grade laboratory facilities.

A list of some important foundries which have modern facilities and which are

capable of producing high duty iron castings required by automobile & alliedindustries in given in Table A. Some of these units are mainly captive.

It will be observed from table that most of the important units are located in

Western & Southern Zones and fewer in Northern & Eastern Zone. The estimated

present total effective capacity including captive capacity for producing high duty

& high grade castings are 4.0 lacs tones per annum and is expected to reach 4.5

lacs tones per annum by 2012-13

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Ductile Iron Castings

The capacity by 2012-13 will be equal to 35,000 tonnes (Table B). Against this the

demand has been estimated at 1,05,400 tonnes per year.

TABLE - A

CAPACITYOF HIGH GRADE / HIGH DUTYGREYIRON CASTINGS

Name of Foundry Present Demand(TPA)

Tata Motors, Jamshedpur 15000Tata Motors, Pune 12000

Ennore Foundry, Chennai 18000Hindustan Motors, Kolkata 6000Premier Automobiles, Bombay 6000Mahindra & Mahindra, Bombay 8000Kirloskar Brothers, Maharashtra 7500Shivaji Works Ltd., Sholapur 12000Shah Malleable Castings Ltd., Bombay 4800Cooper Engg. Ltd., Maharashtra 9000C.M. Smith & Sons, Nadiad 1500Bhagwait Auto Cast Ltd, Ahmadabad 5000

Associated Coment Co., Karnataka 6000Garden Reach Works, Kolkata 3000Choonilal Foundry & Engg Company 6000S.L.M. Maniklal Industries Ltd. ,Gujarat 6000Dhanda Engineers Pvt. Ltd, Haryana 1200India Cements Ltd., Chennai 5000Laksmi Machine Works Ltd., Chennai 8000Ghatge Patel Industries, Kolhapur 12000GCT Kaypee Pvt. Ltd., Aurangabad 10000Auto Cast Ltd. Kerala 8000

Menon & Menon Pvt. Ltd., Kolhapur 8000Usha Telehoist, Himachal Pradesh 3600Bhagwait Foundries Ltd., Ahmadabad 3000D.C.M. Engineering Products, Ropas 10000Others 45000Total Capacity per year in organized 2,39,600From other small units in organized /unorganized Sector will be

1,50,000

Total Capacity Available /Year 3,89,600Say 4,00,000 Tonnes /

Year

(Source : SSB & Associates)

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On Basis of above study expected shortfall in supply by year 2011/15 is

A) High Duty Iron casting

Estimated demand of High Duty Iron Casting 10,00,000 MT

Effective Capacity Supply 4,00,000 MT

Therefore Shortfall 6,00,000 MT

DIMENSIONOF MARKET AVAILABILITY

The dimension of the market available for a revamped foundry will be around

6,00,000 tonnes of high duty Iron Castings(Cast Iron & Grey lron)and 65,000

tonnes Ductile Irons Castings respectively, with the maximum scope in the

automobile and allied industries. The choice for a entrepreneur will narrow down to

a sophisticated foundry with the following high grade sophisticated products.

a) High duty Cast Iron and Grey Iron Casting for automotive and allied industries.

b) Ductile Iron Castings for automotive and allied industries.

The proposed sophisticated foundry unit will have installed capacity of

manufacturing 17,640 TPA of Coupla Furnace and 9,600 TPA of Hydraulic Press. It

will need only negligible share of the surplus market. Considering the location

advantages, availability of power and major raw materials within the state of theWest Bengal itself, infrastructure facilities, employment potentiality and other

socio-economic factors the proposed sophisticated casting manufacturing project

is found to be viable proposition.

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PRICING

The selling prices of castings depends on the following factors :

a) Prices of Pig Iron

b) Electric cost as manufacturing process is energy intensive.

c) Transportation Cost

COMPETITION ANALYSIS

The Ferrous casting industry in Eastern Zone particularly West Bengal have better

prospect than other zone as depicted below :

Region Pig Iron Power Logistic Labour OverallEastern 3 3 2 3 11Western 2 2 3 1 8Northern 1 1 2 2 6Southern 2 2 2 2 71 = Low Availability, 2= Modern Availability & 3= Advantageous

(Source : SSB & Associates)

CONCLUSION

The domestic demand supply scenario for ferrous casting are favorable, new

capacities are required to meet domestic demand of engineering casting.

