DETAILED PROJECT REPORT

FOR SETTING A SPINNING UNIT WITH A CAPACITY OF 51,072

SPINDLES

AVYYE YARNS PRIVATE LIMITED

Adjoining HP Petrol Pump, GT Road, panipat-132103

JULY 1, 2023
Contents
Tables ....................................................................................... Error! Bookmark not defined.
Figures...................................................................................... Error! Bookmark not defined.
1. Executive Summary............................................................................................................ 4
2. Project Credentials .............................................................................................................. 5
3. Economic Overview ........................................................................................................... 7
3.1 Global Textile and Apparel (T&A) Market Overview..................................................... 7
3.2 Global Textile and Apparel Trade .................................................................................... 7
3.3 Leading Textile & Apparel Exporters .............................................................................. 8
3.4 Category wise Leading Exporters .................................................................................... 8
4. Indian T&A Market Overview ......................................................................................... 10
4.1 Domestic Textile & Apparel Markets ............................................................................ 10
4.2 India Textile and Apparel Export Scenario .................................................................... 11
4.3 Post COVID Market Recovery ...................................................................................... 12
4.4 Indian Textile and Apparel Exports are growing in FY21 ............................................. 12
4.5 India Textile and Apparel Import Scenario .................................................................... 13
4.6 India’s Position in Global Trade .................................................................................... 13
Table 4: India’s Position in Global Trade ............................................................................ 13
Source: UN Comtrade .......................................................................................................... 14
4.7 Growth Drivers for Indian Domestic T&A Industry ...................................................... 14
5 Yarn Industry Overview ....................................................................................................... 15
5.1 Global Yarn Industry Overview ..................................................................................... 15
5.6 Indian Yarn Industry Overview...................................................................................... 19
5.7 Working Capacity of Spindles in India .......................................................................... 19
5.8 Yarn Production ............................................................................................................. 19
5.9 Trade Scenario and Market Outlook and India Yarn Industry ....................................... 20
5.10 Market outlook and Current Yarn Exports scenario of India ....................................... 21
5.11 India’s Spun Yarn Exports ........................................................................................... 21
5.12 India’s Spun Yarn Imports ........................................................................................... 22
5.13 Major Markets for India and Major Suppliers of Spun Yarn to India.......................... 22
5.14 India’s Fabric Production, Import & Export Scenario ................................................. 24
6 Market Opportunity in Spinning ........................................................................................... 25
6.1 Cotton & Blends Yarn Market Share ............................................................................. 25
6.2 Spun Yarn Trade - Cotton & Blends are Largest Categories ......................................... 26
6.3 Global Trade– Top Categories ...................................................................................... 27
6.4 India’s Yarn Exports – Major Categories ...................................................................... 28
6.5 Domestic Yarn Market Growth ...................................................................................... 30

1
 6.6 Summary of Most Attractive Categories ........................................................................ 30
6.7 Advantages of Plant in Panipat ...................................................................................... 32
6.8 Recent Trends in Global T&A Industry Impacting the Market ..................................... 32
7. Manufacturing Process Description ..................................................................................... 33
7.1 Mixing Blow room ......................................................................................................... 33
7.2 Carding ........................................................................................................................... 34
7.3 Breaker Draw Frame ...................................................................................................... 34
7.4 Sliver Lap Former .......................................................................................................... 34
7.5 Combing ......................................................................................................................... 35
7.6 Finisher Draw Frame ...................................................................................................... 35
7.7 Speed Frame ................................................................................................................... 35
7.8 Ring Frame ..................................................................................................................... 36
7.9 Auto Coner ..................................................................................................................... 36
7.10 Yarn Conditioning and Packing ................................................................................... 36
8 About Project ........................................................................................................................ 37
8.1 Scope of the Project........................................................................................................ 37
8.2 Advantages of the Project .............................................................................................. 37
8.3 Marketing Approach and Strategy ................................................................................. 37
8.4 Risks & Challenges ........................................................................................................ 39
8.5 Success Factors for Business.......................................................................................... 39
8. 6 Future Opportunities ..................................................................................................... 39
9.Project Financials .................................................................................................................. 40
9.1. Project Summary...................................................................................................... 40
9.2. Project Cost .............................................................................................................. 41
9.3. Land & Building ...................................................................................................... 42
9.4. Preliminary & Pre-Operative Expenses ................................................................... 42
9.5. Raw Material Consumption ..................................................................................... 44
9.6. Yarn Sales ................................................................................................................ 44
9.7. Utilities and Other Cost ........................................................................................... 45
9.7.1. Power Requirement .............................................................................................. 45
9.7.2. Water Requirement .............................................................................................. 45
9.7.3. Manpower Cost .................................................................................................... 45
9.7.4. Other Utilities....................................................................................................... 46
9.8. Working Capital ....................................................................................................... 47
9.9. Machinery & Auxiliary Cost ................................................................................... 49
9.10. Profit & Loss Statement ........................................................................................... 52
9.11. Balance Sheet Statement .......................................................................................... 54

2
 9.12. Cashflow Statement ................................................................................................. 55
9.13. Financial Ratios ....................................................................................................... 56
9.14. Depreciation ............................................................................................................. 63
9.15. Tax Calculation ........................................................................................................ 64
9.16. Loan Calculations .................................................................................................... 65
9.17. Implementation Plan ................................................................................................ 66
Annexure................................................................................................................................. 73

3
1. Executive Summary
Introduction,
AVYYE YARNS PRIVATE LIMITED was incorporated under company act in 2015 and working in
textile yarns and fibre (raw material for spinning). In 2019 company added flat knitting
machine to its portfolio and serving garment & shoe industries presently along with trading
business hereinafter referred to as promoter company, is planning to set up a unit of yarn
manufacturing plant with a spindle capacity of 51,072 in the state of Haryana.
The project is expected to start its production before 31st March 2025.

About Promoter,
AVYYE YARNS PRIVATE LIMITED is a promoted by chief promoters MR Shivansh Mittal & Ms.
SHaweta Mittal. Having worked at various fields of textile value chain, it is their all-round
experience in textiles which give the company an edge over our competitors. The company is
emerging fast on the global Horizon and has significant growth plans for the future.
The Promoter’s totally professional approach in all the key areas such as day-to-day production
process controls, maintenance, manpower, sales and marketing makes a big contribution
towards achieving the most cost-efficient quality product.

Highlights of the Project,

Table 1: Highlights of the Project
Parameter Unit Total
Total Area In Acres 12
The total cost of Infrastructure Development In Rs. Crores 259.28
Total Project Cost In Rs. Crores 329.66
Total Installed Power Demand (App.) In MW/D 5
Total Employment Generation In No.s 400
Revenues (per annum) – 3rd Year In Rs. Crores 416.7

4
2. Project Credentials
About Project
The planned project will be established in Panipat city the state of Haryana, India. The location
is strategically selected after due consideration of ease of logistics, availability of manpower,
consistent supply of utilities and presence of manufacturing ecosystem. The plant will be
having a capacity of 51,072 spindles which will be housed in a highly automated manufacturing
set-up producing high margin and high growth products for both domestic and exports market.
The state-of-the-art manufacturing facility and buyer focused market strategy will enable the
business to reach higher efficiency levels and earn better margins than the traditional yarn
spinning set-ups in the country. The plant will have 51,072 spindles to produce 14,311 TPA of
yarn. Product-wise spindle mix, production and exports share is shown in below table:

Table 2: Product Mix

Total Production
Product Mix Spindle Mix
(TPA)
27’s Combed Compact 100% Cotton 51,072 14,311
Total 51,072 14,311
Key components of project cost are shown in below table:
Table 3: Project Cost - Key Heads

Project Cost – Key Heads Capex (Rs. Crore)

Land & Site Development 48.50
Buildings (Including GST) 31.92
Plant & Machinery 125.42
MFA 38.67
Preliminary and Pre-Operative Expenses 8.63
Provision for Contingencies 6.14
Margin Money for Working Capital 70.38
Project Cost: 329.66
The plant will generate employment for approx. 400 persons including plant workers, plant
staff and head office employees. Details of planned manpower is shown in below table:
Table 4: Manpower - Key Heads
Manpower – Key Heads Unit Count
Skilled Worker No. of Persons 95
Semi-Skilled Worker No. of Persons 170
Un-Skilled Worker No. of Persons 95
Plant Staff No. of Persons 20
Head Office Staff No. of Persons 12
Total 392

5
Project Financials

The plant is expected to generate a revenue of Rs. 152.24 crores and EBIDTA of Rs. 40.98
crores, from third year of commercial production where plant will be running at full utilization.
Key financial performance indicators are shown in below table:
Table 5: Financial - Key Heads
Financial Key-Head Year – 3 UoM
Sales 416.7 Rs. Crore
Operational EBIDTA 58.4 Rs. Crore
EBIDTA% 14.0%
PAT 27.6 Rs. Crore
PAT% 7%
DSCR – Average 3.03
Project IRR (Post-tax) 33.8%
Equity IRR (Post-tax) 31.2%
Asset Coverage ratio avg. 1.3
Payback Period 6.7
Based on the current and emerging market trends and the financial projections, the project is
found to be technically feasible and financially viable.

About Promoter

Details of promoters of the project are as follows:

The company have two well qualified and experienced promoters.

Table 6: Details of Promoters
Name Contact Details Email
Mr. Shivansh Mittal Mob: 9812231133 [email protected]
Mrs. Shaweta Mittal Mob: 9992000052 [email protected]

Management of the company:

The Company will hire adequately qualified key management personal and will have a long
experience in various textiles. All the key management personal will be textile graduates.
List of board of directors (including promoter’s side) of the company with following
details:
Name Position Held Qualification
Mr. Shivansh Mittal Director Graduate
Mrs. Shaweta Mittal Director Geologist

The company will have experience professional in the field of textiles and the company’s
workforce. The management ensures a work friendly environment in all areas to get each
individual, work as a team which offers excellent opportunities and a progressive career to
young and dynamic professionals.

