Project Report: Corrugated Kraft Paper Boxes

PROJECT REPORT
on
CORRUGATED KRAFT PAPER BOXES
Submitted by:
__________________________________
__________________________________
__________________________________
CONTENTS
________________________________________________________
CHAPTER NOS. PARTICULARS SHEET NOS.

________________________________________________________
I. Project Summary
II. Introduction
III. About the Promoter
IV. Product Description
V. Market Potential
VI. Manufacturing Process & Process Flow Chart
VII. Economics of the Project

Covering:-
Basis & Presumptions
Land
Building & Structures
Plant, Machinery & Equipment
Misc. Fixed Assets
Total Cost of the Project
Means of Finance
Term Loan, its repayment & interest schedule
Working capital & margin money
Staff & Labor requirements and their bill
Raw Materials & Consumables
Power/water
Depreciation
Repairs & Maintenance
Insurance
Sales Expenses
Projections of Performance & Profitability
Break-even-point Analysis
Cash flow Statement
Projected Balance Sheet
Debt-service Coverage Ratio
________________________________________________________
________________________________________________________
APPENDIX PARTICULARS SHEET NOS.

________________________________________________________
I. Sources of Plant & Machinery

Availability
II. Sources of Raw Material

Availability
III. Existing Manufacturing Units
IV. Important Addresses
________________________________________________________
CHAPTER - II
PROJECT SUMMARY
1. Name of the Applicant :
2. Father’s/Husband’s Name :
3. Constitution :
4. Address :
5. Size of the Plot : 1000 sq.mts.
6. Location :
7. Covered Space : 500 sq.mts.
8. Proposed Project to be set-up : Corrugated Kraft Paper Boxes
9. Type of Industry : Paper Packaging
10. Major Raw Materials : Kraft Paper, Gum, Wire, Ink etc.
11. Employment Potential : 23 Persons
12. Power Load : 40 KW
13. Total Project Cost:-

a. Cost of Land : 5.50
b. Building & Structures : 18.75
c. Machinery & Equipments : 25.27
d. Misc. Fixed Assets : 4.85
e. Preliminary & Pre-

operative expenses : 4.41
f. Contingencies/Price-
escalation : 1.10
g. Margin Money for

Working Capital : 10.59
__________________
Total : Rs. 70.46 Lakhs
__________________
14. Means of Financing of the Project:-
a) Term Loan from Bank/State

Financial Corporation : 40.00
b) Promoters’ Contribution : 30.46

including Unsecured Loans
from friends/relatives
__________________

__________________
Promoters’ Share to Project Cost : 43.23%
Debt-service Ratio : 1.31 : 1
15. Annual Profitability (at

(60% efficiency, 1st year):-
a) Annual Sales Revenues : Rs.175.50 Lakhs
b) Net Profit : Rs. 10.47 Lakhs
c) Percentage Profit on Sales : 5.96%
d) Annual Return on Investment : 14.85%
e) Average Break-even-point : 49.17%

CHAPTER - II
INTRODUCTION
Corrugated Kraft Paper Board Box is the most popular shipping

container, now-a-days.
The boxes find their number of applications in the packaging of:
Packaged Drinking Water

Refined Vegetable Oils
Confectionery Products
Tobacco & it’s products,
canned & bottled goods,
food products,
lamps,
electrical appliances,
engineering goods,
Chemicals & drugs,
Stationery Items
glasswares etc.
CHAPTER – III
ABOUT THE PROMOTER
The promoter of the proposed unit is highly educated, financially sound

and possess rich experience in the same field. After thorough study of the
market demand of the project, he is keen to set up a manufacturing unit for
the same.
BIO–DAT A
Name :
Father’s Name :
Date of Birth/Age :
Address, residence :
Qualification :
Experience :
Financial Background :
CHAPTER - IV
PRODUCT DESCRIPTION & APPLICATIONS
Introduction
Corrugated Kraft Paper Board Box, technically called Corrugated

Fibre Board Box is the most popular shipping container, now-a-days. The
box is manufactured from corrugated board which consists of 3 or more
layers of kraft paper. The middle fluted layer is pasted with two flat
parallel sheets of paper. The boxes find their number of applications in the
packaging of chemicals & drugs, tobacco, engineering goods, canned &
bottled goods, food products, lamps, electrical appliances, glasswares etc.
Packaging plays a very important role in the country's economy.

Till recently only the western world, more particularily the developed
countries cared about proper packaging. However, now even developing
countries like India have changed their outlook towards packaging and in
the last few years increasing stress has been laid on improved and proper
packaging. In fact, today, packaging is as important as the contents.
Corrugated boards were first produced in India in early fifties. Since

then the production of Corrugated boards has increased steadily.
Corrugated boxes have replaced wooden boxes & crates in many
applications. Today, about 80% of all shipments in the world are being
made in fibre board boxes. In India, about 60% of the packaging is being
done with corrugated fibre board boxes.
Corrugated Board:-
Corrugated fibre board consists of a flat layer of paper sheet (liner)

glued on one or both sides of a corrugated paper (medium). The
corrugated board is made by passing two layers of paper (usually kraft)
through corrugating machine. One layer of paper becomes corrugated after
being passed thro' the heated rolls and other is brought into contact with
it after the former having glued at tips.
The corrugating 'medium' is generally made from a 0.009" thick (9

caliper) or 0.23 mm. The glue frequently used is starch or silicate of soda
adhesive. When only one liner is used, the product is known as "Single face"
or "two ply" board. This board is flexible in one direction. When the
corrugated medium is combined on both sides with flat sheets, it is known
as double faced or "3-ply board".
Advantages of Corrugated Fibre Board Boxes :-
Corrugated fibreboard boxes have replaced the wooden and tin

containers due to their several advantages for safe transportation of the
goods. These are discussed here under :
1) Light in weight (freight advantage)
2) Cellular structure with high compressive strength, resiliency & shock

resistance. Assured safety to delicate articles.
3) Can be stored conveniently in folded condition when not in use,

thus saving storage space.
4) Can be attractively printed, thus advertising

advantage.
5) By lining, lamination or coating, they can be made water resistant

and resistant to other adverse conditions.
6) Easy to fabricate.
7) Contents packed in these boxes remain dust free.
8) Available through out the year. .pa
9) Expedites production due to one line conveyor packing.
10) Re-usable
11) No strapping necessary
12) Desired in export market
13) Eliminated dependency on natural wood.
Applications:-
Corrugated fibre board boxes are being used for the packing of
industrial as well as consumer goods. They are used for packing of
chemicals, drugs, tobacco, engineering goods, canned and bottled
goods (such as Whisky, Beer, Soda, Drinking Water, Ketchups etc.), food,
electrical appliances, confectionary, textiles, fruits, vegetables,
potteries, footwear, glasswares and other fragile items, medical
instruments, photographic equipments and a number of other products.
The use-pattern of corrugated board containers is approximately as
follows :-
(%)
Chemicals & Drugs 20
Tobacco 20
Engineering Goods 10
Canned & bottles goods 10
Light Engg.Products & Lamps 8
Electrical products 5
Confectionery 3
Textiles 2
Other (including fruits,
potteries etc.) 22
_____________
100
_____________
Some of the products where corrugated fibreboard boxes find
extensive application are:-
1. Pharmaceuticals.
2. Glassware, crockery ware
3. Soaps & Cosmetics
4. Biscuits
5. Hosiery & ready made garments
6. Electronic products
7. Breweries
8. Cigarettes
9. Footwears
10. Toys
11. Milk products & other food items

