7 C o t t o n Yarn Dy Dyei ei n g PRO DUCT CO DE
: N .A .
QUAL QU ALIITY AND STAND ANDAR ARD DS
: As pe perr IS 16 167 70 :19 :1970 IS 1671:1977 IS 8014 :1983
MO N TH A N D YEA R O F PR PREPA RATIO ION N
: May, 2003
PREPARED BY
: Small Industries Servi ce Institute Government of India, Ministry of SSI, Andheri-Kurla Road, Sakinaka akinaka,, Mumbai-40 Mumbai-400072 0072 Tel. : 022 022--2857 28576090/ 6090/ 3091/ 7166 Fax : 022-28578092 Website : www.sisimumbai www.sisimumbai.com .com E-mail :
[email protected]
I NTRODUCTION The art of dyeing is a branch of applied chemistry in which a use of bot h physical phys ical and chemical princi ple is made in order to bring about a permanent Union between th e dyes dyes and and th e textile material. For dyeing the cotton yarn in various shades, shades, the art art li es in col ouri ng the textiles in such a manner that the colour m ay be fast or may not or dinarily be removed by such operations as working, rubbin g, sunlight sunlight etc. to which the textiles are usually subjected. The dyeing can only take place when the dyeing dye ing is in solution/ solution/ or finely divided or dispersed condition and the fibres are subjected to this dye in solution condition and then this dye being rendered insoluble or fixed by same m eans eans.. There There m ust exist sam sam e mark ed physico-chemical affinity between the fibres fib res and the dye, which would naturally
depend upon the respective respective properties of b oth . The The dyed cotton yarn is used in the follo wing fields. fields. 1. Rea eady dy--made garments 2. Hos osie iery ry ind indus ustr trie ies s 3. Bag cl clos osing ing ind indus ustry try 4 . Sp or or t s go o ds ds 5. Umbre mbrella lla and ca carp rpet et mak making ing 6 . Bo o k b in in d i n g 7 . Han dl dl oo oo m t ex ex ti ti le le s 8. Furni urnis shi hing ng te texti xtile les s
MARKET POTENTIAL Despite the marked inroads of syntheti sy ntheti c fibres into the textil e industry, cotton conti nues as as a major textile fib re. At present, cotton constitutes con stitutes 78 percent of the total fibre consumed by the textile industries. There is demand for cotton dyeing units as the consumption of cotton textiles has increased. The
COTTON YARN DYEING
proposed purchase grey yarn from the mills and can be dyed and sold in the m arket. There is also possibil ity to t ake up the job work from the mills and dye the yarn on as per their requirement. Since there are large number of textile mills in Maharashtra state there would not be any problem in getting sufficient work f or such type of uni ts. Besides this there is good scope for exporting the dyed yarn to foreign countries.
BASIS AND PRESUMPTIONS 1.
Th e pr o j ec t p ro f il e has b ee n prepared on the basis of single shift of 8 h ours each day, 25 days in a mo nth and at 75 % efficiency. 2. It is presumed that in the 1st year the capacity utilisation will be 70% followed b y 85% in th e next year and 100% in the subsequent years. 3. The rates quoted in respect of salaries and wages for skilled workers and others are the minimum rates in the State/ neighbouri ng states. 4. Interest rate for fixed and working capital has been taken @14% on an average, wheth er fin anced by bankers or by financial corporation. 5. Mar gi n m o n ey r eq u i re d i s minimum 30% of the projected investment. 6. Pay Back period of the project : After the initial gestation period of one and a half years, it will require 5 years to pay back the loans. 7. The rental value of the workshed and other built up/covered area has been taken at the rate of Rs. 20 per square meter.
8.
9.
The rates quoted in respect of machines, equipment and raw materials are those prevailing at the time of preparation of this project profile, and are likely to vary from supplier to supplier and p lace to place. When a tailor made proj ect profile is prepared necessary changes are to be m ade. Working capital for 3 months has been taken into consideration for smooth runni ng of the project.
I MPLEMENTATION SCHEDULE Sl.No. Activity
Period
1. Preparation o f t he Proj ect Report: (a) Calling quotations 1 m onth (b) Preparation 2 weeks 2 . Pr ovi si on al Regi st rat io n 1 w eek as SSI 3. Financial arrangements 3 months 4. Purchase and 2 m onths procurement of machinery 5 . In st all at io n of m achi ne 1 mo nt h 6. Electrification 1 m onth 7. Recruitm ent of staff 1 m onth and workers.
