Pre Investment Feasibility Report

DIPS APPAREL LIMITED
1. EXECUTIVESUMMARY
1.1 NAME OF THEPROJECT:
Dips Apparel Limited.
1.2 PROJECT LOCATION:

Bellapara, Kalarpole, Patiya, Chittagong, Bangladesh
1.3 CORPORATE OFFICE ADDRESS:

Karnafhuli Arcade (1st Floor),
152/153, New Chaktai, Bakalia,
Chittagong, Bangladesh.
1.4 RATIONALE OF THE PROPOSEDPROJECT:

Dips Apparel Limited (DPL) is an apparel factory in Bangladesh. It was incorporated in the
year of 2010 as the private limited company under the Companies Act. 1994. DPL start its
commercial operation in the year of 2011. Therefore, since the last 25 years, Managing
Director of the company involved with the garments businesses as well as company’s
chairman also involved with same businesses since last 10 years. Presently, DPL has two
units consist of fourteen line garments industry at the rented premises (at Bakalia,
Chittagong). DPL is producing quality Men’s Hoody Jackets, Men’s Trousers, Ladies
Hoody Jackets, Ladies Trousers, Ladies Shorts & etc. As DPL is producing & exporting
quality products, consequently they are getting larger volume work order day by day.
But, as we have mentioned that, two units of DPL is located at rented premises consequently
limited DPL’s option to deals with the new compliances and new concept of Green Factory.
So, with a view to hold the present growth rate, expansion of the businesses, to deals with
the new rules and regulation related to new business trend induce DPL management to think
about for the establishment of a modern Green Factory
So, the proposal envisages to establish a Modern Green Factory, which one will comply all
the rules & regulation of national and international authorities/bodies. In this regards DPL
already made them capable of purchasing a land covering 210 decimal at Bellapara,
Kalarpole, Patiya, Chittagong.
They have also started land development work on the proposed site. In the meantime, they
have applied for USGBC (Globally green building certification issuing authority) LEED
certification under V4 BD+C: NC. LEED is the only recognized body by Bangladesh Bank
when it comes to a formal certification for green industry in Bangladesh. Other required
certification/registration/permission also being proceed from the various authority of the
Government of the people’s republic of Bangladesh.
The proposed project, will consist of 18 (eighteen) lines, be able to produce quality garments
products with a view to down to satisfy the demand of the foreign market. The project will
be equipped with modern technology, controlled and supported by a mechanized back
control unit to produce quality garments items.
Rated annual production of various types of garments items, single shifts of operation in a
day, 8 (eight) hours a shift and 312 working days in a year, here is shown below –
Pre Investment Feasibility Report by GBCHL Page | 1

Production based on the capacity utilization
Rated production capacity at 100%
at
Daily Annual 70% 75% 80%
Name
(pcs) (pcs) Daily Annual Daily Annual Daily Annual
Men’s Hoody
2380 742,560 1666 533,120 1785 571,200 1904 609,280
Jacket
Men’s Trousers 4400 1,372,800 3080 985,600 3300 1,056,000 3520 1,126,400
Ladies Hoody
1200 374,400 840 268,800 900 288,000 960 307,200
Jacket
Ladies Trousers 1000 312,000 700 224,000 750 240,000 800 256,000
Men’s Jackets 1500 468,000 1050 336,000 1125 360,000 1200 384,000
Ladies Shorts 920 287,040 644 206,080 690 220,800 736 235,520
This project is proposed for production of net apparel items 3,556,800 pcs/annum based on
the 100% rated annual production capacity.
Assumptions:
1. No. of shift per day : Single Shift
2. Hours per Shift : 8 Hours
3. Working days per annum : 312 days
4. Capacity per day : Avg. 2380 pcs for Men’s hoody Jacket,
Avg. 4400 pcs for Men’s trousers,
Avg. 1200pcs for Ladies hoody Jackets,
Avg. 1000 pcs for Ladies Trousers,
Avg. 1500 pcs for Men’s Jackets &
Avg. 920 pcs for Ladies Shorts.
5. Project capacity per annum
Men’s hoody Jackets : 742,560 pcs (at 100 % capacity)
Mens Trousers : 1,372,800 pcs (at 1000 % capacity)
Ladies hoody Jackets : 374,400 pcs (at 100% Capacity)
Ladies Trousers : 312,000 pcs (at 100% Capacity)
Mens Jackets : 468,000 pcs (at 100% Capacity)
Ladies Shorts : 287,040 pcs (at 100% Capacity)
1.5 INVESTMENT AND MEANS OFFINANCE:

The total cost of the project is Tk. 4688.43 lakh (Including IDCP) this includes the cost of land,
land development, Building & civil constructions work, Capital machinery & equipment’s and
other ancillary construction and equipment costs. Total breakdown of all costs are given below
i. Land Tk. 483.00 lakh
ii. Land Development Cost Tk. 70.00 lakh
ii. Building and Others Civil Construction Tk. 2610.83 lakh
iii. Machinery & Equipment’s :
a. Importable Machinery Tk. 703.16 lakh
b. Landed Costs Tk. 52.73 lakh
c. Local Machinery Tk. 233.00 Lakh
d. Transportation & Installation Tk. 10.54Lakh
e. Contingences Tk. 35.15 Lakh
iv. Other Fixed Assets Tk. 200.00 lakh
v. IDCP ( for 12 months) Tk. 290.00 lakh

Here we presume a 70:30 debt-equity ratio, the amount of debt finance is Tk. 3281.90 lakh and
Tk. 1406.53 lakh as equity. IDCP is estimated on the subject of Tk. 290.00 lakh.
1.6 PROMOTERS:
The sponsors as well as promoters owned a company named “Dips Apparel Ltd.” and the
company is registered with the registrar of Joint Stock of Companies and Firms, Govt. of
Bangladesh as a Private Limited Company. A board of Directors has been constituted with the
sponsors as per the following:
SL
Name & Basic Information Designation and Share Involvement with Businesses
No.
(1) Managing Director (2011 to Continue)
Dips Apparel Ltd.
Mohammad Jashim Uddin Gold Mart Apparels Ltd.
Fathers’ Name: M.A Kasem,
Mothers’ Name: Nur Jahan Begum,
Managing Director Gold Star Apparels Ltd.
01. DOB: 05/10/1963
(80%) (4) Managing Director (2014 to Continue)
Education: B.A
Pentagon Apparels Ltd.
NID No: 3262468402
(5) Partner (1988-1998)
e-TIN:156084638767
East Land Electric Company
(6) Partner (1988-1995)
Shah Amanat Flour Mills Ltd.
Shammi Nasrin Chowdhury
Mothers’ Name: Late Alam Ara (1) Chairman (2011 to Continue)
Chowdhury, Dips Apparel Ltd.
Chairman
02. DOB: 02/01/1971
(20%)
Education: BSc.
(2) Chairman (2014 to Continue)
NID No: 1595708908678
Pentagon Apparels Ltd.
e-TIN:824604556865
It appears from the aforesaid information that the sponsors are educated and highly experienced
in the context of various businesses. They are also engaged with the businesses for long time
period, moreover they are successfully running the existing factory. So, by this time, they have
achieved management experiences of businesses. Hence, their experiences in their existing
businesses will be helpful for running this proposed business. Therefore, they are, well
qualified to implement and operate the proposed project.
1.7 LAND AND LOCATION:

Proposed factory located at Bellapara, Kalarpole, Patiya, Chittagong Bangladesh on 210
decimal of land in a single plot. The site of the land is well situated with good communication
by road. Power/electricity facilities lie near the proposed land. Total cost for the said 210
Decimal land including land development cost stands at Tk. 553.00 lakh.
1.8 BUILDINGS AND CIVILWORKS:
Proposed unit Building and civil works included main building, utility & other building/civil
construction. Here one thing is important as the factory will be a LEED certified factory, so all
new construction will comply with the USGBC green building guidelines and Bangladesh
National Building Code (BNBC).The cost of these building constructions for the proposed unit
of DPL modern apparel industry cost has been estimated at Tk. 2610.83 lakh.
The main building feature is as follows:
The building will be two storied with five storied foundation.
Plain height 2 ft above internal roads (internal roads shall be 1 ft above main road)

Ground floor height 20 ft.

1st floor to 5th floor height 12 ft.
Pile foundation.
RCC column beam frame structure design for 260km/hr cyclonic wind and
Earthquake zone 2.
Live loads are considered as per BNBC (125 psf)
Floor area 46930 sft on each floor (two floor 93,860 sft)
Mezzanine floor area 6214 sft.
Tie beam will be at 10ft level for all brick walls of 20 ft high.
Utility Building will be single storied with 20 ft floor height.
There will be gate house, deep tube well, road drain, water reservoir, septic tank, soak
well.
1.9 IMPORTABLE & LOCALMACHINERY:

A. Imported Machinery:
Capital machinery for the proposed unit of garments industry will be imported from Japan
(Brand: Juki). The total CFR expenditure of the machinery will be Tk. 703.16 lakh. Other local
miscellaneous costs (Duty, PSI, L/C Commission, and C&F etc.) for the importable items
estimated Tk. 52.73 lakh.
B. Local Machinery:
Rest of the machinery & other equipment’s will also be procured locally. Estimated cost for
these local machinery is Tk. 233.00 lakh.
1.10 OTHER ASSETS:

Under the head of other assets included (a) Furniture & Fixture (b) Vehicles, (c) Preliminary
& Pre – operating Expenses, so cost has been estimated,
-For Furniture & Fixture Tk. 25.00 lakh.
-For Vehicles Tk. 140.00 lakh.
-For Preliminary & Pre – operating expenses Tk. 35.00 lakh.
1.11 TRANSPORTATION & INSTALATION COSTS:

Transportation & Installation cost for the proposed project has been estimated Tk. 10.54 lakh
including local and foreign term installation fees under the head of pre-operation expenses.
1.12 TRENDS OF APPARELS EXPORTS OF BANGLADESH:

From the Rana Plaza disaster to till present, 300 to 350 new apparels factories have originated,
and most of them are compliant factory including 80 environmentally friendly factories. Green
factory become a trend in recent days currently, 90 green garment factories are in operation
and another 300 are in the process of getting the certification. Of the top 10 green garment
factories in the world, the first seven are also located in Bangladesh.
There are a staggering total of 4560 garments factories in Bangladesh exporting apparel
products in the global market. Bangladesh’s apparel exports earnings have registered a strident

rise to $32.92 billion in the calendar year 2018, which was $ 29.2 billion in 2017. Of the total
figure of 2018 export, the knitwear constituted $16.24billion and woven products $16.24
billion.
Year Apparel Export Value in Billion US$
Woven Knit Total
2016 14.93 13.73 28.6
2017 14.67 14.53 29.2
2018 16.68 16.24 32.92
Table: Apparel export in two segments (woven and knit) from 2014 to 2018.
From the above data it is clearly indicating that Bangladesh Garments industry is getting lager
day by day and export volume is also rising and we are expecting 100 Billion exports by the
year of 2024. Woven industries contribution is also rising and presently it stood up more than
50% in the total apparels exports. So, it’s becoming lucrative for the sponsors to invest in this
sector.
1.13 FINANCIALANALYSIS:
Fixed Cost of the project : Tk. 4688.43 lakh (Including IDCP)
Debt- Equity Ratios (%) : 70:30
Means of Finance (Fixed Cost) :
Debt : Tk. 3281.90 lakh (Including IDCP)
Equity : Tk. 1406.53 lakh
Working Capital:
a. From Bank (Debt) : Tk. 563.85 lakh (70%)
b. Sponsor (Equity) : Tk. 241.65 lakh (30%)
Profitability Ratio (%):

First Second Third Fourth Fifth
Particulars
Year Year Year Year Year
Gross Profit/Total Revenue 21.06% 21.28% 21.69% 22.02% 22.31%
Operating Profit to sales 18.38% 18.52% 19.05% 19.49% 19.88%
Net Profit to Sales ( NPBT) 14.14% 15.03% 16.16% 17.16% 18.07%
Net Profit to Sales (NP) 10.61% 10.90% 11.71% 12.44% 13.10%
Net Profit to Project Cost 17.14% 19.33% 22.16% 25.01% 27.89%
Return On Investment (ROI) 29.69% 32.85% 36.05% 39.19% 42.31%
Debt- Service coverage Ratio:

Particulars First Year Second Year Third Year Fourth Year Fifth Year
Income
144,614,938.67 151,856,071.13 161,799,330.80 171,480,291.55 180,975,419.53
(NP+DEP+FINE)
Total Debt
73,263,738.89 73,517,475.01 73,783,898.90 74,063,642.94 74,357,373.17
Services
DSCR (Time) 1.97 2.07 2.19 2.32 2.43

Repayment Period of Debt : 8 years (Including Construction Period & Breathing Time)
Internal Rate of Return (Financial) : about 29%
1.14 INDUSTRIAL CLASSIFICATION:
Since the total cost of the project is Tk. 4688.43 lakh and the project will employ 994 people,
it will be treated as a medium-scale industry as per the National Industrial Policy, 2016 of the
Govt. of the People’s Republic of Bangladesh.
1.15 LEGAL DOCUMENTATION OF THE COMPANY:

RJSC Registration Number : CH-8059/10
Registration Date : 02-Nov-2010
Company TIN : 798134351214
Trade License Number : 192165
1.16 CONCLUSION AND RECOMMENDATIONS:

The feasibility Report of the project has been studied and analyzed from the view point of
Management, Technical, Marketing, Economical and Financial aspects and found to be
worthwhile desirable for investment. Management of the proposed project is highly
experienced. It appears from the financial analysis that the project will be a profitable concern.
The analyzed ration shows satisfactory acceptable results. The project will have sufficient
liquidity to pay all its liabilities. All the above measure of investment feasibility of the proposed
project indicates that it will be able to generate sufficient revenue from its operation to pay
back obligation and annual operational expenses. In view of above, it reveals that the proposed
project is technically viable, socially acceptable and commercially & financially viable&
profitable, therefore, be considered suitable for Bank/Leasing Company’s financing.