6
3. Economic Overview
3.1 Global Textile and Apparel (T&A) Market Overview
Global apparel consumption was ~US$ 1.6 trillion in 2019-20 in which EU, China and Japan
were the largest consumer countries. However, in 2020-21 global apparel consumption
declined by 22% from 2019-20 to become US$ 1.2 trillion, due to the pandemic. EU-27 was
the largest apparel consumer market worth US$ 219 billion, followed by USA, China, and
Japan, together constituting approximately 50% of the global apparel market consumption. The
other major apparel markets include India, Brazil and Canada, accounting for an additional 9%
share.
The global apparel demand is expected to recover in the near future post COVID and grow at
a CAGR of 3% from US$ 1.6 trillion in 2019-20 to reach US$ 2 trillion by the year 2025-26.
Post the recovery, it is projected that China and India will be the fastest growing apparel
markets, both growing in double digits. China will become the biggest apparel market adding
US$ 340 billion in market size by 2025-26, whereas India will be the second most attractive
apparel market adding US$ 135 billion by 2025-26. The high growth in these markets will be
primarily driven by the economic growth and increasing disposable income of a large
population base.

Table 6: Global Apparel Market (Values in US$ bn.)

Projected
CAGR
Region 2019 2020 2021 CAGR 2025 (P)
2019-21
2019-25
EU-27 264 219 211 -11% 1% 280
United States 235 176 257 5% 2% 265
China 184 166 188 1% 11% 340
Japan 101 81 78 -12% 0.5% 105
India 78 55 72 -4% 6% 135
Brazil 48 34 39 -10% 4% 60
Canada 25 20 22 -6% 7% 37
RoW 690 517 600 -7% 2% 780
World 1625 1269 1467 -5% 3% 2,002
Source - Published data

3.2 Global Textile and Apparel Trade

In 2019, global trade stood at US$ 839 billion grown at a CAGR of 4% since 2005. Although,
the trade slightly declined in 2020 due to the pandemic, it is expected to recovered fully by
2021 and reach US$ 1 trillion by 2025, growing at a CAGR of 3%
In 2019, Apparel constituted 58% share of global textile & apparel trade followed by fabric
which accounted for 19% of the total trade.
As mentioned above the global textile and apparel trade will bounce back shortly and projected
to reach US$ 1,000 billion by 2025, the post pandemic growth in global trade indicates an
attractive opportunity for countries with large manufacturing capacities and competitive
manufacturing. India can be one of the gainers in the changing trade landscape.

7
Global Textile & Apparel Trade (Values in US$ bn.)

1000

839

641 600
482
348

357 400
293

2010 2019 2025 (P)

Textiles Apparel Total

Source: UN Comtrade

3.3 Leading Textile & Apparel Exporters

As the pandemic spread out from China, many buyers started to moving out of the country and
exploring new sourcing options. Increasing labor and other cost were already causing enough
loss in its share and in 2019, although China stood as the largest exporter with 38% share in
the global trade. China’s share was 34% in 2019 which had been declining for past 5 years.
The share has mainly been taken up by Vietnam, Germany and Bangladesh. Vietnam and
Germany having 2nd and 3rd position in global trade, respectively, have very small presence
in textiles trade but, are major apparel exporters. India stood at 6th position in global trade with
4% overall share. It is also the third largest textile exporter in the world.

Detailed exports from various countries are shown in the table below:
Table 7: Top Textile and Apparel Exporters in 2020 (Values in US$ billion)
Exports (2020)
Rank Country Share (%)
Textile Apparel Total
1 China 161.4 132.5 293.9 38%
2 Vietnam 10.1 30.3 40.4 5%
3 Germany 14.2 22.6 36.7 5%
4 Bangladesh 4.3 31.5 35.7 5%
5 Italy 10.0 20.4 30.4 4%
6 India 17.4 12.2 29.6 4%
7 Turkey 12.1 15.0 27.0 3%
8 USA 18.7 4.1 22.8 3%
9 Netherlands 5.2 11.1 16.2 2%
10 Spain 4.2 11.6 15.8 2%
ROW 101.2 124.5 225.8 29%
Total 358.6 415.8 774.4
Source: UN Comtrade

3.4 Category wise Leading Exporters

China was the leading T&A exporter of manmade staple fiber, MMF spun yarn and MMF filament yarn
in 2020, with a market share of 17%, 36% and 35%, respectively. USA and India were the leading
exporters of natural fibers and natural spun yarn categories with a market share of 30% and 23%,
respectively. China was the leading exporter of fabrics (both knitted and woven), apparel and home

8
 nd rd
textiles in 2020. In apparel category, Bangladesh & Vietnam are competing closely as 2 & 3 largest
exporters.

Figure : Category wise leading Exporters 2020 Share % (Values in US$ bn.)

Natural
USA 30% (6.0)
Fibres BRAZIL 16% (3.3)
INDIA 10% (1.9)

Man CHINA 17% (1.6)

Made REP. OF KOREA 12% (1.1)
Fibres USA 10% (0.9)

Spun INDIA 23% (2.7)

Yarn- VIETNAM 22% (2.6)
Natural CHINA 12% (1.4)

Spun CHINA 36% (3.1)

Yarn- INDONESIA 9% (0.8)
Man INDIA 6% (0.6)
Made
CHINA
35% (6.5)
Filament USA 6% (1.0)
Yarn- REP. OF KOREA 5% (0.9)

CHINA 46% (42.9)

Woven
ITALY 5% (4.6)
Fabric
GERMANY 5% (4.5)

Knitted CHINA 56% (17.6)

Fabric REP. OF KOREA 7% (2.1)
TAIWAN 6% (1.9)

CHINA 32% ( 132.5)

Apparel BANGLADESH 8% (31.5)
VIETNAM 7% (30.3)

Home CHINA 38% (18.6)

Textiles INDIA 11% (5.2)
TURKEY 8% (4.1)

Source – UN Comtrade

9
4. Indian T&A Market Overview
4.1 Domestic Textile & Apparel Markets
Indian domestic textile and apparel market is estimated to be US$ 99 bn in 2021-22 which has
recovered 30% from 2020-21. Before the pandemic, India’s domestic textile and apparel
market was growing at a CAGR of about 9% measured since 2010, nevertheless, the market is
expected to recover and continue with 10% growth post pandemic and reach US$ 190 billion
by 2025.
Figure Indian Textile & Apparel Market

Total Market
Size
US$ 139 billion

Domestic
Exports
Consumption
US$ 40 bn.
US$ 99 bn.

Technical
Apparel Home Textiles Textiles Apparel
Textiles
US$ 72 bn. US$ 8 bn. US$ 26 bn. US$ 14 bn.
US$ 19 bn.
Source: Published Reports

Overall CAGR and segment wise market size is shown in figure below:

Figure : India's Domestic Textile & Apparel Market (Values in US$ Billion)
190
13

30% 42
-25%
106
99 Share
8
80 8 8%
20
7 19 19%
18 135
50
4
11 78 72 73%
55
35

2010-11 2019-20 2020-21 2021-22 (Est) 2025-26(P)

Apparel Technical Textiles Home Textiles Total

10
4.2 India Textile and Apparel Export Scenario

Textile and apparel sector are a major contributor to India’s total export earnings. Currently, it
contributes to 11% of total export earnings of US$ 276 billion.
Figure : India's Textile and Apparel Export share in the total trade
Textile and
Apparel Share
11%

Other Exports
89%

Source: DGCI&S

India’s T&A exports were US$ 31 bn. in 2020-21 and are estimated to be US$ 40 bn. in 2021-
22, a growth of approx. 28%. The exports are expected to reach US$ 60 bn. in 2025-26, growing
at a CAGR of 10% from 2021-22.
Figure : Indian Textile and Apparel Exports (Values in US$ billion)

60
28% 3
10
-9%
40 Share
34 2.1 5%
29 2 31 6.9 17% 25
1 5 1.7
4 5.7 37%
14.3
12 16 12.3 8
13%
5.2
4 5 4.1 18% 10
4 7.4
4 4.4 10%
4 2 2.7 3.8 4
2010-11 2019-20 2020-21 2021-22(Est) 2025-26(P)
Fiber Yarn Fabric
Apparel Home Textiles Others
Total
Source: DGCI&S

11
4.3 Post COVID Market Recovery
Apparel market has shown promising recovery in the post COVID months. After the drastic
drop of exports in April 2020 due to COVID induced nation-wide lockdown, the apparel market
has been showing constant recovery and is expected to grow further in the future.
Figure 7: India’s Apparel Exports Market Recovery (Values in US$ Million)

Source: DGCI&S

4.4 Indian Textile and Apparel Exports are growing in FY21

In the first quarter of the financial year, Q1 FY22 the India’s exports has registered a good
recovery across all the textile & apparel sector where fiber and yarn performed the best. Overall
T&A exports have shown a growth CAGR of 6% in Q1 FY22 compared to Q1 FY20,
recovering from the extreme low exports seen in Q1 FY21. Fiber and Yarn witnessed the
highest CAGR of 69% and 26% respectively in Q1 FY22 compared to Q1 FY20, this is largely
driven by the recent increase in cotton fiber demand and due the impact of the recent ban by
USA on Xinjiang, China cotton
The yarn export of India has recovered by more than 100% over Q1 FY21 and 26% growth
over Q1 FY20. As shown in the table below, the growth is observed across all the sectors with
fiber and yarn performing exceptionally well. After a down side of nearly 4-5 years the yarn
segment finally gained the potential in the global market and outperformed the competing
nations. The biggest market for yarn in Q1 FY22 were China and Bangladesh.
Table 7: India's T&A Exports (US$ Mn)

% Q1 Q1 Q1 CAGR
Category FY20 FY21
Change FY20 FY21 FY22 FY20-22
Fibre 1,892 2,686 42% 381 314 1,086 69%
Filament 1,162 827 -29% 299 97 375 12%
Yarn 3,501 3,408 -3% 886 533 1,398 26%
Fabric 5,065 4,102 -19% 1,189 504 1,290 4%
Apparel 15,509 12,289 -21% 4,172 1,448 3,408 -10%
Home 5,272 5,728 9% 1,327 714 1,610 10%
Textile
Others 1,818 1,857 2% 449 245 531 9%
Total 34,220 30,899 -10% 8,704 3,856 9,700 6%
Source: DGCI&S Trade Statistics

12
4.5 India Textile and Apparel Import Scenario

India’s imports have been increasing over the last few years. However, this trend was also
disrupted by the pandemic. India’s textile & apparel import is expected to be around US$ 5.9
billion in FY21, and are estimated to be US$ 7.5 bn. in 2021-22. It is less than the pre-
COVID imports of US$ 8.6 bn. in 2019-20. The imports are expected to grow at a CAGR of
12% from 2021-22 to reach US$ 12 bn. In 2025-26.

