The document provides a feasibility report for a proposed project to manufacture cricket batting gloves in Raipur, Chhattisgarh, India. It discusses the market potential and growing demand for cricket gloves, particularly in Chhattisgarh where few manufacturers currently exist. The report outlines plans for production and manufacturing processes, financial projections including capital costs, revenue estimates, profitability analysis and payback period. It estimates that the project would have a net annual profit of Rs. 1.34 million and pay back the initial investment within 3 years. Supplier addresses are provided for necessary machinery, equipment and raw materials.

1. PROJECT FEASIBILITY
REPORT
ON
CRICKETING GLOVES
Mayank Agrawal (MT14IND012)
Academic session - 2014-2015
Mechanical Engineering Department
Visvesvaraya National Institute of
Technology, Nagpur

2. • Introduction
• Demand study
• Basis and presumptions
• Location study
• Raw material study
• Implementation schedule
• Technical Aspects
• Financial Aspects
• Project capital cost estimates and source of
finance
CONTENTS

3. • The Cricket Batting Gloves are used as safety
guards by the players while playing cricket to save
the hand from any injury.
• Gloves also absorbs the shock caused by hitting the
ball.
• Initially, Batting Gloves were manufactured of
leather.
• I have decided to manufacture gloves using new
synthetic material which is suitable, more durable
and cheaper than the leather material.
INTRODUCTION

4. • The process of manufacturing the Batting Gloves
is the same as for other industrial gloves.
• The only difference is that for the safety of
fingers, pads are used made out of woolen rug
or foam attached on the upper side of the
gloves.
• As less number of cricket gloves maker are there
in Chhattisgarh (RAIPUR) chances of more and
more demand will gono be there.
CONTINUE

5. • Due to the growing interest among younger
generation, large number of Cricket Academies
has come up in every states.
• In addition, there is great demand from overseas
market also.
• Industry can earn a lot of foreign exchange by
way of exporting the cricket gloves.
• Due to top frequent change in design, it is
advised to manufacture quality synthetic gloves.
MARKET POTENTIAL AND DEMAND
STUDY

6. CONSUMPTION OF GLOVES BY INDIA IN 2014
SOURCE: ESTIMATED FROM INDIAN DEPARTMENT OF COMMERCE
Work gloves
45%
Dress gloves
15%
Sports gloves 20%
Medical gloves
20%

7. • The production undergoes on the single shift
basis of 8 hours a day and 25 working days a
month.
• Five years period for achieving full capacity
utilization.
 Labour on monthly salary basis.
 Rate of interest – 16%
Pay back period 3 to 3.5 years.
 Land and building rented @ Rs.12,000 p.m.
 Covered area – 1000 sq. ft.
BASIS AND PRESUMPTIONS

8. • Project location is near to the Shaheed Veer
Narayan Singh International Cricket Stadium NAYA
RAIPUR.
• Around 5 km away from stadium.
• Nearest to airport.
• Nearest to market.
• Industry is been setup near to the residental area
as my industry is a pollution free and less noisy.
• Adequate Water supply is available.
• Chhattisgarh Housing Board is constructing 4000
more houses, which are already allotted.
LOCATION STUDY

9. CONTINUE….
• 3 sport academy are going to be open nearby
the stadium which has been approved by
Chhattisgarh State Cricket Sangh.
• This geographical place have large surface as
well as land water.
• There is no cricket component making industry
in this region around 4-5 KM from my location.
• Naya Raipur is going to be declared as a new
capital of Chhattisgarh.
• More traffic intensity as more new complex have
been developed.

10. IN THIS PROJECT RAIPUR IS THE
GOOD LOCATION
22%
20%
17%
24%
17%
Population
Bilaspur
Durg
Raigarh
Raipur
Rajnandgaon

12. • Pittards Leather.
• Thermoplastic polyurethane for protection.
• Sponge-padded polyurethane for better fit.
• Lightweight and rounded high-density foam
finger rolls.
• Two-piece sidebars on lead hand.
• Toweled wristband with embossed
Velcro fastener.
RAW MATERIAL REQUIRED

13. Sl.No. Activity Estimated period
required
1 Market survey 20-30 days
2 Procurement of know-how/experts 40 days
3 Arrangement of premises/area 40-50 days
4 Registration and financing 25-40 days
5 Recruitment of personnel and training 45-60 days
6 Obtaining power connection 30-45 days
7 Procurement of machines and equipments 45-60 days
8 Installation and electrification of machinery 20-30 days
9 Procurement of raw materials 5-10 days
10 Product development/trial production 5-10 days
11 Commercial production 5 days
IMPLEMENTATION SCHEDULE

14. 1. Production Details & Process of Manufacture
Components are stitched together and padding
is attached separately over the post-bed
stitching machine.
Fixing of buckle.
Pre or post printing of monogram logo is
carried out. This depends upon the price of the
product agreed upon.
Finishing, i.e., excess thread/material or oily
matter etc is removed.
Inspection and Packing.
TECHNICAL ASPECTS

15. Cylinder bed
compound, Feed
Machine
Post bed Lock
Stitching Machine

16. 2. Quality Specification: IS 3800 Batting Gloves
3. Production Capacity:
 Cricket Batting Gloves: 23,000 pairs(annually)
 Value : Rs. 14950000
4. Motive Power : 3 HP (approx.)
5. Pollution Control :
 This industry does not create any pollution,
therefore, State Pollution Control Board’s
permission is not binding to start the industry.
CONTINUE….

17. FINANCIAL ASPECTS…….
CONTINUES…….

18.  Fixed Capital:
 1000 sq. ft. covered area rented @ Rs.12,000 (per
month)
 Machinery and Equipment:
Sl
No.
Description Qty Rate(Rs.) Value(Rs.)
1 Cylinder bed compound, Feed
Machine (JUKI) No.MS-335
2 85,000 1,70,000
2 Post bed Lock Stitching Machine
(Juki No.MS-810)
2 85,000 1,70,000
3 Electrification and installation
charges @ 10%
40,000
4 Tools and equipment 25,000
5 Cost of furniture and fixture 50,000
Total 4,55,000

19. Sl No. Description No. Salary (Rs.) Total
(Rs.)
1 Manager 1 25000 25000
2 Supervisor 1 20000 20000
3 Skilled Worker 5 10000 50000
4 Accountant/Clerk 2 12000 24000
5 Peon/Chowkidar 2 5000 10000
6 Sweeper/Helper 2 5000 10000
Total 139000
Add perquisites @ 20% on salary 27800
Total 166800
WORKING CAPITAL (per month)
3. PRE-OPERATIVE EXPENSES: 20000
TOTAL FIXED CAPITAL (2 + 3): Rs.4,75,000

20. Sl No. Description Qty Rate(Rs.) Amount(Rs.)
1 Single Thick Cloth 0.10 kg 170 per kg 17
2 PVC (fingers) 0.12 meter 100 per m 12
3 Sweat Band 0.50 meter 80 per m 40
4 PVC for quirk 0.02 meter 100 per m 2
5 Thread 0.1 Reel 200 per pc. 20
6 Nylon tape 0.050 kg 500 per kg 25
7 Velcro 0.50 meter 50 per meter 20.5
8 Thimble Rs.2.00 2
9 Logo/Monogram Printing M.A. 15
10 Packing and forwarding 10
Total 163.5
Round off value 163
(per month 200 x 25) 815000
2. RAW MATERIALS (PER PAIR)

21. Sl No. Description Amount (Rs.)
1 Power 5000
2 Water 1000
Total 6000
3. UTILITIES (PER MONTH)

22. Sl No. Description Amount (Rs.)
1 Rent 12000
2 Postage and Stationery 2000
3 Repair and Maintenance 3000
4 Transportation 6000
5 Advertisement and publicity 5000
6 Insurance 2000
7 Consumable Stores 2000
8 Other contingent expenses 4000
Total 36000
4. OTHER CONTINGENT EXPENSES (PER
MONTH)

23. Sl No. Description Amount (Rs.)
1 Raw Materials 815000
2 Personnel/Technical 166800
3 Utilities 6000
4 Other contingent expenses 36000
Total 1023800
5. TOTAL RECURRING EXPENDITURE (PER
MONTH)
6. WORKING CAPITAL FOR 3 MONTHS:
1023800 x 3 = 3071400

24. Sl No. Description Amount (Rs.)
1 Fixed Capital 4,75,000
2 Working Capital 3071400
Total 3546400
7. TOTAL CAPITAL INVESTMENT

25. • Loan Organization – State Bank of India
• Loan amount - Rs. 2600000
• Rate of Interest – 16% per annum
SOURCE OF FINANCE

26. Sl
No.
Description Amount (Rs.)
1 Total recurring cost 12285600
2 Interest on Total Capital Investment @ 16% 567425
3 Total 12853024
Say 12853000
FINANCIAL ANALYSIS
1. COST OF PRODUCTION (PER YEAR)

27. Sl
No.
Description Qty Rate
(Rs.)
Amount
(Rs.)
1 Cricket Batting Gloves 23,000
pairs
650 per
pair
14950000
Total 14950000
2. TURNOVER (PER YEAR)

28. Corporate Tax in India :
= 25% Total Income
= 25% of Gross Profit(14950000-12853000)
= 0.25 * 2097000
= 524250/- INR
DDT( Direct Dividend Tax):
= 15% (Gross Profit/Annum – Corporate Tax)
= 15% (2097000 – 524250)
= 15% 1572750/-
= 235912/-
Total Tax payable = 524250+235912= 760162/-
TAXATION

29. Turn over 14950000
Cost of Production (-) 12853000
Net Profit after tax(yrly) 1336800
3. NET PROFIT PER ANNUM
Net Profit per year x 100
Turnover per year
=
1336800 x 100
14950000
=
= 8.94%
4. NET PROFIT RATIO:

30. Net Profit per year x 100
Total Investment
1336800 x 100
3546400
37.69%=
=
5. RATE OF RETURN
PAY BACK PERIOD6.
Original invested(Rs.)
Annual investment achieved (Rs.)
3546400
1336800
= 3 year(approx.)

31. ADDRESS OF MACHINERY &
EQUIPMENT SUPPLIERS:
• M/s Jay Cee Enterprises Ltd, 6, South Model
Gram, Dutta Building, Ludhiana.
• M/s J.C. enterprises, E-357, Greater Kailash –
II, New Delhi
• M/s Singer Sewing Machine Co., Anna Salai,
Chennai – 600 002.
• M/s Apparel & Leather Technics Pvt Ltd, 515,
Avanashi Road, Durg – 491001

32. ADDRESS OF RAW MATERIAL
SUPPLIERS:
• M/s Global Enterprises, Kotwali Bazar,
Jalandhar (Punjab).
• M/s Kerala Rubber House, Kotwali Bazar,
Jalandhar (Punjab).
• M/s Bharani Agencies, 126, Thumbu Chetty
Street, Chennai 600 001

33. Thank You !