2. LEGAL STATUS OF THE COMPANY &PROJECT MANAGEMENT DETAILS

2.1 LEGAL STATUS OF THECOMPANY:
The company has been formed and registered with the Registrar of the joint stock companies
and Firms, Govt. of Bangladesh as a private limited under the name and style “Dips Apparel
Limited”. Actual capital structure of the company will be evolved based on the sources of
finance obtained from probable sources as loan and equity. The authorized share capital of
the company is Tk. 1,00,00,000/= (One Crore) divided into 1,00,000 (One Lac) ordinary
shares of Tk. 100.00 (Taka Hundred) each with power to increase or reduce the capital and
to divide the shares into different classes and to attach there to any special right or privileges
or conditions as regards dividends, repayment of capital voting or otherwise or to consolidate
or sub-divide the shares.
The qualification of a director shall be holding of shares in the company in his/her own name
alone of at least 1,000 (One thousands) ordinary shares of the nominal value of Tk.
1,00,000/= (One Lakh) each and not jointly with any other or others.
A board of directors has been constituted in the company with Bangladeshi sponsors as per
the following (Shown in below):
Name Address Status Share

1. Mrs. Shammi Nasrin Chowdhury House No - 71, Road No -2/Kha,
D/o. Late Abdul Motaher Chowdhury Shughandha, Panchlaish, Chairman 20%
TIN No- 824604556865. Chittagong.
2. Md. Jashim Uddin House No - 71, Road No -2/Kha,
Managing 80%
S/o. Late Abul Kashem Shughandha, Panchlaish,
Director
TIN No-156084638767. Chittagong.
2.2 BRIEF DESCRIPTION OF THEMANAGEMENT:

The sponsors who will promote the proposed modern apparel industry project are educated
person. They possess necessary management capabilities and experiences achieved from their
present and past businesses. A description below will provide educational qualification and
professional experience of each of the sponsoring directors.
Name & Basic Information Address Involvement with Businesses
SL
Dips Apparel Ltd.
Mohammad Jashim Uddin Present Address: (2) Managing Director (1998 to Continue)
Fathers’ Name: M.A Kasem, House # 71, Road # 2/Kha, Gold Mart Apparels Ltd.
Mothers’ Name: Nur Jahan Shagundah, Chawkbazar,Ctg (3) Managing Director (1994 to Continue)
Begum, Gold Star Apparels Ltd.
A.
DOB: 05/10/1963 Permanent Address: (4) Managing Director (2014 to Continue)
Education: B.A House # 71, Road # 2/Kha, Pentagon Apparels Ltd.
NID No: 3262468402 Shagundah, Chawkbazar,Ctg (5) Partner (1988-1998)
e-TIN:156084638767 East Land Electric Company
(6) Partner (1988-1995)
Shah Flour Mills Ltd.
Shammi Nasrin Chowdhury
Present Address:
Fathers’ Name: (1) Chairman (2011 to Continue)
House # 71, Road # 2/Kha,
Mothers’ Name: Late Alam Ara Dips Apparel Ltd.
Shagundah, Chawkbazar,Ctg
Chowdhury,
B.
DOB: 02/01/1971
Permanent Address:
Education: BSc. (2) Chairman (2014 to Continue)
House # 71, Road # 2/Kha,
NID No: 1595708908678 Pentagon Apparels Ltd.
Shagundah, Chawkbazar,Ctg
e-TIN:824604556865

2.3 MANAGEMENT & ORGANIZATION:

Management for day to day affairs of the company will be looked after by the Managing
Director of the company who will be assisted by other directors of the company along with its
officials. Project Manager will be responsible to the managing director for day to day
functioning of the factory. Project Manager also will be responsible for maintaining a
relationship with the management body. The technology providers, along with their technician,
will train a core technology group, a core maintenance group as part of the technology transfer
arrangement.
2.4 EQUITY MOBILIZATION:

Based on the estimated investment outlay of the project and means of finance has worked
out in this feasibility report, the equity capital comes to Tk. 1406.53 lakh. In order to speed
up the proposed unit implementation process, they have already mobilized part of the equity
to enable them to purchase a parcel of land for proposed Unit and made improvements on it
as well further development work is going on.
2.5 DEBT UTILIZATION:

Based on the investment cost as well as means of finance has worked out in this feasibility
report, the debt amount comes to Tk. 3281.90 lakh (This amount not including working
capital Tk. 563.85 lakh.) So including working capital total debt will be Tk. 3845.76 lakh.
The debt amount will be utilized for importing of modern garments capital machinery,
purchase of local machinery & equipment’s, major civil construction works, other assets,
vehicles, working capital and Interest during construction period amount and etc.

3 PROJECT OVERVIEW:
3.1 PROJECT LAND AND LOCATION:
The proposed project will be located at Bellapara, Kalarpole, Patiya, Chittagong. Patiya is
an Upazila of Chittagong District in the Division of Chittagong, Bangladesh.
Patiya Upazila (Chittagong

district) area 298.62 sq. km,
located in between 22'13'
and 22'21' north latitudes
and in between 91'47' and
92'07' east longitudes. It is
bounded by boalkhali
upazila on the north,
chandanaish and anowara
upazilas on the south,
rangunia and Chandanaish
upazilas on the east,
chandgaon, bakalia,
kotwali, double mooring
and bandar thanas on the
west.
Therefore, all infra-structural facilities like water, power, transport and communication are
available there. So, the project will not face any problem in the aspects of transportation of
raw material and marketing of the finished products. So the location is considered as suitable
for the proposed project.

3.2 GEOGRAPHY AND CLIMATE:

Patiya is located at 22.3000°N 91.9833°E. It has 70,218 households and a total area of
316.47 km². "Budbudir Chora" is one of them having enormous green forest and wild life.
Every year local tourists go there for its green forest, small canals and animals like dear, birds
and butterflies.
3.3 DEMOGRAPHIC INFORMATION:

According to the 1991 Bangladesh census, Patiya had a population of 398,836. Males
constituted 52.1% of the population, and females 47.9%. The population aged 18 or over was
197,399. Patiya had an average literacy rate of 44.3% (7+ years), against the national average
of 32.4%.
3.4 ADMINISTRATION:
Patiya has 22 Unions/ Wards, 136 Mauzas/Mahallas, and 124 villages. The township of Patiya
has an area of 9.96 km². It is divided into 9 wards and 9 mahallas.
3.5 BUILDINGS AND CIVILWORKS:

Presently Dips Apparel Ltd. is doing their (two Units) operation with brand new garments
machinery. But now considering the present market situation they have decided to expand its
operation from two units to proposed unit, along with this they will expand their present
production line with fully equipped modern capital garments machinery & accessories (772
sets).
So for proposed Building and civil works included main building, utility & other
building/civil construction. Here one thing is important as the factory will be a LEED
certified factory, so all new construction will comply with the USGBC green building
guidelines and Bangladesh National Building Code (BNBC).The cost of these building
constructions for the proposed 3rd unit of modern apparel industry cost has been estimated
at Tk. 2610.83 lakh.
The main building feature is as follows:
The building will be two storied with five storied foundation.
Plain height 2 ft above internal roads (internal roads shall be 1 ft above main road)
Ground floor height 20 ft.
1st floor to 5th floor height 12 ft.
Pile foundation.
RCC column beam frame structure design for 260km/hr cyclonic wind and
Earthquake zone 2.
Live loads are considered as per BNBC (125 psf)
Floor area 46930 sft on each floor (two floor 93,860 sft)
Mezzanine floor area 6214 sft.
Tie beam will be at 10ft level for all brick walls of 20 ft high.
Utility Building will be single storied with 20 ft floor height.
There will be gate house, deep tube well, road drain, water reservoir, septic tank, soak well.

3.6 IMPORTABLE & LOCALMACHINERY:

A. Imported Machinery:
Capital machinery for the proposed unit of garments industry will be imported from
Japan. The total CFR expenditure of the machinery will be Tk. 703.16 lakh. Other local
miscellaneous costs (Duty, PSI, L/C Commission, and C&F etc.) for the importable items
estimated Tk. 52.73 lakh. So, Total cost for the importable items estimated Tk. 755.89
lakh.
B. Local Machinery:
Rest of the machinery & other equipment’s will also be procured locally. Estimated cost
for these local machinery is Tk. 233.00 lakh.
3.7 OTHER ASSETS:

Under the head of other assets included (a) Furniture & Fixture (b) Vehicles, (c) Preliminary
& Pre – operating Expenses. So for the 3rd unit of Dips Apparel Limited cost estimated,
-For Furniture & Fixture Tk. 25.00 lakh.
-For Vehicles Tk. 140.00 lakh.
-For Preliminary & Pre – operating expenses Tk. 35.00 lakh.
3.8 UTILITIES:
Water:
Requirement of water will be met-up by project deep tube-well to be sunk at project site,
which cost is included in local machinery cost.
Power:
The total connected load of power for the project considered 2.5 MW. The power is available
from local BPDB source. It is mentioned that the project will have generator for the backup
energy sources.
3.9 REPAIR AND MAINTENANCE:
The annual repairs & maintenance charge for the plant and machinery has been estimated 0.5%,
0.75%, 1.0%, and 1.25% of the cost of machineries for the 1st, 2nd, 3rdand 4thyear and onward
respectively
3.10 ECOLOGICAL IMPACT:

The project will not cause any ecological problem. NOC in this respect already obtained from
the Local authority.
3.11 PROJECTIMPLEMENTATION:
As earlier we have mentioned that existing unit of Dips Apparel Limited is already in
commercial operation. So project implementation work out below will be eligible for 3 rd unit
project. IT has been assume that proposed unit of Dips Apparel Limited will go into commercial
production within in 12 months from the date of loan sanction. Project Implementation
schedule a glimpse shown below (next page)-

Completion of Shipment
Opening of Machinery Commercial
Year Months legal Civil Work Related all
L/C Installation Operation
formalities Work
1st
2nd
3rd
4th
2019-2020
5th
6th
7th
8th
9th
10th
11th
12th
Note: Actual Work may vary with implementation schedule.
3.12 PRODUCT
The plant has been designed to produce “Different Types of Garments Product’s”. The
proposed project will able to produce-
a) Various Types of Men’s Hoody Jackets,
b) Various Types of Men’s Trousers,
c) Ladies Hoody Jacket
d) Ladies Trousers
e) Ladies Shorts
f) and others
3.13 PRODUCTION CAPACITY:

Rated annual production of various types of garments items, single shifts of operation in a day, 8
(eight) hours a shift and 312 working days in a year, here is shown below –
This project is proposed for production of net apparel items 3,556,800 pcs/annum based on the 100%
rated annual production capacity.
Rated production capacity at 100% Production based on the capacity utilization at
Daily Annual 70% 75% 80%

Name
(pcs) (pcs) Daily Annual Daily Annual Daily Annual
Men’s Hoody
2380 742,560 1666 533,120 1785 571,200 1904 609,280
Jacket
Men’s Trousers 4400 1,372,800 3080 985,600 3300 1,056,000 3520 1,126,400
Ladies Hoody
1200 374,400 840 268,800 900 288,000 960 307,200
Jacket
Ladies Trousers 1000 312,000 700 224,000 750 240,000 800 256,000
Men’s Jackets 1500 468,000 1050 336,000 1125 360,000 1200 384,000
Ladies Shorts 920 287,040 644 206,080 690 220,800 736 235,520

3.14 MAN POWER REQUIREMENT& COST:

Total Project will require 994 people for its total operation; here we can summarize them in three
departments-
FACTORY MANPOWER
Position No. of Employee Monthly Pay Annual Pay
Production Manager 1 50,000.00 600,000.00
Assistant Production Manager 6 30,000.00 2,160,000.00
Quality Controller 8 20,000.00 1,920,000.00
Line Chief 15 18,000.00 3,240,000.00
Line Supervisor 30 12,000.00 4,320,000.00
Sample Operator 7 10,500.00 882,000.00
Cutting Assistant 50 10,500.00 6,300,000.00
Quality Inspector 30 10,000.00 3,600,000.00
Machine Operator 600 9,000.00 64,800,000.00
Machine Helper 60 8,200.00 5,904,000.00
Finishing Inspector 50 10,000.00 6,000,000.00
Finishing Helper 70 8,200.00 6,888,000.00
Maintenance in Charge 3 15,000.00 540,000.00
Assistant Maintenance 7 9,000.00 756,000.00
Store Keeper 10 8,500.00 1,020,000.00
Cleaner 10 7,800.00 936,000.00
Security Guard 7 7,500.00 630,000.00
Sub Total 964 110,496,000.00
General & Administrative Dept. Human Resources

Category Number Monthly Salary Yearly Salary
General Manager 1 60,000.00 72,0000
Manager - Accounts 2 30,000.00 72,0000
Accounts Executive 4 20,000.00 96,0000
Admin Manager 1 30,000.00 36,0000
Admin Assistant 4 18,000.00 86,4000
IT Officer 2 20,000.00 48,0000
Compliance Officer 4 18,000.00 86,4000
Nurse 2 15,000.00 36,0000
Office Peon 4 8,000.00 38,4000
Driver 6 14,000.00 10,08,000
Total 30 67,20000

4 TECHNICAL ASPECTS:
4.1 INTRODUCTION:
Natural fibers are made from plants or animals, and they include fabrics such as wool, silk,
cotton and linen. Man-made fibers are made by chemical processes, and they include
polyester, nylon, acetate and spandex. When a fabric is created from both fibers it is called
a fabric blend.
Woven fabrics are made by using two or more sets of yarn interlaced at right angles to each
other. Much variety is produced by weaving. Woven fabrics are generally more durable.
They can be easily cut into different shapes and are excellent for producing styles
in garments. However, the raw edges ravel or fray easily and need to be protected. Fabrics
having more fabric count (number of wrap and weft yearns present) keep the shape well.
Low count fabrics are less durable and may snag or stretch. Woven fabrics are manufactured
in different widths depending on the end use. The fabrics used for apparels usually contain
90 cms width. The Sheeting materials are generally made having a width of 160 cm/140cms
and 150cms/180 cms.
4.2 DIFFERENT TYPES OF FABRICS
4.2.1 Buckram Fabric:
It is a stiff coated fabric made from a lightweight loosely
woven fabric, impregnated with adhesives and fillers. This
fabric is used as interfacing so as to provide support and
shape retention to necklines, collars, belts, cuffs,
waistbands, button closures etc. in garments. They are also
used as reinforcements for handbags and other articles.
4.2.2 Cambric Fabric:

Cambric a lightweight fabric woven in plain weave and
Produced with a stiff finish. It is suitable for women’s
Dresses and children’s dresses that require crispness.
4.2.3 Casement Fabric

Casement is a medium weight cotton fabric made of closely
packed thick warp yarns. Generally, it is used for curtains,
table linen, and upholstery and rarely used for dresses.
4.2.4 Cheese Cloth:

It is a popular lightweight sheer fabric having an open
weave. It has a low count fabric consisting of carded yarns.
Originally it was used for wrapping cheese or meat and
hence the name. It is neither strong nor durable. It is
finished in a variety of ways that attract the consumer. It is
used not only for women’s and children’s dresses but also
for drapery fabrics. Due to its open structure, it does not
require much ironing.