Figure 8: Indian Textile and Apparel Imports (US$ billion)

12.0
27% 1.5

Share 2.0
8.6 -31% 8.2
0.8
1.7 21%
1.5
1.5
5.9 0.9 11%
1.1 0.8 0.2 2% 2.5
4.1 0.2
2.3 0.9 2.2 27%
0.3
0.2 0.2 1.7 2.0
1.6 0.5 1.7 21%
0.3 1.3
2.4 2.5
1.5 1.1 1.5 18%

2010-11 2019-20 2020-21 2021-22 (Est) 2025-26(P)

Fiber Yarn Fabric Apparel
Home Textiles Others Total
Source: DGCI&S

4.6 India’s Position in Global Trade

India is the leading exporter of natural spun yarn (mainly cotton based). In several
categories, it features among the top 5 global exporters – natural fiber, MMF spun yarn,
filament yarn, woven fabric and home textiles. MMF staple fibers, knitted fabric and apparel
are the categories were India lags in global rankings.

Table 4: India’s Position in Global Trade

Trade value 2020 Share in Global Position in Global
Particulars
(US$ bn.) Trade Trade
Natural Fibre 1.9 10% 3rd
MMF Staple Fibre 0.4 4% 9th
Staple Fibre 2.3 8% 4th
Natural Spun Yarn 2.7 23% 1st
MMF Spun Yarn 0.6 12% 3rd
Spun Yarn 3.3 16% 2nd
Filament Yarn 1.0 4% 5th
Knit Fabric 0.4 1% 10th

13
 Trade value 2020 Share in Global Position in Global
Particulars
(US$ bn.) Trade Trade
Woven Fabric 3.6 4% 4th
Fabrics 4.1 3% 6th
Knit Apparel 6.1 3% 8th
Woven Apparel 6.1 3% 8th
Apparel 12.2 3% 7th
Home Textiles 5.2 11% 2nd
Source: UN Comtrade

4.7 Growth Drivers for Indian Domestic T&A Industry

India’s textile and apparel market has grown over the years and will continue to grow in
future as well due to few fundamental growth factors in place. Given below are the key
drivers of growth that will ensure that the textile and apparel market will remain an
attractive segment for future.

 Changing consumption pattern: The younger generation is moving towards fast fashion
which is increasing the apparel consumption per head, resulting in growing demand for
upstream industries like fabric and yarn as well.
 Increasing population: Continuously growing population is another growth factor for
textile industry as the apparel consumption is increasing on day-to-day basis.
 Improving disposable income: The increasing spending power of individuals are driving
the consumption of T&A products.
 Growing urbanization: Influence of west and migration towards urban cities has changed
the lifestyle of developing countries like India, which is leading into rise in demand for
clothing along with home furnishing products across the world.

As the growth of textile market is directly linked with the growth of apparel consumption,
the overall textile & apparel market is bound to grow continuously in future.

14
5 Yarn Industry Overview
5.1 Global Yarn Industry Overview
Global spinning capacity is ~243 million spindles with India having the 2nd largest capacity of
~53 million spindles after China. India’s spinning industry has the presence of complete textile
value chain and the infrastructure to manufacturer various varieties of yarn which are being
used in both domestic and exports market.
Indian spinning industry is adding new 4.5 million spindles in next 18-24 months, which will
further increase the overall spindles in India.
Table 8: Global Spindle Capacity
Rank Top -10 Countries Spindles (Millions)
1 China 103.0
2 India 53.4
3 Pakistan 13.6
4 Indonesia 12.3
5 Bangladesh 11.9
6 Turkey 8.7
7 Vietnam 7.1
8 Brazil 4.9
9 Thailand 3.8
10 Mexico 2.4
Other 21.4
Total 242.7
Source: ITMF

5.2 Historical Trade Scenario

Global yarn exports constitute of 6% share in global T&A trade. The global yarn exports have
grown at a CAGR of 2% in volume terms over the past decade to reach 15.2 billion in 2020
from 14.7 billion in 2019.
Figure 9: Global Yarn Trade Volume (Values in billion kgs)
CAGR 2 %

14.1 14.7 15.2

13.0

6.6 7.3 7.1

6.0

7.1 7.5 7.4 8.1

2010 2015 2019 2020

MMFY Spun Yarn Total
Source: UN Comtrade

15
5.3 Major Spun Yarn Categories

100% cotton and cotton blend yarns have the highest trade value in the overall global trade of
spun yarn. The trade volume of this category has increased at a CAGR of 2% from a period of
2010 to 2020. The global trade volume of 100% polyester has also increased at a CAGR of 4%
over the same period of time.

The shift in consumer preference towards affordable and comfortable clothing increases the
demand for yarns which are high quality and have properties of comfortability and affordability
such as cotton, cotton blends and PC blends etc.
Blended varieties of fibres are also taking immense growth in the market owing to significant
features of both artificial and natural yarn thus opening up new growth opportunities.

Figure : Spun Yarn Trade (Volume in Bn. Kgs)

2% 4% 4% -3% -7% 5% -9%

4.1 4.4

1.2
1.9
0.4 0.6 0.4 0.6 0.4 0.3 0.2 0.1 0.8 0.3

100% Cotton 100% 100% Viscose P/C P/V Other Natural Other MMSF
& Blends Polyester Spun Yarns Spun Yarns
2010 2020
Source: UN Comtrade

Figure 11: Spun Yarn Trade (Value in US$ Bn.)

-1% 1% 1% -1% -6% -6% -8%

13.9
12.0
5.7 6.8
4.1
1.1 1.2 1.6 1.7 0.9 0.9 0.5 0.3 1.8

100% Cotton 100% 100% Viscose P/C P/V Other Natural Other MMSF
& Blends Polyester Spun Yarns Spun Yarns
2010 2020
Source: UN Comtrade

16
5.4 Global Spun Yarn Trade – Top Categories

The Global trade of Spun yarn stood at US$ 26 billion in 2019-20. In volume terms the trade
accounts to 7.4 million kgs growing at a CAGR of 1.3% in 9 years. 100% cotton carded yarn
is the highest traded spun yarn category with total value of US$ 6,562 million and volume,
2,692 million kgs. Among others, the highest categories are 100% cotton- Combed, 100%
polyester, 1005 viscose and Polyester cotton Blended yarn.
Table 9: Global Trade of Top spun Yarn Categories
2019-20
2019-20 Trade
Sr. No. Yarn Trade Value- US$
Volume– Mn Kg
Mn
1 100% Cotton – Carded 6562 2,692
2 100% Cotton – Combed 5505 1,485
3 100% Poly 1588 689
4 100% Viscose Rayon 1476 458
5 P/C 1067 418
6 Cotton Blends – Carded 682 288
7 Cotton Blends – Combed 876 240
8 P/V 425 170
9 Other Natural Spun Yarn 4945 750
I Linen Yarn 456 46
Ii Other Natural Spun 4489 704
10 Other MMF/MMF Blend 3411 618
i 100% Acrylic 1085 240
ii 100% Nylon 317 26
iii Acrylic Wool 220 20
iv Acrylic Cotton 106 20
v Viscose Cotton 58 14
vi P/W 84 7
vii Others* 1542 292
Total 26,537 7,404
Source: UN Comtrade

5.5 Major Markets and Suppliers of Spun Yarn

Polyester and cotton are widely used textile yarn products in the world. China with a share of
37% is the largest market of spun yarn, followed by EU (9%) and Bangladesh with a share of
7%. Vietnam and India are the largest suppliers of spun yarn with a total share of 38%. Asia-
Pacific is the leading region for exports in the global textile yarn market.

17
Figure12: Major Markets of Spun Yarn*

RoW
20%

India China
2% 37%
Egypt
3%
Brazil
3%
Russia
3%
Korea
4%

Honduras EU
6% Turkey Bangladesh 9%
6% 7%

Source: UN Comtrade

Figure: Major Suppliers of Spun Yarn*

EUTaiwan RoW
3% 2% Vietnam
Turkey 5%
19%
3%
Uzbekistan
6%

Pakistan
7%

India
USA 19%
9%

Indonesia
11% China
16%

*100% cotton & blends, 100% polyester, 100% viscose, PC and PV

18
5.6 Indian Yarn Industry Overview
The spinning capacity of India has been continuously growing owing to the growing global
demand of yarn for textile & apparel products. The spindle capacity has grown at a CAGR of
2% since FY-09 to reach ~53.4 million spindles in FY 20.
Figure: Growth of India's Spinning Capacity (Million Spindles)

CAGR: 2%

52.5 52.5 53.0 53.4

49.2 49.5 50.2 51.2
47.6 48.3
41.3 42.0

FY-9 FY-10 FY-11 FY-12 FY-13 FY-14 FY-15 FY-16 FY-17 FY-18 FY-19 FY-20
Source: Office of Textile Commissioner and ITMF

5.7 Working Capacity of Spindles in India

Out of the total installation of 53 million. Spindles, approx. 86% of the spindles that is 46
million are currently in working condition and rest 14% are either obsolete or stopped due to
breakdown or unviability of the spinning mill. Out of the total working spindle capacity, 67%
of the spindles are up to 15-year-old and rest 33% are more than 15-year-old which need to be
modernized.
Table 10: Vintage of installed working spindle capacity of India
Total Installed capacity till date (Million spindles) 53.4
No. of working spindles 46 86%
Age of the machines: upto 15 years 31 67%
Age of the machines: more than 15 years (need to be modernised) 15 33%
Source: SIMA

5.8 Yarn Production

India’s total spun yarn production was 5,713 million kg in 2019-20, while the Polyester
Filament Yarn (PFY) production 3,934 million kg. The cotton spun yarn production has grown
by a CAGR of 3% in 10 years whereas other blended spun yarns has grown by 4%. Overall the
spun yarn production has grown by CAGR 3% in last 10 years.

