strategic business proposal eent - green brick project - arunesh chand mankotia

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All Rights reserved -Arunesh Chand Mankotia - [email protected] EENT STRATEGIC BUSINESS PROPOSAL The project was developed for the worlds first structured Fly Ash Industrial area & Research Centre in India. All the financial calculations & quotations are in accordance to FY-2014-15. All Rights reserved -Arunesh Chand Mankotia [email protected]

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Page 1: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

EENT

STRATEGIC BUSINESS PROPOSAL

The project was developed for the worlds first structured Fly Ash

Industrial area & Research Centre in India. All the financial calculations &

quotations are in accordance to FY-2014-15.

All Rights reserved -Arunesh Chand Mankotia

[email protected]

Page 2: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

CONTENT

1. INTRODUCTION

(1.1) EENT

(1.2) THE END OF TRADITIONAL RED BRICK INDUSTRY

(1.3) FLY ASH BRICKS

(1.4) FLY ASH BRICK INDUSTRY

(1.5) FLY ASH TECHNICAL & PRODUCTION SPECIFICATION

2. EENT PROPOSED PROJECT OVERVIEW

(2.1) INFRASTUCTURE

(2.2) MACHINERY

(2.3) RAW MATERIAL

(2.4) POWER SUPPORT

(2.5) ADMINISTRATION

(2.6) SALES & MARKETING

3. CENTRAL INDUSTRIAL SUPPORT

(3.1) RAW MATERIAL & STORAGE

(3.2) CENTRAL LOGISTIC MANAGEMENT

(3.3) MAINTENANCE

Page 3: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

(3.4) TRAINING & TECHNICAL SUPPORT

(3.5) INDUSTRIAL & UNIT LEVEL SYNERGIES

4. FINANCE

5. PROJECT ESTIMATION

6. MARKET DEMAND ANALYSIS

Page 4: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

1. INTRODUCTION

The aim of this proposal is to present futuristic modernization based on following -

KEY BUSINESS OPPORTUNITY INDICATORS

(A) Modernization in traditional Red brick Industry with transforming them to Green

bricks demand.

(B) Acting before its late as Red bricks are on extinction.

(C) Developing one brand with mass production and mass consumption at low costs.

(D) Strategic Green brick enabling competitive project to capture markets across major

construction hubs.

(E) Development of an Industrial Synergy making it self sufficient zone with internal

structure creating cost effective expense V/S profits.

(F) Maintaining Industrial social responsibility with modernizing Non-eco friendly

production ways to Green technology, consuming Fly Ash & minimize Ecology Damage.

The concept involves in developing the identified area to Green Brick Industrial set up with

common area of operations, central production technology along with in-house raw

material, logistic, Power management, Sales & Marketing & other support services. The

core strategy is to build a hub for supply to all major projects across national &

international demand. The core forte of the project is in continuous increase in production

which enables us to capture market with centralized approach.

Page 5: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

1.1

EENT. The Organization

EENT Mission

To Revolutionise the Green building material industry with transitioning the traditional red

clay brick to Green brick with one brand.

EENT Vision

Complete brick Industry modernization with strategic approach on continuous excellence &

growth.

EENT is a futuristic movement aiming to restructure & develop green building products. Our

strength is one brand with vast reach. We also aim to specialize and develop Regional

Industrial park streamlining the operations with centralized manufacturing zone making us one

stop shop for market.

EENT is planning the proposed project technology widely in accordance to standards set by

Technology Mission, Ministry of Science & Technology, Building Materials & Technology

Promotion Council, Ministry of Urban Development, UNIDO, ESCAP, NTPC, HUDCO etc and

various parties from India and abroad have approached to procure turn-key plants.

Proposed Quality Policy for Production

With centralised quality policy for production’ high quality is ensured, Certification and

Product manufacturing standards. Total Quality through the entire product manufacturing and

delivery cycle will be achieved by following the compliance policy.

1. Compliance to IS: 12894–2002 for production of Fly Ash bricks.

2. Compliance to ISO 9001 and 14001.

Page 6: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

1.2

THE END OF TRADITIONAL RED BRICK INDUSTRY

Central Pollution Control Board (CPCB) has recognized the brick production industry as a highly resource and energy intensive and polluting industry owing to prevalence of obsolete production technologies. While, the clusters are the source of local air pollution affecting local population, agriculture and vegetation; at a global scale they also contribute to climate change.

The brick industry competes for resources with other sectors, which poses a significant challenge to the sector. Coal is one such resource that is required for the power, steel and other crucial sectors. Also, top soil or land which could be used for agriculture. The traditional kiln unit itself occupies considerable land area and is subjected to high temperature making it unfit for agricultural activities (after the site is abandoned). The fast depletion of arable land thus caused due to brick making is a matter of concern to India regarding food security.

With an average consumption of 18 tonnes of coal per 100,000 bricks, the brick sector consumes about 24 million tonnes of coal per year which is about 8 % of the total coal consumption of the country (third largest consumer after power and steel sector). In addition, it also consumes several million tonnes of biomass fuels. The share of energy in total cost of brick production is 35-50 %.

The large coal consumption of the brick industry is the cause of significant air pollution in terms of carbon dioxide (CO2), carbon monoxide (CO), sulphur dioxide (SO2), nitrogen oxides (NOx) and suspended particulate matter (SPM). The large amounts of coal used for brick firing also leave behind bottom ash as residue. The air pollution and bottom ash generated cause considerable health problems, especially related to respiratory health, while also causing damage to property and crops.

The Supreme Court of India issued a directive for discontinuing the movable chimney kilns and for all brick kilns to conform to new environmental norms. While this signalled a move in the right direction, due to lax monitoring mechanisms such kilns continue to function and flout environmental regulations. Additionally, while kilns with higher production levels and capital

Page 7: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

have the option to changeover to fixed chimney type BTKs, the small and medium scale brick entrepreneurs are confronted with environmental Regulation without having financially viable options to switch and thus continue to run polluting kilns.

Socio-Economic Issues

The workers in the brick industry are subjected to extreme working conditions and poor remuneration. Currently in India, brick manufacturing is a labour-intensive sector, with crude techniques causing considerable worker drudgery.

They are also exposed to high concentrations of Respirable Suspended Particulate Matter (RSPM), during monitoring and regulating the fire, as the furnace chamber is covered with ash (ash acts as insulator). As well as during the manual mixing of fly ash and clay and due to the open dumping and storage of fly ash.

Transportation of green and red bricks is done by a head load of 9 to 12 kgs causing health problems, especially in women. Even though the brick workers are exposed to these occupational hazards, coverage under any sort of insurance or medical facilities is virtually unheard of.

In the brick sector, labour is brought in through a contractor (from distant places). Since they are not on the payrolls of the kiln owner, they are not covered under the current labour laws, e.g. Minimum Wages Act. The work force is paid on basis of quantum of work and against completion of certain tasks such as moldings of 1000 bricks, transportation of 1000 bricks etc.

