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Product: LIPSTIC MASCARA AND KAJAL PENCIL
Product Code: (Based on NIC -2004): for Lipstic: 24246
For eye make-up: 24246
Product Code: (Based on ASICC -2000) for Lipstic: 36214
For eye make-up: 36205
Production Capacity:Lipstick 50 kg. per day
Mascara 100 kg. per day
Kajal 50 kg per day
Valuing Rs.6,75,00,000/- per annum.
Month & Year of Preparation : April 2010
Prepared by:
Chemical Division
Branch MSME Development Institute
New Colony, RAAGADA-765001 (Odisha)
Phone/Fax: 06856-222268
Email: [email protected]
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PROJECT PROFILE ON
LIPSTIC MASCARA AND KAJAL PENCIL
INTRODUCTION: Thos Project Profile has been prepared aiming at
production of Lipstick Mascara and Kajal Pencil in a small scale unit.
These products are some important cosmetic products having enormous
demand every where. Lipstick used in lips by the ladies almost of all groups
for beautification and improvement of the face look. The mascara is used on
the eye lashes to attract the attention of the eyes and the kajal has been in use
from the very ancient days by the ladies kin their eye lids. Kajal is believed
to have dual objective i.e. to clean the eyes and make it cold in one hand and
in the other to improve eye look.
MARKET POTENTIAL: The colour cosmetic products in India has a
tremendous demand at the pace of urbanization, increasing awareness on
beauty consciousness, and living standards of people. Latest trend shows,
ladies specially dwelling in urban areas are very much concerned to take
care of their eyes and lips. It increases the demand of products like Lipstick,
Mascara and Kajal through out the country and abroad. Repeated
advertisements in various TV channels, News papers, Magazines, TV
serials, Cinemas and Theaters etc. have influenced the beauty and style
consciousness and the demand is quite visible throughout.
BASIS AND PRESUMPTION:
1. Working hour : Single shift of 8 hours, for 300 working days in a
year.
2. Capacity utilization : 60% during 1st
year
75% in 2nd
year
90% in 3rd
year and onwards.
3. Salary and wages : Monthly basis.4. Margin money : 35% of total capital investment.
5. Interest charges : 14% has been calculated on total capital
investment considering the opportunity cost of
margin money.
6. Power tarrif : Rs. 4.50 per unit.
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IMPLEMENTATION SCHEDULE:
The Project is estimated to commence production within one year from the
conception of the project.
The delivery of the machinery is expected within 2 months from the
placement of orders. The time taken for preparation of the project is 1
month.
The loan formalities will take about 6 months and one month will be taken
for installation and erection of machinery.
TECHNICAL ASPECTS:
Manufacturing Process: A variety of ingredients in different receipes
are used for making colour cosmetic products depending upon the properties
and the price of the end products and targeted markets segments. Some
typical formulations for manufacturing Lipstick, Mascara and Kajal Pencil
are given below:
Lipstick:
Bees Wax : 20-30%
Castor Oil : 60-70%
Isopropyl myristate : 5-7%
Lanolin or coco butter : 5-6%
Pigments : 3-7%
Preservatives : 0.2-0.5%
Flavours : 0.5-0.7%
Procedure:
The was is melted and added with the pigment and caster oil together
milled in triple roller mill for thorough mixing. The material is then pouredinto the moulds according to the specific size and shape. The moulds are
chilled to allow the moisture to solidify. Each of the item is removed from
the moulds and put into lipstick containers. The final product is flamed or
glazed for gloss and visual appeal. The product is then packed in paper
covers for dispatch.
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Mascara:Veegum : 01-1.2%
Glycery-Mono-Starate : 5-7%
Isopropyl myristate : 5-6%
Oleyl alcohol : 2-3%
Tri ethanolamine : 1%
Pigments : 02-5%
Preservative : 0.1-02%
Water to make : 100%
Procedure:
The pigment is ground well into the base material i.e. Glycery-Mono-Starate
the fine grinned mixture is then added with the other ingredients and watertogether and stirred well for cream formation then the cream is filled in the
tubes and sealed.