12. Tea & Coffee
13. Automobile components
14. Rubber & rubber products
15. Engineering items and consumer durable like
refrigerators, TVs, Air Coolers, fans etc.
16. Stationary items

17. Match boxes
18. Frozen fish
19. Apple, cherry, grapes etc.
20. Cashew nut industry
It would not be an exaggeration if one states that practically every

product at some or the other stage, has to be packed in corrugated paper
board or box. Usually, at the manufacturer/wholesaler’s level the individual
units of a particular item are packed together in a carton/corrugated box for
the sake of convenience in handling/transporting.
The strength or weakness of corrugated paperboard depends upon the
member of ply, which vary from 2 ply to 9 ply. The higher the member of
the ply, the thicker and stronger will be the board. However, the strength
required will depend upon the purpose for which the corrugated board/box is
to be used. For example, to pack vials and tubes, a thinner quality or lesser
ply corrugated board would serve the purpose, while packing of a television
set or an air-conditioner will require a very sturdy corrugated box with
maximum ply. Similarly for electric lamps, a 2 ply flexible board is used.
The unit shall manufacture corrugated boxes of varying plys to suit

various needs.
Indian Standard
Specifications
Indian Standard Specifications:-
Bureau of Indian Standards (earlier known as Indian Standard

Institute, ISI) has published following Indian Standards on the industry:-
1. 2771 Fibre-board boxes

Part-1 Corrugated Fibre Board Boxes
Part-2 Solid fibre board boxes
2. 10066 Corrugated fibre board boxes for packing of Cigarettes.
3. 11844 Corrugated fibre board boxes for transport packaging of

apples.
4. 7151 Corrugated fibre board boxes of Internal dimensions 890 x

380 x 560 mm for para dropping of supplies
5. 7063 Methods of Test for Corrugated fibreboard

Part-1 Thickness of Board
Part-2 Edgewise crush resistance of board
Part-3 Water resistance of glue bond by immersion
Part-4 Determination of substance of the component papers after
separation.
However, for complete up-to-date information, it is advised to contact

Bureau of Indian Standards, Manak Bhawan, 9-Bahadur Shah Zafar Marg,
New Delhi-110002.
CHAPTER - V
MARKET POTENTIAL
The paper and paperboard industry has grown over the years to meet
the ever-increasing need for paper as well as paperboard. This industry is
more than a century old.
Specific statistics are not available in respect of production in the

small-scale sector. However, an important parameter for gauging the
market potential for the products envisaged in this scheme is to ascertain
the overall growth in the economy in general with particular reference to the
growth of user industries that require corrugated board/boxes.
A look at the user industries indicates that they have generally grown
over the years and as per indications will continue to growth in the coming
years as well.
Consequently, the demand for corrugated paper board/boxes will also

continue to be buoyant. A peculiar feature of this industry is that on the one
hand there are several units in the large as well as small-scale sectors, which
are sick and unable to function properly, while on the other-hand several
units are flushed with orders and are working to capacity.
An important factor for successful undertaking of corrugated paper
board/boxes is the capacity to procure orders from bulk users on contract
basis. Only large and regular orders will ensure stability to the unit.
Through the market potential for these products can be considered to

the fairly good, much will depend upon the marketing strategy adopted
by an individual entrepreneur.
CHAPTER - VI
MANUFACTURING PROCESS
The process of manufacture of corrugated fibreboard & boxes is quite

simple. The unit mainly comprises of two sections viz. corrugated board
making and box making section.
MANUFACTURE OF CORRUGATED BOARD
Corrugated board is made of a corrugated paper sheet of paper glued

to the facings of flat-paper, usually kraft. A corrugating machine is employed
for the corrugation of flat sheet and preparation of corrugated flexible 2 ply
board. The machine is called as single-face corrugating machine. One layer
of paper becomes corrugated after passing through the heated fluted rolls
and the other is brought in contact with the former having been glued at the
tips. These two sheets get pasted together and are wound in rolls. The
resulting roll is known as single face or 2-ply corrugated board.
By cutting this roll with board cutter machine; glueing the corrugated
side on pasting machine & then placing 3rd ply of paper over it, double
face or 3-ply corrugated board is produced. Similarly, board to board can
be pasted to form thicker boards i.e. 5-ply, 7-ply and 9-ply boards.
MANUFACTURE OF BOXES
The corrugated board produced as above is dried (for drying of glue)

and may now be processed further to produce-corrugated boxes.
The size of a box is always given in terms of the inside dimensions,

with the longer dimension (length) of the opening given first followed by
width and depth. The most economical box for a given cubic contents
has the proportions of 2:1:2 (L:W:D). However, other proportions may also
be used. For manufacturing boxes of any particular dimensions, it is first
decided as to how the blanks for the boxes should be cut to minimise the
wastage.
Calculation of Weight of a Box:-
Weight of the box is equal to area of the sheet multiplied by

weight/cu.m. the sheet.
Area of sheet (i) Length of the sheet required, 'a'
= 2L + 2W + 2 inches.
(ii) Width of the sheet required 'b'
=W+H
Where L = Length of the box
W = Width of the box
H = Height of the box
2" is the stitching margin.
Weight/sq.m. of sheets :
It will depend upon the number of plies & g.s.m. (grams/sq.m.) of
paper. For the corrugating media, on an average 45% extra material is
consumed compared with the plain one depending upon the size of flute.
So, weight per sgm. of a 3 ply board would be as follows :-
gsm of top liner +(1.45 x gsm of media) + gsm bottom liner.
Fabrication of Boxes:
The various steps involved in the fabrication of corrugated fibre

board boxes are: Slitting & creasing; slotting; flap or corner cutting and
stitching or gluing. simultaneously carried over a rotary cutting &
creasing machine. The trimmed and creased sheet is slotted and flap out on
an eccentric slotter. Finally, it is either stitched using stiching machine or
glued/taped manually. The boxes are shiped in the form of flat tube which
is set up and closed by the packer.
Printing:
There are different methods of printing the corrugated boxes.