19
Table 11: Yarn Production in India
Production
(Million kg) Share 2019-20 CAGR 2010-20
Yarn
2009- 2019-20 (%) (%)
10
Cotton Spun Yarn 3036 3,996 70% 3%
Blended and 100% non- 1,116 1,663 30% 4%
cotton spun yarn
Total Spun Yarn 4,152 5,713 100% 3%
Polyester Filament Yarn 1,540 3,934 - 10%
Source: Office of Textile Commissioner, Govt. of India

5.9 Trade Scenario and Market Outlook and India Yarn Industry
In 2019-20, India’s total yarn exports stood at US$ 3,680 million growing at a CAGR of 0.1%
from last 9 years. India’s cotton spun yarn has grown at a descent CAGR of 6% during the
same period.
Table 12: India's Spun Yarn Exports - Major Categories
2019-20
2009-10 9 Year
Sr. Trade
Yarn Trade Volume – CAGR
No. Volume –
Mn Kgs (Volume)
Mn Kgs
1 100% Cotton – Combed 655 667 0.20%
2 100% Cotton - Carded 259 311 2%
3 P/C 48 70 4%
4 100% Poly 29 55 7%
5 P/V 57 40 -4%
6 100% Viscose Rayon 43 30 -4%
7 Cotton Blends – Combed 1 14 22%
8 Cotton Blends – Carded 2 7 12%
9 Other Natural Spun Yarn 81 17 -19%
I Linen Yarn 0 0.91 25%
Ii Other Natural Spun Yarn 83 16 -20%
10 Other MMF/MMF Blend 17 39 9%
i 100% Acrylic 5 20 14%
Ii P/W 1 1 -2%
iii Viscose Cotton 4 4 -0.50%
iv Acrylic Cotton 2 4 9%
v 100% Nylon 0 1 21%
vi Acrylic Wool 0 0.2 45%
vii Others 3 9 10%
Total 1,239 1,250 0.1%
Source: UN Comtrade

100% cotton combed yarn is the highest exported yarn category from India followed by 100%
cotton carded yarn, which is contrary to the global trend of spun yarn. P/C and 100% polyester
yarn also have significant share in export volume both growing at CAGR 4% and 7%
respectively.

20
5.10 Market outlook and Current Yarn Exports scenario of India
The spun yarn market has seen a good recovery in the past few months. On Year- to- date bases
the spun yarn market has recovered above 100% as compared to last year and also registered
11% growth over year 2019.
Figure: Monthly Spun Yarn Exports of India (Values in US$ Mn)

520.1
469.9
431.5416.5
408.0
347.6
349.0 359.2
331.0339.5 324.0 320.4 336.3
326.0 311.6 306.8
267.6
287.2 282.5 290.2 281.8 305.7 295.6
250.3 244.1 261.8 255.8 281.5
182.9

63.2

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2019 2020 2021

Source: DGCI&S

5.11 India’s Spun Yarn Exports

In 2020-21, India’s total yarn exports stood at US$ 4,329 million compared to US$ 5,651
million in 2015-16. Exports of spun yarn has declined at a CAGR of 4% since 2015-16 while
that of Manmade filament yarn declined at 8%. An overall decline of 5% was observed from
the year 2015 to 2020 in the CAGR %.
Table 13: India’s Yarn Exports (Values in US$ million)
Exports Share 2020-21 CAGR 2015-20
Fiber
2015-16 2020-21 (%) (%)
Cotton spun yarn 3572 2807 65% -5%
Manmade spun 671 598 14% -2%
yarn
Other spun yarn 122 97 2% -5%
(Silk, Jute)
Spun Yarn 4366 3501 81% -4%
Viscose filament 52 25 1% -14%
yarn
Polyester filament 914 730 17% -4%
yarn
Nylon filament 10 21 0.5% 16%
yarn
Others 309 51 1% -30%
Manmade 1285 827 19% -8%
Filament Yarn
Total Yarn 5651 4329 -5%
Source: DGCI&S

21
5.12 India’s Spun Yarn Imports

India imported US$ 1,254 million worth of yarn in 2020-21. Compared to 2015-16 the import
profile in 2020-21 is substantially different with very high growth in certain categories
(manmade spun yarn, VFY and PFY) and very high decline in others (cotton and nylon). MMF
yarn imports and Viscose Filament Yarn saw a 17% and 19% growth respectively during the
same period.
Table 14: India’s Yarn Imports (Values in US$ million)
Imports Share 2020-21 CAGR 2015-20
Fiber
2015-16 2020-21 (%) (%)
Cotton spun yarn 42 17 1% -17%
Manmade spun yarn 177 395 31% 17%
Other spun yarn 239 93 7% -17%
(Silk, Jute)
Spun Yarn 459 505 40% 2%
Viscose filament yarn 58 141 11% 19%
Polyester filament 127 261 21% 16%
yarn
Nylon filament yarn 76 41 3% -12%
Others 322 306 24% -1%
Manmade Filament 583 749 60% 5%
Yarn
Total Yarn 1042 1254 - 4%
Source: DGCI&S and

5.13 Major Markets for India and Major Suppliers of Spun Yarn to India
China, Bangladesh and Egypt are the largest markets of spun yarn for India with a share of
21%, 16% and 6% respectively. 95% of total imports of spun yarn in India will be done by top
5 suppliers, rest 5% imports were done by rest of the world in 2019. China with a share of 38%
was the largest supplier of spun yarn to India.
Figure. Major Markets of Spun Yarn

22
 China
21%

RoW
48%

Bangladesh
16%

Egypt
Portugal Turkey 6%
4% 5%

Source: UN Comtrade

Figure : Major Suppliers of Spun Yarn

RoW
Vietnam 5%
8%

Bangladesh China
12% 38%

Nepal
14%

Indonesia
23%
Source: UN Comtrade

23
5.14 India’s Fabric Production, Import & Export Scenario
Total fabric production in 2019-20 was 76,288 Mn. sq. m. which has grown at a CAGR of 4%
since 2015-16. Mill sector occupied 3% share. Its output has declined at a CAGR of 3% since
2015-16.
Table 15: Fabric Production (Values in Mn. sq. m)
Production Share 2019-20 CAGR 2015-19
Fabric
2015-16 2019-20 (%) (%)

Mill Sector 2,315 2,022 3% -3%

Decentralized 62,269 74,266 97% 5%
Sector
Grand Total 64,584 76,288 4%
(Excl. Khadi,
Wool & Silk)
Source: Ministry of Textiles, Govt. of India

India exported fabric worth US$ 4 bn. in 2020-21 which has declined at 3% CAGR since 2015-
16. Woven fabric comprised 88% of the total fabric exports in 2020-21. However, exports of
knitted fabric have grown at 15% CAGR since 2015-16.
Table 16: Fabric Exports (Values in million. sq. m)
Exports Share 2020-21 CAGR 2015-20
Fabric
2015-16 2020-21 (%) (%)

Cotton Woven 1750 1613 39% -2%

Synthetic Woven 2088 1192 29% -11%
Other Woven 713 816 20% 3%
Woven Fabric 4551 3623 88% -4%
Knitted Fabric 240 482 12% 15%
Total Fabric 4791 4106 -3%
Source: DGCI&S

24
India imported fabric in year 2020-21 worth US$ 1,703 Mn. which has decreased at 2% CAGR
since 2015-16. Imports of total woven fabric has decreased at 4% CAGR since 2015-16.
Imports of knitted fabric have increased at 4% CAGR since 2015-16.
Table 14: Fabric Imports (Values in Mn. sq. m)
Imports Share 2020-21 CAGR 2015-
Fabric
2015-16 2020-21 (%) 20 (%)

Cotton Woven 163 107 6% -8%

Synthetic Woven 712 627 37% -2%
Other Woven 630 484 28% -5%
Woven Fabric 1505 1218 72% -4%
Knitted Fabric 394 485 28% 4%
Total Fabric 1899 1703 -2%
Source: DGCI&S

6 Market Opportunity in Spinning

6.1 Cotton & Blends Yarn Market Share
8s-25s Ne is the largest traded yarn count category with 44% share among the cotton-based
yarn. 100% Cotton-carded yarn accounts for more than 50% share in global cotton spun yarn
trade.
Figure: Count-wise share (%) of Cotton & Blends Yarn

44%
35%

20%
19% 17% 19%
13% 12%
8% 8%
1% 1% 1% 1% 1% 1%

8-25s 25-31s 31-47s Plied yarns <8s 56-71s 47-56s Other

2010 2019
Source: UN Comtrade

25
Figure 19: Carded and Combed Yarn Share (%)

57%
46% 45%
32%

4% 6% 5% 5%

100% Cotton-Carded Cotton Blends-Carded 100% Cotton-Combed Cotton Blends-Combed

Yarn Yarn Yarn Yarn

2010 2019

Source: UN Comtrade

6.2 Spun Yarn Trade - Cotton & Blends are Largest Categories
Cotton yarn has the highest traded value and volume across all spun yarn categories while
100% polyester has the highest growth rate. Other Natural Spun Yarns include Silk, Jute, Linen
and other vegetable fibers. Other MMSF Spun Yarns include synthetic blends, viscose blends,
P/W etc.

Figure: Trade Value of Spun Yarn(In US $Bn)

0%
13.9 13.9
-2% -2%
4% -1% 2% -2% 5.7 4.9 4.1 3.4
1.1 1.6 1.6 1.5 0.9 1.1 0.5 0.4

100% Cotton 100% 100% Viscose P/C P/V Other Natural Other MMSF
& Blends Polyester 2010 2019 Spun Yarns Spun Yarns
Source: UN Comtrade
Figure: Trade Volume of Spun Yarn(In Billion Kgs.)