Kajal Stick:Carbon Black : 5-8%
Castor Oil : 70-75%
Bees Wax : 15-20%
Preservative : 0.1%
Procedure:
The Bees Wax is melted and added with other ingredients, mixed well in
three roller mixing machine for thorough and uniform mixing. The stock is
then filled in the moulds of specific diameter and shape followed by chilling.
The sticks are then released and put into the containers and packed suitably.
Quality Control and Standards:
The quality of these products are maintained as per the BIS
specification.
PRODUCTION CAPACITY PER ANNUM:
Lipstick 50 kg. per day
Mascara 100 kg. per day
Kajal 50 kg per day
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Valuing Rs.6,75,00,000/- per annum.
POLLUTION CONTROL: The units producing Lipstick, Mascara,
Kajal does not produce any toxic pollutants. However, the workers should
use mask and gloves during handling the chemicals in the factory.
FINANCIAL ASPECT:
I) Land and Building:a) Land 600 sq. mt. Rs.
5,00,000/-
b) Building
Built up floor area of 500 sq.mt.@ 4,000/- Rs.20,00,000/-
c) Other civil construction including
water connections: Rs. 1,00,000/-Total : Rs.26,00,000/-
II) Machinery & Equipment:
Sl.
No.
Name of Machine Qnty. Price Value
(Rs.)
01. S.S. Tripple Roller(12x 6) 2 1,00,000 2,00,000
02. S.S. Mixing Tank (200 kg) 1 75,000 75,000
03. Tube filling and ceiling machine (Semi
Automatic)04. Lipstick & Kajal filling machine 2 1,25,000 2,50,000
05. Heating Apparatus 1 25,000 25,000
06. Chilling Plant 2 50,000 1,00,000
07. Jacketed Vessel 3 20,000 60,000
08. Wax Heating Vessel 1 25,000 25,000
09. Moulds for lipstick 24 4,000 96,000
10. Moulds for Kajal 24 3,000 72,000
11. Errection and Electrification LS 1,00,000
Total: 13,75,000
III) Other Fixed Assets:
1 Tools and equipment 60,000
2. Working Table, Furniture and fixtures 1,00,000
3. Testing Equipments 1,00,000
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4. Office Equipments 1,00,000
Total: 3,60,000
IV) TOTAL PLANT AND MACHINERY
AND OTHER FIXED ASSETS (II+ III) 17,38,000
V) PRELIMINARY EXPENSES: 1,00,000
VI) TOTAL FIXED CAPITAL REQUIREMENT
= (I+IV+V)= 44,38,000
WORKING CAPITAL REQUIREMENT
I) PERSONNEL:
TECHNICALSl. No. Designation No(s) Salary Total
Salary (Rs.)
01. Production Manager 1 10,000 10,000
02. Production Supervisor &
Chemist
2 6,000 12,000
03. Skilled Worker 4 3,000 12,000
04. Semi Skilled Worker 4 2,500 10,000
05. Unskilled worker 3 2,000 6,000
06. Mechanic & Electrician 1 4,000 4,000Total 54,000
ADMINISTRATIVE
Sl. No. Designation No(s) Salary Total
Salary (Rs.)
01. Assistant Manager 1 8,000 8,000
02. Administrative Assistant 1 3,000 3,000
03. Accountant cum cashier 1 4,000 4,000
04. Store Keeper 2 3,000 6,000
05. Security/Watchman 2 2,000 4,000
Total: 25,000
Expected pay bill per month 79,000
Add 20% perquisites 16,000
Total: 95,000
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II) RAW MATERIAL (PM)
Raw Material requirement per day i.e. Lipstick-50 kg,
Mascara-100 kg and Kajal-50 kg.
Sl. No. Item Qnty. Rate
(Rs.)
Total
(Rs.)