4.2.5 Chiffon Fabric:

Chiffon fabrics are sheer, lightweight fabrics made of hard
two listed yarns. Originally these are made in silk fabrics
but today they are made from rayon or polyester. They are
used for sarees and women’s evening wear.
4.2.6 Crepe Fabric

A silk fabric is originally characterized by a crinkle,
puckered surface formed by highly twisted yarns in the
warp or weft or both. By using ordinary yarns similar
crepe effects can also be produced. Synthetic fabrics also
impart crepe effect finish. It is used for sarees, shirts,
women and children’s dresses.
4.2.7 Denim Fabric:

It was traditionally a yarn dyed, warp-faced cotton twill
fabric. Warp is usually colored (mostly blue, maroon,
green and brown) and weft is white. This fabric is made
of two weights for sportswear and overalls. Its use as jeans
has made it very popular and so the nature of denim is also
changed to suit the trend. It is often napped, printed and
made with stretch yarn.
4.2.8 Drill Fabric

It is a warp-faced twill woven fabric. It has a stiff finish.
Originally it was produced in white and now it is
available in solid colors. It is mainly used for pants,
knickers, and uniforms.
4.2.9 Gabardine Fabric

Gabardine is a closely woven, clear finished warp-faced
twill fabric. It contains a number of warp yarns than weft
yearns and also more durable. It is usually woven in 2/1
or 2/2 twill and has a raised diagonal twill effect on the
right side. It largely used for raincoats, suiting, and
sportswear.
4.2.10 Georgette Fabric:

Georgette is a sheer lightweight fabric, woven in plain
weave. It has a characteristic rough texture produced by
hard twisted ply, yarns both in warp and weft.

4.2.11 Kashmir Silk Fabric

Kashmir silk is a silk fabric produced in plain weave
and is either embroidered or printed. The motifs used
are characteristic of Kashmir. It is used for shirts,
women’s wear and sarees. Kashmir shawls are woven
in twill weave and are usually embroidered with
traditional Kashmiri embroidery.
4.2.12 Khadi Fabric:

Khadi is a term used for a wide variety of fabrics that
are hand spun and hand woven. They are produced in
mainly one cotton fiber, blends of two or more fibres.
They are known for durability and simplicity. The
fabrics can be suiting dhotis overalls and household
textiles.
4.2.13 Lawn Fabric:

The lawn is a fine sheet, lightweight, crisp fabric either
made of cotton or linen. Various finishes are given to
this fabric, in which the fabric is called by the name of
the finish. It is mainly used as lining in a dress.
4.2.14 Mulmul Fabric:

It is an Indian term generally applied to fine cotton
fabric slightly heavier, than muslin. These are often
printed fabrics. They find use as sarees.
4.2.15 Muslin Fabric:

Muslin is a lightweight open cloth of plain weave. It may
be used as grey or bleached and dyed. It is used as
household textiles and dress materials. The name is
derived from the city of Mosul where the fabric was first
made. It is a very light and open tabby (plain) weave
fabric used for summer dresses and utility use.

4.2.16 Poplin Fabric

Poplin is a medium weight, the cotton fabric having a
fine weft rib. It is generally used for shirting, dresses,
and upholstery.
4.2.17 Sheeting Fabric:

These are primarily used for bed coverings. They are
medium weight, closely woven fabrics woven either in
plain or twin weave. Sheeting fabrics are made in
different widths.
4.3 TYPES OF JACKET:

4.3.1 Bomber Jackets:
Also known as a flight jacket, a bomber jacket is a short,
durable jacket with a zippered front and fitted or elastic
waist and cuffs. The style originates from the US Air Force,
where it was worn by flight crew members. Today,
however, the bomber jacket is beloved by men of all
professions. Perfect for a range of casual ensembles, this
jacket is comfortable and highly versatile.
4.3.2 Biker Jacket:

For days when you’re feeling a little rebellious, there’s no
better jacket than a biker jacket. Whether you’re a
motorcyclist or not, this short, close-fitting, leather jacket
with zips and studs appears stylish and tough. It also looks
great with jeans and a T-shirt, making it a quick and easy
option for times when you’re running late but still want to
look good.er, the style now also commonly appears in nylon
and other materials.

4.3.3 Trucker Jacket:

For those who don’t know, the trucker jacket is a type of
button-front jacket that features double breast pockets. The
style is typically short and fitted and often made of blue
denim. However, other versions are also available,
including suede styles, shearling-trimmed designs and
options in different colors, such as brown and black.
Overall, the trucker jacket is a timeless design that is perfect
for the weekend.
4.3.4 Denim Jackets:

If you don’t already own at least one denim jacket, it’s time
to invest. This versatile outerwear option looks excellent
with countless casual and smart casual outfits. It’s also
perfect for any time of the year. Wear one on summer
nights with a white, crew-neck T-shirt and winter days
over a black, turtleneck sweater and below a camel
overcoat.
4.3.5 Track Jacket

Whether you’re running laps around the park or having
coffee with friends, a track jacket can make an excellent
option. This comfortable, lightweight style typically
features a zip front along with ribbed cuffs and waistband.
Its sporty aesthetic makes it a perfect choice for at leisure
outfits. All you need to decide is whether you want to add
matching track pants or opt for jeans instead.

4.3.6 Blouson Jacket

Also known as a Harrington, a blouson jacket is a waist-
length, zippered, solid-color jacket. The style features fitted or
elastic cuffs and waistband, which cause the material to gather
and “blouse” over the wrists and waist. As such, the style is
similar to a bomber jacket. However, it is typically more
tailored and often finished with a classic collar, which makes
it appear somewhat smarter.
4.3.7 Hooded Jacket

Practical and stylish, a hooded jacket is a must-have for every
man. Not only will the outerwear option help keep your face
and hair dry in the rain, but it’ll look fashionably casual while
doing so. All you need to do is choose your favorite hooded
style.
4.3.8 Parka
A parka is a hip-length jacket designed for cold weather. The
style is typically stuffed with down or synthetic fiber and
often features a fur-lined hood. Thanks to their warm designs
and casual aesthetics, parkas are perfect for informal winter
outings, such as attending a sporting match.
4.3.9 Shearling Jacket
If you want to look good while staying warm in winter, you

can’t go past a shearling jacket. Perfect for fighting the cold
in style, these jackets feature cozy sheep’s wool, which can
be real or synthetic. While a traditional shearling jacket has
a woolly inner and a suede outer, there are many other
options available today. These options include leather
styles along with designs that only feature shearling on the
collar or lapel.

4.3.10 Anorak
Although many people get confused between anoraks and

parkas, they are different garments. While a parka is a hip-
length jacket that is typically stuffed and features a fur-lined
hood, an anorak is a water-resistant, hooded, pull-over jacket.
Anoraks also sometimes feature drawstrings at the waist and
cuffs as well as a half-zip opening.
TYPES OF SHORTS:
4.3.11 Swim trunks
Swim trunks are the most traditional type of men's swimwear.

They are worn by people of all ages, from kids to seniors. Swim
trunks are generally made of nylon, polyester or a blend. They
come in basic solid colors, as well as funky prints. Swim trunks
are somewhat loose and normally fall to mid-thigh. Younger
people and kids may opt for board shorts instead of traditional
swim trunks because they are more comfortable and roomy.
4.3.12 Board shorts
Teenagers and young adult men are most likely to wear board
shorts at the beach or pool, and even skateboarding, boating and
just for fun in the sun. Board shorts were originally created for
surfing (thus the name) but are worn for swimming everywhere.
They don't have an elastic waist, like many swim trunks, but
rather have a rigid waistband often with a lace-up front t and
Velcro fly.

4.3.13 Square leg swimsuits
Somewhere between speedos and swim trunks, you'll find

square leg swimsuits. These men's swimsuits are cut similar to
boxer-brief underwear.
4.3.14 Swim jammers

You may have seen competitive swimmers wearing swim
jammer style swimsuits. They are form fitting but look like
cycling shorts so they offer more coverage than square leg suits
or swim briefs. Though you don't see swim jammers at the
beach that often if you are a competitive swimmer, this style is
definitely a good option.
4.3.15. Swim Briefs
Swim briefs were introduced back at the 1956 Olympics in

Melbourne. Thus, these nylon/spandex briefs are often
referred to as just "speedos," even though they are available
from several different swimwear brands. Briefs vary in style
from full coverage bottom to barely-there G-string.
4.3.16 Kids Swim Shorts:

There is a very wide range of styles of modern swimsuits
available, which vary as to body coverage and materials.
The choice of style may depend on community standards
of modesty, as well as current fashions, and personal
preferences.

4.3.17 Old Navy Girls Swim Shorts:
Swim Shorts were introduced in Australia. Thus, these

nylon/spandex briefs are often referred to as just "Old
Navy’s," even though they are available from several
4.3.18 Boxer shorts

These are elastic waist shorts worn by men; they are
named So, because they resemble the shorts used by
the boxers.
4.3.19 TYPES OF TROUSERS:
Trousers will never go out of style. Check out

how many different types you've got in your
Closet. We feature the many variations of pants.
Jeans (Men and Women)

Khakis (Men)
Pleated Pants (Men)
Cargo Pants (Men)
Chinos (Men)
Pants with Flat Fronts (Men)
Capris (Women)
Pleated Trouser
Chinos or Chino Style Trouser
Flat Front Trousers.

4.4 Apparel Manufacturing Process Flow Diagram:

The sequential process of apparel manufacture may be described as follows:
Apparel production units carry out a number of processes from order receiving (L/C
confirmation) to delivery of the finished clothing. The processes begin with the production
planning.
4.4.1 Production planning:

Production Planning includes raw materials planning, production capacity planning, line
planning, scheduling of jobs, and assigning duty-responsibility for each job, etc. Apparel
manufacturing starts with the design of the product, which is designed by the retailer-distributor.
Pattern pieces are created from the designs, which are then used to cut the fabric. Fabric is
developed as per the buyer’s requirements. Fabric development means sourcing or
manufacturing customer-specific fabric with matching properties such as dyeing and colors, etc.
4.4.2 Cutting& Sewing:

The factory goes into bulk cutting and ornamentation through printing or embroidery (if
needed). The addition of sewing or accessories is then done to prepare the complete clothing as
per the design specifications. The steps in clothing production are given in the above figure.
CUTTING SECTION
Fabric Inspection Machine Fabric Lay

Fabric Cutting Numbering
Cutting Quality Check Cutting goods in rack
SEWING SECTION
Sewing line Sewing Line

In line process Qc Table Line End Qc Table
4.4.3 Inspection:
Inspection is an ongoing process that begins with raw materials sourcing and continues until the
final shipment. Internal and external inspections are made. Internal inspections are done by the
producers. The buyer-nominated inspector performs external inspections throughout the
production process.
4.4.4 Finishing:
Afterward, the products are ultimately packed for the delivery.
4.4.5 Delivery:
Delivery is done as per the terms of the contract with the buyer, e.g., if the delivery term is FOB
(free on board), the products are sent to the nominated board, whereas, if the delivery is EXW
(ex-works), the product is to be made ready at the factory premises for delivery, etc.

4.5 CHARACTERISTICS OF MACHINERY &EQUIPMENT’S (SEWING SECTION):
Juki Single (1) Needle lockstitch Sewing:

DDL8000APSHNB
Features:
1. Auto Thread Trimmer.
2. Auto Lifter
3. Energy Saving Servo Motor.
4. Belt – in LED spot light.
Juki 3 Needle Sewing Machine:

M06743DA1D640H/SV81DD
Features:
1. Auto Thread Trimmer.
2. Semi Dry Head
3. High Speed
3 Needle 5 Thread Sewing Machine:

MF 7523U11B56/SV- 715 (650 W)
Features:
1. Semi Dry Lockstitch Bartack.
4. USB & Flash Card Supported.
5. 3 Needle, 5 Thread Flat Bed Top &
Bottom Cover Stitching Machine.