2%
4.7
4.1
6% 2% 2% -5% -3%
0.2%
1.2 0.8 0.8 0.6
0.4 0.7 0.4 0.5 0.4 0.4 0.2 0.2

100% Cotton 100% 100% Viscose P/C P/V Other Natural Other MMSF
& Blends Polyester 2010 2019 Spun Yarns Spun Yarns
Source: UN Comtrade

26
6.3 Global Trade– Top Categories
Cotton carded yarn is the highest traded category with 8-25s as the major count while combed
cotton blends have high growth rates.
Table18: Global Cotton Yarn Count Wise Volume Trade (In Million Kgs.)

Sr. Catego Single Double

N ry <8 8- 25 31 47 56 >71 <2/ 2/8- 2/2 2/3 2/4 2/5 >2/7
o. s 25s - - - - s 8s 2/2 5- 1- 7- 6- 1s
31 47 56 71 5s 2/3 2/4 2/5 2/7
s s s s 1s 7s 6s 1s
1 100%
Cotton 24 1,6 33 33 0.
7 103 19 33 2
Carde 7 10 9 2 3
d
2 100%
Cotton 49 43
13 291 32 45 26 3 39 16 54 4 11 23
Comb 8 0
ed
3 Cotton
Blends
80 133 42 4 1 12 12 3 1 0.2
Carde
d
4 Cotton
Blends
17 54 80 55 4 2 19 5 3 1
Comb
ed
Source: UN Comtrade
Table 19: Global Cotton Yarn Count wise 9 Year CAGR
Single Double

2/ 2/ 2/
S 2/
Categor 25 31 47 56 25 31 2/4 56
N 8- 8-
y - - - - >7 <2 - - 7- - >2/
o. <8s 25 2/
31 47 56 71 1s /8s 2/ 2/ 2/5 2/ 71s
s 25
s s s s 31 47 6s 71
s
s s s
100% - 6. 5. - - - - - -
14
1 Cotton 2.9 1 9 27 17 6.6 0.7 4.6 7.9
%
Carded % % % % % % % % %
- - -
100% - 0. 6. 8. - - - - -
1. 0. 0. 1.1 0.4
2 Cotton 22. 6 2 3 3.1 8.6 9.7 8.8 15.
6 2 2 % %
Combed 7% % % % % % % % 4%
% % %
-
Cotton 6. - - - -
9.8 15 5. 0.5 1.5
3 Blends 9 20 8.0 0.2 13.
% % 1 % %
Carded % % % % 1%
%

27
 Cotton 0. 9. 6. - - - -
13. 11 0.6
4 BlendsC 1 1 2 6.9 9.1 3.1 4.7
8% % %
ombed % % % % % % %
Source: UN Comtrade

Other Natural Spun Yarn contains yarns (Value Share): Wool (75%), Jute (12%), Silk (8%),
Coir (0%), Hemp (0%), Others (5%).

India’s Yarn Exports – Major Categories

Cotton combed yarn is the highest traded category with 25-30s as the major count while
combed cotton blends have high growth rates.
Table 20: India’s Cotton Yarn Count Wise Volume Trade (In Million Kgs.)

Single Double
Sr 25 31 47 56 2/8 2/2 2/3 2/4 2/5
Categ 8-
N < - - - - >7 <2/ - 5- 1- 7- 6- >2/7
ory 25
o. 8s 31 47 56 71 1s 8s 2/2 2/3 2/4 2/5 2/7 1s
s
s s s s 5s 1s 7s 6s 1s
100%
Cotto
17 0.0
1 n 19 42 32 1 25 11 6 1
3 3
Carde
d
100%
Cotto
12 27 18 0.1
2 n 5 12 12 6 6 7 15 1 6 7
7 2 9 1
Comb
ed
Cotto
n
Blend 0.1 0.0
3 1 3 2 1 0.2
s 1 2
Carde
d
Cotto
n
Blend 0. 0.0
4 4 5 4 0.3 0.3 0.1 0.2 0.2
s 1 4
Comb
ed
Source: UN Comtrade

28
Table 21: India’s Cotton Yarn Count wise 9 Year CAGR
Single Double
Sr
Categ 31 47 5 2/8 2/2 2/3 2/4 2/5
8-
N
ory <8 25- - - 6- >7 <2/ - 5- 1- 7- 6- >2/7
25
o. s 31s 47 56 7 1s 8s 2/2 2/3 2/4 2/5 2/7 1s
s
s s 1s 5s 1s 7s 6s 1s
100%
Cotto - - -
10 0.1 18 11 20
1 n 19 15 12 9% 6%
% % % % %
Carde % % %
d
100%
Cotto - - - -
5 - 4 4 16 12 10 10
2 n 29 2 25 0.1 6% -3%
% 1% % % % % % %
Comb % % % %
ed
Cotto
n
Blend 5 12 18 8 72
3
s % % % % %
Carde
d
Cotto
n
-
Blend 20 26 20 29 31 22
4 1
s % % % % % %
%
Comb
ed
Source: UN Comtrade

Other Natural Spun Yarn contains yarns (Value Share): Wool (84%), Silk (4%), Coir (3%),
Jute (0%), Hemp (0%), Others (9%).

29
6.5 Domestic Yarn Market Growth
India’s Domestic market is big and growing at a CAGR of 6.3%. Major Counts in the domestic
market range from 8s – 47s whereas the growth in finer counts is observed to be better.
Table 22: Yarn market Growth as per Fibre Type
Yarn 2019-20 Market– Mn Tons Growth%
100%
Cotton & 4.73 5.0%
Blends
100%
0.68 4.7%
Polyester
P/C 0.66 5.5%
P/V 0.46 3.8%
Other 1.19 6.3%
Total 8 6.3%
Source: UN Comtrade
Table 23: Yarn Market Growth as per Yarn count
Count 2019-20 Market- Mn Tons Growth%
<8s 1.5 4.0%
8-25s 1.5 4.9%
25-31s 1.6 5.9%
31-47s 1.9 5.9%
47-56s 0.9 7.2%
56-71s 0.3 6.1%
>71ss 0.4 6%
Total 8 6.3%
Source: UN Comtrade
6.6 Summary of Most Attractive CategoriesCotton & Cotton blends are the most
attractive categories. 100% poly and PC are also attractive segments.
Table 24: Most Attractive categories- Fibre Wise
Global India India India
Sr. Global Domestic
Yarn Type Trade Exports Exports Domestic
No. CAGR CAGR
Size Size CAGR Size
100%
1
Cotton
Cotton
2
Blends
100%
3
Polyester
100%
4
Viscose
5 P/C
6 P/V
Other
8 Natural
Spun Yarn

30
 Other
9
MMF
100% Cotton carded, count ranging from 8 to 47s are the most traded category globally.

Table 25 : Attractive Categories in Global trade

25 31 47 56 2/2 2/3 2/4 2/5
Sr 8- 2/8-
Yarn <8 - - - - >7 <2/ 5- 1- 7- 6- >2/7
N 25 2/2
Type s 31 47 56 71 1s 8s 2/3 2/4 2/5 2/7 1s
o. s 5s
s s s s 1s 7s 6s 1s

100%
Cotto
1 n
Carde
d
100%
Cotto
2 n
Comb
ed
Cotto
n
3 Blend
Carde
d
Cotto
n
4 Blend
Comb
ed

In India, 100% Cotton Combed, count range from 8-47s are the most exported category as well
as in domestic market. There is Higher potential in combed cotton from India market
perspective.
Table 26: Attractive Categories in Indian Trade
25 31 47 56 2/2 2/3 2/4 2/5
Sr 8- 2/8-
Yarn <8 - - - - >7 <2/ 5- 1- 7- 6- >2/7
N 25 2/2
Type s 31 47 56 71 1s 8s 2/3 2/4 2/5 2/7 1s
o. s 5s
s s s s 1s 7s 6s 1s

100%
Cotto
1 n
Carde
d

31
 100%
Cotto
2 n
Comb
ed
Cotto
n
3 Blend
Carde
d
Cotto
n
4 Blend
Comb
ed

6.7 Advantages of Plant in Panipat

Major Advantages of Installing a plant in Haryana are:
 Availability of Raw Material
 Availability of Market for consumption of yarn produced in Maharashtra and
adjourning states
 Support by State Government for doing the investment in spinning
 Stable and experienced workers
 Good connectivity by road and rail network and nearness to Port will help in expediting
(reducing the time lag) the Exports

6.8 Recent Trends in Global T&A Industry Impacting the Market

 Increasing Cost of Manufacturing in China: The cost of manufacturing is increasing
in China and making it difficult for the country to remain cost competitive. Hence, due
to the increasing cost buyers are looking for other cost-effective manufacturing
destinations which can offer better quality and possess the ability to serve as one stop
solution.
 Ban on Cotton from Xinjiang, China: The ban on cotton imports from Xinjiang,
China led to a global surge in demand of cotton and yarn. The buyers have moved out
of China which resulted in significant increasing in India’s cotton T&A exports as well.
Since, India is a major cotton and cotton yarn producer, a major share of market from
China is likely to shifting to India
 Rise of Comfort Wear: The pandemic has also boosted in rise of Comfort wear
apparels as people are staying and working from home, comfort clothing is something
that people are preferring for their day to day life. Besides this there has also been a
general trend in consumers looking for more comfort across all garment categories.
Hence the yarns with stretch properties are getting more widely used across categories.

32
  Increasing Demand of Home Textiles: With the revival of global market demand
there has been an uptick in home textiles consumption and accordingly demand for yarn
used in home textiles is also increasing.
 Shift to Sustainability: There is also an increased focus on Sustainability and circular
economy, buyers across the world are focusing on becoming net negative in carbon
footprint. This has led to a shift in buyer’s preference which is more focused on
sustainable, recycled and organic products and green manufacturing practices.

