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RAW MATERIALS & CONSUMABLES

Assumptions Cost of Clinker Production of clinker is Rs 1233/ton if sold at 0-36% profit margin Cost of Rail Transportation is 767/ton as per standards by Indian railways (Average distance 790 Km) Rs 50/ton To be procurred from RCF,Mumbai including Freight Cost Lubricants,spare parts etc Total 38 KWH/tonn is required and Cost is Rs 3/KWH Total manpower cost is estimated Rs 7.17 Cr for direct employement of 228 persons and indirect employment of 1000 persons) Indirect labor, Indirect material,Property insurance premium

Cost Per Bag (In Rs)

Clinker

44-60

Clinker's Freight cost Fly Ash

27 2.5

Gypsum Consumables Power Wages & Salaries

2 1 6 1

2 3 6

Factory Overheads Admistrative Expenses Packing Expenses

Selling & Distribution Expenses Ex Factory Realization Per Bag VAT Excise Freight

Need to incur expenses to create its channel network ,brand awareness etc

8 102-118

Octroi Channel margin Total Cost of Bag

12.5% on retail price (Rs 251) 10.3% on retail price (Rs 251) Average rate via road (Key markets within 200 Km Can be exempted if Mega project status ( Project greater than investment cost of Rs 250 Cr and employment of 500 persons) is given

28 26 17

6 15 179-195

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