Some of the small scale manufacturers are printing the boxes after
fabrication, by the technique of screen printing. However, printing can be
done in a printer slotter machine. In this machine, the blanks are printed
using soft rubber dies and the body score or vertical score and slots are
introduced in the board.
Printing can also be performed on the paper sheet, before making

corrugated sheet/board. The layer of paper which will come outside of
the box, is printed on flexographic machine.
PROCESS FLOW CHART
Corrugated Sheets Corrugating Plant
|
|
V
Printing
|
|
V
Printed Paper Sheets
|
|
V
Cutting Board Cutter
|
|
V
Glueing (at tips) Sheet Pasting Machine
|
|
V
3-ply board
|
|
V
Cutting Cutting & Creasing Machine
|
|
V
Creasing
|
|
V
Slotting Slotter
|
|
V
Stitching Stitching Machine
|
|
V
Finished Product
Economics
of
the Project
CHAPTER - V
ECONOMICS OF THE PROJECT
a. Basis & Presumptions:-
No. of working days/year : 300
No. of shifts/day : Single
No. of working hours/shift : 8
b. Product(s) Mix,Capacity & Its Utilisation:-
Finished Product(s) : Corrugated Kraft Paper Boxes
Average Selling Price : Rs.32,500 per ton
Annual Installed Capacity : 900 tons
Capacity Utilisation :
First year of operation : 60 %
Second year of operation : 65 %
Third year of operation : 70 %
Forth year of operation : 75 %
Fifth year onwards years

of operation : 80 %
c. Land:-
Industrial Plot
a. Plot Size : 1000 sq.mts
b. Location :
c. Rate of Land : Rs. 500/- per sq.mt
d. Cost of Plot : Rs. 5.00 Lakhs
e. Registration etc. Exps. : Rs. 0.50 Lakh
________________
Total Rs. 5.50 Lakhs

________________
d. Cost of Building & Structure:-
a. Works : 300 sq.mts
b. Stores : 150 sq.mts
c. Office : 50 sq.mts
Total : 500 sq.mts
Cost of construction : Rs. 3500.00 per sq.mt.
: Rs. 17.50 Lakhs
d. Misc. Civil Works like Boundry wall,

Security Cabins, Parking Sheds,
Inner-Outer Approach Roads etc.: Rs. 1.25 Lakhs
________________

________________
e. Plant & Machinery:-
Following plant, machinery and equipment are required for the

proposed project:-
_____________________________________________________________
S.No. Description Qty. Rate Amount
(Nos.) (Rs.Lakhs)
_____________________________________________________________
A. Corrugating Unit
1. Single Face Corrugating M/c 1 3.00 3.00

2. Slitting Attachment with cutter1 0.18 0.18
3. Board Cutter, 62” x 62” 1 0.26 0.26
4. Sheet Pasting Machine 1 0.44 0.44
B. Box Making Unit
1. 4-Bar Rotary Cutting &

Creasing M/c, 95” 1 1.95 1.95
2. Eccentric Slotter, 42” 1 1.95 1.95
3. Partition Slotter, 42” 1 0.45 0.45
4. Stitching Machine, 30” 1 0.25 0.25
5. Stitching Machine, 36” 1 0.30 0.30
6. Vertical Bending Machine, 72”1 1.40 1.40
7. Single Slotting Machine, 12” 1 0.15 0.15
C. Printing Unit
1. Multi-colour Offset Printing M/c1 10.00 10.00

2. Screen Printing Equipment 1 0.50 0.50
D. Testing Equipment
1. Brusting Strength Factor Tester1 0.30 0.30

2. Graqmmage Tester 1 0.05 0.05
3. Compression Strength Tester 1 1.50 1.50
4. Puncture Resistance Strength M/c1 0.30 0.30
_____________________________________________________________
Rs..22.97 Lakhs
Cost of installation, erection, commissioning
Taxes, Freight Insurance etc. 10% Rs.. 2.30 Lakhs
_____________________________________________________________

_____________________________________________________________
f. Misc. Fixed Assets:-
Additionally, following misc. fixed assets are required for the proposed
project:-
(Rs.Lakhs)
a. Standby Gen Set, 40 KVA : 2.25
b. Electrification Expenses and

Electrical Equipments : 0.75
c. Weighing Machine : 0.20
d. Maintenance Tools & Equipment : 0.05
e. Office Furniture & Equipment : 0.75
f. Fire Fighting & Other Safety Equipments : 0.50
g. Delivery Rickshaw : 0.10
h. Misc. : 0.25
__________________

__________________
g. Total Cost of the Project :-
a. Cost of Land : 5.50
b. Building & Structures : 18.75
c. Machinery & Equipments : 25.27
d. Misc.Fixed Assets : 4.85
e. Preliminary & Pre-

operative expenses : 4.41
f. Contingencies/Price-
escalation : 1.10
g. Margin Money for

Working Capital : 10.59
__________________

__________________
h. Means of Financing of the Project:-
It is proposed to finance the project as follows:-
a) Term Loan from Bank/State

Financial Corporation : 40.00
b) Promoters’ Contribution : 30.46

including Unsecured Loans
from friends/relatives
__________________

__________________
Promoters’ Share to Project Cost : 43.23%
Debt-service Ratio : 1.31 : 1

i. TERM LOAN :
: Rs.Lakhs
S.No. Description Value Term Loan
1. Land 5.50 75 % 4.13
2. Building & Structure 18.75 75 % 14.06
3. Machinery & Equipment 25.27 75 % 18.95
4. Misc. Fixed Assets 4.85 75 % 3.64
5. Contingencies/Price Esc. 1.10 75 % 0.82
Term Loan Eligibility 55.47 Rs. 41.60 Lakhs
Term Loan to be applied Rs. 40.00 Lakhs

for
j. TERM LOAN, ITS REPAYMENT AND INTEREST SCHEDULE :
Term Loan : Rs.40.00 Lakhs
Repayment Period : 4 Years
Moratorium Perod : 12 months
Annual Interest Rate : 10.50 % p.a.
Year/ Opening Install- Closing Interest

Month Balance ment Balance
I Year 1 4000000 0 4000000 35000
2 4000000 0 4000000 35000
3 4000000 0 4000000 35000
4 4000000 0 4000000 35000
5 4000000 0 4000000 35000
6 4000000 0 4000000 35000
7 4000000 0 4000000 35000
8 4000000 0 4000000 35000
9 4000000 0 4000000 35000
10 4000000 0 4000000 35000
11 4000000 0 4000000 35000
12 4000000 0 4000000 35000
0 420000
II Yr. 1 4000000 83333 3916667 34635