7. Manufacturing Process Description

The manufacture of cotton yarn consists of following processes:

Mixing Sliver Lap

Carding
Blowroom Former

Finisher Breaker
Combing
Drawframe Drawframe

Speed frame Ring frame Autoconer

Yarn
Packing
Conditioning

7.1 Mixing Blow room

After the fiber dyeing process the fiber is fed into blow room is for mixing the fibers evenly.
The mixing is layed depending upon the colour mix required in final yarn. In mélange yarn 2
or more coloured components are mixed with grey fiber. The occurrence of waste in this part
is very less since the major impurities are already being removed previously. Finally, the blow
room must ensure that raw material is evenly delivered to the cards.

33
40-70 cotton bales weighing around 170 kgs are feed into the bale breaker by layering them as
per requirement, which is followed by opening, cleaning, dust removal and blending processes.
The main objective of blow room are as follows:
• To open the baled fibers into small tufts which will allow foreign matters to be
separated from the fibers and prepare the material for easy carding.
• To clean the fibers by removing the foreign matter as the waste – the foreign matter
consists mainly of seeds, seed – coats, leafy matter and sand/ dust in the case of cotton
and of fused fibers/chips in the case of manmade fibers.
• To mix thoroughly different component fibres of a mixing so as to give a homogeneous
blending and to recycle the spinning waste.
7.2 Carding

Clean cotton from blow room is fed to the card in chute feed. Carding clean the fibers by
removing foreign matters as waste. The foreign matter consists mainly of sand/ dust, seed coat
fragments, leaf matter in the case of cotton and of fused fibers/ chips in the case of manmade
fibers. Reduce the neps present in the feed material & those formed in carding presumably by
disentangling them or by throwing them in waste. The carded fibers are collected in form of
uniform sliver of required hank. Carding should not break the fibers, increase neps and drop
spinnable fibers under the licker-in, the cylinder or the doffer.
7.3 Breaker Draw Frame

The function of draw fame is to achieve parallelization of fibers and to achieve blending of
fibers by feeding multiple number of card cans. The sliver from the card is processed through
DRAW FRAME to even out the variations in the sliver by doubling 6/8 slivers into one. The
crisscrossed fibers of the card sliver are align in one axis through the process of drafting. It
improves the regularity in weight per unit length over a considerable length of the material
through doubling of a number of slivers from different cards.

Draw frame is known for both drafting and doubling of the fibre. More the number of
doublings, lower the irregularity caused due to random variations. Doublings does not normally
eliminate periodic faults. But it reduces the effects of random pulses. Doubling does not have
any effect on Index of Irregularity also, since both the irregularities are reduced by square root
of the number of doublings. Higher draft in draw frame will reduce sliver uniformity, but will
improve fiber parallelization. Sometimes the improvement in fiber parallelization will
overcome the detrimental effects of sliver irregularity. Higher the weight of sliver fed to draw
frame, lower the yarn strength, yarn evenness, and it leads to higher imperfections in the yarn
and more end breakages in ring spinning.
7.4 Sliver Lap Former
The carded sliver cannot be fed directly to the coming machine. It is passed through sliver lap
former to form suitable laps to be fed into the combing machine.

34
7.5 Combing

The combing process is carried out in order to improve the quality of the sliver coming out of
the card. The process eliminates short fibers, it achieves better parallelization of fibers, it
straightens curls, and it removes neps and residue impurities. It is clear from these functions
that the combing process is essentially aimed at obtaining excellent quality yarns and to fulfil
this objective raw material with above average physical and mechanical features must be used
from the very beginning of the spinning process. Depending on what is being produced, waste
from combing varies from 12% to 25%, and this can be employed to obtain yarns with a
medium coarse count using the open-end process.
7.6 Finisher Draw Frame

In the modern spinning processes there are only two series of draw frame. To meet the quality
requirement the finisher, draw frame should be an auto leveller draw frame. It is done to give
further strength and stability to the sliver. Doubling and drafting of 6-8 sliver is done in this
process also. Most of the Auto leveller draw frames are working on the principle of OPEN
LOOP control system. Mechanical draft should be selected properly in auto leveller draw
frames. Most of the modern auto levellers can correct 25% feed variation. For combed material,
if single passage is used, it is better to employ draft of 7.5 to 8. If combers with four doublings
are used, it is better to use two draw frame passages after combing. This will reduce long thick
places in the yarn.
7.7 Speed Frame

The main purpose of speed frame is to make suitable packages for ring spinning known as
roving Transforming the sliver into roving occurs in a continuous manner through three stages
i.e. drawing, twisting and winding.

Drawing is generally carried out by a draft system with 3-cylinder weighing arm with double
apron capable of working with entering sliver counts of 4900 tex to 2460 tex (0.12 Ne to 0.24
Ne) and counts of the delivered roving of 2200 tex to 200 tex (0.27 Ne to 3 Ne). The draw
value that can be achieved has a range of between 4 and 20 and can work fibers of a length up
to 60 mm.

The twist is given by the rotation of the flyer located on the spindles, in fact the exit roving
coming from the draft cylinders enters in the higher hole of the flyer, passing through the
hollow arm and then winding on the bobbin. The thread is wound by the action of the bobbin
rotating at a higher speed than the flyer (spindle), in order that on every turn the bobbin makes
in addition to the spindle, a coil of roving is wound on the bobbin. The length of coil is shorter
for the first layers and longer for the last.

To keep the length of the wound roving and the number of spindle revolutions constant in the
unit of time, it is necessary for the bobbin to gradually reduce its rotation speed as layers are
formed over layers, and this must be inversely proportional to the winding diameter for all the
successive layers of roving added to the bobbin.

35
7.8 Ring Frame

In ring spinning following function are performed:

 To draft the roving to the desired degree of fineness or count of final yarn
 To impart the requisite strength to the yarn by appropriately inserting the required
amount of twist
 To produce a yarn acceptable in the yarn market for its quality in terms of uniformity
& imperfections
 To wind the twisted strand (yarn) in a form suitable for storage, transportation and
further processing
The ring spinning frame, commonly called the ring, is the conventional spinning system and it
transforms the roving from the roving frame into spun yarn using the operations of drawing
and drafting of the roving, twisting and winding. The yarn is wound in ring bobbin after
spinning process is complete.
7.9 Auto Coner

The yarn from the ring spinning goes through the process of winding in auto coner machine.
The main objectives of winding are removal of objectionable yarn faults and produce long
length of yarn by serially joining one yarn package with the other. The broader category of
yarn faults are thick place, weak place and thin places which are not weak.

Auto coner basically combines the yarn from the ring bobbin to produce larger uniform
packages and in the meantime removing the yarn faults. The final packages may either be in
the form of cheese or cones.
7.10 Yarn Conditioning and Packing

The purpose of yarn conditioning is to increase strength, serviceability, luster and handle.
Textile fibers are subjected to various physical operations to make in to a yarn. For example,
cotton fiber passes through opening, carding, drawing and spinning to become a yarn. During
these phases the original moisture content on the fiber would have been lost and some static
electricity would be carried by the fiber. The amount of static current carried by yarn changes
from fiber to fiber. Similarly, the strength of any fiber depends up on how close the present
moisture content is to the original natural value. Similarly, some high twist yarn would tend to
lose its twist as and when it is allowed freely, making a lengthwise elongation.
Moisture in atmosphere has a great impact on the physical properties of textile fibers and yarns.
Relative humidity and temperature will decide the amount of moisture in the atmosphere. High
relative humidity in different departments of spinning is not desirable. It will result in major
problems. But on the other hand, a high degree of moisture improves the physical properties of
yarn. Moreover, it helps the yarn to attain the standard moisture regain value of the fiber. Yarns
sold with lower moisture content than the standard value will result in monetary loss.
Therefore, the aim of CONDITIONING is to provide an economical device for supplying the
necessary moisture in a short time, in order to achieve a lasting improvement in quality.

36
8 About Project
8.1 Scope of the Project
The promoter company is planning to set-up a yarn manufacturing plant of 52,072 spindles
capacity in Panipat. The aforementioned plant is planned to be a modern spinning plant
equipped with state-of-the-art manufacturing facilities focused on manufacturing of high profit
margin products for both domestic and international markets.
8.2 Advantages of the Project
Past Experience: The promoter is a veteran in textiles having decades of experience in
working in textile industry
State of the art set up: The proposed plant will have latest technology in place that will ensure
the plant’s emphasis on best efficiency levels across all process.
Buyer focused strategy: The plant operations has been strategized in a way to focus on
catering of buyer specific needs and providing consistent product quality to foster long term
relationships with the buyers.
Value Added Product Mix: Product mix selected for planned manufacturing set-up are of
high profit margins and have high future growth in both domestic as well as exports market.
Location Advantages: The plant location has been strategically selected considering the ease
of logistics, consistent supply of utilities, availability of trained manpower and established
manufacturing ecosystem.