The seasonal nature of brick production generates employment for a limited period of six - seven months in a year. Majority of the workforce has no option, but to engage as labourers (generally as agricultural labourers) for the rest of the year.

The nature of the work requires skilled labour especially for molding and firing. There is large scale migration towards the major brick production clusters every season due to this. These tasks are traditionally handed down from father to son in the communities.

The last few years have seen a labour shortage as the newer generation does not want to be associated with the brick sector any longer. A phenomenon observed in certain clusters due to this shortage is the hoodwinking of entrepreneurs by labour by promising their services to multiple owners, taking advances and not turning up. Labour rates have also gone up driving down margins for kiln owners.

Page 8: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

1.3

FLY ASH BRICKS

Pulverized ash brick (PAB) technology is a process of converting industrial waste materials into quality building materials. At present, the technology is well established in converting thermal power plant waste into quality bricks.

PAB technology uses dry ash (fly ash collected from ESP or silos of thermal power plants); filler materials (usually coarse sand or stone crusher dust); and additives (lime, gypsum or cement). The strength of the bricks can be engineered by varying compositions.

Equipment used can be manual or mechanized. Mechanized machines deploy hydraulic compaction to produce a variety of bricks and can be operated through electric or diesel power.

Pulverized coal ash (PCA) is one of the major residues generated during the combustion of coal in thermal power plants. Though PCA is a waste product for the power sector, it's used as a raw material, primarily, in construction.

PCA is generally classified into three types depending upon its particle size and zone of collection.

‘FLY ASH’ is the extremely fine ash ‘flying’ along with flue gases is trapped in electro-static precipitators (ESP) and is collected. The relatively coarser ash generated at the bottom of the boilers is mixed with water, made into slurry and pumped into fill sites called ‘ash ponds’. This ash forms the bulk of the ash generated and is termed as ‘POND ASH’.

Depending upon the boiler design and efficiency, the ratio of fly ash to pond ash varies between 70:30 and 80:20. In some older and relatively inefficient thermal power plants, a coarser variety of ash is generated called ‘BOTTOM ASH’.

This has appreciable carbon content but cannot be collected separately. This is also mixed with pond ash and pumped to ash fill sites.

Page 9: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

1.4

FLY ASH BRICK INDUSTRY

The construction industry contributes to about 10 % of the Gross Domestic Product (GDP),

registering an annual growth of about 9 %. Clay fired bricks form the backbone of the

construction industry which is valued at approximately US$ 70.8 billion. The brick sector in

India, although unorganized, is tremendous in size and spread. India is the second largest brick

producer (China dominates with 54 % share) in the world. It is continuously expanding on

account of a rapid increase in demand for bricks in infrastructure and housing industries. In

order to meet this demand, over 150,000 brick units provide direct employment to more than

8 million workers. During the Ninth Five-year Plan period (1997-2002), the annual demand of

170 million bricks per year was estimated to be generating revenues of over US$ 4.8 billion.

GLOBAL BRICK CAPIBILITY INDIAN REGIONAL BRICK CAPIBILITY

Page 10: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

According to the report published by the census in March, 2011, the total population of the

country was 1,210,193,422. A total of 181 billion people increased from the previous census of

2001. Presently mostly populated states of India are

➢ Uttar Pradesh,

➢ Bihar,

➢ Maharashtra,

➢ West Bengal,

➢ Tamil Nadu and Madhya Pradesh.

BIHAR & WEST BENGAL

BIHAR needs over 7500 million bricks over the next five years just to meet the rural housing

gap of 1.1 million dwellings per year. Potential savings of 2.8 million tonnes of CO2e are

Page 11: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

possible while creating livelihoods for 0.35 million people by introducing cleaner production

systems.

BIHAR Industrial incentive policy (2011) Bricks units are not eligible for subsidy except for

mechanized units engaged in manufacturing refractory bricks and bricks from fly ash, red

earth, raw industrial waste material which can qualify for incentives. The older Industries

Incentive Policy, 2006 of Bihar excluded all brick manufacturing units from any incentives.

BIHAR state government has mooted an incentive policy to encourage the brick kiln owners to

produce bricks by using fly ash to prevent degradation of environment and infertility of land in

Bihar. The greater use of coal in production of bricks caused pollution and degrade

environment, besides damaging underground soil due to heat at and around brick kiln units,

he said.

Countries like China has banned brick production at coal-based units as a measure to protect

environment and encourage use of fly ash as an alternative raw material, The fly ash will be

available in abundance near the thermal power plants in the state in time to come and the

brick kiln owners will be encouraged to use raw materials for production of bricks.

The state government has developed policies also because Bihar has high Fly Ash because if

major thermal plant availability & sand for production of bricks as the natural material was

available in large quantity at the river beds in Bihar. The state government will prepare a new

sand policy for use and marketing of the raw material for revenue.

WEST BENGAL, The current yearly production of fly ash based bricks is 10 crores approx. The

Central and State Governments are greatly concerned about top soil erosion for the

production of massive quantities of clay bricks for enormous housing needs. The Ministry of

Power, Government of India, issued circulars to all concerned department and organizations

to promote the use of Fly-Ash in the production of building materials.

In West Bengal, presently has 65 major, fly ash based brick units are running. There are more

16 units up coming in 2013. With a single machine 20,000 bricks making are possible in two

shifts/ day. WEST BENGAL coastal area salinity level is very high. Mostly Fly Ash based bricks

are salinity free bricks. With the support of Govt, if supply of bricks in those areas may done in

West Bengal then the building strengths of those areas will increase and brick will also get the

Page 12: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

popularity. BIHAR, is capable of capturing this market as cost of production other supporting

production capability is high.

West Bengal Pollution Control Board had submitted a project proposal on “Capacity Building

for Efficient Utilization of Coal based Thermal Power Plants ash in the State of West Bengal” to

the Fly Ash Unit, Department of Science & Technology, and Government of India. Objective of

this project is to transfer the Knowledge for effective utilization of Fly Ash in Constructions

among the target groups.

Ministry of Rural Development through Indira Awas Yojana(IAY) undertake the project of

housing for rural poor with Centrally sponsored scheme where the cost shared between the

Centre and States on a 75:25 basis. In this kind of schemes or Yojana WEST BENGAL & BIHAR

state Govt. may use Fly Ash based bricks for housing to reduce the cost.

FLY ASH PROJECT SCALIBILITY

India generated 145,000 MW of power in 2008. 63% of it was from coal-based thermal power plants. During generation of the above, approximately 150 million tonne of pulverized ash was generated in 2008 alone. In India, low-ash high-grade coal is reserved for the metallurgical industry. Thermal power plants, therefore, are compelled to use high-ash low-grade coal with ash content that is often as high as 40% or more. This is the major source of generation of vast amounts of PCA. As the power requirement goes up in coming years and more power plants are built, the amount of PCA generated will increase and create more problems for safe disposal. It is estimated that by 2012, India will generate around 175 million Tonnes of PCA every year.