KANSAI SPECIAL BRAND MODEL

DFB1411PXP/SV-715(650W):
Features:
1. Japan Made.
2. 11 Needle Gauge.
3. Double Chain Stitch Waist banding
Machine with pre – installed and extra
Cloth Puller conversion.
JUKI BRAND MODELSEWING

MACHINE:
LBH1790ANS/MC602
Features:
1. Japan made.
2. High Speed
3. Computer controlled Lockstitch Button
Holding machine with LED light and
Compact type AC servo motor with china
Made control Box.
JUKI BRAND MODEL

LH3568AGF/SV – 71S (650W):
Features:
1. Japan Made
2. 2 – Needle , Needle Feed
3. Semi dry head
4. Lockstitch
5. Organized split needle Bar machine for
a. Heavy – weight materials.
b. Set with 220V AC 600W
c. Servo motor made.

JUKI BRAND MODEL

LK1903BNSS301/MC672:
Features:
1. Japan Made.
2. Computer controlled
3. High Speed lockstitch button sewing
Machine for extra small
4.6 CHARACTERISTICS OF MACHINERY &EQUIPMENT’S (OTHER’S):
CLOTH CUTTING MACHINE

KM KS – AU-V 10inch:
Features:
1. Japan Made.
2. Cloth Cutting machine.
3. Complete set.
HASHIMA BRAND MODEL LINEAR

FUSING PRESS (HP – 600LFS):
Features:
1. Japan Made.
2. Straight Linear Fusing press.
3. Complete set.
4. W – 600 MM and Strip off device.

NEEDLE DETECTOR MACHINE

HASHIMA BRAND MODEL: HN – 780 G
Features:
1. JAPAN Made.
2. Conveyor type needle detector.
3. Detector height 100MM
4. Detection Capacity 0.8 MM for GAP.
5. Standard Accessories
6. Caster Wheel.
FASTERING MACHINE
UZRI BRAND MODEL
UZ – 7EA
Features:
1. Pneumatic Type Snap Fasterning
Machine.
Iron Steaming Machine:

AS - 1450
Features:
1. The Plate is stainless steel made.
2. Steam heated iron to be connected to the
Main plant.
3. Weight is 1.25 kg.

Vaccum Table:
COOLEST – CST - ST
Features:
1. Table surface 130* 80 CM.

5. GREEN FACTORY IN BANGLADESH:

5.1 GREEN FACTORY:
A basic requirement for a “green factory” is energy-efficient and sustainable production that
balances environmental and business interests. Such an analysis ranges from the building
structure and the materials used and the amount of power required for each unit of
production.
5.2 GREEN FACTORY IN BANGLADESH:
Currently, 67 green garment factories are in operation and another 300 are in the process of
getting the certification. Of the top 10 green garment factories in the world, the first seven
are also located in Bangladesh.
Figure: Country wise green factories. (Source: USGBC)
The world’s highest rated green denim, knitwear, washing and textiles mills are all in
Bangladesh. In the global top 11 platinum certified LEED apparel factories, 8 are in
Bangladesh. According to data from the BGMEA, so far 67 RMG factories have achieved
LEED certification from the USGBS. 16 are platinum, 4 are gold and the remaining are silver
Points Factory Name Country Name Date Certified Category
97 Remi Holdings Ltd. Bangladesh July 20016 Platinum
93 Tarasima Apparels Ltd. Bangladesh July 20016 Platinum
92 Plummy Fashions Ltd. Bangladesh September 2015 Platinum
90 Confidential Ireland September 2014 Platinum
90 AR Jeans Bangladesh March 2018 Platinum
90 Vintage Denim Studio Ltd Bangladesh May 2012 Platinum
88 Green textile Limited Unit #3 Bangladesh April 2018 Platinum
87 Columbia Washing Bangladesh November 2016 Platinum
86 Echotex ltd Bangladesh March 2017 Platinum
86 Bottega Veneta Atelier Italy March 2014 Platinum
86 Method Products PBc United States March 2015 Platinum
and certified. Around 280 factories are currently enrolled with LEED and are getting
certified.
Table: Bangladesh`s place Among the Highest LEED Achievers in Apparel.

5.3 BENEFITS OF GREEN INDUSTRY:

Benefits of Green Industry While Bangladesh has adopted some green principles in the past,
natural resources must be used in a manner that it is environmentally feasible and green
practices aid in these beneficial arguments that will be discussed in this section.
Social:
A green industry is especially hospitable in terms of social aspects as it contributes towards
alleviating poverty levels due to economic growth and job growth. For example, in
Bangladesh, there is a huge job market in the plastic industry in the form of recycling, but it is
a form of an informal sector. Formalizing this industry in the light of a green industry would
cause in income generation which will cause positively improved working conditions and
higher productivity. In Bangladesh, there has been a rise in solar installation in areas that are
not able to access electricity, causing in the development of positive social aspects in low-
income families.
Additionally, for the rural areas, this access to clean energy would also mean dependency on
oneself to provide for their own family while being monetarily solvent. This also causes
positive health impacts, for example, using greener methods to cook food would not emit toxic
gases.
Economic:
Economic benefits of a green industry stem from a higher business performance of a
company due to adopting green principles. This is because in a green industry consumer needs
are placed in such a way that it provides a beneficial outlook, a healthy ecosystem and promotes
a sustainable future. This also provides a positive outlook on the global value chain, causing
increased access to global markets. Adopting a greener market also causes jobs to rise, as it can
be seen from the energy industry. 3.5 million new jobs have been added to the market by
renewable energy usage compared to 2.5 million new jobs from the oil and gas industry.
Additionally, improving environmental performance will also cause in the rise of economic
benefits in the form of monetary savings. For example, energy efficiency will cause in using
less energy, which in turn denotes as a favorable outcome in the overall economics of a
company. Saving cost also applies due to any fund that has been saved from remediation
reserves. Identifying environmental risks mean that a corrective action can be identified which
causes in cost saving. Studies show that clean technologies typically have relatively short
payback periods and lead to lower annual costs. After an initial cost, these investments help
decrease resource use while generating more money through increased productivity. This
funding from savings can be used to further cause in the expansion of the business or in job
growth, causing further economic growth.
Environmental:
A greener industry has the ability to reduce usage of resources by utilizing the potential of
nature’s capital to its maximum efficiency. This is particularly advantageous because this
cancels out any inefficiency in the system and reduces waste. Improved resource efficiency,
i.e. using energy, materials and water more effectively, allows resources to be conserved. By

reducing the demand for raw materials by using them more efficiently, impacts associated with
extraction and harvesting are decreased. For instance, the recycling of waste materials back
into industrial production reduces requirements for the extraction and processing of virgin
natural resources. This also saves resources associated with extraction, for example, in the
textile industry, recycling of water causes in savings of water and decreases the need for
investments in end-of-line effluent treatment systems. As this involves shifting from linear
systems to more efficient closed loop systems, waste is reduced. Improved product or service
design with the aid of renewable or recycled resources can also increase the lifetime of the
process while eliminating hazardous substances and decreasing pollution and waste throughout
the entire life cycle.
5.4 NECESSITIES FOR A GREEN INDUSTRY IN THE BANGLADESHI CONTEXT:
Necessities for a Green Industry in the Bangladeshi Context Fostering a green economy
through a green industry can be done through providing categories that can be used as a
framework. It should be mentioned that for large scaled buildings, 40–95% of the
anthropogenic greenhouse emissions are caused by operational energy use, and the rest
being caused by construction and deconstruction (U.S. Green Building Council, 2017).
Many types of rating systems exist for a green building, such as Building Research
Establishment's Environmental Assessment Method (BREEAM) in the U.K., Leadership in
Energy and Environmental Design (LEED) rating system in the U.S. Green Building
Initiative (GBI) established in Canada. Nearly 600 green product certifications exist in the
world that take different approach to credits allocated for factors related to a green industry.
From a Bangladeshi context, commonly used framework for a green industry is done on a focus
on green buildings and credits regarding this rating. Additionally, LEED is the only recognized
body by Bangladesh Bank when it comes to a formal certification for green industry in
Bangladesh.

6. MARKET ASPECTS:
6.1 INTRODUCTION:
Another year has been passed with many expectations, achievements, and failures. The year
2018 was very significant for Bangladesh apparel industry that is contributing to 84 percent
of annual exports with a contribution over USD 32 billion to the economy and generating
employment for almost 4.5 Million people. In the year, the Committee for Development
Policy, a UN panel, announced Bangladesh’s eligibility for the developing country category
that was possible mainly for the immense contribution of apparel and textile industry to the
country’s economy.
Export Figure2018 was very significant for Bangladesh apparel industry that is contributing
to 84 percent of annual exports with a contribution over USD 32 billion to the economy and
generating employment for almost 45 lakh people.
Many positive initiatives were taken to develop the industry including workers wage hike,
huge investment in compliance maintenance, training activities towards skilled workforces,
making value-added product etc. those provided a great panorama for the sector amidst
several challenges the industry was facing. We see that in 2018, local investment and Foreign
Direct Investment (FDI) have increased in a notable way, apparel exports to traditional and
new markets get robust growth and new product range was developed to export
Bangladeshi apparel manufacturers have amended the safety standard, which enhanced the
buyer’s confidence, another thing is, buyers were concerned about the new minimum wage
for the garments workers which have been increased from December 2018 and it was
announced a few months ago. So, buyers increased order throughout the year.
While product quality and variety of products were also an imperative factor in gaining
growth as Bangladeshi entrepreneurs were making an investment to elevate the quality of
products.

6.2 MAJOR TEXTILE SECTOR AND ITS PRODUCT:

Major textile sectors of Bangladesh and its products are given in following table:
SECTOR PRODUCTS
Spinning Yarn
Weaving Grey Woven Fabric
Knitting Grey Knit Fabric
Dyeing & Finishing Dyed or printed fabric
Apparel or Garments Men, Women & baby wear
Jute Carpet, twine, hessian and sacking
Sericulture Silk yarn and silk fabric
Hand Loom Sharee (Jamdani and banarashi), lungi and gamcha
Power Loom Sharee, lungi, gamcha and different woven cloth.
6.3 TEXTILE INDUSTRY OF BANGLADESH:

Bangladesh currently has 430 spinning mills, 802 textile weaving mills, 244 dyeing and
finishing mills, and around 4,500 garment factories. Approximately 4,000 garment factories
employ 3.6 million workers, of which 80 percent are women. According to the Bangladesh
Textile Mills Association (BTMA), because of high export demand for value-added textile
products, over the last ten years fabric demand from the ready-made garment (RMG) sector
has exceeded domestic supplies, which are 50 percent cotton based and 25 percent non-cotton
based. (Sources: Global Information Network -2018.)
Number of Mills that are BTMA Members: 1,476
A. Textile Spinning Mills 430

 Synthetic Spinning Mills :19
 Acrylic Spinning Mills :08
Installed Capacity:
 Spindle 13.17 Million
 Rotors 0.231 Million
Annual Yarn Spinning Capacity 2943 Million Kgs
B. Fabric Manufacturing Mill: 802

Textile Weaving Mills
 Denim Mills :32
 Home Textile Mills :22
 Knit Fabric Mills :93
Installed Capacity:
 Shuttle Less Loom :35253
 Shuttle Loom :16916
Woven Mills 646
Annual Woven Fabric Manufacturing 3707 Million Mtrs
Capacity
244
Dyeing-Printing-Finishing Mills
Annual Fabric Processing Capacity: 3448 Million Mtrs

Woven Dyeing : 2480 Million Mtrs.
Yarn Dyeing : 396 Million Kgs
Knit Dyeing : 572 Million Kgs.

Raw Materials Requirements
Raw Cotton : 10.50 Million bales, if 100% capacity is utilized.

Type of raw-cotton : 1-1/8”,1-1/16”,1-1/32”,1-5/32” etc.
Polyester Staple Fibre : 96000 Ton

Viscose Staple Fibre : 36000 Ton
Name of other raw materials used : Polyester, Viscose and Acrylic Staple Fiber,
Chips and Pet Chips.
6.4 TOTAL APPAREL EXPORT (BY FISCAL YEAR BASIS):

VALUE OF TOTAL WOVEN EXPORT FISCAL YEAR BASIS
TOTAL EXPORT IN MN.US$
YEAR
WOVEN KNIT
2000-2001 3364.32 1495.51
2001-2002 3124.82 1458.93
2002-2003 3258.27 1653.82
2003-2004 3538.07 2148.02
2004-2005 3598.20 2819.47
2005-2006 4083.82 3816.98
2006-2007 4657.63 4553.60
2007-2008 5167.28 5532.52
2008-2009 5918.51 6429.26
2009-2010 6013.43 6483.29
2010-2011 8432.40 9482.06
2011-2012 9603.34 9486.39
2012-2013 11039.85 10475.88
2013-2014 12442.07 12049.81
2014-2015 13064.61 12426.79
2015-2016 14738.74 13355.42
2016-2017 14392.59 13757.25
2017-2018 15426.25 15188.51
Source: EPB, Compiled by: RDTI Cell, BGMEA
6.5 EXPORTS IN NEW MARKET:

Bangladesh’s traditional markets for garment exports are
Europe and the United States. While non-traditional
markets include Australia, Brazil, Chile, China, India,
Japan, Korea, Mexico, Russia, South Africa, and Turkey.
Bangladesh’s apparel exports earnings have recorded a
sharp rise by 16.52% to $5.4 billion in 2018 to non-
traditional export markets, which was $4.2 billion in
2017, according to the latest data of the Export
Promotion Bureau (EPB).