8.3 Marketing Approach and Strategy

Long Range Product Expansion Strategy: The plant layout is designed in such a way that it
can accommodate manufacturing of variety of products as the market dynamics change in the
future hence, the plant is flexible in terms of changing the product mix.
Marketing and Sales Process: The plant will focus on building long term relationships with
buyers by providing them the required quality of yarn necessary for the end products of buyer.
As per the industry feedback supplying consistent quality of yarn to the buyer can also fetch
extra margin over the prevailing market rates.
Process Re-engineering: The plant will run as per the Standard Operating Procedures (SOPs)
under the guidance of trained and experienced spinning industry experts, which will bring
down the manufacturing cost as compared to traditional spinning mills, resulting in increasing
the bottom line of company.
Technology & Infrastructure: The plant is planned to have automation at each stage to
maximize output as well as quality. Key machineries present in the plan are shown in below
table:
No. Of Unit Price Total Price
Machine Name
Machines (Rs. Lakhs) (Rs. Lakhs)
Winding - Auto Coner 28 124.10 3474.74
Ring Frame - LR9/SXL 28 90.00 2520.00
Speed Frame - LF4280A/SX 16 55.00 880.00
Finisher Draw Frame - LDF3S 13 25.00 325.00
Comber 23 40.00 920.00

37
 No. Of Unit Price Total Price
Machine Name
Machines (Rs. Lakhs) (Rs. Lakhs)
Lap Former 4 65.00 260.00
Breaker Draw Frame - LDB3S 6 35.00 210.00
Card
Fine Feed-LA7/6 30 7.00 210.00
CARDS - LC361 30 30.00 900.00
Total - Card 1110.00
Blow room
Swift Flock (20M) - LA 21 2 30.00 60.00
Ventilator (material Line) - LA5/6 10 0.50 5.00
Ventilator Waste Line - LA5/4 2 0.50 1.00
Unimix LB 7/4 2 25.00 50.00
Flexiclean - LB5/6 2 7.00 14.00
Bypass Valve Double Flap LA4/2a 2 0.22 0.44
Bypass Valve Single Flap LA4/2 2 0.20 0.40
Straigt Metal Extractor 2 0.58 1.16
TWD 2 0.42 0.84
MBO LB3/2 4 10.00 40.00
Bypass 2 0.20 0.40
EDA 4 2.00 8.00
Pre Opening Panel 2 5.00 10.00
main line Panel\WCS Panel 4 5.00 20.00
Blow Room BPL 4 211.24 211.24
Fire & Metal Protection System for Material Line
Metal Detector & Diverter 4 15.00 60.00
Spark Detector & Diverter 8 5.00 40.00
Suction Blower Fan & Motor 4 1.00 4.00
With Digital Panel board with 5 4 1.00 4.00
Fire & Metal Protection System for Material
108.00
Line
Essential Spares 300 300.00
Total Machinery Cost (Rs. Lakhs) 10,318.98
Total Machinery Cost (Rs. Crores) 103.19
Logistics, Erection and Commissioning
3.10
Charges @ 3% of Machinery Cost
Sub - Total 106.29
GST@ 18% 19.13
Grand Total (Rs. Crores) 125.42

38
8.4 Risks & Challenges
 Possibility of COVID like pandemic in the future
 Growing demand for filament yarn-based end products
 Growing yarn exports from other countries like China & Indonesia
 Company would be facing stiff competition from already existing established players
 The domestic and the overseas market is highly competitive and in order to achieve
remarkable foothold in the market the company have to be progressive.
 Any change in Government policies pertaining to textile industry may affect the
viability of the project.
8.5 Success Factors for Business
 High volume and growing markets
 Customer centric marketing with strong focus on quality and service
 High growth and high profit product mix
 Previous experience of promoter in textile industry
 Strategically selected location for manufacturing plant
 Variety of products to cater different market segments; Apparel, Home Furnishing etc.
 Growing global demand of textile & apparel products resulting in increase of yarn
demand
 Better margin due to high value-added products and strong customer focused
marketing.
8. 6 Future Opportunities
 Increasing demand in value chain driven by domestic market growth
 Buyers looking for suppliers with consistent supply of quality products
 Growing market demand in exports market such as Turkey, Brazil, Bangladesh and
Cambodia
 Growth of premium products in the market driving demand for high quality and value-
added yarns.

39
 9.Project Financials
9.1. Project Summary
Project Summary
EBIDTA % - 1st Year 13.3%
EBIDTA % - 5th Year 14.7%
EBIDTA % - 10th Year 16.2%
Average DSCR 3.03
Project IRR (Pre-tax) 33.8%
Project IRR (Post-tax) 31.2%
Equity IRR (Pre-tax) 45.6%
Equity IRR (Post-tax) 36.9%
Payback Period 6.7
 9.2.Project Cost
Table 7: Project Cost
Project Cost Total (Rs. Crore)
Land & Site Development 48.50
Buildings (Including GST) 31.92
Plant & Machinery 125.42
MFA 38.67
Preliminary and Pre-Operative Expenses 8.63
Provision For Contingencies 6.14
Margin Money For Working Capital 70.38
Project Cost 329.66

Table 8: Means of Finance

Means of Finance Total (Rs. Crore)
Promoters Contribution 118.38
Bank loan 211.28
Total 329.66

41
 9.3.Land & Building

Land and Site Development Total Cost (Rs. Lakhs)

Total Land Area - Acres 12.00
Approximate Total Land cost 48.00

B) Site Development
Cost of Levelling & Filling (Lumpsum) 0.50
Total (Rs. Crore)
48.50

Factory and Non-Factory Buildings (Including Total Cost

Total Area (M2) Rate Per M2
GST) (Rs. Cr)
Total 25,536 12,500.00 31.92

9.4.Preliminary & Pre-Operative Expenses

Preliminary and Pre-operative expenses Total (Rs. Lakhs)

Company Establishment Expenses 5.0
Rent, Rate and Taxes 5.0
Postage, Stationery, Printing, Telephone, Telexes, Fax etc. 2.0

42
Travelling Expenses 10.0
Interest During Construction (IDC) 261.0
Processing fee @ 0.25% 13.3
Project Management Expenses 30.0
Training, Start-up & Trial Run Expenses 5.0
Consulting Charges 7.0
Architect & structural fee 25.0
Statutory Deposits 500.0
Total (Rs. Lakhs) 863.3
Total (Rs. Crore) 8.63

43
 9.5.Raw Material Consumption
Raw Material
Tons
Consumption
Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Cotton
17,913 19,604 19,604 19,604 19,604 19,604 19,604 19,604 19,604 19,604 19,604 19,604
Rs.
Crore
Raw Material Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Cotton
259.7 292.8 301.6 310.6 319.9 329.5 339.4 349.6 360.1 370.9 382.0 393.5

9.6.Yarn Sales
Table 9:Yarn Sales
Yarn Sales Tons
Sales Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
27's Combed
Single Compact 13,076 14,311 14,311 14,311 14,311 14,311 14,311 14,311 14,311 14,311 14,311 14,311
Rs.
Crores
Sales Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
27's Combed
Single Compact 326.9 370.3 383.3 396.7 410.6 424.9 439.8 455.2 471.1 487.6 504.7 522.4

44
 9.7.Utilities and Other Cost
9.7.1. Power Requirement

Rs.
Crores
Parameter Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Power Consumption (in 000
41,844 45,796 45,796 45,796 45,796 45,796 45,796 45,796 45,796 45,796 45,796 45,796
units)
Power Consumption (Rs.
29.29 33.02 34.01 35.03 36.08 37.16 38.28 39.43 40.61 41.83 43.08 44.37
Crores)

9.7.2. Water Requirement

Table 10: Water Consumption

Parameter Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y -11 Y -12
Water Consumption
0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02 0.02
(in Rs. Crores)

9.7.3. Manpower Cost

45
 Particular No. of Employees
Skilled Worker 95
Semi-Skilled Worker 170
Un-Skilled Worker 95
Plant Staff 20
Head Office Staff 12

Rs. Crores
Manpower Cost Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Workers
Skilled Worker
1.54 1.77 1.86 1.95 2.05 2.15 2.26 2.37 2.49 2.61 2.74 2.88
Semi Skilled
Worker 2.45 2.81 2.95 3.10 3.26 3.42 3.59 3.77 3.96 4.16 4.36 4.58
Un Skilled
Worker 1.11 1.28 1.34 1.41 1.48 1.55 1.63 1.71 1.80 1.89 1.98 2.08
Total Wages (Rs.
Cr/Annum) 5.10 5.86 6.15 6.46 6.78 7.12 7.48 7.85 8.24 8.66 9.09 9.54
Staff
Plant Staff
0.80 0.86 0.93 1.01 1.09 1.18 1.27 1.37 1.48 1.60 1.73 1.87
Head Office
Staff 0.72 0.78 0.84 0.91 0.98 1.06 1.14 1.23 1.33 1.44 1.55 1.68
Total Salary (Rs.
Cr/Annum) 1.52 1.64 1.77 1.91 2.07 2.23 2.41 2.61 2.81 3.04 3.28 3.54
9.7.4. Other Utilities

46
 Rs. Crores
Parameter Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Power Consumption (in 000 units) 41,844 45,796 45,796 45,796 45,796 45,796 45,796 45,796 45,796 45,796 45,796 45,796
Power Consumption (Rs. Crores) 29.29 33.02 34.01 35.03 36.08 37.16 38.28 39.43 40.61 41.83 43.08 44.37
Spares and Consumables 1.02 1.15 1.18 1.22 0.84 0.86 1.12 1.15 1.18 1.22 1.26 1.29
Repair and maintenance 1.02 1.15 1.15 1.15 1.39 1.39 1.67 1.67 1.67 1.67 1.67 1.67
Repair and maintenance: Building &
1.63 1.85 1.92 1.98 2.05 2.12 2.20 2.28 2.36 2.44 2.52 2.61
others
Other Selling & Overhead Expenses 5.72 6.48 6.71 6.94 7.18 7.44 7.70 7.97 8.24 8.53 8.83 9.14

Rs. Crores
Packing Cost Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Packing Cost 3.27 3.69 3.80 3.91 4.03 4.15 4.27 4.40 4.53 4.67 4.81 4.95

9.8.Working Capital
(Rs. Crores)
Particulars Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12

47
Raw Material
43.3 48.8 50.3 51.8 53.3 54.9 56.6 58.3 60.0 61.8 63.7 65.6
Consumables
0.3 0.3 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.5 0.5
Packing Material
0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1
Work in Progress
(WIP) 2.2 2.5 2.6 2.7 2.8 2.8 2.9 3.0 3.1 3.2 3.3 3.4
Finished Goods
4.5 5.1 5.3 5.5 5.7 5.9 6.1 6.3 6.5 6.8 7.0 7.3
Bills Receivables
27.2 30.9 31.9 33.1 34.2 35.4 36.7 37.9 39.3 40.6 42.1 43.5
Sundry Creditors
7.3 8.2 8.5 8.7 9.0 9.3 9.5 9.8 10.1 10.4 10.7 11.1
Total Working
Capital Required 70.4 79.5 82.1 84.7 87.4 90.3 93.2 96.2 99.3 102.5 105.8 109.3
Margin Money
70.4 70.4 70.4 70.4 70.4 70.4 70.4 70.4 70.4 70.4 70.4 70.4
Bank Finance
- - - - - - - - - - - -
Increase in Margin
Money 70.4 - - - - - - - - - - -
Increase in working
capital to be
funded by internal
cash accrual 9.1 2.6 2.6 2.7 2.8 3.0 3.0 3.1 3.2 3.3 3.4