MINISTRY NOTIFICATION

The Ministry of Environment and Forests (through its notification published in the Gazette of

India, Part II, Section 3, sub section (ii), vide S.O. 763(E) dated 14th September, 1999) issued

Page 13: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

directives for proper utilization of fly ash discharged from coal or lignite-based thermal power

plants. The importance for restricting the excavation of top soil for manufacture of bricks and

promoting the utilization of fly ash in the manufacture of building materials and in

construction activity was recognized. It was notified that within a radius of 100 km from a coal

or lignite-based thermal power plant, all brick making units must compulsorily utilize 25% of

fly ash (by weight) This notification was supported by the High Court of Delhi in its order

dated 25th August, 1999 in Centre for Public Interest Litigation, Delhi v/s Union of India (CWP

No. 2145/99).

The highlights of the notification was

1. Use of fly ash, bottom ash or pond ash in the manufacture of bricks and other

construction activities.

a) Within a radius of 100 km from coal or lignite based thermal power plants, no person shall manufacture clay bricks, tiles or blocks (for use in construction activities) without mixing at least 25% of ash with soil on weight basis.

b) The authority for ensuring the use of specified quantity of ash shall be the concerned

Regional Officer of the State Pollution Control Board.

c) In case of non-compliance, the authority (in addition to cancellation of consent order issued to establish the brick kiln) shall move the district administration for cancellation of the mining lease. To enable the authority to verify the actual use of ash, the thermal power plant shall maintain monthly records of ash made available to each brick kiln.

2. Availability of fly ash for brick making

a) Every thermal power plant shall make available ash, for at least ten years without any payment or any other consideration for the purpose of manufacturing ash-based products.

b) Central and State Government Agencies, State Electricity Boards, NTPC and the management of the thermal power plants shall facilitate in making available land, electricity and water for manufacturing activities and also provide access to the ash

Page 14: Strategic business proposal   eent - green brick project - arunesh chand mankotia

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lifting area. This will promote and encourage setting up of ash-based production units proximate to the area where ash is generated by the power plant.

3. Specifications for use of ash based products

a) Every construction agency engaged in the construction of buildings within a radius of

100 km from thermal power plants shall use fly ash bricks in construction projects. It shall be the responsibility of the construction agencies (either undertaking the construction or approving the design or both) to ensure compliance.

Concluding the study snapshot If Fly Ash bricks can replace 50% of clay bricks then it will reduce emission of green house gas by 435,000 tons each year. Fly Ash based Bricks industries needs fragmented market that are serviced by plants located in the local area. The present utilization of Fly Ash in the country is nominal as compared to other advanced countries. Continuous effort is needed to increase the utilization of the Fly Ash in our country. There is a necessity in future for all Thermal Power Stations to utilize as much quantity of ash as possible to reduce the disposal problems. Bricks consumption has recorded a three- fold increase in last decade mainly due to step increase in demand from the housing segment Infrastructure and industrial construction from the other major consumer of the brick industry.

(1.5)

FLY ASH TECHNICAL & PRODUCTION SPECIFICATION

TECHNICAL SPECIFICATION

Sl.

No.

Items Conventional clay burnt

bricks

Fly Ash based bricks

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All Rights reserved -Arunesh Chand Mankotia - [email protected]

1. Dimension in

mm(LXWXH)

250mmX125mmX75mm 190mmX90mmX90mm 230mmX110mmX75

2. Colour Red Grey Grey

3. Basic

Ingredient

earth or clay fly ash fly ash

4. Density

(gm/cc)

1.60-1.70 1.80-1.90 1.80-1.90

5. Dry weight(in

kgs)

3.75-4.00 2.80-2.90 3.3- 3.5

6. Common

building bricks

compressive

strength

(kg/cm2)

50-65 70-90 75-100

7. Water

absorption (in

%)

15-25 10-15 10-15

8. Breakage 5-7 1/2 percent Less than 1% Less than 1%

9. Efflorescence present negligible negligible

10. Eco-friendly NO YES YES

11. Mortar saving:

During laying

During plastering

N.A

N.A.

10-15%

25-30%

10-15%

25-30%

Page 16: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

12. Carpet area savings per %

rmt

N.A.

N.A.

6.8m2 2.80m2

13. Brick requirement per %

sqm

Per % cum

4951

38,900

5065

50,000

4951

40,600

14. Labour Cost 20 – 30% 15 – 20% 15 – 20%

15. Quality Control Less possible 100% 100%

16. Outside plastering must May be avoided,

ruled pointing may

be applied

May be avoided,

ruled pointing may

be applied

17. Water treatment: Dipping

in water before use prior

brick work

Labour cost

involved(24 hours

must)

Labour cost nil Labour cost nil

18. Whether qualifies for

CMD in terms of Kyoto

Protocol

NO YES YES

FLY ASH BRICK PRODUCTION PROCESS FLOW

Page 17: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

Production Process Checks Centrally:

➢ Constant monitoring of moisture content in the mix.

➢ Observation of texture, dimension and height.

➢ Evaluation of curing time.

➢ Routine plant checks as per manual.

➢ Regular maintenance with qualified technicians.

(1.6)

FLY ASH BRICKS ADVANTAGES & COMPARISION

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ADVANTAGES

➢ Environment Friendly: GREEN brick uses unfired Fly Ash technology hence the CO2 emissions in the manufacturing process are limited & helps in conservation of precious top-soil.

➢ High Compressive Strength: Bricks composition, ensure that we achieve compressive strengths of 75-100 kg/sq.cm and above, which is 2-3 times the products in the market.

➢ Excellent Thermal Insulation: The buildings using fly ash bricks are cool in summers and warm in winters. The high insulating property, with low embodied energy, of our products reduces the energy consumption of the buildings significantly by as much as 40-50%.

➢ Excellent Sound Insulation: Fly ash bricks are sound absorbent and restrict sound transmission keeping the interiors very pleasant and quiet.

➢ Fire Resistance: Fire resistance of fly ash bricks is very high as these bricks are composed of fly ash as its major constituents, which is the un-burnt residue of the coal fired in a thermal power plant.

➢ Nil Efflorescence: Fly ash bricks resist salt and other sulphates attack, ensuring no efflorescence in the structure.

➢ More than 75% (by weight) post-industrial recycled materials are used in the manufacture of bricks. Fly-ash is a thermal power plant waste product and the Lime used in our bricks is also considered an industrial waste.