2 3916667 83333 3833333 33906
3 3833333 83333 3750000 33177
4 3750000 83333 3666667 32448
5 3666667 83333 3583333 31719
6 3583333 83333 3500000 30990
7 3500000 83333 3416667 30260
8 3416667 83333 3333333 29531
9 3333333 83333 3250000 28802
10 3250000 83333 3166667 28073
11 3166667 83333 3083333 27344
12 3083333 83333 3000000 26615
1000000 367500
j.. TERM LOAN, ITS REPAYMENT AND INTEREST SCHEDULE
(Contd…)

III Yr. 1 3000000 83333 2916667 25885
2 2916667 83333 2833333 25156
3 2833333 83333 2750000 24427
4 2750000 83333 2666667 23698
5 2666667 83333 2583333 22969
6 2583333 83333 2500000 22240
7 2500000 83333 2416667 21510
8 2416667 83333 2333333 20781
9 2333333 83333 2250000 20052
10 2250000 83333 2166667 19323
11 2166667 83333 2083333 18594
12 2083333 83333 2000000 17865
1000000 262500
IV Yr. 1 2000000 83333 1916667 17135

2 1916667 83333 1833333 16406
3 1833333 83333 1750000 15677
4 1750000 83333 1666667 14948
5 1666667 83333 1583333 14219
6 1583333 83333 1500000 13490
7 1500000 83333 1416667 12760
8 1416667 83333 1333333 12031
9 1333333 83333 1250000 11302
10 1250000 83333 1166667 10573
11 1166667 83333 1083333 9844
12 1083333 83333 1000000 9115
1000000 157500
j. TERM LOAN, ITS REPAYMENT AND INTEREST SCHEDULE
(Contd…)

V Yr. 1 1000000 83333 916667 8385
2 916667 83333 833333 7656
3 833333 83333 750000 6927
4 750000 83333 666667 6198
5 666667 83333 583333 5469
6 583333 83333 500000 4740
7 500000 83333 416667 4010
8 416667 83333 333333 3281
9 333333 83333 250000 2552
10 250000 83333 166667 1823
11 166667 83333 83333 1094
12 83333 83333 0 365
1000000 52500
k. WORKING CAPITAL REQUIREMENTS :
Ist Year 60 Percent Capacity Utilisation
a Raw Materials 15 days Rs. 6.58 Lakhs
b. Work in progress 7 days Rs. 3.21 Lakhs
c. Finished Goods in stock 10 days Rs. 4.85 Lakhs
d. Accounts Receivables 45 days Rs. 26.33 Lakhs
e. Misc. Expenses 30 days Rs. 1.38 Lakhs
Working Capital Rs. 42.34 Lakhs

Required
Bank Finance Rs. 31.76 Lakhs
Margin Money Rs. 10.59 Lakhs

Contd.

Required

Contd.

Required

Contd.
Working Capital Rs. 5276 Lakhs

Required

l. STAFF & LABOUR REQUIREMENTS AND ANNUAL
SALARIES/WAGES BILL :
S.No. Designation Nos. Rate, Annual Bill

Rs.p.m. Rs.Lakhs
a. Office Staff
1 Accountant 1 10000 1.20
2 Sales & Marketing 2 7500 1.80
3 Peon/Watchman 1 5500 0.66 2.34
b. Supervisory
1 Supervisor 1 10000 1.20 0.90
c. Factory
1 Skilled Workers 3 7500 1.80
2 Semi-skilled Workers 9 6500 4.32
3 Unskilled Labour 6 5500 2.52 8.64
18 11.88
25% benefits 3.92
23 Rs. 15.80 Lakhs

m. ANNUAL COST OF RAW MATERIALS, CONSUMABLES
& PACKAGING MATERIALS (at 100% efficiency)
Following Raw Materials, Consumables & Packaging materials are

required for the proposed project:
S.No. Description Amount

(Rs.Lakhs)
1. Kraft Paper }
(various grammage)
2 Printing Ink }
3 Stitching Wire }
4 Binding Cloth }
5 Adhesive Tape }
6 Adhesives }
7 Misc.Consumable Stores }
8 Packing Materials }
Cost of raw materials, consumables and packing materials

is assumed at 75.00 % sales revenues, that works out to
n. ANNUAL COST OF UTILITIES (POWER & WATER)
(at 100% efficiency)
a. Power
Total Load 40 KW
Consumption Load x 8 x 300 x 0.7

Hrs. x Days x Power Factor
67200 KWH
Power Rate Rs. 4.50 KWH
Total Power Bill Rs. 3.02 Lakhs
b. Water
Water 450 KL
@ Rs. 8.00 Per KL
Rs. 0.04 Lakh
Total Power & Water Rs. 3.06 Lakhs

Bill
o. DEPRECIATION CHART
Building & Structure : Rs. 18.75 Lakhs
Machinery & Equipment : Rs. 25.27 Lakhs
Misc.Fixed Assets : Rs. 3.85 Lakhs
S. Description Rate 1st 2nd 3rd 4th 5th

N. Year Year Year Year Year
1. Building & 18.75 16.88 15.19 13.67 12.30

Structure 10% 1.88 1.69 1.52 1.37 1.23
Depreciation Rate
16.88 15.19 13.67 12.30 11.07
2. Machinery & 25.27 21.48 18.26 15.52 13.19

Equipment 15% 3.79 3.22 2.74 2.33 1.98
Depreciation Rate
21.48 18.26 15.52 13.19 11.21
3. Misc.Fixed Assets 4.85 4.12 3.50 2.98 2.53

Depreciation Rate 15% 0.73 0.62 0.53 0.45 0.38
4.12 3.50 2.98 2.53 2.15
Total Depreciation 6.39 5.53 4.78 4.14 3.59

p. REPAIRS & MAINTENANCE
S.N. Description 1st 2nd 3rd 4th 5th

Year Year Year Year Year
1. Building & Structure 18.75 16.88 15.19 13.67 12.30

Repairs/Maintenance
Rate (%) 0.50 1.00 1.50 2.00 2.50
Amount (Rs. Lakhs) 0.09 0.17 0.23 0.27 0.31
2. Machinery & Equipment 25.27 21.48 18.26 15.52 13.19

Repairs/Maintenance
Rate (%) 0.50 1.00 1.50 2.00 2.50
Amount (Rs. Lakhs) 0.13 0.21 0.27 0.31 0.33
3. Misc. Fixed Assets 4.85 4.12 3.50 2.98 2.53