The global demand & supply scenario of casting is favorable.

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SCOPE OF MARKET SURVEY

The broad objective of this survey are :

a) To assess the current and likely demand potential during the coming

few years for High Duty Cast Iron.

b) To estimate the current & likely supply position for same.

c) To estimate the short fall is any, in the installed capacity (supply) and

broadly indicate the capacity & product mix of foundry which are

technically & commercially viable

METHODOLOGY

The supply/ demand position has been assessed by intensive desk research

covering the organized as well as the small scale sectors. After delicenscing of

ferrous foundry industry, it was difficult to get authentic data on foundry industry.

The consultants have therefore used their own judgment based on the past data &

field survey to arrive the current & future position for casting industry.

The future demand & supply position for casting has been assessed on end-use

method which involve:

a) The identification of users industry and their present production

capacity & future growth capacity.

b) Establishing norms of castings requirement per product of users

industry.

c) Arriving at norms of castings requirement from above exercise.

Thus it has been possible to estimate the gap between supply & demand.

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MARKETING STRATEGY

The eastern regions demand supply scenario is favorable and hence the company

has proposed to focus on the eastern region market. The strategy of focusing ondomestic market will optimize marketing costs.

Along with domestic market company proposes to export their castings which will

give edge to company to earn better margin.

PRODUCT PRICING

Company has assessed input & output product prices according to market and

competitors including the discount structure. The company will not in a position to

control price movements for which company proposes to develop efficient market

intelligence & network.

INSTALLED CAPACITY CALCULATION

INSTALLED CAPACITYOF COUPLA FURNACE

Cast Iron Plant

1

Capacity of Coupla 3.00 MT / Hr.

2

Temp. at which Liquid metal is tapped 1,250.00 Deg. Celsius

3

No. of Coupla Run at a time 2.00 Nos.

4

Hours of Operation Per Day 14.00 Hr

5

Total Quantity Of Liquid Metal PerDay

84.00 MT

6

No. of Working Days per annum 300.00 Days

7

Total Qty. of Liquid Metal Per Annum 25,200.00 TPA

8

Good Casting Liquid Metal availablefor Making High Duty Cast IronCastings

25,200.00 TPA

9

Yield liquid metal to casting 70.00%

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Installed Capacity of Plant17,640.0

0TPA

SAY COUPLA CAPACITY: 15,640.00 TPA (CI Castings)

MANUFACTURING PROCESS

Manufacturing Process consists of the following stages:

Melting.

Sand Preparation.

Moulding.

Felting Finishing.

CAST IRON (C.I.) CASTINGS

C.I. Castings will be manufactured by melting the input material in a Cupola

Furnace, which is the most common type of coal fired melting furnace in Indian

Foundries. The proposed unit will be using a twin Blast Cupola (3TPH Capacity)

fitted with Pollution Control Device.

CUPOLA FURNACECupola Furnaces are the oldest type of Furnaces used in Foundries and roughly

cylindrical and are most often used for melting Iron. Alternating layers of metal

cock and lime stone are fed into the furnace from top. Coke makes up 8-16% of

the total charge to provide the heat that melts the metal. Lime stone is added to

react with imparities in the metal and floats to the top of the metal as it melts. This

limestone / impurities combination is called Slag. By floating on top of the metal

while it melts, the slag protects the metal from oxidation.

Cupola furnaces are usually attached pollution control systems to capture air

emissions, usually, the air emission systems use either high energy wet scrubbers

that use to remove air pollution from the gas stream or dry bag house systems

that use fabric filters to capture the emissions.

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Input Output1 Pig Iron 1.107 MT 1 Good Casting 1.00 MT2 Return

Scrap

0.250 MT 2 Loss due to melting, poring,

runner & riser, grinding /chipping

0.107 MT

3 Reusable Scrap 0.250 MTTotal 1.357 MT Total 1.357 MT

Metal input required for 1 MT of good castings is 1.357 MT of metal input. Unit will

be using Pig Iron for the metal input, together with reusable foundry return of

0.250 MT which will be regenerated during the melting process.

COMPRESSED AIR

Compressed Air will be required for operation of Moulding Machines Pneumatic

Rammers, cleaning of moulds etc. for this purpose two nos Air compressor of 100

cfm capacity with pipe line will be installed in the unit.