COMPARISION

.No Properties Puzzolana Flyash Bricks Conventional Clay Bricks

1 Basic Raw Material Pozzolan – Flyash Clay

2 Size & Quality Uniform ( Factory made) Uneven

3 Number of Joints in construction Less (uniform size) More (uneven size)

4 Mortar requirement Less More

5 Platering Less More

6 Direct Gypsum Plaster Possible Not Viable

7 Compressive strength More Less

8 Standards IS:12894 – 2002 IS:3495(Pt.I)1976

2. EENT PROPOSED PROJECT OVERVIEW

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All Rights reserved -Arunesh Chand Mankotia - [email protected]

Our core focus is to modernize the Brick industry with developing a team of traditional brick

producers and create a brand which aims in developing industry, market & regional growth.

EENT as a facilitator, coordinator & developer will evolve its strengths to have mass

production with cost & quality effective support system.

The demand is high and the current market & EENT market reach assures mass order which

aims mass production, our reason to initiate this project is based on the principle of

supporting the production, the key features are –

EENT role will focus on specific functions divided in three stages

Responsibilities EENT & Individual Manufacturers.

START UP OPERATIONS

OF GREEN BRICKS,

TRAINING, IMPLIMENTATI

ON & PRODUCTION

MANAGE OVERALL

PRODUCTION,OPERATIONS,

& COST EFFECTIVE MEASURES

FOCUS ON POST START UP

DEVELOPMENT AROUND THE

CONCEPT

EENT FACILITATES DEVELOPMENT OF LAND, PRODUCTION AND PROJECT

FINANCING

PLAN, SUPPORT FOR RAW MATERIAL, LOGISTIC,

ADMINISTRATIVE, MARKETING & TECHNICAL SUPPORT

MANAGE PROCUREMENT, R&D, CONTINUOUS DEVELOPMENT, LABOR

& OTHER AREA OF POLICIES & REFORMS

THE UNITS UNDERTAKE PRE & POSTPRODUCTION SOP,S & START ON

TARGET PRODUCTION

THE MANUFACTURER WILL MAINTAIN MAX PRODUCTION

TARGETS WITH EQUAL STANDARDS OF QUALITY IN

ACCORDENCE TO THE NORMS

DEVELOP MARKETING CHANNEL & CAPTURE ALL MAJOR

PROJECTS GOVERMENT/PRIVA

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All Rights reserved -Arunesh Chand Mankotia - [email protected]

2.1

INFRASTUCTURE

EENT propose to develop 250 Acres (11250000 SFT) of land at acquired coordinates into Fly

Ash Brick production zone. This development will be into two stages

(a) In the primary stage overall land development will be primary focus this would include –

➢ 250 Acres demarcated leveled land with defined boundary & commercial norms in

accordance to the Bihar State Land Act.

➢ Structured Road connecting the internal layout within boundaries built for

production & non production area.

➢ To start with CENTRAL production units with dedicated area of 50 Acre Area in first

phase, with internal road, water pipeline fittings, power point connection & carpet

area leveled to standards required for Fly Ash production area.

➢ 150 Acres of continuous development & 50 Acres, land dedicated to Raw Material

Storage, Central & Support function along with allotted Land for future development.

(b) Non production Area which is dedicated to support & Administrative and other

development activities.

➢ The 200 Acres of area will be analyzed in accordance to the stage wise structural &

on ground developments and the utilization aim is to create 360* support with cost

effective institutions around.

➢ Raw material storage will be a central effort where in EENT, will have in house mass

storage facility which will support in production efficiency along with cost margins

increase since transport cuts down & large scale procurement EENT, can assure

competitive price for production.

➢ Other allied facilities will be developed around the production minimizing the

production burden & productivity.

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MASTER LAYOUT DUMMY MAP (Not on scale)

(Production Area)

Administrative

&

Support Zone

Central

Storage Area

EENT FLY ASH PROJECT

PROPOSED LAND Total 250

Acres

Developmental

Land for Future Project Growth

FUTURE GROWTH

Total Area – 250 Acres

Total FUTURE Production Area -150 Acres

PHASE 1 – 50 ACRES PRODUCTION AREA

Total Area for Non production wing – 50 Acres

*MASTER LAY OUT IS IMAGINATIVE ONLY FOR CONCEPT UNDERSTANDING

STAGE (I) DEVELOPMENT KEY FEATURES

➢ Developed Roads connecting the internal infrastructure & multiple entries & exists in

accordance to convenience of transport.

➢ Defined Boundaries for all internal structure along with outer wall.

➢ 50 Acres of phase 1 production area developed.

➢ Water connections for all structures fitted, pipelines, reservoir, tanks.

➢ Power lines in accordance to the basic lighting & other appliances, ready further to

be connected to single line generator systems.

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SINGLE UNIT

Single unit operations will be contained with all operational facilities required –

➢ Land Built up area in accordance to the Machine, with specific pits for sub parts and

both cemented & dry floor within the facility.

➢ Shed for the machinery & equipments along with separate input & output existence.

➢ Central Storage of Fly Ash, in accordance to the eco norms the ash should not mix

with the air therefore compound where in fly ash will be kept safe & wet.

➢ CENTRAL Storage for Sand, Lime & Gypsum.

➢ Administrative Office will be central

➢ Worker Shed

➢ Generator & Power will be central

➢ Mics Shed for tools, equipment ect.

2.2

MACHINERY

The Standard machines after analysis of multiple manufacturers the standard brick production

unit in accordance to the Area, costing & production is 100 brick production plant with

following technical specifications & parts –

➢ Standard block (230mmx110mmx75mm) making automatic mechanism (4 blocks

per cycle)

➢ Automatic sliding mould filling hopper assembly

➢ Electronically operated hydraulic power-pack driven by 5HP, 3 phase induction

motor, hydraulic oil

➢ Mix feeding conveyor powered by 3HP, 3 phase geared induction motor with

input & output hoppers

➢ 2 separate pan mixer of capacity 300 kgs powered by 7.5 HP, 3 phase induction

geared motor

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➢ 1 part hydraulic brick shifting pallet truck

➢ 4 wheel barrows

Machinery Technical Specifications

Machine type Automatic Electrical power connection 23HP, 3 Phase(2 pan mixer-7.5HP,Conveyor-3

HP, MX-5HP) Rated production capacity 1000 blocks per hour

No. of Bricks per stroke 4 bricks( 230x110x75mm)

Weight(approx.) 610kgs Machine Process Automatic system

Materials mixing Automatic in pan mixer

ADDITIONAL EQUIPMENT

ITEM Quantity Specification

Wooden Pallets 300 Brick placement material

Helmets 10 2 Skilled + 8 Unskilled Labor Industrial Gloves 8 8 Unskilled Labor

Transferring of mix Conveyor

Feeding of mix automatic Block formation and ejection Automatic controlled electro hydraulic system

Bloke transfer Pallets on hydraulic truck Manpower 8

Total area required 950mseq

Semi covered 90-110mseq

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MACHINE LAYOUT MAP

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2.3

RAW MATERIAL

The Raw materials are the most important aspects of brick quality & strength makes the

product sellable, in accordance to the basic availability Fly Ash is mixed with gypsum, lime,

sand & lastly Construction cement in some special case as it increases the costs.