TECHNICAL ASPECTS Process of Manufacture The most popularly used colours for cott on dyeing are Auramm ic G. victori a blu e, brill iant green crystals, rhod amine yellow G, rhodamine dye blue, melachite green etc. The class of dye used depends on the end use, colour and shade required, q uality desired and th e process adopted. However direct, reactive and m ordant d yes are the m ost common classes of dyes used in the
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COTTON YARN DYEING
indu stry. The grey yarn which m ay be in the form of hand or solution to penetrate in the yarn. These soft cheeses are creeled on to stand and then lo aded in to the machine chamber. Then the dye bath is prepared containin g the requisite amount of dyestuff and oth er chemicals lik e alum, soda etc. The yarn packages are subjected to high temperature high pressure dyeing for 30 minutes to 1½ hour. The packages are removed from the chamber, excess dye solution is washed and finally dried. The different methods practiced in the industry are given belo w: Process flow di agram for Dyed cot ton yarn Cotto n Yarn ↓
Windi ng on soft package ↓
Dyeing ↓
Drying ↓
Windi ng or reeling ↓
Quality contro l ↓
Packing ↓
Storage ↓
Market Quality Control and Standards The cotton yarn is dyed as per the requirements of the owner. The quality of the dyeing depends on the class of
dye, process, m ethod and the condi tion of the machines used and also on the hardness of t he water used. If the water is hard it is to b e treated using salt which will dissolve the Calcium and Magnesium salt present in the water. The following BIS specifications are available. 1. IS 1670 : 1970 2. IS 1671 : 1977 3. IS 801 4 : 1983 Production Capacity (per annum) Quantity : 2000 Kgs. per day or 6,00 ,000 Kgs. Value : Rs. 270 lakhs processing charges. Motive Power A total of 50 kW or 70 HP power is required to run at full capacity and thi s can be drawn from state electricity boards. Pollution Control In the textile dyeing industry, considerable amount of polluted water is discharged from which harmful chemicals should be neutralised b efore leaving them in to the drainage system. The use of various toxic chem icals and chem ical based dyes m ay be avoided/ reduced. The units should not use rice-husk and rubberised material as a fuel in dyeing unit . The smo ke of this is very harmful for the human beings. This type of unit should only be started in an area where the common effluent plant facilities are available or the unit i nstalled this type of faciliti es in the unit’s premises to avoid any health hazards.
COTTON YARN DYEING
Energy Conservation Another important international aspect of the recent period is energy conservation. The energy conservatio n will m ake the industries to reduce their production costs and thereby stay m ore comp etitive in the m arket. This matter should be the concern of every person invol ved in th e day to day operations of any industry. Idle running of various m achines, heaters, bo ilers, lights, fans, air conditioners etc. Should be completely avoided. Suitable capacitors and energy saving devices should be incorporated wherever possible to minimise the wastage of energy. Steam should not be wasted and sufficient insulation should be provided to t he dye chamber.
FINANCIAL ASPECTS A. Fix ed Capit al
Sl . Descri p t io n No.
Qt y.
Am o u n t (I n Rs.)
4 . Laboratory Beaker Dyeing pl ant
1No.
4 8 ,0 0 0
5 . Process water softening plant and effluent treatment plant
1No.
1 1,0 0,0 00
6 . Package winding machine 1 No.
1 2,1 0,0 0 0
7 . Rewinding m achine
1 0 ,4 0 ,0 0 0
1No.
8 . Stainless Steal Dye and springs (150 0 Nos.) 9 . Water storage tanks (Civil construction) Cap. 80,000 litres each
1 ,1 0 ,0 0 0 2 No.
3 ,0 0 ,0 0 0
1 0. M.S. Tanks Cap: 4 MT. 2 No.
1 ,0 0,0 00
1 1 . D.G. Set 200 kVA
5 ,0 0 ,0 0 0
1No.
1 2 . Lab and testing equipment
1 ,0 0 ,0 0 0
1 3 . Process control and instrumentation equipment
1 ,0 0 ,0 0 0
14. Miscellaneous equipment
1 ,0 0 ,0 0 0 To t al
9 2 ,3 8 ,0 0 0
(i) Land and Buildin g (Rented) (per m onth )
(i i i ) Ot h er Fi x ed Asset s
(a) Builtup / Covered area
1,500 sq. m t.
1 ,0 0,0 00
(b) Open/ Un-covered area
900 sq. m t.
1 . Insurance, Transport, erection cost of pip elines and cables etc. 2 . Electrification and wiring
2 ,0 0 ,0 0 0
3 . Office furniture
1 ,0 0 ,0 0 0
4 . Pre-operative expenses
1 ,0 0 ,0 0 0
Total area required
2,400 sq. m trs.
Average rental charges @20 sq. mtrs.
Rs. 48,000
(Rs. )
To t al (ii) Machinery and Equipm ents Sl . Descr ip t i o n No.
To t al Fi x ed Cap i t al
Qt y.
Am o u n t (I n Rs.)
1 . 200 Kgs Cap HTHP 1No. Yarn Dyeing m achine with autom ation S.S. stock tank 20 0 kgs capacity open machin e type Rapid ADLT Driver and 4 S.S. cheese carries
3 5 ,6 0 ,0 0 0
2 . Steam Boiler 2 tonnes 1No. capacity with water softening plant for bo iler
8 ,8 0 ,0 0 0
3 . Electric Hoist 2 tonne capacity
1No.
5 ,0 0 ,0 0 0
B. Working Capital (per month) (i) Salaries and Wages Sl . Desi gn at i o n No.
9 0 ,0 0 0
9 7 ,3 8 ,0 0 0
Nos. Salar y (Rs. )
To t al ( Rs. )
1 . Marketing m anager
1
8 ,0 0 0
8 ,0 0 0
2 . Sales Officers
2
3 ,0 0 0
6 ,0 0 0
3 . Store Keeper
2
2 ,5 0 0
5 ,0 0 0
4 . Accountant/ Cashier
1
2 ,0 0 0
2 ,0 0 0
5 . Clerks/ Typists
2
1 ,5 0 0
3 ,0 0 0
6 . Peon
1
2250
2250
7 . Watchmen
2
2250
4500
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COTTON YARN DYEING
Sl . Desi gn at i o n No.
No s. Sal ar y (In Rs.)
Am o u n t (In Rs. )
Product ion Staff
(i v) Ot h er Co n t i n gen t Ex p en ses
(Rs. )
5 . Telephone bills 6.
8 ,0 0 0
Insurance
1 7 ,0 0 0
1 . Technical Manager
1
8 ,0 0 0
8 ,0 0 0
7 . Sales and advertisem ent
1 6 ,0 0 0
2 . Dyeing m aster
1
5 ,0 0 0
5 ,0 0 0
8 . Miscellaneous expenses
1 0 ,0 0 0
3 . Supervisor
2
4 ,0 0 0
8 ,0 0 0
4 . Fabric checkers
2
2500
5 ,0 0 0
5 . Skilled workers
8
2500
2 0 ,0 0 0
6.
Fitter
1
3000
3000
ii. Raw Materials
7 . Electrician
1
3000
3000
iii. Utilities
2 ,7 0 ,0 0 0
8 . Helpers
5
2250
1 1 ,2 5 0
iv. Other expenses
1 ,5 0 ,0 0 0
9 . Boiler operator
1
3000
3000
To t al
9 7 ,0 0 0 9700
Add p erqui sites @10 % To t al
1 ,0 6 ,7 0 0
Say
1 ,0 7 ,0 0 0
To t al
1 ,5 0 ,0 0 0
(v ) To t al Wo r ki n g Cap i tal (p er m o n th ) i. Salaries and wages
1 ,0 7 ,0 0 0 1 0 ,5 0 ,0 0 0
To t al
1 5 ,7 7 ,0 0 0
C. Total Capital In vestment i. Fixed capital
Rs. 97,38,000
i i. Wo rk i ng c ap it al f or 3 m on th s
Rs. 4 7 ,3 1 ,0 0 0
Total
Rs . 14,46 ,9 000
FINANCIAL ASPECTS
(ii) Raw Materi als
(1 ) Co st o f Pr o d u c t i o n Sl . Desc ri p t i o n No. 1 . Dyes and chemicals 2 . Packing material, polythene sheet wrapping, card board boxes etc.
( Rs .)
Q t y.
Rat e (In Rs. )
Am o u n t (In Rs. )
20/ kg
1 0 ,0 0 ,0 0 0
5 0 ,0 0 0 kgs. LS
LS
To t al
5 0 ,0 0 0
(i) Total recurring expenditure
(Rs. )
1 . Electricity b ill 1 0,0 00 k Wh @3 / un it
8 0 ,0 0 0
2 . Water char ges
1 0 ,0 0 0
9000/ ltrs.
1 0,0 0,0 00
(iv) Interest on total capital investm ent @14 %
2 0 ,2 3 ,9 8 0
To t al
21923780
Say
21924000
(2 ) Tu r n o v er (p er year)
(Rs. )
Processing charges dyeing 2 ,5 2,0 00 00 yarn of 6,00,000 kgs. @Rs. 42/kg. (3) Net Prof it (per year)
LS
7 5 ,0 0 0
4 . Steam consum ption
LS
9 0 ,0 0 0
= Turnover – cost of pro duction
5 . Effluent treatm ent charges
LS
1 5 ,0 0 0
= Rs. 25200000 – 21924000
(i v) Ot h er Co n t i n gen t Ex p en ses
2 ,7 0 ,0 0 0 (Rs. )
1 . Building rent
4 8 ,0 0 0
2 . Repair and m aintenance
2 0 ,0 0 0
3 . Transportation and Cartage
2 5 ,0 0 0
4 . Postage and Stationery
6 ,0 0 0
9,23,800
(iii) Depreciation on other fixed assets @20 %
3 . Fuel, coal and furnace oil
To t al
1 ,8 8,7 6,0 00
(ii) Depreciation on machinery @10%
1 0 ,5 0 ,0 0 0
(i i i ) Ut i l i t i es
(Rs. )
= Rs. 327 600 0 (4) Net Prof it Ratio =
Net profit (per year) 10 0 Turnover (per year)
=
3276000 10 0 25200000
×
= 13%
×
COTTON YARN DYEING
(5) Percent of Profit on Total Investment =
Net profit (per year) Total Investmen t
×
10 0
6.
= 3 27 60 00 100 14457000 ×
7.
= 23% (6) Break Even Poin t Fi x ed Co st
(Rs. )
Where as the fixed cost is calculated as below : i. Annual building rent
5 ,7 6 ,0 0 0
ii. 40% of salaries and wages
494400
iii. 40% of utilities and other expenses iv. Depreciation on fixed assets
170 400 0
2023 980
vi. Insurance
204000 To t al
6 0 ,2 6 ,1 8 0
= Fixed cost 10 0 Fixed cost + Profit ×
= 6 02 61 80 100 6026180 + 3276000 ×
= 64%
Addresses of Machinery Suppliers 1.
2.
3.
4.
5.
9.
1 0,2 3 ,8 00
v. Interest on total capital investment
B.E.P.
8.
M/ s. Baltex Engineering Pvt. Ltd. 13 th Floor, Jolly Maker Chambers No. II, Nariman Point , Mumbai-400021 M/ s. Paramount Instruments P. Ltd. B-3/45, Paschim Vihar, New Delhi-110063 M/ s. Erhardt Leimer India Ltd. 43, Dr. V. B. Gandhi Road, Mumbai-400023 M/ s. Eastern Engineering Co. Jeevan Udyog, II Floor, 278, Dr. D. N. Road, Fort, Mumbai M/ s. Srirang Equipment Company 47 2, Kam araj ar Road,
Coimbatore-641004 M/ s. Ludhiana Dyeing Machinery Work Link Road, Ludhi ana M/ s. Kiran Dyeing Machinery Works Partap Nagar, Ludhiana M/ s. Electronic and Engineering Co. EEC House, Plot No. C-7, Dalia Estate, Andheri (E), Mumbai-400058 M/ s. Venkatapathy Foundry 445, Kamarajar Road, Peelamedu, Coimbatore-641004
Raw Material Suppliers 1.
M/ s. ABC Dyes and Chemicals 22 82 , Gali Hinga Beg, Tilak Bazar, Delhi-110006 2. M/s. Basf India Ltd. No. 7, Basant Lok, Vasant Vihar, New Delhi-110052 3. M/ s. Arora Tex Dyes Corporation Plot No. 108, Sector-24, Faridabad-110 00 5 (Haryana) 4 . M/ s. In do kem Lt d. 3/ 4, Asaf Ali Road, New Delhi-110002 5.
M/ s. Andhra Sugars Ltd. Venk atrayapur am , P. O. No. 2 , Tanuku -53 42 11 (AP)
6.
M/ s. Sarocevan Dyes Mfr. Co. Industri al Area ‘A”, Ludhiana
7.
M/ s. Rashmi Dyes and Chemicals Focal Point, Ludhiana
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