POLLUTION CONTROL

Pollution control measures will be required in the following areas:

(a) Cupola Furnace

Adequate pollution control measures have been envisaged. All emission will be

within statutory norms. No significant environmental impact is expected from the

implementation of the project.

NOC obtained from West Bengal Pollution Control Board obtained.

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GREENBELT& LAND SCRAPING

During development of plant general layout, some space would be reserved for

gardening and tree plantations at the site. This will improve the aesthetics as well

as minimize fugitive dust emission. Unpaved areas within the plant boundary

would be provided with grass cover.

DESIGNTARGETFORENVIRONMENTALCONTROL

Stack emission

Particulate Matter : 50 mg/N cum as per CPCB

SO2 emission environment : Within the permitted carrying capacity of the

site

NOx emission environment : Within the permitted capacity of the site.

Work Zone EnvironmentDust generation during handling : 10mg/cum (max) in a closed area.

Dust generating during transportation

of raw material and finished products : 500mg/cum(maxO in an open area

within 20 to 30 m aeirial coverage

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WASTE WATER DISCHARGE

P

H

: 6 to 9Total suspended sides : 100 mg/L

BOD (200 C) : 30 mg/L

COD : 250 mg/L

Oil and Grease : 10 mg/L

Iron ( as Fe) : 3 mg/L

ENVIRONMENTALMONITORING

While design and engineering of plant, the principal pollution sources like cold

blast Cupola stack and Induction furnace stack would be provided with monitoring

port hole as per CPCB regulation for routine monitoring of pollutants like TSP, SO2

and NOx in addition conformance to the ambient air and waste water discharge

standards would also be monitored.

PLANT LABORATORY

It is proposed to install a laboratory in the plant for the complete chemical analysis

of raw materials, semi-finished and finished products as well as for metallurgical

and mechanical testing. The major equipment and facilities which should be

provided in the laboratory area as follows:

1) One Pedestal drill, capacity 25mm

2) Two Carbon and sulpher

determinator3) One Muffle furnace, temperature,

1, 100 C.

4) One Drying oven.

5) One water distillation unit.

6)Two hot plates.

7) One set of physical and chemical

balance.

8) One set of wet analysis equipment

9) One universal testing machine

10) One Brinell hardness testingmachine

11) One Bench grinder

12) On Metallurgical microscope

with specimen preparation facilities

13) One automatic carbon silicon

analyzer.

REPAIRAND MAINTENANCE FACILITIES

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Since the proposed plant is to be located at village Jamdoba, Burdwan all repair is

proposed to be done inside the plant, repair and maintenance facilities within the

plant are proposed. The proposed facilities include the flowing major equipment.

1)Two Center lathe.

2) One Column drill.

3) One Bench drill.

4) One shaping machine

5) One pedestal grinder

6) One hacksaw machine

7) One gas cutting set.

8) One welding set

9)Two sets of black smithe's oven

10) One set of tools and

gauges.

FIRE PROTECTION SYSTEM

The fire protection systems envisaged for the plant are as follows:

Fire detection and alarm system for electrical rooms/selected oil/hydraulic

locations

Portable fire extinguishers such CO2, foam and dry chemical powder in all

areas of the plant with fire hazards.

ADMINISTRATIVE OFFICE

A central administrative office building is proposed for the administrative

departments including accounts, sales, purchase, law and stores.

CANTEEN, TIME-OFFICE, GATE HOUSE

It is also proposed to provide a canteen facility fort the plant personnel within the

plant at the plant entrance time office and gate house will have to be constructed.

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SWOT ANALYSIS

STRENGTH

Experience in Ferrous Casting Industry.

Good Financial track record.

Good relationship with the end-users of finished products.

Location advantage with proximity of raw Materials and Market.

WEAKNESS:

Rising Pig Iron Cast & Power

Cyclical nature of Ferrous casting Demand

OPPORTUNITIES

Favorable demand supply scenario.

Technology available locally.

Availability of skilled manpower.

West Bengal is one of the low cost ferrous Casting manufacturers due to

availability of Pig Iron & Coal resources. Low cost talent pool and supporting

infrastructure.

THREATS

Expansion by competitors.

Price regularization of industry and Govt.

Major players having a good presence in the industry.

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PROJECT DETAILS

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