Repairs/Maintenance
Rate (%) 0.50 1.00 1.50 2.00 2.50
Amount (Rs. Lakhs) 0.02 0.04 0.05 0.06 0.06
Total 0.24 0.42 0.55 0.64 0.70

q. INSURANCE
The fixed assets of the project will be insured for all types of
risks. Annual insurance charges payable shall be as under:-
S.N. Description 1st 2nd 3rd 4th 5th

1. Building & Structure 18.75 16.88 15.19 13.67 12.30
2. Machinery & Equipment 25.27 21.48 18.26 15.52 13.19
3. Misc. Fixed Assets 4.85 4.12 3.50 2.98 2.53
Total 48.87 42.47 36.95 32.16 29.02
Insurance Charges :
Rate (%) 1.00 1.50 2.00 2.50 3.00
Amount (Rs.Lakh) 0.49 0.64 0.74 0.80 0.84
r. SALES EXPENSES
Sales Expenses include brokerage, commission, discounts etc.
They are assumed at 1.75 percent of sales revenues
Rs.Lakhs
Year Sales Selling Expenses
1st 175.50 3.07
2nd 190.13 3.33
3rd 204.75 3.58
4th 219.38 3.84
5th 219.38 4.10

s. PROJECTIONS OF PERFORMANCE AND PROFITABILITY STATEMENT
Rs.Lakhs
1st 2nd 3rd 4th 5th

Capacity Utilisation 60 65 70 75 75
(%)
A Annual Sales
Revenues
Value Rs. Lakh 175.50 190.13 204.75 219.38 219.38
B. Cost of Sales
a. Raw Materials, 131.63 142.59 153.56 164.53 175.50

Consumables &Packing
Materials
b. Power/Water 1.84 1.99 2.14 2.30 2.45
c. Salaries & Wages *

Salaries 4.31 4.74 5.21 5.74 6.31
Wages 6.89 8.22 8.85 9.48 10.11
d. Repairs & Maintenance 0.24 0.42 0.55 0.64 0.70
e. Insurance 0.49 0.64 0.74 0.80 0.84
f. Depreciation 6.39 5.53 4.78 4.14 3.59
151.79 164.13 175.84 187.63 199.50
Cost of Sales 151.79 164.13 175.84 187.63 199.50
* 10% increase every year

s. PROJECTIONS OF PERFORMANCE AND PROFITABILITY STATEMENT
Rs.Lakhs
Contd.
1st 2nd 3rd 4th 5th
Capacity Utilisation (%) 60 65 70 75 75
C Gross Profit 23.71 26.00 28.91 31.74 34.50
Selling Expenses 3.07 3.33 3.58 3.84 4.10
Overheads @ 1.76 1.90 2.05 2.19 2.19
Preliminary & Pre-operative 0.88 0.88 0.88 0.88 0.88

Expenses w/off
Financial Expenses:
a. Interest on term loan 4.20 3.68 2.63 1.58 0.52
b. Interest on Working Capital 3.33 3.59 3.87 4.15 4.15

Loan
D. Profit (before taxes) 10.47 12.62 15.90 19.10 22.50
E. Provision for Taxes 20% 3.45 4.17 5.25 6.30 7.43
F. Profit (after taxes) 7.01 8.46 10.65 12.80 15.08
Depreciation, added back 6.39 5.53 4.78 4.14 3.59
G. Cash Accruals: 13.41 13.98 15.43 16.94 18.67
@ Telephone Bills, Postage/Courier Expenses, Travelling/Conveyance,

Bank Charges/Commissions, Publicity etc. considered as 1%
of Annual Sales Revenues
t. BREAK-EVEN-EFFICIENCY ANALYSIS
Rs.Lakhs
st nd
1 2 3rd 4th 5th
Capacity Utilisation (%) 60 65 70 75 75
A. Sales 175.50 190.13 204.75 219.38 219.38
B. Variable Costs
a. Raw Materials, Consumables & 131.63 142.59 153.56 164.53 175.50

Packing Materials
b. Power/Water 1.84 1.99 2.14 2.30 2.45
c. Wages 6.89 8.22 8.85 9.48 10.11
d. Intt.on Working Capital Loan 3.33 3.59 3.87 4.15 4.15
e. Sales Expenses 3.07 3.33 3.58 3.84 4.10
Total 146.76 159.72 172.01 184.30 196.31
C. Fixed Costs
a. Salaries 4.31 4.74 5.21 5.74 6.31
b. Admn. Overheads 1.76 1.90 2.05 2.19 2.19
c. Repairs & Maintenance 0.24 0.42 0.55 0.64 0.70
d. Insurance 0.49 0.64 0.74 0.80 0.84
e. Interest on term loan 4.20 3.68 2.63 1.58 0.52
f. Depreciation 6.39 5.53 4.78 4.14 3.59
Total 28.74 16.91 15.96 15.09 14.30
D. Contribution 28.74 30.41 32.74 35.07 37.69
E. Break-even-efficiency (%) 60.51 55.59 48.75 43.03 37.95
Average Break-even-efficiency 49.17

u. CASH FLOW STATEMENT
Rs.Lakhs
Const. 1st 2nd 3rd 4th 5th

Period Year Year Year Year Year
A Sources of
Funds
Increase in Share 30.46 0.00 0.81 0.90 0.89 0.00
Capital
Increase in 40.00 0.00 0.00 0.00 0.00 0.00

Working Capita
Borrowings
Profit before tax 0.00 31.76 2.43 2.70 2.68 0.00

with Interest
added back
Preliminary 0.00 0.88 0.88 0.88 0.88 0.88

Exps.w/off
Depreciations 0.00 6.39 5.53 4.78 4.14 3.59

70.46 57.03 29.53 31.66 33.43 31.65
B Disposition of
funds
Preliminary & Pre- 4.41 0.00 0.00 0.00 0.00 0.00
operative
Expenses
Increase in capital 55.47 0.00 0.00 0.00 0.00 0.00

expenditure
Increase in current 0.00 42.34 3.24 3.60 3.58 0.00

assets
Interest 4.20 3.68 2.63 1.58 0.52

59.88 50.00 21.08 21.47 21.45 17.95
C Opening Balance 0.00 10.59 17.62 26.08 36.27 48.24

D Net Surplus 10.59 7.04 8.46 10.19 11.97 13.70
E Closing Baalnce 10.59 17.62 26.08 36.27 48.24 61.94
v. PROJECTED BALANCE SHEET
Rs.Lakhs
Const. 1st 2nd 3rd 4th 5th

Period Year Year Year Year Year
A Sources of
Funds
Share Capital 30.46 30.46 31.27 32.17 33.07 33.07
Add:Profits 0.00 7.01 15.47 23.93 32.98 40.84
Net Worth 30.46 37.48 46.74 56.10 65.45 73.90
Loans
Term Loan 40.00 40.00 30.00 20.00 10.00 0.00
Bank Borrowings 0.00 31.76 34.18 36.89 36.89 36.89
Sundry Creditors 0.00 0.00 0.00 0.00 0.00 0.00
Other Current
Liabilities 0.00 1.96 5.32 11.24 22.27 33.05
70.46 111.19 116.25 124.23 134.61 143.84