Lipstick
01. Bees Wax 15 kg 500 7,500
02. Castor Oil 30 kg 100 3,000
03. Lanolin 2.5 kg 200 500
04. Isopropyl myristate 2.5 kg 200 500
05. Pigment 3 kg 500 1,500
06. Propyl P. Hydroxin Benzoate07. Flavours 0.5 kg 1,000 500
Mascara
08. Veegum 1 kg 600 600
09. GMS 5 kg 150 750
10. IPM 5 kg 200 1,000
11. Oleyl alcohol 2 kg 250 500
12. Tri ethanolamine 1 kg 150 150
13. Pigment 4 kg 300 1,200
14. Preservative 0.5 kg 400 200Kajal
15. Carbon Black 3 kg 400 1,200
16. Castor Oil 40 kg 100 4,000
17. Bees Wax 8 kg 500 4,000
Packing Material
18. Lipstick Container 10,000
pcs
5 50,000
19. Mascara Tube 5,000
pcs
3 15,000
20. Kajal Container 20,000
pcs
1 20,000
21. Corrugated PaperBox LS 50,000
Total: 1,62,500
Or say Rs.1,63,000
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Raw Material Requirement per month = Rs. 40,75,000/-
III) Utilities:
Electricity 600 units @ Rs. 4.50 27,000
IV) Other expenses (PM) :
i. Repairs & Maintenance 5,000
ii. Other Consumable Stores 3,000
iii. Insurance 3,000
iv. Travelling Expenses 10,000
v. Telephone / Fax / Telegram Exp. 5,000
vi. Printing & Stationery 2,000
vii. Advertising and publicity 10,000viii. Other expenses 2,000
Total : 40,000
V) Total recurring expenses per month 42,91,000
VI) Working capital requirement 1,28,73,000(3 months recurring expenses)
VII) TOTAL CAPITAL INVESTMENT:
i. Fixed Capital 44,38,000
ii. Working Capital for 3 months 1,28,73,000
Total: 1,73,11,000
VIII) COST OF PRODUCTION (PER ANNUM):
1. Recurring expenditure per annum 5,14,92,000
2. Depreciation on Plant & Machinery @ 10%
Building @ 5% 1,05,000Machinery @ 10% 1,38,000
Tools & Equipment @ 25% 40,000
Furniture and fixtures @ 20% 40,000 3,23,000
3. Interest on total capital investment @ 14% 24,24,000
Total : 5,42,39,000
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IX) EXPECTED SALES (PER ANNUM) :
Lipstick 30,00,000 pieces @ 12/- 3,60,00,000
Mascara 15,00,000 pieces @ 15/- 2,25,00,000
Kajal 60,00,000 pieces @ 1/- 60,00,000
Total: Rs. 6,45,00,000
X) Profitability cost of production Rs. 1,02,61,000
XI) PERCENTAGE OF PROFIT (ON NET SALES) 15.91%
XII) Rate of return 59%
XIII) Break Even Point:
Total fixed cost (per annum):
1. Insurance 36,000
2. Depreciation 3,23,000
3. Interest 24,24,000
4. 40% of salary & wages 4,56,000
5. 40% of other contingential expenses 3,07,000
Total: 35,46,000
XIV) Break Even Point (%) = Fixed Cost x 100 = 25.68%
Fixed Cost + Profit
LIST OF MACHINERY SUPPLIERS
BALL MILLS
1. HSP Engineering Company, C-179/1, Bulandshahar Road, Site No.1.
Ghaziabad (UP).
2. New Lahore Welding & Engineering Works, B 75, Mayapuri
Industrial Area, Phase-1, New Delhi 110 064.
3. Mechamico Manufacturing Engineers, 15,Okhla Industrial Estate,
Phase III, New Delhi 110 020.
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BOTTLE FILLING, SEALING AND WASHING MACHINE
1. Amar Mechanical Engineers, 6, Industrial Area, N 17, Faridabad 1.
2. Amar Enterprisers (India), F11, DSIDC Industrial Complex, Rohtak
Road, Nanglol, Delhi 110 041.
3. Bottling Machinery Company of India, B-280, Okhla Industrial Area,
Phase-1, New Delhi 110 020.
BOTTLE WASHING AND DRYING MACHINES
1. Amstrong Smith Limited, 106, Armenian Street, Madras -1.
2. Kiv Group Industries, Sunmill Compound, Lower Parel, Mumbai
400 013.
3. Kripson and Company (I), Ranade Road, Mumbai 400 028.4. Larson and Toubro Limited, L & T House, N. Morarji Marg, Balladr
Estate, Mumbai 400 001.
CAP SCREWING MACHINES
1. Amstrong Smith Limited, 106, Armenian Street, Madras 1.
2. Kiv Group Industries, Sunmill Compound, Lower Parel, Mumbai
400 013.
