Camphor Project Report, Manufacturing Plan

Introduction to Camphor Project Report (Karpoor/ Karpur), Manufacturing Business Plan: Camphor or Kapoor is popular in Hindi and is a product of religious importance. It is widely used in puja items and is considered an important part of Indian rituals. The ingredient is seen in crystalline solid form and is always suggested for its strong smell. It is basically an extract from a specific plant popular as Camphor laurel.

You can see this plant in many Asian provinces including Japan, Mongolia, India, and China. It is an extract manufactured from a typical type of camphor tree. Here in this article, we have properly mentioned how to start a camphor-making business on a small scale basis.

Camphor Project Report (Karpoor/ Karpur), Manufacturing Business Plan

Business plan for starting Camphor Manufacturing Business: Firstly, you to craft a perfect business plan for starting any kind of business unit which includes

Implementation schedule
List of approvals required
Area required
Raw materials
List of machinery
Manufacturing
Project economics
Profitability

Implementation schedule of Camphor Manufacturing Business

Market analysis and demand, applying for loan 0 – 1 month
Preparation of business plan 1 – 2 months
Financial support or investment 2– 4 months
Selection of location and establishment of unit 3 – 4 months
Power and water connection facility: 4 – 5 months
Building construction and shed development 5 – 6 months
Machinery and equipment purchase 6 – 7 months
Procuring raw materials and recruiting of manpower 8 – 9 months
Trial operations 10th month

License, permission, and registration for Camphor manufacturing business

To start a small-scale business there are some essential but major permissions and licenses that are required and some are restricted to specific state government guidelines in many cases. We have mentioned here some of the legal permissions needed for the Camphor manufacturing business:

Mainly, you must accomplish your firm registration procedure for the Camphor-making business.
Then, take permission from the local municipality, and next apply for the trade license.
Also, one must get a PAN card for their business.
It is essential to get a new current account in a nearby bank for financial transactions.
Then, it is mandatory to apply for the MSME Udyog Aadhar registration to availing the various scheme offered by the government.
Next, get the BIS Certification. For the camphor-making business, the BIS Standard quality number is IS 1159:1957.
Lastly, check all the needful tax liabilities pertaining to the camphor-making business.

Raw materials required for starting Camphor Manufacturing business

To make Camphor tablets one must have one main raw material as Camphor powder. This raw material is acquired easily in almost every place in the country.

You can check over the internet for about the supplier’s and dealers’ information. This raw material is available for about Rs. 425 / Kg as a wholesale rate. The rates may also differ depending on the place and state within the country. Some people do sell at a lower cost approximately around Rs. 320 per Kilogram.

List of machinery required for starting Camphor making business

Currently, many manufacturers are there that have been using fully automated camphor-making machines. There is a particular position in the machine to feed the camphor as powder form.

The final item is obtained by the machine in the form of camphor tablets or camphor cups. In a fully automated camphor manufacturing machine, you can change the sizes of molds which include medium, small, or large for developing tablets. The size of the dye used in casting tablets is allowed to be set up according to the suitable size according to client choice.

Camphor manufacturing machine price

When evaluating the local market, you can verify that a machine is available beginning from around Rs 55,000 to about Rs 1 lakh. The price of the camphor manufacturing machine relies on the capacity of the machine and the count of the tablets it can give out in one feed.

The formula for manufacturing Camphor

Camphor in its synthetic form is commercially useful as a component for preparing turpentine. It is mostly an alcohol soluble item having a pungent fragrance and bitter taste. Chemically, it is a Carbon, Hydrogen, and Oxygen based compound specifically famous as C10H16O.

The manufacturing process of Camphor

Camphor is commonly manufactured in three different forms as mentioned here: –

Camphor Oil – It is a special aroma oil that is even famous as an essential oil. It has many applications, both in the medicinal and religious sections. It is termed an essential oil because of its use in various illnesses related to skin and hair therapy. It is also having an essential application in the cosmetic industry for manufacturing beauty care items.

Camphor Powder – This is the same element that is available in powder form. It can be used while preparation of camphor tablets at home with cast dye. It is mostly used in puja for havan samagri in Hindu customs.

Camphor Tablet – It is also one of the most common forms of camphor available in the market. It also finds its use in religious rituals. It is used as a purifier in the Hindu religion commonly while prayers are offered.

This blog includes all the information on how to make camphor at home. If you want to initiate your Camphor-making business at home then the process must be known to you. The machine is available with lightweight and can be obtained in small sizes.

It can be accommodated on top of any table at your home. When one is willing to plan on a small scale then a costly machine might not be required.

Once the machine is properly installed accommodated, it should be kept in mind that the machine is firmly gripped to the base. Even the includes an external motor so it is recommended that you have to take safety measures to absorb shock or any vibration.

The machine should be connected to the power supply that should be near the machine. You can now start manufacturing camphor tablets. Primarily, one must heat the camphor powder which decreases the moisture present in it.

One must introduce the camphor powder in the required quantity inside the hopper connected to the machine. After this, you have to switch on the motor. Since the machine is automatic, the powder will be loaded in the cast dye. The cast will properly mold the camphor powder and give rise to the solid tablet.

The complete process is accomplished very fast and will not consume much time to manufacture a few hundred tablets daily.

Camphor packing process

Since the camphor is an alcohol soluble base item, so during packing one has to be very careful. It is essential to pack the packets depending on the local market requisites. One can plan to pack camphor tablets as about 3-50 for a single packet.

Chiefly packing is done by the tablet sizes. Big-sized tablets are usually sold for much higher rates. On the packet, it is significant to print the price and total tablets number while the packaging is performed.

Camphor Project Report/Economics of small-scale Camphor Manufacturing Business in India

In case if you miss this: Tea Tree Oil Manufacturing Project Report.

Fixed Capital

a. Land & Building: 600 Sq ft @ Rs. 10,000 Rented

b. Machinery and Equipment: Rs. 4,25,000.

Working Capital

A. Staff and Labour: Rs. 1,72,000

B. Raw material per month: Rs. 1,76,675

C. Utilities per month: Rs. 8,000

D. Other Contingent Expenses per Month: Rs. 1,75,000

Total Working Capital per month = A + B + C + D = 1,72,000 + 1,76,675 + 8,000 + 1,75,000 = Rs. 5,31,675.

Total Capital Investment

Fixed capital = Rs. 4,25,000

Working Capital (on 3 months basis) = Rs. 15,95,025

Total = Rs. 20,20,025.

Financial analysis of Camphor Manufacturing business

a. Cost of Production (Per Year): Rs. 66,24,603

b. Turnover (Per Annum): Rs. 72,00,000.

c. Net Profit Per Annum:

Net Profit = Turnover per Year – Cost of Production = 72,00,000 – 66,24,603 = Rs. 5,75,397.

d. Net Profit Ratio = (Net Profit per year / Turnover per Year) X 100 = (575397 / 7200000) X 100 = 7%.

e. Rate of Return = (Net Profit per year / Total Investment) X 100 = (575397 / 2020025) X 100 = 28.48%.

Break-Even Point (B.E.P.)

Interest on investment @ 10%: Rs. 2,02,003

40% of wages and salaries: Rs. 68,800

40% of other expenses (except rent): Rs. 70,000

Rent: Rs. 1,20,000

Total: Rs. 4,60,803.

Break- Even Point (B.E.P.) = [Fixed Cost/ (Fixed cost + Profit)] X 100 = 460803/ (460803+575397) X 100 = 460803/1036200 X 100 = 44.47%.

Marketing strategies to promote your Camphor product

Camphor is a commonly used item in India. One may analyze the market that is extensively spread across India. When marketing camphor products such as oil, powder, or tablet you can follow various methods.

In India, you can contact retailers who shop to sell Pooja have related items or health care materials, or raw materials needed for preparing camphor. The approach you must device is also built on the size of your unit. You can approach small to big agents in your local market, or even plan for advertisements via electronic media like radio, television, or through newspapers.

You may also check this: Red Sandal Wood Plantation.

Conclusion of Camphor manufacturing business

Camphor-making business is a brilliant project to earn money and can be transformed slowly into an established venture even though it could have launched on a small scale basis. You don’t need to spend huge capital to initiate this business. You can raft proper camphor making a business plan and work accordingly. The marketing policies for promoting the product are even easy as the product has a great demand.