Figure: Bangladesh’s apparel exports earnings to non-traditional markets.

In the last six months of 2018, apparel exports to Japan hoisted at $547 million, the highest
in the non-traditional category, up by 50.62%, which was $363.31 million in the same period
preceding year. Australia contributed the second highest with a growth of 18.46% to $360
million. India was the third largest importer of apparel products, which imported good worth
$270 million, up by 143% compared to $111.33 million in the same period last year.
Bangladesh government is providing policy support including cash incentives to upsurge
earnings from the non-traditional markets. As part of its policy support, the government is
providing 4% cash incentives against export to non-traditional export markets, which was
3% in the previous fiscal year.
Meanwhile, private sector initiatives to explore market also helped Bangladesh to reach more
export destination punishing the exports earnings up. BGMEA is aiding manufacturers to
partake in international exposition to establish a network with buyers.
Key exported products
Figure: Value-added items were exported expressively in 2018.

The buying pattern of the western world and consumer behavior are fluctuating rapidly and
to trail the rhythm Bangladesh manufacturers are also trying to diversify their products.
Bangladesh produced mostly cotton-based items and the country exported 80% product in
five key items including trousers, shirt, sweater etc. But the textile and apparel sector people
are giving more attention on producing other items like lingerie, swimwear, woven jacket,

sports item, functional fabric, functional textile etc.

In 2018, apparel manufacturers expanded their capacity significantly to produce items from
manmade fiber as it is getting more and more reputation in the world. Value-added items are
being exported that is really imperative to get a healthier price, which ultimately would
support the sector to sustain.
H.E. Peter Fahrenheit, German Ambassador to Bangladesh, recently said that if Bangladeshi
manufacturers offer a value-added product, which could be of higher quality, ecologically
sustainable then German buyers will purchase the product with the higher price.
6.6 DEMAND AND SUPPLY OF THE GARMENT’S PRODUCT:
There are a staggering total of 4560 garments factories in Bangladesh exporting apparel
products in the global market. Bangladesh’s apparel exports earnings have registered a
strident rise to $32.92 billion in the calendar year 2018, which was $ 29.2 billion in 2017. Of
the total figure of 2018 export, the knitwear constituted $16.24billion and woven products
$16.24 billion.
Year Apparel Export Value in Billion US$
Woven Knit Total
2016 14.93 13.73 28.6
2017 14.67 14.53 29.2
2018 16.68 16.24 32.92
Table: Apparel export in two segments (woven and knit) from 2014 to 2018.
From the above data it is clearly indicating that Bangladesh Garments industry is getting
lager day by day and export volume is also rising. Moreover, according to the Textile and
Jute Ministry, we are expecting $ 100 Billion export by the year of 2024. Woven industries
contribution is also rising and presently it stood up more than 50% in the total apparels
exports(Y-2018), which is alluring for the owner of woven industries to invest in this sector.
So ultimately demand for the woven garments is increasing across the globe, where jackets
and swim shorts are also included.
6.7 CONCLUSION:
The importance of the RMG industry in the economy of Bangladesh is very high.
Furthermore, the industry is expected to be catalyst in the industrialization of Bangladesh,
and has been declared as a thrust sector by the government. From the overall position it is
observed that demand for the apparels product is increasing day by day.

7. PRODUCT PRICING AND MARKETING STRATEGY
7.1 PRODUCT QUALITY:

In order to ensure quality of the product, the company will recruit qualified, skilled &
experienced manpower.
7.2 PRODUCT PRICING:

Next to product quality, product pricing plays an important role for successful marketing of
the product. The product must be competitive price-wise along with the proper maintenance
of quality. However, proposed selling price of woven product’s & denim jackets have been
shown in Table:
Sl. No. Item of Products Unit Proposed Unit Sales Price (US$)
01. Men’s Hoody Jacket pcs 4.15
02. Men’s Trousers pcs 3.20
03. Ladies Hoody jacket pcs 4.45
04. Ladies Trousers pcs 4.10
05. Men’s Jacket pcs 3.25
06. Ladies Shorts pcs 3.90
7.3 MARKETING STRATEGY:

The sponsors will adopt appropriate marketing strategies with regard to product quality,
pricing, promotion and distribution. It may be mentioned here that marketing strategies
would have been changed in the years to come keeping track with the changed circumstances
of world trade. The sponsors will keep a constant eye on the export market and based on the
situation they will adopt appropriate marketing strategies. The sponsors will procure direct
orders for woven& denim products from international market.
It deserves to mention here that the sponsors have professional and managerial experience
in the garments industry which will help them to construct a competitive marketing strategy
for this proposed modern outerwear industry. Moreover Managing Director will build-up
good network with the export-oriented market. This will help them to obtain sufficient orders
from different market to ensure successful operation of the project in imminent days.
7.4 PRODUCT PROMOTION:

Since the prevailing market is very much competitive, the company should have to make the
consumers aware of their products by way of adopting appropriate promotional measures.
Among others, advertisement into the mass-media, display of products in trade fare and other
steps will have to be taken in due course. Most importantly at present world, the company
have to enough convenient to the potential customer via using various digital media.

8. FINANCIALEVALUATION
8.1 COST OF THEPROJECT:
The total fixed cost of the project is estimated at Tk. 4688.43 lakh (Including Interest during
Construction Period). Provisions for unforeseen expenses have, also, been made. Details of the
cost estimates showing break up under different heads appears in Annexure I of projected
financial analysis. We can summarize same in the following Table.
Cost in BDT
Total Cost in
SL Cost Component Foreign
Local Currency BDT
No Currency
01 Land Purchase 48,300,000.00 48,300,000.00
02 Land Development 7,000,000.00 7,000,000.00
03 Building And Civil Construction works 261,083,000.00 261,083,000.00
04 Imported Machinery 70,316,250.00 70,316,250.00
05 Locally Procured Machinery 23,300,000.00 23,300,000.00
06 Misc. charges for imported machineries 5,273,716.00 5,273,716.00
07 Cost of Installation 1,054,743.00 1,054,743.00
08 Other Assets 20,000,000.00 20,000,000.00
09 Contingences 3,515,812.00 3,515,812.00
10 Interest During Construction Period
29,000,000.00 29,000,000.00
(IDCP)
11 Total Fixed Cost 398,527,271.00 70,316,250.00 468,843,521.00
12 Working Capital 80,551,139.00 80,551,139.00
13 Total Cost of the Project 549,394,660.00
8.2 MEANS OFFINANCE:

Debt Equity Ratio is 70: 30. Details of the Means of Finance are presented in Annexure II of
projected financial analysis.
8.3 CAPITALSTRUCTURE:
Equity
140,653,056
30%
Debt
328,190,465
70%
The initial startup capital (Equity) of the firm will be Tk. 1406.53 lakh which is the 30% of
the project total fixed cost and Debt amount will be 70% of the fixed cost which is Tk.
3281.90 lakh. Working capital debt: equity ratio estimated as 70%:30%. Details of the
Capital Structure shown in Annexure III of projected financial analysis.

8.4 ASSUMPTION:
Details are shown at Annexure IV of Financial analysis.
8.5 WORKING CAPITAL CALCULATION:

The project is assumed to be 70%, 75%, 80%, 85%and 90% throughout the analysis period.
The competitive price has been assumed even though the quality of the product is superior as
a conservative measure. Adequate provisions for raw materials costs, wages and administrative
expenses have been made. Estimated profitability, calculated on the basis of the aforesaid
assumed production capacity. Details are at Annexure V.
8.6 COST OF GOODS SOLD:

Details are shown at Annexure VI of Financial analysis.
8.7 RE PAYMENT SCHEDULE:

Debt Repayment Schedule/Estimated Financial Expenses per annum. Quarterly repayment
schedule are shown in Annexure VII.
8.8 UNDERLYING COST CALCULATION FOR COGS:

Details have been worked out in Annexure VIII.
8.9 SALES REVENUE:

Details are shown in Annexure IX.
8.10 GASE (GENERAL, ADMINISTRATIVE & SALES COST):

Details have been worked out in Annexure X.
8.11 PROFIT & LOSS STATEMENT:

Details are shown in Annexure-XI.
8.12 PROJECTED BALANCE SHEET:

Details have been worked out in Annexure XII.
8.13 CASH FLOW STATEMENT:

Details have been worked out in Annexure XIII.
8.14 SENSITIVITY ANALYSIS:

Here we have conducted sensitivity analysis based on two categories and these are—
Sensitivity analysis based on 5% increased in Raw Materials Cost
Sensitivity analysis based on 5% decreased in Sales Price, Details are shown in Annexure-XIV
8.15 BREAK EVEN ANALYSIS:
Details are shown in Annexure XV.
8.16 DEBT SERVICE COVERAGERATIO:

Net profit before tax and interest provided, although indicates that reasonable cash flow would
be generated from operations to enable servicing the debt comfortably and still leave the project
in an adequate state of liquidity. Details are shown in Annexure XVI.
8.17 INTERNAL RATE OF RETURN:

The Internal Rate of Return has been estimated about 29%.This is well above any hurdle rate
of return that most investors would consider as the rate of return to be acceptable. Details of
the IRR calculations are shown at Annexure XVII.

ANNEXURE – I
ABASTRACT OF THE PROJECT COST
Abstract of the Project Cost
Particulars Foreign Local Total
1. Land 48,300,000.00 48,300,000.00
2. Land Development 7,000,000.00 7,000,000.00
3. Building & Civil Construction Works 261,083,000.00 261,083,000.00
4. Machinery & Equipment’s
(a) Importable Machinery
CFR Cost of Importable Machinery
US$ 827,250.00 70,316,250.00 70,316,250.00
( b) Landed cost:
i) Import Duty @ 3.5% of CFR Cost 2,461,068.00 2,461,068.00
ii) L/C Commission and Insurance @ 1.5% 1,054,743.00 1,054,743.00
iii) Clearing, Forwarding and Port Charges 1% 703,162.00 703,162.00
iv) Pre-shipment Inspection@1.5% 1,054,743.00 1,054,743.00
5,273,716.00 5,273,716.00
Importable Machinery Total Cost (a) + (b) 75,589,966.00 75,589,966.00
(c) Transportation & Installation (1.5% of CFR Costs) 1,054,743.00 1,054,743.00
(d) Local Machinery & Equipment’s 23,300,000.00 23,300,000.00
(e) Contingences (5% of CFR Costs) 3,515,812.00 3,515,812.00
5. Other Fixed Assets:
(a) Furniture & Fixture 2,500,000.00 2,500,000.00
(b) Vehicles 14,000,000.00 14,000,000.00
(c) Preliminary & Pre-Operating Expenses 3,500,000.00 3,500,000.00
Total Other Fixed Assets 20,000,000.00 20,000,000.00
IDCP (For 12 months) 29,000,000.00 29,000,000.00
Total Fixed Cost of the Proposed Project 468,843,521.00 468,843,521.00

ANNEXURE – II
MEANS OF FINANCE
Means of Finance
Particulars Equity Debt Total
A. Fixed Costs:
1. Land 48,300,000.00 0.00 48,300,000.00
2. Land Development 7,000,000.00 0.00 7,000,000.00
3. Building & Civil Construction Works 54,802,972.00 206,280,028.00 261,083,000.00
4. Machinery & Equipment’s
i. Importable Machinery (CFR Costs) 7,031,625.00 63,284,625.00 70,316,250.00
ii. Landed Costs (L/C Commission, INS, PSI, C&F Etc.) 5,273,716.00 0.00 5,273,716.00
iii. Local Machinery 6,990,000.00 16,310,000.00 23,300,000.00
iv. Transportation & Installation 1,054,743.00 0.00 1,054,743.00
5. Other Fixed Assets:
(a) Furniture & Fixture 2,500,000.00 0.00 2,500,000.00
(b) Vehicles 4,200,000.00 9,800,000.00 14,000,000.00
(c) Preliminary & Pre-Operating Expenses 3,500,000.00 0.00 3,500,000.00
Contingencies 0.00 3,515,812.00 3,515,812.00
IDCP (For 12 Months) 0.00 29,000,000.00 29,000,000.00
A. Total Fixed Costs 140,653,056.00 328,190,465.00 468,843,521.00
B. Working Capital (Funded) (1st Year) 24,165,342.40 56,385,796.60 80,551,139.00
C. Total Project Cost 164,818,398.40 384,576,261.60 549,394,660.00
N.B.: Loan applied for 70% of Total Estimated Fixed Cost to the Project which 328,190,465.00 & Working Capital is Tk. 56,385,796.00
For Project loan & Working Capital (Debt: Equity): 70:30

ANNEXURE – III
CAPITAL STRUCTURE
FIXED COST OF THE PROJECT
SL NO. DESCRIPTION PROJECT COST IDCP TOTAL PERCENTAGE
1 Shareholders 140,653,056.00 0 140,653,056.00 30%
2 Bank Loan 299,190,465.00 29,000,000.00 328,190,465.00 70%
Total 468,843,521.00 100%
WORKING CAPITAL OF THE PROJECT

SL NO. DESCRIPTION PERCENTAGE WORKING CAPITAL
1 Shareholders 30% 24,165,342.40
2 Bank Loan 70% 56,385,796.60
Total 100% 80,551,139.00

ANNEXURE – IV
ASSUMPTION
The major assumptions based on which the aforesaid earning forecast and other financial projections have been made are as follows:
Production of garment’s products:

Assumptions:
1. No. of shift per day : Single Shift
2. Hours per Shift : 8 Hours
3. Working days per annum : 312 days
4. Capacity per day : Avg. 2380 pcs for Men’s Hoody Jacket,
Avg. 4400 pcs for Men’s trousers,
Avg. 1200pcs for Ladies hoody Jackets,
Avg. 1000 pcs for Ladies Trousers,
Avg. 1500 pcs for Men’s Jackets &
Avg. 920 pcs for Ladies Shorts.
5. Project capacity per annum
Men’s hoody Jackets : 742,560.00 pcs (at 100 % capacity)
Men’s Trousers : 1,372,800.00 pcs (at 1000 % capacity)
Ladies hoody Jackets : 374,400.00 pcs (at 100% Capacity)
Ladies Trousers : 312,000.00 pcs (at 100% Capacity)
Men’s Jackets : 468,000.00 pcs (at 100% Capacity)
Ladies Shorts : 287,040.00 pcs (at 100% Capacity)
ii. Capacity Utilization:

Capacity utilization of this project is assumed 70% at 1st Year, 75% at 2nd year, 80% at 3rd Year, 85% at 4th Year and 90% at 5th Year and so on of operation of
the project. This capacity utilization will continue for the whole operation period. This is a reasonable assumption since the technology providers have confirmed
this capacity.

iv. Prices of Inputs and Outputs:

Price of input (fabric, rib, accessories & others cost) has been used and then this price of 5th year will continue. Output prices at factory level have been assumed
to fix at Tk. 415 (US$4.94) per pcs men’s hoody jacket, Tk. 320 (US$3.80) per pcs men’s trouser, Tk.445 (US$5.29) per pcs ladies hoody jacket, Tk. 410
(US$4.88) per pcs ladies trouser, Tk.325 (US$3.86) per pcs men’s jacket & ladies shorts Tk. 390.00 (US$4.64) per pcs this price will continue for the rest
consecutive years of the operation period. It should be noted furthermore, that the analysis implicitly assumes that any increase / decrease in input price after
the price rate stated above will be offset by a corresponding increase /decrease in output price.
v. Duties & Taxes:
Import duty and VAT costs are as per prevailing NBR rates.
vi. Income Tax:

Here we make income tax provision @ rated 25.00%.
vii. Operation Life:
Economic life of the project has been assumed to be minimum 15 years.
viii. Inflation and currency fluctuation:
Inflation & currency fluctuation have not been taken in to account. But we have conduct Sensitivity Analysis based on
05% increase in Raw Materials Price,
05% Decrease in Sales Price,
ix. Long Term Loan:
The tenor of repayment of the long term loan is 8 years (Including 18 month’s construction & grace period). There will be a grace period of eighteen (18)
months for repayment of loan w. e. f. The date of opening of letter of credit (L/C) during which interest will be accrued but repayment will commence after 18
months just after commercial operation of the plant. It has been assumed that the loan including IDCP will be paid in 26 quarterly installments and installment
will start from 1st year of operation.

ANNEXURE –V
WORKING CAPITAL CALCULATION
Working Capital Calculation

1. Funded Facilities:
Amount (In Tk.)
Cost Particulars Tied Up Period
70% 75% 80% 85% 90%
Local Raw Materials 30 Days 43,984,500.00 46,183,725.00 48,492,911.25 50,917,556.81 53,463,434.65
Work in Progress 3 Days 5,916,521.00 6,212,346.40 6,522,963.73 6,849,111.91 7,191,567.51
Store & Spares 45 Days 67,511.00 70,886.00 74,430.30 78,151.81 82,059.40
Finished Goods 7 Days 13,805,217.00 14,495,477.60 15,220,251.49 15,981,264.06 16,780,327.26
Receivables 8 Days 15,777,391.00 16,566,260.40 17,394,573.42 18,264,302.09 19,177,517.20
Cash LS 1,000,000.00 1,050,000.00 1,102,500.00 1,157,625.00 1,215,506.25
Total Required Funded Facilities 80,551,139.00 84,578,695.40 88,807,630.18 93,248,011.69 97,910,412.27
2. Non Funded Facilities:
L/C Limit for Raw Materials Import 0.00 0.00 0.00 0.00 0.00
3. Total Estimated Working Capital (1+ 2) 80,551,139.00 84,578,695.40 88,807,630.18 93,248,011.69 97,910,412.27
Financing Sources:
Amount
Financing Sources
1st Year 2nd Year 3rd Year 4th Year 5th Year
Non Funded Facilities:
L/C Limit for Importable Raw Materials 0.00 0.00 0.00 0.00 0.00
Funded:
Funded Working Capital Loan @ 70% 56,385,796.60 59,205,086.78 62,165,341.13 65,273,608.18 68,537,288.59
Equity/Margin @ 30% 24,165,342.40 25,373,608.62 26,642,289.05 27,974,403.51 29,373,123.68
Total Working Capital 80,551,139.00 84,578,695.40 88,807,630.18 93,248,011.69 97,910,412.27
Working Capital Cost
Interest on Working Capital @ 9% 5,074,721.69 5,328,457.81 5,594,880.70 5,874,624.74 6,168,355.97
Commission & Others @ 0.60% 0.00 0.00 0.00 0.00 0.00
Total Cost for Working Capital Loan 5,074,721.69 5,328,457.81 5,594,881.70 5,874,625.74 6,168,355.97

ANNEXURE –VI
COST OF GOODS SOLD
COST OF GOODS SOLD

Depreciation 1st Year 2nd Year 3rd Year 4th Year 5th Year
Purchase of Raw Materials 457,438,800.00 490,113,000.00 522,787,200.00 555,461,400.00 588,135,600.00
Wages & Salary 121,545,600.00 127,622,880.00 134,004,024.00 140,704,225.20 147,739,436.46
Utilities 12,500,000.00 13,125,000.00 13,750,000.00 14,375,000.00 15,000,000.00
Store & Spares 0.00 468,081.25 702,121.88 936,162.50 936,162.50
Maintenance 468,081.25 702,121.88 702,121.88 702,121.88 702,121.88
Depreciation 22,415,774.00 22,415,774.00 22,415,774.00 22,415,774.00 22,415,774.00
Khajna,Tax & Insurance 450,000.00 450,000.00 450,000.00 450,000.00 450,000.00
Others Production Costs 500,000.00 700,000.00 900,000.00 1,000,000.00 1,100,000.00
Total Production Costs 615,318,255.25 655,596,857.13 695,711,241.75 736,044,683.58 776,479,094.84
(+) Beginning WIP 0.00 5,916,521.00 6,212,346.40 6,522,963.73 6,849,111.91
(+) Beginning Finished Goods 0.00 13,805,217.00 14,495,477.60 15,220,251.49 15,981,264.06
Production Costs 615,318,255.25 675,318,595.12 716,419,065.76 757,787,898.79 799,309,470.81
(-) Ending WIP 5,916,521.00 6,212,346.40 6,522,963.73 6,849,111.91 7,191,567.51
(-) Ending Finished Goods 13,805,217.00 14,495,477.60 15,220,251.49 15,981,264.06 16,780,327.26
Cost of Goods Sold (COGS) 595,596,517.26 654,610,771.11 694,675,850.55 734,957,522.81 775,337,576.04

RAW MATERIALS COST ANALYSIS
COST FOR PER PCS MENS HOODY JACKET

Fabric Cost 130.00
RIB Cost 40.00
Accessories Cost 35.00
Other Cost 8.50
Total Tk. 213.50
COST FOR PER PCS MENS TROUSER

Fabric Cost 100.00
Lining Cost 30.00
Pocketing Cost 25.00
Others Cost 7.00
Total Tk. 162.00
COST FOR PER PCS LADIES HOODY JACKET

Fabric Cost 135.00
RIB Cost 40.00
Other Cost 8.50
Total Tk. 217.50
COST FOR PER PCS LADIES TROUSER

Fabric Cost 125.00
Lining Cost 35.00
Others Cost 8.50
Total Tk. 198.50

COST FOR PER PCS MENS JACKETS

Fabric Cost 100.00
RIB Cost 30.00
Other Cost 8.50
Total 163.50
Cost For Per Pcs Ladies Shorts

Fabric Cost 120.00
RIB Cost 30.00
Others Cost 8.50
Total 183.50
TOTAL RAW MATERIALS COST:
Per Day Production Annual Cost

Item
(PCS) Production(PCS) (In Tk.)
Men’s Hoody Jackets 2380 742,560.00 158,536,560.00
Men’s Trousers 4400 1,372,800.00 222,393,600.00
Ladies Hoody Jackets 1200 374,400.00 81,432,000.00
Ladies Trousers 1000 312,000.00 61,932,000.00
Men’s Jackets 1500 468,000.00 76,518,000.00
Ladies Shorts 920 287,040.00 52,671,840.00
Total 11,400 653,484,000.00

ANNEXURE –VII
REPAYMENT SCHEDULE
Principal Amount Tk. 299190465

Rate of Interest : 9%
Grace Period : 18 Months (Including 12 Months Construction Period)
IDCP Tk. 29000000
Interest in Grace Period Tk. 13615036
Duration : 8 Years (Including 18 Months Grace Period)
Amortized Amount Tk. 312805501
C.R.F : 0.051221
Number Installment & Amount : Term Loan: Each Installment Equivalent to Tk. 160.22 Lac
The first installment will be repayment from the 21st month of the loan
Date of first installment :
disbursement
Repayment
Number of Number of Decreasing Amount of Installment IDCP
Installment Months after Dis Principal Principal Interest Total Installment
0 18 312,805,501 0 0 0 0
1 21 303,821,308 8,984,193 7,038,124 16,022,317
2 24 294,634,970 9,186,338 6,835,979 16,022,317
5,800,000
3 27 285,241,940 9,393,030 6,629,287 16,022,317
4 30 275,637,566 9,604,373 6,417,944 16,022,317
5 33 265,817,094 9,820,472 6,201,845 16,022,317
6 36 255,775,662 10,041,432 5,980,885 16,022,317
5,800,000
7 39 245,508,297 10,267,365 5,754,952 16,022,317
8 42 235,009,917 10,498,380 5,523,937 16,022,317
9 45 224,275,323 10,734,594 5,287,723 16,022,317
10 48 213,299,200 10,976,122 5,046,195 16,022,317 5,800,000
11 51 202,076,115 11,223,085 4,799,232 16,022,317
12 54 190,600,511 11,475,605 4,546,713 16,022,317
13 57 178,866,705 11,733,806 4,288,511 16,022,317 5,800,000

14 60 166,868,889 11,997,816 4,024,501 16,022,317

15 63 154,601,122 12,267,767 3,754,550 16,022,317
16 66 142,057,330 12,543,792 3,478,525 16,022,317
17 69 129,231,303 12,826,027 3,196,290 16,022,317
18 72 116,116,690 13,114,613 2,907,704 16,022,317
5,800,000
19 75 102,706,998 13,409,692 2,612,626 16,022,317
20 78 88,995,589 13,711,410 2,310,907 16,022,317
21 81 74,975,672 14,019,916 2,002,401 16,022,317
22 84 60,640,308 14,335,364 1,686,953 16,022,317
23 87 45,982,398 14,657,910 1,364,407 16,022,317
24 90 30,994,684 14,987,713 1,034,604 16,022,317
25 93 15,669,748 15,324,937 697,380 16,022,317
26 96 0 15,669,748 352,569 16,022,317

ANNEXURE –VIII
UNDERLYING COST CALCULATION FOR COGS
Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Capacity Utilization 70% 75% 80% 85% 90%
Raw Materials Cost
Raw Materials 457,438,800.00 490,113,000.00 522,787,200.00 555,461,400.00 588,135,600.00
Salary & Wages
Salary/Wages 110,496,000.00 110,496,000.00 116,020,800.00 121,821,840.00 127,912,932.00
Yearly Increment @5% 000 5,524,800.00 5,801,040.00 6,091,092.00 6,395,646.60
Festival Bonus 11,049,600.00 11,602,080.00 12,182,184.00 12,791,293.20 13,430,857.86
Total 121,545,600.00 127,622,880.00 134,004,024.00 140,704,225.20 147,739,436.46
Utilities
Electricity 9,500,000.00 9,975,000.00 10,450,000.00 10,925,000.00 11,400,000.00
Fuel & Lubricants 3,000,000.00 3,150,000.00 3,300,000.00 3,450,000.00 3,600,000.00
Total 12,500,000.00 13,125,000.00 13,750,000.00 14,375,000.00 15,000,000.00
Stores & Spares
Machinery Price
( 1st year, 2nd year & 3rd year) 0 468,081.25 702,121.88 936,162.50 936,162.50
0.5%,0.75%, 1.00%
Repair & Maintenance
Machinery Price ( 1st year, 2nd
year & 3rd year)
468,081.25 702,121.88 702,121.88 702,121.88 702,121.88
0.5%,0.75%, 1.00%
Khajna, Tax & Insurance
Khajna, Tax & Insurance 450,000.00 450,000.00 450,000.00 450,000.00 450,000.00
Depreciation
Assets Name Value Percentage Amount
Building & Civil Construction
261,083,000.00 5.00% 13,054,150.00
Works
Machinery 93,616,250.00 10.00% 9,361,624.00
Total 22,415,774.00
Other’s Production Cost 500,000.00 700,000.00 900,000.00 1,000,000.00 1,100,000.00