B Application of
funds
Fixed Assets
Gross Block 49.97 49.97 49.97 49.97 49.97 49.97
Depreciations 0.00 6.39 5.53 4.78 4.14 3.59
Net Block 49.97 43.57 38.05 33.26 29.12 25.53
Plot/Land 5.50 5.50 5.50 5.50 5.50 5.50
Current Assets
Inventories 0.00 14.64 15.46 16.72 17.96 17.96
Sundry Debtors 0.00 26.33 28.52 30.71 32.91 32.91
Preliminary Exp. 4.41 3.53 2.65 1.76 0.88 0.00
Not w/off
Cash & Bank Bal. 10.59 17.62 26.08 36.27 48.24 61.94
Other Current
Assets 0.00 0.00 0.00 0.00 0.00 0.00
70.46 111.19 116.25 124.23 134.61 143.84
v. DEBT SERVICE COVERAGE RATIO
Rs.Lakhs
st nd rd
1 2 3 4th 5th
Profit after tax 10.47 12.62 15.90 19.10 22.50
Depreciation 6.39 5.53 4.78 4.14 3.59
Interest on term loan 4.20 3.68 2.63 1.58 0.52
Total Coverage 21.06 21.82 23.30 24.82 26.62
Loan Repayment 0.00 10.00 10.00 10.00 10.00
Interest on term loan 4.20 3.68 2.63 1.58 0.52
Total Loan Liability 4.20 13.68 12.63 11.58 10.53
DSCR 5.01 1.60 1.85 2.14 2.53
Average DSCR 2.63

APPENDICES
(Addresses)
APPENDIX - I
SOURCES OF PLANT & MACHINERY AVAILABILITY
Corrugated Kraft Paper Boxes making Machinery:
Natraj Industries
Plot No.65, Sector-6,
Faridabad (Haryana)-121006.
Tel.: 0129-2241403/404, 4001259
Fax : 0129-2243403
E-mail: sales@natrajindustries.com
Website:www.natrajindustries.com
Neelkanth Machinery Co.

Plot No.44, Sector-4
Industrial Area
Faridabad-121 004
Tel.: 0129-2242516, 2241580
Fax : 0129-2243069
E-mail: info@neelkanthmachinery.com
Website:www.neelkanthmachinery.com
Sidhartha Machinery Co.

406, Usha Kiran Building
Commercial Complex
Azadpur, Delhi-110033
Tel.: 65976383
Cell : 9811755369
E-mail: sales@sidharthamachinery.com
Website:www. sidharthamachinery.com
Nagpal Packaging Machinery Pvt. Ltd.

B-7, Sector-59, Phase-II
23rd Milestone, Mathura Road
Ballabhgarh, Faridabad-121 064
Tel.: 0129-2307700, 230 7800, 4067600
Fax : 0129-4067500
Cell.: 93122 73576
Website:www.nagpalmachinery.com
Natraj Machinery P.Ltd.
Plot No.66, Sector-27C,
Faridabad (Haryana)-121003.
Tel.: 0129-2276060/2093
Fax: 0129-2274471
E-mail: info@natrajmachinery.com
Website:www.natrajmachinery.com
Micro Mechanical Works,

B.Kumar Compound,
Lal Bahadur Shastri Marg,
Vikhroli,
Mumbai - 400083.
Perfect Paper Machines,

34, Phase-II, Scheme-II,
Okhla Industrial Area,
New Delhi - 110020.
Paper Board Machinery Company,

Plot No.115, Part - I,
DLF Industrial Area,
Faridabad - 121003. (Haryana).
G.K.Hydraulic & Engineering Works

21/4, G.K. Estate, M Road,
Rishi Nagar, Mathura Road,
Ballabhgarh, Distt.Faridabad.
(Haryana)
Cell.: 93137-42381
Tel.: 2241702/2246583
Fax: 2246023
Printpack Engineers,
20, Gujrat Vihar,
Vikas Marg,
New Delhi - 110002.
Sheth Brothers,
F-1/16, Ansari Road,
Darya Ganj,
New Delhi - 110002.
Tel.:3272753
Micro Machinery Co. Pvt.Ltd.,

Lake Road, Bhandup,
Mumbai - 400078.
Authorised Distributors :-
R.V.Agencies,
29/23, Shakti Nagar,
Delhi - 110007.
Phone - 7129099
Micro Mechanical Industries Pvt.Ltd.,

Fitwell House,
Lal Bahadur Shastri Marg,
Vikhroli, Mumbai - 400083.
GRAM : 'MICROSHER'
Authorised Distributor :-
Shah Machinery Sales Corpn.,
233, 32-A Cross,
II Main Road,
Opp. Holy Mother School,
Jayanagar VII Block,
Bangalore - 560081.
Rosy Mechanical Works,
Plot No.A-15, Shahzada Bagh
Extension, Dayabasti,
Old Rohtak Road,
Delhi - 110035.
Tel.: 2541 7686
Samrat Rolwel India,

14-B, 8771, Shidi Pura,
Karol Bagh,
New Delhi - 110005.
Surjeet Mechanical Works,

106, Shivpuri,
Near Chander Nagar.
Delhi - 110051.
Surjeet Engineering Company
B-138, Sector-63, Noida (U.P.)
Tel.: 0120-4317391/92
Mobile: 98110 13324
E-mail: www.sur_engg@sify.com
www.surjeetengineering.net
www.surjeetengineering.in
Modern Engg. Company

Plot No. 44, Sector-4
Faridabad (Haryana)
Tel.: 0129-242516
Fax : 243 059
Sond Engineering Works,

442/8, G.T.Road,
P.O.Golden Temple,
Amritsar - 110051.
(Punjab).
Sadana Brothers,
254, East Mohan Nagar,
Amritsar - 143001.
Premier Engineering Works,

22, Gurdwara Darshan Singh Pheruman,
Miller Ganj, G.T.Road,
Ludhiana (Punjab).
FEC Machines Pvt.Ltd.,

Mehta Road,
Maqboolpura,
Amritsar (Punjab).
Shree Karishna Engineering Works,

Begampura,
Kinkhabwala Wadi,
Behind Surat Cotton Mills,
Surat - 395 003.
Mahajan Machinery Works
27/5/3 F-1, Church Road
Jwala Nagar, Shahdara
Delhi-110032
Tel.: 2415355, 2246670
Graduate Paper Board Machinery Company