3. Rank and Company, A-95/2A, Wazirpur Industrial Estate, Delhi 110
052.
BOTTLE FILLING MACHINES
1. J.T. Jagtiani, Ntional House, 6-Tulloch Road, Apollo Bunder,
Mumbai 400 039.
2. Kiv Group Industries, Sunmill Compound, Lower Parel, Mumbai
400 013.
3. Kripson and Company (I), Ranade Road, Mumbai 400 028.
4. Rank and Company, A-95/2A, Wazirpur Industrial Estate, Delhi 110052.
COLLAPSIBLE TUBE FILLING MACHINES
1. Larson and Toubro Limited, L & T House, N. Morarji Marg, Balladr
Estate, Mumbai 400 001.
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2. Rank and Company, A-95/2A, Wazirpur Industrial Estate, Delhi 110
052.
EMULSIFIERS AND STIRRERS
1. J.T. Jagtiani, Ntional House, 6-Tulloch Road, Apollo Bunder,
Mumbai 400 039.
2. Chemida (India), Maganlal Nagar, 347, Grant Road, Mumbai 400
007.
3. Frederick Herbert, No. 10, 2nd
Pasta Lane, Colaba, Mumbai 400
005.
4. Gladwyn & Co., 251, Naoroji Road, Fort, Mumbai 400 001.
FILTER PRESSES
1. Basp Industries, G.P. Industrial Area Complex, Thane.
2. Dashmesh Industries (India), WZ-470, M.S. Block, Hari Nagar,
New Delhi 110 064.
3. H.S. Engineering Works, 16/17, Singh Sabha, Guruduara, New Delhi
110 015.
4. R.P. Engineering Company, 7/8, Gali No.7, Anand Parbat, New Delhi
110 005.
GLASS BOTTLES CONTAINERS
1. Sun India Printing,B-193, Okhla Industrial Area, Phase-1, New Delhi-
110 020.
2. Universal Glasses, Plot No.17, Site No.IV, Industrial Area,
Sahibabad, Ghaziabad.
GRINDING MACHINES
1. Hindustan Metal Works, 17-B, Bhayandar Udyog Nagar, 9-GoddeoRoad, Bhayandar, Thane.
2. Yesco (India) Engineering Co., 21-A, Naraina Indl. Area, Phase-II,
New Delhi 110 028.
3. Water Well Engineers, 20/76, S. Bhagatsingh Road, Mumbai.
4. Tirupati Industries, 8, Nand Deep Indl. Estate, Kondivitta Road,
Mumbai
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400 059.
LABEL GUMMING AND APPLYING MACHINES
1. J.T. Jagtiani, Ntional House, 6-Tulloch Road, Apollo Bunder,
Mumbai 400 039.
MARKING AND PRINTING MACHINES
1. Modern Industries, Factory Plot No.98, Sector No.24, Faridabad 5.
MIXERS (PLANETARY MIXER) AND OTHER CHEMICAL
MACHINERY
1. Chemida (India), Maganlal Nagar, 347, Grant Road, Mumbai 400
007.
2. Process Machinery and Equipments, 144, Ashutosh Mukerjee Road,
Flat No.7, Kolkata 25.
3. Frederick Herbert, No.10, 2nd
Pasta Lane, Colaba, Mumbai 400 005.
PASTE FILLING AND CRUMPING MACHINES
1. Mather and Platt Limited, Hamilton House, 8, Graham Road, Ballard
Estate, Mumbai 400 001.
POWER FILLING MACHINES
1. Chemida (India), Maganlal Nagar, 347, Grant Road, Mumbai 400
007.
2. Macneill and Barry Limited, 2, Fairlie Place, Kolkat 1.
3. Gladwyn & Company, 251, Naoroji Road, Fort, Mumbai 400 001.
4. Frederick Herbert, No.10, 2nd Pasta Lane, Colaba, Mumbai 400 005.
PULVERISING MACHINES
1. Batliboi Private Limited, Silver Jubilee Park Road, Bangalore 2.
2. Chemida (India), Maganlal Nagar, 347, Grant Road, Mumbai 400
007.
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3. Mechanico, 15, Okhla Industrial Estate, New Delhi 110 020.
RIBBON BLENDERS
1. Chemida (India), Maganlal Nagar, 347, Grant Road, Mumbai 400
007.
2. Macneill and Barry Limited, 2, Fairlie Place, Kolkat 1.
3. Crush Machinery Manufacturers, 3rd
Floor, 361, Dr. D.N. Road, Fort,
Mumbai 400 001.
SCIENTIFIC APPARATUS AND LAB EQUIPMENT
1. J.T. Jagtiani, Ntional House, 6-Tulloch Road, Apollo Bunder,
Mumbai 400 039.
2. Toshniwal Brothers Private Limited, 198, Jamshedji Tata Road,
Mumbai 400 001.
3. Valcun-Lavel Limited, Mustafa Building, 7-A, Sir P.M. Road,
Mumbai 400 001.
LIST OF MACHINERY SUPPLIERS AND PRODUCTION OF
COSMETIC PRODUCTS
1. Mamko Machine Fabricators Pvt. Ltd., 105, Heera Panna Indl. Estate,
Goregaon (E), Mumbai 400 063.
2. Square Pharma Machineries, Unit No.33, Arihant Indl. Estate,Behind
Ansa Estate, Off. Saki Vihar Road, Mumbai 400 072.
LIST OF RAW MATERIAL SUPPLIERS AND PRODUCTION OF
COSMETIC PRODUCTS
1. Galaxy surfactants Limited, C-49/2, TTC Indl. Area, Pawane, NaviMumbai 400 703.
2. Chemhouse Marketing, 42, 1st
Floor, Asiatic Commercial Arcade,
Vartak Nagar, Pokhran Road, Thane (W) 400 606.
3. International Flavours and Fragrances (I) Ltd., Delphi 501-503, C
Wing, Hiranandani Business Park, Powal, Mumbai 400 076.
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4. Yasham Bio-Science, 3B Nityanand Sadan, Bharadawadi, Andheri
(W), Mumbai 400 058.
5. WF Limited, 109 Sion (East), Mumbai 400 022.
6. Stan-Pack Industries, B/5, Mahalaxmi Industrial, Navghar, Vasai
Road (E), 401210, Dist. Thane.
7. Arofine Chemical Industries, 2/11, Arondekar Bhavan, 14 HF Society
Road, Jogeshwari (E), Mumbai 400 076.
8. Yasham Bioscience, 3/8, Nityanand Sadn, Bhardawadi JP Road,
Andheri (W), Mumbai 400 058.
9. Alpha Plastic Industries, Gala No.1, Navnandan Indl. Estate, Opp
P&T Colony, Mulund (W), Mumbai 400 080.
10. Koel Colours Pvt. Ltd., F-11, Nand-Jyot Ind. Premises, Andheri-Kurla
Road, Safed Pool, Sakinaka, Andheri (E), Mumbai 400 072.
11. Ultra International Limited, 304, AVG Bhawan, M-3, Connaught
Circus, New Delhi 110 001.12. Lucid Colloids Limited, 401A, Navbharat Estates, Zakaria Bunder
Road, Sewri West, Mumbai 400 015.
13. Vivimed Labs Limited, 2nd
Floor, Veerang Towers,Habsiguda,
Hyderabad 500 006.
14. RYM Expoorts, 23, Anuradha Society, Old Nagardas Road, Andheri
(E), Mumbai 400 069.
15. Sankhubaba International, 425 Milan Industrial Estate, Opp. T.J Road,
Cotton Green (West), Mumbai 400 033.
16. Gujarat Heavy Chemicals, 20 Community Centre, New Friends
Colony, New Delhi 110 065.
17. Evancil Cosmetics, 6/9, Kirthi Nagar, Ind. Area,New Delhi 110 005.
18. JBT Perfumes (P) Ltd., 9/405 Laxmi Plaza, Link Road, Andheri (W),
Mumbai 400 053.
19. Anglo American Colour and Chemical Industries, A-40, Gali No.6,
Anand Parbat Indl. Area, New Delhi 110 005.
20. Oriental Carbon and Chemicals Limited, 5th
Floor, 506, Dahyog
Building, 58, Nehru Place, New Delhi 110 001.
21. Wesix Chemicals, Marshal Building, 3rd
Floor, 20, Ballard Road,
Mumbai 400 038.
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