FACTORY WAGES CALCULATION

FACTORY MANPOWER
Position No. of Employee Monthly Pay Annual Pay
Production Manager 1 50,000.00 600,000.00
Assistant Production Manager 6 30,000.00 2,160,000.00
Quality Controller 8 20,000.00 1,920,000.00
Line Chief 15 18,000.00 3,240,000.00
Line Supervisor 30 12,000.00 4,320,000.00
Sample Operator 7 10,500.00 882,000.00
Cutting Assistant 50 10,500.00 6,300,000.00
Quality Inspector 30 10,000.00 3,600,000.00
Machine Operator 600 9,000.00 64,800,000.00
Machine Helper 60 8,200.00 5,904,000.00
Finishing Inspector 50 10,000.00 6,000,000.00
Finishing Helper 70 8,200.00 6,888,000.00
Maintenance in Charge 3 15,000.00 540,000.00
Assistant Maintenance 7 9,000.00 756,000.00
Store Keeper 10 8,500.00 1,020,000.00
Cleaner 10 7,800.00 936,000.00
Security Guard 7 7,500.00 630,000.00
Sub Total 964 110,496,000.00
GENERAL & ADMINISTRATIVE DEPT. HUMAN RESOURCES WAGES CALCULATION:
General & Administrative Dept. Human Resources
Category Number Monthly Salary Yearly Salary
General Manager 1 60,000.00 72,0000
Manager - Accounts 2 30,000.00 72,0000
Accounts Executive 4 20,000.00 96,0000
Admin Manager 1 30,000.00 36,0000
Admin Assistant 4 18,000.00 86,4000
IT Officer 2 20,000.00 48,0000
Compliance Officer 4 18,000.00 86,4000
Nurse 2 15,000.00 36,0000
Office Peon 4 8,000.00 38,4000
Driver 6 14,000.00 10,08,000
Total 30 67,20000

ANNEXURE –IX
SALES REVENUE
Sales Revenue
( At 100% Capacity)
Unit Price
Sales Product Annual Production
Per pcs price (US$) Conversion Rate US$ 1 Total Cost (Tk.)
Men’s Hoody Jackets 742,560.00 Pcs 4,15 85,00 261,938.040
Men’s Trousers 1,372,800.00 Pcs 3,20 85,00 373,401.600
Ladies Hoody Jackets 374,400.00 Pcs 4,45 85,00 141,616.800
Ladies Trousers 312,000.00 Pcs 4,10 85,00 108,732.000
Men’s Jackets 468,000.00 Pcs 3,25 85,00 129,285.000
Ladies Shorts 287,040.00 Pcs 3,90 85,00 95,153.760
At 100% Capacity 1,110,127,200.00
Sales at Rated Capacity 1,110,127,200.00 1,110,127,200.00 1,110,127,200.00 1,110,127,200.00 1,110,127,200.00
Uses of Production Capacity 70% 75% 80% 85% 90%
Sales at Assumed Capacity 777,089,040.00 832,595,400.00 888,101,760.00 943,608,120.00 999,114,480.00
Opening Stock :
Working Progress 0,00 5,916,521.00 6,212,346.40 6,522,963.73 6,849,111.91
Finished Goods 0,00 13,80,217.00 14,495,477.60 15,220,251.49 15,981,264.06
Total Sales Product 777,089,040.00 852,317,137.99 908,809,584.01 965,351,335.21 1,021,944,855.97
Closing Stock :
Working Progress 5,916,521.00 6,212,346.40 6,522,963.73 6,849,111.91 7,191,567.51
Finished Goods 13,805,217.00 1,.495,477.60 15,220,251.49 15,981,264.06 16,780,327.26
Net Sales 757.367,302.01 831,609,313.98 887,066,368.80 942,520,959.24 99,.972,961.20

ANNEXURE –X
GASE (GENERAL, ADMINISTRATIVE & SALES EXPENSE)
General, Administrative & Sales Expense
Description 1st Year 2nd year 3rd Year 4th Year 5th Year
Director’s Salary 2,400,000.00 2,400,000.00 2,400,000.00 2,400,000.00 2,400,000.00
Salary & Allowance 7,840,000.00 8,232,000.00 8,643,600.00 9,075,780.00 9,529,569.00
Printing & Stationary 600,000.00 500,000.00 600,000.00 600,000.00 600,000.00
Telephone & Post 500,000.00 600,000.00 500,000.00 500,000.00 500,000.00
Travel cost 600,000.00 5,650,000.00 600,000.00 600,000.00 600,000.00
Installment for IDCP 5,650,000.00 4,000,000.00 5,800,000.00 5,800,000.00 5,800,000.00
Write - off 4,000,000.00 4,000,000.00 4,000,000.00 4,000,000.00 4,000,000.00
Advertisement Expense 500,000.00 500,000.00 500,000.00 500,000.00 500,000.00
Other’s Cost 350,000.00 350,000.00 350,000.00 350,000.00 350,000.00
Total 22,440,000.00 22,832,000.00 23,393,600.00 23,825,780.00 24,279,569.00
UNDERLAYING COST FOR GASE
Salary & Allowance
Description 1st Year 2nd year 3rd Year 4th Year 5th Year
Basic Salary 6,720,000.00 6,720,000.00 7,056,000.00 7,408,800.00 7,779,240.00
Annual Increment - 336,000.00 352,800.00 370,440.00 388,962.00
Festival Bonus 1.120.000,00 1,176,000.00 1,234,800.00 1,296,540.00 1,361,367.00
( Two Month’s Basic Salary)
Total 7.840.000,00 8.232.000,00 8.643.600,00 9.075.780,00 9.529.569,00
Depreciation & Write – Off
Name of Assets Price Rate Quantity
Furniture 2,500,000.00 20.00% 500,000.00
Primary Expense 3,500,000,00 20.00% 700,000.00
Vehicles 14,000,000.00 20.00% 2,800,000.00
Total 4,000,000.00
Installment for IDCP repayment 5,800,000.00 5,800,000.00 5,800,000.00 5,800,000.00 5,800,000.00
Advertisement Cost 500,000.00 500,000.00 500,000.00 500,000.00 500,000.00

ANNEXURE –XI
FORECASTED PROFIT & LOSS STATEMENT
PROFIT & LOSS STATEMENT

Description 1st Year 2nd Year 3rd Year 4th Year 5th Year
Sales Revenue 757,367,302.01 831,609,313.98 887,066,368.80 942,520,959.24 997,972,961.20
COGS 595,596,517.26 654,610,771.11 694,675,850.55 734,957,522.81 775,337,576.04
Gross/Total Profit 161,770,784.75 176,998,542.88 192,390,518.25 207,563,436.43 222,635,385.17
General, Administrative & Selling Ex. 22,590,000.00 22,982,000.00 23,393,600.00 23,825,780.00 24,279,569.00
Operating Profit 139,180,784.75 154,016,542.88 168,996,918.25 183,737,656.43 198,355,816.17
Financial Cost:
Interest on Term Loan 26,979,582.74 23,683,555.07 20,080,722.20 16,142,525.69 11,837,748.78
Interest on working capital 5,074,721.69 5,328,457.81 5,594,881.70 5,874,625.74 6,168,355.97
Net Profit Before Tax (NPBT) 107,126,480.31 125,004,530.00 143,321,314.35 161,720,505.00 180,349,711.42
Income Tax Provision @ 25.00 % 26,781,620.08 34,376,245.75 39,413,361.45 44,473,138.88 49,596,170.64
Net Profit 80,344,860.23 90,628,284.25 103,907,952.90 117,247,366.13 130,753,540.78
Retained Earnings 80,344,860.23 170,973,144.48 274,881,097.38 392,128,463.51 522,882,004.29
Ratios
Gross Profit to Sales 21.06% 21.28% 21.69% 22.02% 22.31%
Operating Profit to Sales 18.38% 18.52% 19.05% 19.49% 19.88%
Net Profit to Sales (NPBT) 14.14% 15.03% 16.16% 17.16% 18.07%
Net Profit to Sales (NT) 10.61% 10.90% 11.71% 12.44% 13.10%
Net Profit to Project Cost 17.14% 19.33% 22.16% 25.01% 27.89%
Return on Investment (ROI) 29.69% 32.85% 36.05% 39.19% 42.31%
Debt Service Coverage Ratio (Times) 1.97 2.07 2.19 2.32 2.43

ANNEXURE –XII
PROJECTED BALANCE SHEET
PROJECTED BALANCE SHEET
Assets Construction 1st Year 2nd Year 3rd Year 4th Year 5th Year
Cash Flow 0.00 65,551,199.78 138,089,795.89 220,305,227.80 311,921,876.41 412,739,922.76
Current Assets 0.00 80,551,139.00 84,578,695.40 88,807,630.18 93,248,011.69 97,910,412.27
Fixed Assets 416,327,709.00 393,911,935.00 371,496,161.00 349,080,387.00 326,664,613.00 304,248,839.00
Other Assets 52,515,812.00 48,515,812.00 44,515,812.00 40,515,811.00 36,515,811.00 32,515,809.00
Total 468,843,521.00 588,530,085.78 638,680,464.29 698,709,056.98 768,350,312.10 847,414,984.04
Liabilities
Term Loan 299,190,465.00 263,781,030.54 225,075,568.41 182,767,273.41 136,520,781.90 85,969,513.48
Working Capital Loan 0.00 56,385,796.60 59,205,086.78 62,165,341.13 65,273,608.18 68,537,288.59
IDCP 29,000,000.00 23,200,000.00 17,400,000.00 11,600,000.00 5,800,000.00 0.00
Equity 140,653,056.00 164,818,397.40 166,026,663.62 167,295,345.05 168,627,457.51 170,026,177.68
Retained Earnings 0.00 80,344,860.23 170,973,144.48 274,881,097.38 392,128,463.51 522,882,004.29
Total 468,843,521.00 588,530,085.78 638,680,464.29 698,709,056.98 768,350,312.10 847,414,984.04

ANNEXURE –XIII
CASH FLOW STATEMENT
CASH FLOW STATEMENT

1. Sources of Cash Flow:
Construction
Period
Equity 140653056 24165342 1208266 1268680 1332114 1398720
Term Loan 299190465 0 0 0 0 0
Working Capital Loan 0 56385797 2819290 2960254 3108267 3263680
IDCP 29000000 0 0 0 0 0
Depreciation & Write-off 0 26415774 26415774 26415774 26415774 26415774
Operating Profit 0 139180785 154016543 168996918 183737656 198355816
Total 468843521 246147698 184459873 199641627 214593812 229433991
2. Usages of Cash Flow
Construction
Period
Fixed Assets 416327709
Other Assets 52515812
Income Tax Provision 26781620 34376246 39413361 44473139 49596171
Working Capital 0 80551139 4027556 4228935 4440382 4662401
LIABILITY BASED CASH PAYMENTS
Principal Repayment of Term Loan 0 35409434 38705462 42308295 46246492 50551268
Interest Payment on Term Loan 0 26979583 23683555 20080722 16142526 11837749
Interest Payment on Working Capital 0 5074722 5328458 5594882 5874626 6168356
Amortization for IDCP 0 5800000 5800000 5800000 5800000 5800000
Total 468843521 180596498 111921277 117426195 122977163 128615944
3. Balance (1-2) 0 65551200 72538596 82215432 91616649 100818046
Beginning Balance of Cash Flow - 0 65551200 138089796 220305228 311921876
Ending Balance of Cash Flow 0 65551200 138089796 220305228 311921876 412739923

ANNEXURE –XIV
SENSITIVITY ANALYSIS
A. Sensitivity Analysis Considering Raw Materials Increasing By 5 %
Description 1st Year 2nd year 3rd Year 4th year 5th Year
Sales Income 757,367,302.01 831,609,313.98 887,066,368.80 942,520,959.24 997,972,961.20
COGS 618,468,457.26 679,116,421.11 720,815,210.55 762,730,592.81 804,744,356.04
Gross Income 138,898,844.75 152,492,892.88 166,251,158.25 179,790,366.43 193,228,605.17
General, Administration & Sales Expense 22,590,000.00 22,982,000.00 23,393,600.00 23,825,780.00 24,279,569.00
Financial Expense:
Interest on Project Loan 26,921,333.67 23,461,618.95 19,679,862.49 15,546,087.60 11,027,527.22
Interest on Working Capital 5,074,721.69 5,328,457.81 5,594,881.70 5,874,625.74 6,168,355.97
Net Profit Before Tax 84,312,789.39 100,720,816.12 117,582,814.06 134,543,873.09 151,753,152.98
Income Tax Provision @ 25% 21,078,197.35 25,180,204.03 29,395,703.51 33,635,968.27 37,938,288.24
Net Profit 63,234,592.04 75,540,612.09 88,187,110.54 100,907,904.82 113,814,864.73
Ratio (%)
Gross Profit to Sales 17.84 18.34 18.74 19.08 19.36
Operating profit to sales 15.36 15.57 17.10 17.55 17.93
Net Profit to Sales (Before Tax) 11.13 12.11 13.26 14.27 15.21
Net Profit to Project Expense 13.49 16.11 18.81 21.52 24.28
Return On Investment (ROI) 24.81 27.62 30.47 33.27 36.04

B. Sensitivity Analysis Considering Sales Price Reducing By 5 %

Description 1st Year 2nd year 3rd Year 4th year 5th Year
Sales Income 719,498,936.91 790,028,848.28 842,713,050.36 895,394,911.28 948,074,313.14
COGS 595,596,517.26 654,610,771.11 694,675,850.55 734,957,522.81 775,337,576.04
Gross Income 123,902,419.65 135,418,077.18 148,037,199.81 160,437,388.46 172,736,737.10
General, Administration & Sales Expense 22,590,000.00 22,982,000.00 23,393,600.00 23,825,780.00 24,279,569.00
Financial Expense:
Interest on Project Loan 26,921,333.67 23,461,618.95 19,679,862.49 15,546,087.60 11,027,527.22
Interest on Working Capital 5,074,721.69 5,328,457.81 5,594,881.70 5,874,625.74 6,168,355.97
Net Profit Before Tax 69,316,364.29 83,646,000.42 99,368,855.62 115,190,895.13 131,261,284.92
Income Tax Provision @ 27.50% 17,329,091.07 20,911,500.11 24,842,213.90 28,797,723.78 32,815,321.23
Net Profit 51,987,273.21 62,734,500.32 74,526,641.71 86,393,171.35 98,445,963.69
Ratios
Gross Profit to Sales 16.72 17.14 17.57 17.92 18.22
Operating profit to sales 14.08 14.23 14.79 16.26 16.66
Net Profit to Sales (Before Tax) 9.63 10.59 11.79 12.86 13.85
Net Profit to Project Expense 11.09 13.38 15.90 18.43 21.00
Return On Investment (ROI) 21.61 23.98 26.59 29.14 31.66