Plot No. 115, DLF Industrial Area
Faridabad-121 003
Tel.: 0129-275394
Offset Printing Machine:
Bombay Offset Printers,

Computer Forms Machinery Division,
Post Box 6591, Worli,
Mumbai - 400018.
Indo European Machinery Co.Pvt.Ltd.,

Sambava Chamber,
Sir P.M.Road, Fort,
Mumbai - 400001.
Delhi Office :-
Kuncha Ustad Dagh,
Chandni Chowk,
Delhi - 110006.
Alois Gutenberg Machine Pvt.Ltd.,

Post Box No.457,
Wagle Post Office,
Thane - 400604.
(Maharashtra).
Raghubeer Machinery Pvt.Ltd.,

Gurgaon - 122015.
(Haryana).
Bandhu Technical Services,
8-B, Bahadur Shah Zafar Marg,
New Delhi - 110002.
Multitech Aids (P) Ltd.,

200, Sector - 24,
Faridabad - 121005.
(Haryana).
APPENDIX - II
SOURCES OF RAW MATERIAL AVAILABILITY
1. Kraft Paper:-
Coastal Papers Ltd.

Industrial Development Area
Madhavareyudupalem-533 126
Near Kadiam (R.S.)
Kadiam Mandalam
East Godavari Distt.
Andhra Pradesh
Tel.: 5348, 5423
Cauvery Papers Ltd.

Sathyagala, Kollegal Taluk
Mysore District - 571 498.
Karnataka.
Tel.: 7241/7231
B.G. Shirke Construction Technology Ltd.

(Shirke Paper Division)
Survey No.483
Shirwal, Tal.Khandala
Distt. Satara - 412801
Maharashtra.
Tel.: 02167-44106, 44176
Ballarpur Industried Ltd.

(Unit Ashti)
Tehsil Chamarsi
Village : IllUR
Distt. Gadchiroli - 442707
Maharashtra.
Tel.: 07135-44129, -44147
The Andhra Pradesh Paper Mills Ltd.
Rajahmundry - 533105
Easta Godawari District
Andhra Pradesh
Tel.: 0883-71831/71838
Tlx : 0474-202 (APPMIN)
Fax : 0883-61764
Amravathi Shri Venkatesh

Paper Mills Ltd.,
P.O.Udumalpeth,
Madathulola,
Tamilnadu.
Associated Pulp & Paper Mills Ltd.,

B Jadav Chambers,
2nd floor, Ashram Road,
Ahmedabad - 380009.
Chemopulp Issues,
A-4, Sector CX-II,
Meerut Road,
Ghaziabad (U.P.)
Sirpur Paper,
Sirpur,
Kaghaznagar.
Rohtas Industries Ltd.,

Dalmianagar.
India Paper Pulp Co.Ltd.,

8, Clive Row,
Kolkata.
Ballarpur Industries Ltd.,
(Shree Gopal Division),
Thapar House,
124, Janpath,
New Delhi.
Mysore Paper Mills Ltd.,

Bhadravati.
2. Gum Tape:-
Million Tape Manufacturing Co.,

2640, Hamilton Road,
Kashmere Gate,
Delhi - 110006.
Natraj Paper Industries,

38/46, Nagdevi Street,
Mumbai - 400003.
3. Gum:-
Vijay Adhesives Industries,

6, Friends Colony,
G.T.Road, Shahdara,
Delhi - 110032.
Synthetic Glue Chemicals Ltd.,

D-104, Industrial Area,
Bulundshaher Road,
Ghaziabad (U.P.).
Corn Products Co.(India) Pvt.Ltd.,

Shree Niwas House,
Hazarimal Somari Marg,
P.O.Box No.994,
Mumbai.
Synthetic Glue & Chemicals
Industries,
21, Goenka Lane,
Kolkata.
4. Stitching Wire:
Pearls Products,
Amar Hill,
Saki Vihar Road,
Powai, Mumbai.
Universal Wire Manufacturing Co.,

61/63, Jalan Wadai,
Gokhle Road, Dadar,
Mumbai.
United Export Trading Co.,

512, Loha Bhawan,
P.O.Mello Road,
Mumbai.
Standard Traders (India),

202, Himalaya House,
Palton Road,
Mumbai.
Saif Steel Traders,

Steel House,
10/14, Janjikar Street,
Mumbai - 3.
J.R.Desai & Co.,

71-73, Chakla Street,
Mumbai.
5. Printing Ink:-
Graphichem Sales,
Bhupender Bhawan,
Karishma Market, Paharganj,
New Delhi - 110055.
Rainbow Ink & Varnish

Manufacturing Co.Pvt.Ltd.,
D-7, Sector - III,
Noida (U.P.).
Roopson,
1274/4/C, Baidwara,
Delhi - 110006.
Coats of India Limited,

Transport Depot Road,
Kolkata - 700088.
B.K.Ink Enterprise,
C/2, 2, Ambawadi,
Udyoganagar,
Wadwan (Gujarat).
Beco Chemicals (P) Ltd.,

25, Brabourne Road,
Kolkata - 700001.
Bengal Chemicals,
6, Ganesh Chandra Avenue,
Kolkata - 700013.
Colour Inks (P) Ltd.,
136, Lakshimi Building,
A-Mudaliar Road,
Bangalore - 2.
APPENDIX - III
EXISTING MANUFACTURERS
There are numerous units engaged in the manufacture of

Corrugated Kraft Paper Boxes all over the country, Some of them near Delhi
are given hereunder:-
Grover Packaging Industries

RZ-44B/6, Tughlakabad Extn.
New Delhi-110019
Tel.: 55732877
Fax: 26069416
Cell.: 98181 83811, 9818791694
Kiran Packaging Industries

Plot No.26, Sector-25
Faridabad-121 004 (Haryana)
Cell.: 9811228654
Krishna Packaging
161-DSIDC Sheds
Okhla Industrial Area, Phase-I
New Delhi-110020
Tel.: 26811438, 26371034, 55635217
Cell.: 9871606227 (Mr.Vijay Grover)
Kwality Packing Products

Bisokhar Road
Modi Nagar-201 201 (U.P.)
Tel.: 02132- 233028
K.S. Enterprises
Unit-1:D-183, Sector-63, Noida
Tel.: 0120-95120-2400077
Fax : 0120-95120-5542187
Mobile: 98110 74833 (Mr.Arvinder Singh)
E-mail: enterprise_ks@yahoo.com
Unit-2: 330-Chattarpur, New Delhi-110030
Negi Packers
D-230, Sector-10
Noida-201 301, Distt.G.B.Nagar (U.P.)
Cell.98100 50344
Tel.: 95120-2537993.
Pack (India) Industries