Mixing Formula

(a) Fly Ash (70%) + Sand (15%) + Gypsum (10%) + Lime (5%)

(b) Fly Ash (70%) + Sand (20%) + Gypsum (10%)

NOTE: The configuration is designed tailor made in accordance to physical properties of all the

material like strength ECT, the overall average deviation in the mixture component is 5 to 10

%.

Single Brick Analysis

➢ Standard brick size - 230x110x70 mm

➢ Standard weight – 3 Kgs

➢ Single brick weight division – Fly Ash (2.1 KGS) + Sand (0.45 KGS) + Gypsum (.30 kgs) +

Lime (0.15 Kgs).

Raw material production analysis

RAW MATERIAL PER HOUR (1000 Bricks)

PER DAY (20 HRS)

PER MONTH (29 Days)

PER YEAR (29*12 = 348 Days)

FLY ASH 2100 Kgs 42000 Kgs 121800 Kgs 1461600 Kgs

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SAND 450 Kgs 9000 Kgs 261000 Kgs 3132000 Kgs

GYPSUM 300 6000 Kgs 174000 Kgs 2088000 Kgs

SAND 150 Kgs 3000 Kgs 87000 Kgs 1044000 Kgs

Total KGS

Total Bricks

3000 KGS

1000 Bricks

60000 Kgs

20000 Bricks

643800 Kgs

580000 Bricks

7725600 Kgs

6960000 Bricks

2.4

POWER SUPPORT

The power is lifeline to this unit as being eco friendly no smoke production primary concern &

area of continuous up gradation. The entire Power management is divided into need base

analysis.

(a) Stage (I). The Immediate power consumption has been computed with overall

expenditure & it is still economical to work on Diesel powered generator for single units

for smooth & fast upward race to reach breakeven point to profits.

(b) Stage (II). Will carry out detailed study & implementation where in primary targets are

➢ Subsidised power under green projects after we have completed one financial circle.

➢ Solar based projects with secondary project which EENT is already in talks with

concerned authority.

➢ Private players will be brought in for power supply which is Stage (III).

The idea is to have all possible sources over a period of time will be introduced in the

operations and the cost effectiveness will be the key.

Calculations

FORMULA – 1.36 HP – 1 Kw. FORMULA – 25 HP Generator

0.746xHPXTime in hrs = unit. At full Load – 2.1 Ltr/per hour

Consumption Power Diesel consumption

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Single Unit 23 HP 25 KWA Generator At full load Per Day (20Hours) 224 Units (Approx) 42 Ltr

Per month (29 Days) 6477 Units (Approx) 1218 Ltr Per Year (348 Days) 2253880 Units 14616 Ltr

100 Unit Consumption (25 HP 100 Units) LOAD Litres per Day

Month Consumption

Year Consumption

2500 HP Full 420 Ltr 12180 Ltr 146160 Ltr

2.5

ADMINISTRATION

EENT will be managing administration of following divisions –

➢ Non production area with built up area, EENT monitored employees & property.

➢ Procurement operations

➢ Raw material storage facilities

➢ Other Institutions involved in the project coordination

➢ Other Vendors stationed inside the premises

➢ Management of Logistic, transport central arrangement

➢ Training, maintenance, technical support services

➢ Government Authorities common policies and compliance.

2.6

SALES & MARKETING

Sales & Marketing will be a prime function of EENT, as a one brand approach to the market

core focus is to target –

➢ Large scale projects as our production capacity of average 1200000 bricks per day from

100 units will bring huge difference.

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➢ Market monopoly of quality as the procedures, machines & raw material is sourced on

common ground which in current market is impossible.

➢ Target specific Government projects where in we can avail subsidies on supply.

➢ Competitive edge over other players as we have cheaper bricks with better quality at far

places like Delhi with huge demand and fluctuating rates.

➢ Target market within Bihar, West Bengal is huge as soil excavation is on to its end in

these areas. A big fact that West Bengal only produces 15 Cr Bricks average in on year

whereas EENT yearly production would be approx 36 CR.

➢ Strong NCR region with demand from Delhi & 300 km radius has huge demand,

Meerrut, Agra, Jaipur & other nearing borders.

➢ International destinations are again a big option on large deals as the Port is also at

favorable distance.

3. CENTRAL INDUSTRIAL SUPPORT

The part & parcel of area development plan EENT will invite support, services & manage

strategic operations of Procurement & Logistics.

(3.1)

RAW MATERIAL & STORAGE

➢ The set up will have central Storage and the support function for supply on daily basis,

master storage will be developed within the facility area, this is possible as we would

have mass procurement, measurement of consumption of raw material.

➢ Vendors will be given dedicated supply points for cutting down the supply chain & time.

➢ Mainly Storage will be for Fly Ash, Gypsum, Sand, Lime and standards required to store

& transport industrial waste. For mass Fly ash storage concrete or dome cylinder.

➢ With Thermal plant within current radius of 80 Kms & upcoming plant around 15 Kms,

the major component of brick has easy availability.

Storage Facility

STORAGE SINGLE UNIT PER YEAR

100 UNIT MONTHLY

100 UNIT YEARLY 7 DAYS FOR 100 UNITS

FLY ASH 7560 Tonnes 63000 Tonnes 756000 Tonnes 17640 Tonnes

SAND 1620 Tonnes 13500 Tonnes 162000 Tonnes 3780 Tonnes

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GYPSUM 1080 Tonnes 9000 Tonnes 108000 Tonnes 2520 Tonnes

LIME 540 Tonnes 450 Tonnes 54000 Tonnes 1260 Tonnes

➢ Total Consumption on overall production has to be computed between, Main Storage---

---Weekly Supply--------> Master Supply with the area --------Daily Supply----------------

Single unit mini storage.

➢ The quantity suggests having smooth supply chain which will aim 2 principles for storage

facilities wherein (I) Single Unit Should have surplus for a minimum of 2 weeks Reserves

with Daily or refilling after every 48 Hrs.

➢ The third division is of having main focus on Gypsum, Sand & Lime as Fly ash is fastest to

procure.

(3.2)

CENTRAL LOGISTIC MANAGEMENT

RAW MATERIAL TRANSPORTATIO

N

TOTAL KMS FROM

SOURCE TO STORAGE

SINGLE UNIT PER YEAR TRUCKS

REQUIRED

100 UNIT MONTHLY

TRUCKS REQUIRED

100 UNIT YEARLY TRUCKS

REQUIRED

7 DAYS FOR 100 UNITS

TRUCKS REQUIRED

FLY ASH 80 KMS 756 Trucks 6300 Trucks 75600 Trucks 1764 Trucks

SAND 10 KMS 162 Trucks 1350 Trucks 16200 Trucks 378 Trucks

GYPSUM 400 108 Trucks 900 Trucks 10800 Trucks 252 Trucks

LIME 54 Trucks 45 Trucks 5400 Trucks 126 Trucks

➢ The above calculations are based on 10 Tons storage standard transportation.

➢ Total Material to be Supplied for 1 Year for 100 Units – 1080000 Tonnes

➢ Total Trucks Required – 108000 per Year for 100 Units

LOGISTICS REQUIRED FOR SUPPLY OF BRICKS

TOTAL BRICK PRODUCTION

TOTAL BRICKS 100 UNITS

TOTAL WEIGHT TRUCK 10 TONNES

RAILWAY RACK 2600 TONNES

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100 UNITS CAPACITY

WEEKLY 8400000 BRICKS 25200 TONNES 2520 TRUCKS

1 RACK

MONTHLY 30000000 BRICKS 270000 TONNES 27000 TRUCKS

103 RACK

YEARLY 360000000 BRICKS 1080000 TONNES 108000 TRUCKS

415 RACK

*The calculations output transportation is calculated on actual weight which will have

variation 10-+ on actual.

(3.3)

MAINTENANCE

EENT will centrally manage the maintenance system which will be divided in wings.

(a) The Unit production will be under yearly maintenance contract where in regular

servicing, a team of Mechanical, Electrical & Civil Engineers will be supporting

production on 24/7.

(b) Breakage & machine faults will be taken care of in emergency basis, the annual contract

along with specific services will be charged a fee yearly. Added the team of engineers

will work closely with training department & single unit supervisors to ensure correct

handling of machine.

(c) Standard Machine for all units will be on Warranty/Guarantee & under insurance to

streamline maintenance and save added costs to unit owners.

(d) EENT will have a Vendor management department which will handle required outside

support for maintenance for equipment like Generator Ect.

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(3.4)

TRAINING & TECHNICAL SUPPORT

Training & technical support will be prime focus of EENT, the material & practical training will

be serviced with structured system.

(a) In primary start up time EENT, will focus on post installation of the plant training & on

job support for (30 Days) & will upgrade the production levels.

(b) Post production time to time new staff & up gradation training throughout. Focus on

special training to Skilled, Un-skilled labor & supervisor in accordance to role & work

efficiency.

(c) Technical team will also keep upgrading the production standards on new best practices

to develop better quality & quantity across all units.

Page 32: Strategic business proposal   eent - green brick project - arunesh chand mankotia

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(3.5)

INDUSTRIAL SYNERGIES

With vast project reach EENT, proposes to develop all round synergies across industry building

partnerships which add value to the system & selective functions.

(a) Proposed banking institution with allotment of operations within Institution, with huge

business, payroll management & other daily transactions multiple bank policy will be

reviewed to shortlist the best suited terms for production units & EENT.

(b) Proposed project of Inviting partners weather in form of Investors or power

management system for production

(c) With a consumption of 756000 Litres per 100 units per year EENT can allot Diesel supply

unit within the production support zone.

EENT POST INSTALATION 30 DAYS ON

PRODUCTION TRAINING & TECHNICAL SUPPORT

POST PRODUCTION

TECHNICAL & NEW STAFF TRAINING, UPGRADATION

TECHNICAL SUPPORT

CONTINUOUS UPGRADES WITH

INCLUDING IN HOUSE TECHNICAL TEAM & R&D FACILITY WITH

THE ZONE

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(d) Basic area will be allotted to other labor friendly services with common medical aid,

labor based services, canteen services Ect.

4. FINANCE

EENT will be extending support for overall project from financial perspective. EENT registers

the 250 Acres acquired land in accordance to the project & Industrial guidelines.

(a) The overall project finance will be divided in yearly growth plan dividing major funding

in initial year to build the entire area and further increase production capability yearly.

(b) EENT will fund its growth with yearly net profit & will calculate the differential to

allocate further investment in ratio of returns annually.

(c) The calculations on costing for overall project are divided into –

➢ Developed land along with primary year production set up

EENT

INDUSTRIAL

SYNERGIES

POWER MANAGEMENT

SYSTEM, FUNDS/TECHN

OLOGY

DIESEL SUPPLY & OTHER ELECTRIC

ALLIED SERVICES

MEDICAL, CANTEEN &

OTHER LABOR SERVICES

BANK ING SERVICES

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➢ Unit development (Shed, Machinery, Equipment Ect)

➢ Raw material expense & operating costs for 6 months

(d) EENT will have funding procedures regulated for all units on similar terms & conditions,

the units will have to follow the target projections based on what loan returns will be

defined.

➢ The funding will be at overall project level & production capibility, the funding option for

this project is wide All India Financial institutions, These include IFCIP ICICI, and IDBI, the

three oldest general term-lending institutions (ICICI and IDBI have been transformed

into banks in recent years), institutions like Exim Bank, IL&FS, Power Finance

Corporation, IDFC, and SIDBI, and insurance companies (tIC and GIC) with marginal

exposure to term-lending. State Level Institutions, Industrial Development Corporation

(SIDC) and a State Financial Corporation (SFC) which is refinanced by IDBI.

➢ Private Banks, Non- banking financial corporation & Private funding firms.

➢ The interest terms will fall between 12.75% to 16 % in accordance to the current 2013

market standards of Banks, NBFC, financial investors & private funding sources.

5. PROJECT ESTIMATION

The estimation for all assumptions has been calculated on ground pricing with December 2013

market rates.

LAND AND BUILDING

( Amtt. In Rs.)

Area Rate

(in acres)

Page 35: Strategic business proposal   eent - green brick project - arunesh chand mankotia

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A LAND AND DEVELOPMENT

LAND 250 800000 200,000,000

Land Development 250 40000 10,000,000

SUB TOTAL 210,000,000

B TECHNICAL CIVIL WORK

Factory Building & shed 25 4840000 121,000,000

SUB TOTAL 121,000,000

Esclation Cost 5% 16,550,000

Total A + B = 250.00 347,550,000

PLANT & MACHINERY

Sl. Particulars Qty Rate Amount No, Nos. in Rs.

1 Brick smith machine 100 1,200,000 120,000,000

2 wooden Plates 40000 400 16,000,000

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3 Generator 25 KVA 100 500,000 50,000,000

Add : Tax on machine 5% 6,000,000

Transportation 3,000,000

SUB TOTAL 195,000,000

B office Equipments

Computers & Softwares 100 50000 5,000,000

SUB TOTAL 5,000,000

C office Furniture

Office Equipment, Furniture plus

Other Equipment & Accessories LS 2,000,000

TOTAL A+B+C 202,000,000

Pre Operative expenses 3,000,000

UTILITIES Monthly Yearly

Sl. Particulars Qty Rate Amount Amount No, Ltrs in Rs. in Rs.