ANNEXURE –XV
BREAK EVEN ANALYSIS
Break – Even Analysis

01. Production Year t 3rd Year
02. Production Capacity t 70%
03. Sales (Assumed Capacity) t 888101760
04. Sales (Rated Capacity) : 1110127200
04. Total Sales t 752179306
Expense Total Expense Fixed Expense Current Expense
Raw Materials 522787200 50484595 454361357
Factory Wages 134004024 20100604 113903420
Utility 13750000 3437500 10312500
Stores & Spares 702122 175530 526591
Repair & Maintenance 702122 351061 351061
Depreciation 26415774 26415774 -
Rent, Tax & Insurance 450000 225000 225000
Other’s Production Expense 900000 450000 450000
Director’s Salary 2400000 2400000 -
Salary & Wages 8643600 4321800 4321800
Printing & Stationary 600000 0 600000
Post & Telephone 500000 250000 250000
Travel Cost 600000 300000 300000
Depreciation & Write off 500000 125000 375000
Installment of Interest Rate from Construction
Period 5800000 5800000 0
Advertisement Expense 500000 500000
Others Expense 350000 0 350000
Financial Expense 32574464 26979583 5594882
Total 752179306 143610572 608568734

Break – Even Point :

PV Ratio 0,314753374
Break Even Point (Sales) 456263804
Break Even Point (Rated Capacity) t 41%
Break Even Point (Assumed Capacity) t 51%
Considering 5% decreasing in Sales Price t Considering 5% increasing in Raw Materials Price:
PV Ratio 0,278687762 PV Ratio 0,2853205
B.E.P - Sales 515309932 B.E.P - Sales 503330662
B.E.P – Rated Capacity 47% B.E.P – Rated Capacity 45%
B.E.P – Assumed Capacity 61% B.E.P – Assumed Capacity 57%

ANNEXURE –XVI
DEBT SERVICE COVERAGE RATIO
DEBT SERVICE COVERAGE RATIO

INCOME AVAILABLE FOR DEBT 1ST YEAR 2ND YEAR 3RD YEAR 4TH YEAR 5TH YEAR
Net Profit 80,344,860.23 90,628,284.25 103,907,952.90 117,247,366.13 130,753,540.78
Depreciation & Write - off 26,415,774.00 26,415,774.00 26,415,774.00 26,415,774.00 26,415,774.00
Duration & current Interest Rate against Capital Loan 32,054,304.44 29,012,012.88 25,675,603.90 22,017,151.42 18,006,104.75
Installment of Construction Period Inte5rest Rate 5,800,000.00 5,800,000.00 5,800,000.00 5,800,000.00 5,800,000.00
Total 144,614,938.67 151,856,071.13 161,799,330.80 171,480,291.55 180,975,419.53
Repayment of Debt 1st Year 2nd year 3rd Year 4th year 5th Year
Duration Loan Installment 62,389,017.20 62,389,017.20 62,389,017.20 62,389,017.20 62,389,017.20
Installment of Construction Period Interest Rate 5,800,000.00 5,800,000.00 5,800,000.00 5,800,000.00 5,800,000.00
Installment of Current Loan Interest Rate 5,074,721.69 5,328,457.81 5,594,881.70 5,874,625.74 6,168,355.97
Total 73,263,738.89 73,517,475.01 73,783,898.90 74,063,642.94 74,357,373.17
Considering Sales Price Decreasing By 5% 1.48 1.58 1.68 1.78 1.87
Considering Raw Materials Decreasing By 5% 1.63 1.75 1.86 1.97 2.07

ANNEXURE –XVII
FINANCIAL INTERNAL RATE OF RETURN
FINANCIAL INTERNAL RATE OF RETURN

Year Expense Benefit Net Benefit NPV at 30% NPV at 25%
0 468,843,521.00 0.00 0.00 -468,843,521.00 -468,843,521.00
1 165,596,558.75 165,596,558.75 127,376,872.99 132,477,247.00
2 180,432,316.88 180,432,316.88 106,761,801.89 115,476,682.80
3 195,412,692.25 195,412,692.25 88,951,857.51 100,051,298.43
4 210,153,430.43 210,153,430.43 73,574,715.99 86,078,845.10
5 224,771,590.17 224,771,590.17 60,530,989.23 73,657,650.10
Total -11,647,283.38 38,898,202.43
Internal Rate of Return: 29%

ATTATCHMENT: I
BUILDING & CIVIL CONSTRUCTION
Sl Item Description Quantity Rate Amount
Main Building :
46,930 sft @ 800/= 375.44 lacs
Cost of Pile foundation for the main building
Cost of Grade beam, Ground floor including compacted sand filling up
to plinth level and all structural and finishing work of floor tiles, doors, 46,930 sft @ 1800/= 844.74 lacs
1. windows, complete in all respect
Mezzanine floor all structural and finishing work complete in all respect 6,214 sft @ 1500/= 93.21 lacs
First floor all structural and finishing work complete in all respect 46,930 sft @ 1500 /= 703.95 lacs
Roof finishing for rain water protection including parapet walls 46,930sft @ 200/= 93.86 lacs
2. Gate house
900 sft @ 2500/= 22.50 lacs
-One storied building
3. Road :
1200 ft long and 20ft wide carpeting road on 2 ft macadam made of
compacted sand and khoa on 2 ft compacted sand filling after removing 1 25,000ft @ 500/= 125 lacs
ft loose soil from the existing ground and levelling the ground.
4. Drainage:
Average 1.5 ft x 2.5ft RCC drain with 6 inch bottom slab and 10 inch thick
2500ft @ 2500/= 62.5 lacs
side walls. Top can be partly covered by 4 inch thick RCC slab including
excavation, back filling complete in all respect.
5. Under Ground Reservoir:
10 ft x 20 ft x 10 ft clear
Dimension RCC reservoir with 10 inch thick RCC walls, 12 inch thick 253 sft @ 2500/= 6.325 lacs
RCC bottom slab and 6 inch thick RCC top slab complete in all respect.
6. Septic Tank:
10 ft x 20 ft x 8 ft Septic tank with 8 inch thick bottom slab, 6 inch thick 281 sft @ 1500/= 4.215 lacs
top slab and 15/10 inch brick walls.
7. Soak well shall be 3.5 ft clear dia and 50 ft deep. 50 ft @ 2000/= 1 lac
8. Utility Building and other facilities:
4450sft @ 2500/= 110 lacs
-One stories building(floor height 20 ft)
9. Deep Tube Well:
Complete boring and installation of the Deep Tube Well 800 feet depth
1 nos 20lac
with 1.5 inch delivery, 300 feet 6 inch dia and 500 feet 4 inch dia best
quality PVC Class D pipe & PVC strainer and 2 HP submersible pump.
10. Overhead Consultancy and other expenses L.S. 147.26 lacs
TOTAL 2610 lacs

ATTATCHMENT: II
IMPORTABLE MACHINERY
UNIT PRICE TOTAL PRICE TOTAL PRICE

S/NO DESCRIPTION QNTY
(IN US$) (IN US$ ) (IN BDT)
JUKI BRAND MODEL:DDL8000APSHNB
1-NEEDLE, LOCKSTITCH,MINUTE QUANTITY
01 450 SETS 775.00 348,750.00 29,643,750.00
LUBRICATION SEWING MACHINE FOR HEAVY
DUTY & STANDARD ACCESSORIES
JUKI BRAND MODEL: MO6743DA1D640H/SV81DD
02 108 SETS 1,000.00 108,000.00 9,072,000.00
SEMI DRY HEAD, HIGH SPEED.
JUKI BRAND MODEL:MF7523U11B56/SV-
03 71S(650W) 45 SETS 1,300.00 58,500.00 4,972,500.00
3-NEEDLE, 5-THREAD.
KANSAI SPECIAL BRAND
04 MODEL:DFB1411PXP/SV-71S(650W) 20 SETS 1,800.00 36,000.00 3,060,000.00
11-NEEDLE, GAUGE.
JUKI BRAND MODEL:LBH1790ANS/MC602
HIGH-SPEED, COMPUTER CONTRLLED
05 20 SETS 4,450.00 89,000.00 7,565,000.00
LOCKSTICH BUTTON HOLING MACHINE WITH
LED LIGHT.
JUKI BRAND MODEL:LH3528AGFA00S/SV-
06 71S(650W) 20 SETS 1,350.00 27,000.00 2,295,000.00
2-NEEDLE, NEEDLE FEED, SEMI DRY HEAD.
JUKI BRAND MODEL:LH3568AGF/SV-71S(650W)
07 16 SETS 1,800.00 28,800.00 2,448,000.00
2-NEEDLE, NEEDLE FEED, SEMI DRY HEAD.
JUKI BRAND MODEL:LK1903BNSS301/MC672
08 10 SETS 3,700.00 37,000.00 3,145,000.00
COMPUTER CONTROLLED, HIGH-SPEED.
JUKI BRAND MODEL:LK1900BNHS/MC672 2,780.00 27,800.00 2,363,000.00
09 10 SETS
HIGH-SPEED, COMPUTER CONTROLLED.
UZU BRAND MODEL:UZ-7EA,
10 10 ETS 900.00 9,000.00 765,000.00
PNEUMATIC TYPE SNAP FASTERNING MACHINE.
KM KS-AU-V 10”
11 8 SETS 1,130.00 9,040.00 768,400.00
CLOTH CUTTING MACHINE, COMPT.SET.

HASHIMA BRAND MODEL:HP 600LFS

12 STRAIGHT LINEAR FUSING PRESS(W:600MM AND 1 SET 7,600.00 7,600.00 638,400.00
STRIP OFF DEVICE)
HASHIMA BRAND MODEL:HN-780G
CONVEYOR TYPE NEEDLE DETECTOR
13 2 SETS 10,500.00 21,000.00 1,764,000.00
(DETECTION HEIGHT 100MM, DETECTION
CAPACITY 0.8MM, FOR GAP).
VEIT BRAND MODEL: AS-1450,
14 26 SETS 185.00 4,810.00 408,850.00
ART NO 121 442 0008 ALL STEAM IRON.
VEIT BRAND MODEL: COOLSET-CST-ST,

15 26 SETS 575.00 14,950.00 1,270,750.00
VACUUM TABLE (TABLE SURFACE 130X80CM)
TOTAL 772 SETS US$ 827,250.00 BDT 70,316,250.00

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DIPS APPAREL LIMITED

1.2 PROJECT LOCATION:

1.3 CORPORATE OFFICE ADDRESS:

1.4 RATIONALE OF THE PROPOSEDPROJECT:

Pre Investment Feasibility Report by GBCHL Page | 1

1.5 INVESTMENT AND MEANS OFFINANCE:

Pre Investment Feasibility Report by GBCHL Page | 2

1.7 LAND AND LOCATION:

Pre Investment Feasibility Report by GBCHL Page | 3

Ground floor height 20 ft.

1.9 IMPORTABLE & LOCALMACHINERY:

1.10 OTHER ASSETS:

1.11 TRANSPORTATION & INSTALATION COSTS:

1.12 TRENDS OF APPARELS EXPORTS OF BANGLADESH:

Pre Investment Feasibility Report by GBCHL Page | 4

Profitability Ratio (%):

Debt- Service coverage Ratio:

Pre Investment Feasibility Report by GBCHL Page | 5

1.15 LEGAL DOCUMENTATION OF THE COMPANY:

1.16 CONCLUSION AND RECOMMENDATIONS:

Pre Investment Feasibility Report by GBCHL Page | 6

2. LEGAL STATUS OF THE COMPANY &PROJECT MANAGEMENT DETAILS

Name Address Status Share

2.2 BRIEF DESCRIPTION OF THEMANAGEMENT:

Pre Investment Feasibility Report by GBCHL Page | 7

2.3 MANAGEMENT & ORGANIZATION:

2.4 EQUITY MOBILIZATION:

2.5 DEBT UTILIZATION:

Pre Investment Feasibility Report by GBCHL Page | 8

Patiya Upazila (Chittagong

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3.2 GEOGRAPHY AND CLIMATE:

3.3 DEMOGRAPHIC INFORMATION:

3.5 BUILDINGS AND CIVILWORKS:

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3.6 IMPORTABLE & LOCALMACHINERY:

3.7 OTHER ASSETS:

3.9 REPAIR AND MAINTENANCE:

3.10 ECOLOGICAL IMPACT:

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3.13 PRODUCTION CAPACITY:

Rated production capacity at 100% Production based on the capacity utilization at

Daily Annual 70% 75% 80%

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3.14 MAN POWER REQUIREMENT& COST:

General & Administrative Dept. Human Resources

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4.2.2 Cambric Fabric:

4.2.3 Casement Fabric

4.2.4 Cheese Cloth:

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4.2.5 Chiffon Fabric:

4.2.6 Crepe Fabric

4.2.7 Denim Fabric:

4.2.8 Drill Fabric

4.2.9 Gabardine Fabric

4.2.10 Georgette Fabric:

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4.2.11 Kashmir Silk Fabric

4.2.12 Khadi Fabric:

4.2.13 Lawn Fabric:

4.2.14 Mulmul Fabric:

4.2.15 Muslin Fabric: