Luminum Ivets: Assistant Director (Metallurgy)
Luminum Ivets: Assistant Director (Metallurgy)
Luminum Ivets: Assistant Director (Metallurgy)
PRODUCT CODE : NA
PRODUCTION CAPACITY : 96 MT
Value : Rs. 2,13,60,000/-
1. INTRODUCTION
A rivet is a permanent mechanical fastner. Before being installed, a rivet
consists of a smooth cylindrical shaft with a head on one end. The end opposite the
head is called the buck-tail. On installation the rivet is placed in a punched or drilled
hole, and the tail is upset, or bucked (i.e., deformed), so that it expands to about 1.5
times the original shaft diameter, holding the rivet in place. To distinguish between
the two ends of the rivet, the original head is called the factory head and the
deformed end is called the shop head or buck-tail. Because there is effectively a head
on each end of an installed rivet, it can support tension loads (loads parallel to the
axis of the shaft); however, it is much more capable of supporting shear loads (loads
perpendicular to the axis of the shaft). Bolts and screws are better suited for tension
applications
Aluminum Rivets has abundant application in automobile industries. Present
scheme is made for Aluminum solid rivets and Aluminum solid alloy rivets as per
requirement of industry.
2. MARKET POTENTIAL
India is one of most developing economy of Asia. The market potential for
service industry in general and road transport in particular has seen fastest growth
in last two decades. Automobile industry in the country has increased to its fastest
pace during last three decades. The economic status of the public is improving. Due
to liberalized government policies it will be grown even more. Keeping in view the
future trend for more vibrant road transport system the demand for Aluminum
Rivets is expected to rise in years to come.
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Aluminum Rivets
4. IMPLEMENTATION SCHEDULE
The project can be implemented in a period of 16 to 18 months by performing
the various activities in a systematic manner and simultaneous application of
various common activities as mentioned below;
Preparation of Project Reports 1st month
Filling of EM and other necessary registration 2nd month
Selection of site 2nd month
Arrangement of finance/loans 3rd – 5th month
Land acquisition & construction of building 6th – 9th month
Procurement of Machinery & equipment 10th – 13th month
Recruitment of Staff & Labour 14th month
Installation of Machinery and Equipments 15th month
Trial Production 16th month
Commercial Production 16th month
5. TECHNICAL ASPECTS
5.1. Process of Manufacturing
The project is envisaged to produce Aluminum Rivets and Aluminum Solid
Alloy Rivets of different diameter and length as per market demand. The rivets shall
be made by cold forging and shall subsequently be appropriately heat treated, if
necessary. The processes involved in manufacturing of Aluminum Rivets are as
under;
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Metallurgy Division
Inspection of wire
Inspection of Rivets
De-greasing of Rivets
Inspection
Dispatch
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Aluminum Rivets
6. FINANCIAL ASPECT
6.1. Fixed Capital
Land & Building:
S.N. Description Rent per month (Rs.)
1. Total area 4000ft2
2. Rent of Covered Area 3000 ft2 @ Rs.10.0 per ft2 30,000/-
3. Rent Uncovered area 1000 ft2 @ Rs. 8.0 per ft2 8,000/-
4. Total Rent 38,000/-
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Metallurgy Division
S. Amount
Description of Machine Quantity
No. (Rs)
(b) Testing Equipments
14. Hardness testing machine 1 75,000
15 Universal Testing Machine(UTM) 1 3,20,000
16. Weighing scale 1 20,000
17. Chemical Testing Equipments with accessories LS 2,00,000
Total 19,03,000
(c) Energy Conservation Facilities 50,000
Total (a ,b, c) 19,53,000
(d) Electrification and Installation Charges @ 10% 1,95,300
(e) Dies and fixture L.S. 50,000
(f) Office equipment and furniture L.S. 1,25,000
TOTAL (a,b,c,d,e, f) 23,23,300
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Aluminum Rivets
6.2.3. Utilities
Power = 2000 Unit @ Rs.6.50/- per unit Rs. 13,000/-
Water = LS Rs. 2,000/-
Furnace Oil = 500 ltr.@ Rs. 51 /Ltr Rs. 25,500/-
Total Rs.40,500/-
Machinery Utilisation
75% machinery utilization is considered for achieving the projected capacity
of finished products. The bottleneck is on cold heading (Forging) operation where
rivets of various specifications depending on length and diameter of Aluminum
Rivets are manufactured as per demand. The project is prepared as per output of this
operation.
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Metallurgy Division
7. FINANCIAL ANALYSIS
7.1. Cost of Production (per annum in Rs.)
1. Total Recurring Cost 1,76,20,800
2. Total Depreciation (a+b+c+d) 4,79,660
a. Depreciation on Machinery and Equipment excluding 3,79,660
furnace @ 20% (for Rs 18,98,300)
b. Depreciation on furnaces @ 25% ( for Rs. 2,50,000/) 62,500
c. Depreciation on dies and fixture @ 25 % for Rs. 50,000 12,500
d. Depreciation on office equipments @ 20 % ( for Rs.1,25,000) 25,000
3. Interest on total Capital @ 11.5 %( Approx.) 7,91,028
Total(1+2+3) 1,88,91,488
Say 1,88,91,500
24,68,500
= X 100
2,13,60,000
= 11.6 %
24,68,500
= X 100
68,78,500
= 35.9 %
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Aluminum Rivets
B.E.P
Fixed Cost
= X 100
Fixed Cost + Net Profit
26,93,408
= X 100
26,93,408 + 24,68,500
= 52.2 %
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Metallurgy Division
7. M /s Khurana Enterprises
Near Subhash Putla, Sataranjipura, Nagpur - 8.
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