31-DSIDC Shed, Scheme-II
Okhla Industrial Area
New Delhi-110020
Paramount Box Manufacturers

C-57/1, Okhla Industrial Area
Phase-II, New Delhi-110020
Tel.: 26384215, 55601029, 26385688, 26388132
Cell.: 98102-62423
Suraj Packaging Company

39-Channamal Park
Rohtak Road
New Delhi-110026
Tel.: 28314650, 28312752
Cell.: 9311396900, 9811396900
APPENDIX - IV
IMPORTANT ADDRESSES
Indian Institute of Packaging,

E-2, MIDC Area,
P.B.No.9432, Chakala,
Andheri (East),
Mumbai- 400093.
Delhi Office :-
21-Functional Industrial Estate
Patparganj
Delhi-110092
Tel. : 2216 6703/4/5
Telefax: 2216 9612
E-mail : iipdelhi@nde.vsnl.net.in
www.iip.in.com
Corrugated Box Manufacturers Association

138, Mittal Industrial Estate No.3
Andheri (East)
Mumbai- 400059.
Bureau of Indian Standards

Manak Bhawan
9, Bahadurshah Zafar Marg,
New Delhi - 110002.
Tel.: 2323-0131, -3375, -9402
Fax : 91-11-2323-4062, -9399, -9382.
Federation of Corrugated Box Manufacturers Association,

214, Mittal Industrial Estate No.3,
M. Vasanji Road,
Andheri (East),
Mumbai - 400059.
Northern India Corrugated Box Manufacturers Association,
Karampura Commercial Complex
New Delhi - 110015.
Indian Agro Paper Mill Association (I.A.P.M.A.)

1006, Pragati Tower
26, Rajindra Place
New Delhi-110008.
Tel.: 2573 9794, 2576 8659
Fax : 2576 8639, 2575 1700
All India Small Paper Mills Association

109, Shaikh Memon Street (2nd Floor)
Mumbai - 400 002.
Ph. : 23427726, 23427278
Pulp and Paper Research Institute (PAPRI)

Gulab Bhawan (Rear Wing)
6A, Bahadur Shah Zafar Marg
New Delhi-110002.
Pulp & Paper Manufacturers Association,

India Exchange, 9th floor,
India Exchange Place,
Kolkata - 700001.
Indian Paper Makers Associations,

6, Netaji Subhash Road,
Kolkata - 700001.
Central Pulp & Paper Research Institute,

P.Box No.174,
Saharanpur - 247001
(Uttar Pradesh).
Indian Pulp & Paper Technical Associations.
I.P T.Campus,
Saharanpur - 247001 (U.P.)
Handmade Paper Institute,

Pune (Maharashtra).
Paper Machinery Manufacturers Association,

C/o. C.I.I.,
172, Jor Bagh,
New Delhi - 110003.
India Paper Mills Association,

India Exchange,
4, India Exchange Place,
Kolkata - 700001.
INDUSTRIAL ASSOCIATIONS
PHD Chamber of Commerce & Industry

PHD House, Opp. Asian Games Village
4/2, Siri Institutional Area,
August Kranti Marg, New Delhi-110016
Phones : +91 11 26863801-04
Fax : +91 11 26855450, 2686 3135, 2656 8392
E-mail : phdcci@phdcci.in
phdcci@del2.vsnl.net.in
www.phdcci.in
Confederation of Indian Industry

Tel.: 24682230
www.ciionline.
Federation of Indian Chambers of Commerce & Industry, FICCI
Federation House
Tansen Marg
New Delhi-110001
Tel.: +91-11-23738760 to 70, 23765323, 23753124
Fax : +91-11-23765333, 23320714, 23721504
www.ficci.com
Associated Chambers of Commerce & Industry, ASSOCHAM

147-B, Gautam Nagar
Gulmohar Enclave
New Delhi-110049
Tel.:26512477-79, 41643407 26292310, 26292313
Fax : 011-26512154, 26865830, 41643476
www.assocham.org
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PROJECT REPORT

CORRUGATED KRAFT PAPER BOXES

CHAPTER NOS. PARTICULARS SHEET NOS.

III. About the Promoter

IV. Product Description

VI. Manufacturing Process & Process Flow Chart

VII. Economics of the Project

APPENDIX PARTICULARS SHEET NOS.

I. Sources of Plant & Machinery

II. Sources of Raw Material

III. Existing Manufacturing Units

IV. Important Addresses

1. Name of the Applicant :

5. Size of the Plot : 1000 sq.mts.

7. Covered Space : 500 sq.mts.

8. Proposed Project to be set-up : Corrugated Kraft Paper Boxes

9. Type of Industry : Paper Packaging

11. Employment Potential : 23 Persons

12. Power Load : 40 KW

13. Total Project Cost:-

b. Building & Structures : 18.75

c. Machinery & Equipments : 25.27

d. Misc. Fixed Assets : 4.85

e. Preliminary & Pre-

g. Margin Money for

a) Term Loan from Bank/State

b) Promoters’ Contribution : 30.46

Total : Rs. 70.46 Lakhs

Promoters’ Share to Project Cost : 43.23%

Debt-service Ratio : 1.31 : 1

15. Annual Profitability (at

a) Annual Sales Revenues : Rs.175.50 Lakhs

b) Net Profit : Rs. 10.47 Lakhs

c) Percentage Profit on Sales : 5.96%

d) Annual Return on Investment : 14.85%

e) Average Break-even-point : 49.17%

Corrugated Kraft Paper Board Box is the most popular shipping

The boxes find their number of applications in the packaging of:

Packaged Drinking Water

ABOUT THE PROMOTER

The promoter of the proposed unit is highly educated, financially sound

PRODUCT DESCRIPTION & APPLICATIONS

Corrugated Kraft Paper Board Box, technically called Corrugated

Packaging plays a very important role in the country's economy.

Corrugated boards were first produced in India in early fifties. Since

Corrugated fibre board consists of a flat layer of paper sheet (liner)

The corrugating 'medium' is generally made from a 0.009" thick (9

Advantages of Corrugated Fibre Board Boxes :-

Corrugated fibreboard boxes have replaced the wooden and tin

1) Light in weight (freight advantage)

2) Cellular structure with high compressive strength, resiliency & shock

3) Can be stored conveniently in folded condition when not in use,

4) Can be attractively printed, thus advertising

5) By lining, lamination or coating, they can be made water resistant

7) Contents packed in these boxes remain dust free.

8) Available through out the year. .pa

9) Expedites production due to one line conveyor packing.

11) No strapping necessary

12) Desired in export market

13) Eliminated dependency on natural wood.

11. Milk products & other food items

16. Stationary items

It would not be an exaggeration if one states that practically every