1 Diesal 480000 52 24,960,000 299,520,000

2 Water charges LS 2,000,000

24,000,000

Total

26,960,000 323,520,000

Annual Charges

Year Capacity Amt Amt

Utilisation (monthly). (Annual in lacs) I 80% 21,968,000 2,636.16

II 80% 21,968,000 2,636.16 III 90% 24,464,000 2,935.68

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IV 90% 24,464,000 2,935.68 V 90% 24,464,000 2,935.68

MAN POWER REQUIRMENTS IN THREE SHIFT OPERATION

Sl. Designation Number Rate Salary No. (Rs./Month)

A. ADMINISTRATION : General Manager 50 28,000 1,400,000

C.A. 25 25,000 625,000

Accountants 100 15,000 1,500,000 Office Attender 200 8,000 1,600,000

Legal consultant 10 20,000 200,000

SUB TOTAL 385 5,325,000 Including Fringe Benefits 10% 5,857,500

B. PRODUCTION : Chemist 50 15,000 750,000

Supervisor 200 15,000 3,000,000 Machine Operator 200 10,000 2,000,000

Skilled Workers 200 10,000 2,000,000

Unskilled Workers 3000 8,000 24,000,000 3,650 31,750,000

Benefits 10% Rs. 3,175,000 Total Varaiable Wages 34,925,000

GRAND TOTAL 40,782,500

Total Annual Salary Fixed 70,290,000

Total Annual Wages-Variable 419,100,000 Total Annual Salary Expenses 489,390,000

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Year Capacity Utilisation

Rs. in lakhs With increase of 10% p.a.

I 80% 405,570,000 405,570,000

II 80% 405,570,000 446,127,000 III 90% 405,570,000 446,127,000

IV 90% 426,525,000 469,177,500

V 90% 426,525,000 469,177,500

Note:- An approx increase in Slary & wages of 10% p.a. has been considered in above calculation.

CONSUMABLE STORES

Sl.No. Particulars Amount

1 Grease and Lubricants

1,000,000

2 Stores and Parts 1,000,000

Total

2,000,000

Year Capacity Amount

Utilisation (In lacs)

I 80% 16.00

II 80% 16.00 III 90% 18.00

IV 90% 18.00 V 90% 18.00

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OTHER EXPENSES

Printing and Stationery 12,000,000

Insurance Charges 1,800,000 Miscellaneous Expenses 24,000,000

Advertisement and Sales Expenses 180,000,000 Transportation 2,000,000

Total 219,800,000

Yr 10% increment 1 2,198 2,198

2 219,800,000 2417.8 3 219,800,000 2659.58

4 219,800,000 2925.54

5 219,800,000 3218.09

Mixture of Raw Material

Material %age Rate/kg Cost of per Brick of 3 Kg

Fly Ash 70.0% 0.20 0.42

Cement 0.0% 6.50 0 Coarse Sand 15.0% 0.40 0.18

Lime Vergin 5.0% 2.50 0.375 Gypsum 10.0% 3.00 0.9

Total 100.0% 1.875

INSTALLED ANNUAL CAPACITY

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Year Item Qty Capacity Actual Rate Annual expenditure

Utilisation

Production Rs. Ps.

I Raw Material

835200000

Nos 80% 668160000

Nos 1.88 1,252,800,000

II Raw

Material 835200000

Nos 80% 668160000

Nos 1.88 1,252,800,000

III Raw Material

835200000

Nos 90% 751680000

Nos 1.88 1,409,400,000

IV Raw Material

835200000

Nos 90% 751680000

Nos 1.88 1,409,400,000

V Raw

Material 835200000

Nos 90% 751680000

Nos 1.88 1,409,400,000

PHASED REVENUE PROGRAMME

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INSTALLED ANNUAL CAPACITY

Year

Item Qty Capacity Actual

Rate Annual Revenue

Utilisation

Production Rs. Ps.

Realisation

I Bricks 835,200,000

Nos 80% 668160000

Nos

4.25 2,839,680,000

II Bricks 835200000 Nos 80% 66816000

0 Nos

4.25 2,839,680,000

III Bricks 835200000 Nos 90% 751680000

Nos

4.25 3,194,640,000

IV Bricks 835200000 Nos 90% 751680000

Nos

4.25 3,194,640,000

V Bricks 835200000 Nos 90% 75168000

0 Nos

4.25 3,194,640,000

PARTICULARS Requirments 1st year 2nd year 3rd year

4th year

5th year

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in days Sundry Debtors 30 2366.40 2366.40 2662.20 2662.20 2662.20

Power 60 439.36 439.36 489.28 489.28 489.28

Salary and wages 30 337.98 371.77 371.77 390.98 390.98

Consumable Stores 30 1.33 1.33 1.50 1.50 1.50

Repair and Maintenance 15 2198 2418 2660 2926 3218

Other Administrative Expenses 60 2.00 2.40 2.88 3.46 4.15

Contingency 10.00 10.00 10.00 10.00 10.00

Total 5355.07 5609.07 6197.21 6482.96 6776.20

PROJECT COST AND SOURCE OF FINANCE (Amtt. In Rs. )

COST:

Land including Developments 210,000,000

Technical Civil Work for Factory Building 121,000,000

Plant & Machinery 202,000,000

Preliminary And Pre-operative Expenses 3,000,000

Operating Capital

535,506,833

Total 1,071,506,833

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SOURCES :

SPV Contribution 1,500

Bank Loan 9,215

Total 10,715

DEPRECIATION - WRITTEN DOWN VALUE METHOD

Particulars 1st year 2nd year 3rd year 4th year 5th year

Land

Building and Civilwork:

Opening Balance 121000000 114950000 109202500 103742375 98555256

Less: Depreciation @

5% 6050000 5747500 5460125 5187119 4927763

Closing Balance 114950000 109202500 103742375 98555256 93627493

Machinery and Equipment

Opening Balance 197000000 177300000 159570000 143613000 129251700

Less: Depreciation @

10% 19700000 17730000 15957000 14361300 12925170

Closing Balance 177300000 159570000 143613000 129251700 116326530

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computers & Softwares

Opening Balance 5000000 4000000 3200000 2560000 2048000

Less: Depreciation @

40% 1000000 800000 640000 512000 409600

Closing Balance 4000000 3200000 2560000 2048000 1638400

Total Depreciation 26750000 24277500 22057125 20060419 18262533

Depreciated value 296250000 271972500 249915375 229854956 211592423

INTEREST AND REPAYMENT ON TERM LOANS

0.00

A Name of Institution-Bank ………………………….. BANK

B Term Borrowing Amount 9215.07 Lacs

C Repayment Term (Years) 5 Years

D Repayment Instalments 20.00 Instalments

E Repayment Commencement Year - 1; 1st Qtr.

F Rate of Interest(General) 12.75% p.a.

F Rate of Interest(Initial) 0.00% p.a.

G Apply Gen. Int. Rate from Year 1 Quarter :: 1

H Interest Calculation Quarterly

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Operating Year

Period Ended

Repayment Outstanding Interest Outstanding at the End

Year wise Principal Repayment

Quarter Ended

1-2 1.00 0.00 9215.07 293.73

2.00 0.00 9215.07 293.73 3.00 737.21 8477.86 270.23

4.00 737.21 7740.66 270.23 TOTAL : 1474.41 1127.92 7740.66 16.00%

2-3 1.00 414.68 7325.98 246.73 2.00 414.68 6911.30 233.52

3.00 414.68 6496.62 220.30 4.00 414.68 6081.95 207.08

TOTAL : 1658.71 907.63 6081.95 18.00%

3-4 1.00 506.83 5575.12 193.86

2.00 506.83 5068.29 177.71 3.00 506.83 4561.46 161.55

4.00 506.83 4054.63 145.40 TOTAL : 2027.32 678.52 4054.63 22.00%

4-5 1.00 506.83 3547.80 129.24 2.00 506.83 3040.97 113.09

3.00 506.83 2534.14 96.93 4.00 506.83 2027.32 80.78

TOTAL : 2027.32 420.03 2027.32 22.00%

5-6 1.00 506.83 1520.49 64.62

2.00 506.83 1013.66 48.47 3.00 506.83 506.83 32.31

4.00 506.83 0.00 16.16 TOTAL : 2027.32 161.55 0.00 22.00%

Total Loan

9,215.07

3,295.65

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amount Note : Repayment is considered as being made at the end of the period

PROJECTED BALANCE SHEET (Rs. in lakhs)

Particulars Zero Date Ist Year 2nd Year 3rd Year 4th Year 5th Year

A. Fixed Assets : Gross Block 5330.00 5330.00 5062.50 4819.73 4599.15 4398.55

Less : Depreciation 0 267.50 242.78 220.57 200.60 182.63 Net Block A 5330.00 5062.50 4819.73 4599.15 4398.55 4215.92

B Current Assets : 1.Working Cap. 0 5355.07 5609.07 6197.21 6482.96 6776.20

2. Cash and Bank Surplus

5355.07 2633.80 4540.11 6888.37 9366.03 11804.23

Total Current Assets

5355.07 7988.87 10149.17 13085.58 15848.99 18580.43

C Misc.Assets Preliminary Exp. 30 24.00 18.00 12.00 6.00 0.00

D. Total Assets(D = A + B+ C)

10715.07 13075.37 14986.90 17696.73 20253.54 22796.35

E. Capital 1500.00 1500.00 1500.00 1500.00 1500.00 1500.00

F. Bank Loan 9215.07 7740.66 6081.95 4054.63 2027.32 0.00

G. Accumulated Profits 0 3834.72 7404.95 12142.10 16726.22 21296.35

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H. Total Liability 10715.07 13075.37 14986.90 17696.73 20253.54 22796.35

ROI 29% 24% 27% 23% 20%

CASH FLOW STATEMENT

Particulars Construction

Period Ist Year 2nd Year

3rd Year

4th Year 5th Year

A. Source Funds :

1. Opening Balance 0.00 2633.80 4540.11 6888.37 9366.03

2. Cash Accurals during Year

(Net Profit after Tax)

0 3834.72 3570.24 4737.15 4584.12 4570.13

3. Increase in capital 1500.00 0.00 0.00 0.00 0.00 0.00

4. Depreciation 267.50 242.78 220.57 200.60 182.63

5. Bank Loan 9215.07 0.00 0.00 0.00 0.00 0.00

6.Preliminiray Exp. W/off

6.00 6.00 6.00 6.00 6.00

Total Sources 10715.07 4108.22 6452.82 9503.83 11679.09 14124.79

B. Disposition of Funds :

1. Preliminary and Pre- 30.00 0.00 0.00 0.00 0.00 0.00

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operative Expenses

2. Increase in fixed assets

5330.00 0.00 0.00 0.00 0.00 0.00

3. Loan Payment 1474.41 1658.71 2027.32 2027.32 2027.32

4. Increase in Operating Capital

0.00 0.00 254.00 588.15 285.74 293.25

Total Disposition 5360.00 1474.41 1912.71 2615.46 2313.06 2320.56

C. Net Surplus (A -B) 0.00 2633.80 4540.11 6888.37 9366.03 11804.23

6. MARKET DEMAND ANALYSIS

TOP BRANDS WITH LARGE REQUIREMENT OF FLY ASH PRODUCTS

3F Group A2Z Action Adani

Aditya Birla Adventz Agrigold Alchemist

Alcon Ambuja Ansal Apeejay

Ashok Piramal Bafna Bajaj Bharti

Binani Chettinad Chitale Chokhani

Chowgule DLF DS Empire

ERA Escorts Essar Essel Group

Express World Future GMR Godrej

Hero HNG IL&FS Indage

IVRCL Jaypee Jindal Kalpataru

Karvy Kohinoor L&T Lanco

Liberty M2K Mahindra Mayar

MGF Murugappa Group Muthoot Natvar Parikh

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All Rights reserved -Arunesh Chand Mankotia - [email protected]

Navayuga NSL OM Pailan

Punj Lloyd Raheja Ram Ratna Ramky

Reliance Ruchi Ruia S R Jindal

Sahara Sai Prasad Saint-Gobain Sandesara

Sanghi Group Semco Shrachi Shriram

CITY WISE RESIDENTIAL & COMMERCIAL CONSTRUCTION COMPANIES

City No of Cos

Mumbai 189

Bangalore / Bengaluru 154

Pune 141

Hyderabad 68

Chennai 126

New Delhi 168

DELHI NCR AVERAGE BRICK & BLOCK ORDERS WHICH CAN BE AQUIRED

➢ L&T – Has projects across NCR where in the average demand we can target is between

20 – 30 Cr. bricks per year.

➢ DLF – Has projects across NCR with main focus towards Gurgaon – Jaipur belt, EENT can

target an order of a minimum of 10 Cr Bricks/Blocks average per year.

➢ Jaypee – Major projects in Noida, UP area, can estimate 5 Cr Bricks per year.

➢ Amrapali Group – Major projects in Noida & Gaziabad, Merrut Strip, we can have an

average target of 20 to 30 Cr bricks yearly

➢ Supreme Infratech – Major projects across NCR & major Government projects, we can

aim 20 – 30 Cr Bricks yearly.

Page 50: Strategic business proposal   eent - green brick project - arunesh chand mankotia

All Rights reserved -Arunesh Chand Mankotia - [email protected]

This is on ground study of actual orders in the market with an average rate ranging between Rs

4.65 to Rs 4.90 per brick. Further to this we can achieve 60 to 100 Cr brick order over a period

of 3- 6 months of marketing on ground.

THANK YOU

EENT GREEN PROJECT TEAM

The project was developed for the world’s first structured Fly Ash Industrial area & Research Centre in India.

All the financial calculations & quotations are in accordance to FY-2014-15.

All Rights reserved -Arunesh Chand Mankotia

[email protected]