48
 9.9.Machinery & Auxiliary Cost
Machine Name No. Of Machines Unit Price (Rs. Lakhs) Total Price (Rs. Lakhs)
Winding - Auto Coner 28 124.10 3474.74
Ring Frame - LR9/SXL 28 90.00 2520.00
Speed Frame - LF4280A/SX 16 55.00 880.00
Finisher Draw Frame - LDF3S 13 25.00 325.00
Comber 23 40.00 920.00
Lap Former 4 65.00 260.00
Breaker Draw Frame - LDB3S 6 35.00 210.00
Card
Fine Feed-LA7/6 30 7.00 210.00
CARDS - LC361 30 30.00 900.00
Total - Card 1110.00
Blow room
Swift Flock (20M) - LA 21 2 30.00 60.00
Ventilator (material Line) - LA5/6 10 0.50 5.00
Ventilator Waste Line - LA5/4 2 0.50 1.00
Unimix LB 7/4 2 25.00 50.00
Flexiclean - LB5/6 2 7.00 14.00
Bypass Valve Double Flap LA4/2a 2 0.22 0.44
Bypass Valve Single Flap LA4/2 2 0.20 0.40
Straigt Metal Extractor 2 0.58 1.16
TWD 2 0.42 0.84
MBO LB3/2 4 10.00 40.00
Bypass 2 0.20 0.40
EDA 4 2.00 8.00

49
 Machine Name No. Of Machines Unit Price (Rs. Lakhs) Total Price (Rs. Lakhs)
Pre Opening Panel 2 5.00 10.00
main line Panel\WCS Panel 4 5.00 20.00
Blow Room BPL 4 211.24 211.24
Fire & Metal Protection System for Material Line
Metal Detector & Diverter 4 15.00 60.00
Spark Detector & Diverter 8 5.00 40.00
Suction Blower Fan & Motor 4 1.00 4.00
With Digital Panel board with 5 4 1.00 4.00
Fire & Metal Protection System for Material Line 108.00
Essential Spares 300 300.00
Total Machinery Cost (Rs. Lakhs) 10,318.98
Total Machinery Cost (Rs. Crores) 103.19
Logistics, Erection and Commissioning Charges @ 3% of Machinery Cost 3.10
Sub - Total 106.29
GST@ 18% 19.13
Grand Total (Rs. Crores) 125.42

Table 11:Miscellaneous Fixed Assets Cost

Particulars No. of units Unit Price (Rs. Lakhs) Total Price (Rs. Lakhs)
Accessories
TWS & Emery Fillet Grinder 1 3.10 3.10
Full width Grinding Roller & Rectifying Bed &Access 1 2.28 2.28
Waste Analysing Chamber 1 1.03 1.03
Licker in Lifting Equipment 1 0.28 0.28
Flat Service Trolley 1 0.37 0.37
Sub total (Accessories) 7.05

50
 Particulars No. of units Unit Price (Rs. Lakhs) Total Price (Rs. Lakhs)
H Plant 1,000.00
Electrical Installation, cables, Ligting, Generator, transformer etc 700.00
Bobbins, Boxes stands, other accessories 525.00
Lab Equipment’s 200.00
OHTC 50.00
BTS 350.00
Compressor 200.00
Work shop & Misc. 150.00
Total Cost of MFA (Rs. Lakhs) 3182.05
Total Cost of MFA (Rs. Crore) 31.82
Logistics, Erection and Commissioning Charges @ 3% of MFA 0.95
Sub - Total 32.78
GST @ 18% 5.90

51
 9.10. Profit & Loss Statement

Rs. Crore
FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 FY 31 FY 32 FY 33 FY 34 FY 35 FY 36
P&L - Rs. Crore Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Sales Revenue 326.9 370.3 383.3 396.7 410.6 424.9 439.8 455.2 471.1 487.6 504.7 522.4
Waste Realization 28.8 32.4 33.4 34.4 35.4 36.5 37.6 38.7 39.9 41.1 42.3 43.6
Export incentives - - - - - - - - - - - -
Total Revenue 355.7 402.7 416.7 431.1 446.0 461.4 477.4 493.9 511.0 528.7 547.0 565.9

Expenses
Raw material 259.7 292.8 301.6 310.6 319.9 329.5 339.4 349.6 360.1 370.9 382.0 393.5
Power 29.3 33.0 34.0 35.0 36.1 37.2 38.3 39.4 40.6 41.8 43.1 44.4
Water 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Wages 5.1 5.9 6.2 6.5 6.8 7.1 7.5 7.9 8.2 8.7 9.1 9.5
Salaries 1.5 1.6 1.8 1.9 2.1 2.2 2.4 2.6 2.8 3.0 3.3 3.5
Spares and Consumables 1.0 1.1 1.2 1.2 0.8 0.9 1.1 1.1 1.2 1.2 1.3 1.3
Repair and maintenance 1.0 1.1 1.1 1.1 1.4 1.4 1.7 1.7 1.7 1.7 1.7 1.7
Repair and maintenance: Building & others 1.6 1.9 1.9 2.0 2.1 2.1 2.2 2.3 2.4 2.4 2.5 2.6
Other Selling & Overhead Expenses 5.7 6.5 6.7 6.9 7.2 7.4 7.7 8.0 8.2 8.5 8.8 9.1
Packing Cost 3.3 3.7 3.8 3.9 4.0 4.1 4.3 4.4 4.5 4.7 4.8 5.0
Total Expenses 308.3 347.6 358.3 369.3 380.4 392.0 404.6 417.0 429.8 443.0 456.6 470.6

EBITDA 47.4 55.1 58.4 61.8 65.6 69.4 72.8 76.9 81.2 85.7 90.4 95.3
EBITDA % 13.3% 13.7% 14.0% 14.3% 14.7% 15.0% 15.3% 15.6% 15.9% 16.2% 16.5% 16.8%

52
 Depreciation 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1
Interest
On Term Loan 6.3 6.2 6.0 5.6 5.0 4.3 3.5 2.8 2.0 1.3 0.5 -
On WC loan - - - - - - - - - - - -
On Unsecured Loan - - - - - - - - - - - -
Total Interest 6.3 6.2 6.0 5.6 5.0 4.3 3.5 2.8 2.0 1.3 0.5 -

PBT 22.0 29.8 33.4 37.2 41.5 46.0 50.2 55.1 60.2 65.4 70.9 76.2
PBT % 6% 7% 8% 9% 9% 10% 11% 11% 12% 12% 13% 13%

Tax Payable 3.8 5.1 5.7 6.4 7.1 7.9 8.6 9.5 10.3 11.2 12.2 13.1
PAT 18.2 24.7 27.6 30.8 34.4 38.1 41.6 45.6 49.8 54.2 58.7 63.2
PAT % 5% 6% 7% 7% 8% 8% 9% 9% 10% 10% 11% 11%
Cash profit (PAT + Dep.) 37.2 43.8 46.7 49.9 53.5 57.2 60.7 64.7 68.9 73.2 77.8 82.2

53
 9.11. Balance Sheet Statement
Table 12: Balance Sheet Statement
FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 FY 31 FY 32 FY 33 FY 34 FY 35 FY 36
Balance Sheet - Rs Cr. Pre Operative Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Sources of Funds
Contrib for capex 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4
Cumulative margin money - - - - - - - - - - -
Equity 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4 118.4
Reserves & surplus 18.2 42.9 70.5 101.4 135.8 173.9 215.5 261.2 311.0 365.2 423.9 487.0
Additional equity - - - - - - - - - - - -
Long term Loan 211.3 211.3 202.8 194.4 177.5 156.3 131.0 105.6 80.3 54.9 29.6 (0.0) -
Short Term Loan - - - - - - - - - - - -
Unsecured Loan 34.0 17.0 - - - - - - - - - -
Total 329.7 381.9 381.1 383.3 397.2 410.5 423.3 439.5 459.8 484.3 513.1 542.3 605.4
Application of Funds
Capital Expenditure 329.7
Net Block 240.2 221.2 202.1 183.1 164.0 145.0 125.9 106.9 87.8 68.8 49.7 30.6
Current Assets 148.06 158.1 160.9 163.8 166.8 169.9 173.1 176.4 179.8 183.3 187.0 190.7
Closing Balance 0.9 10.0 28.7 59.0 88.7 117.7 150.0 186.4 226.8 271.5 316.4 395.1
Less : Current Liabilities 7.3 8.2 8.5 8.7 9.0 9.3 9.5 9.8 10.1 10.4 10.7 11.1

Total 329.7 381.9 381.1 383.3 397.2 410.5 423.3 439.5 459.8 484.3 513.1 542.3 605.4

54
 9.12. Cashflow Statement
Table 13: Cashflow Statement
FY 25 FY 26 FY 27 FY 28 FY 29 FY 30 FY 31 FY 32 FY 33 FY 34 FY 35 FY 36
CASH FLOWS - Rs Cr. Pre Operative Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Inflows
Promoters contribution 118.4 - - - - - - - - - - - -
Profit Before Depreciation, Interest & Tax 47.4 55.1 58.4 61.8 65.6 69.4 72.8 76.9 81.2 85.7 90.4 95.3
Increase in Term Loans 211.3
Increase in WC loan - -
Unsecured Loan 34.0
Total Cash Inflows 329.7 81.4 55.1 58.4 61.8 65.6 69.4 72.8 76.9 81.2 85.7 90.4 95.3
Outflows
Capital Expenditure 329.7
Increase in Working Capital 70.4 9.1 2.6 2.6 2.7 2.8 3.0 3.0 3.1 3.2 3.3 3.4
Repayment of Term Loans - 8.5 8.5 16.9 21.1 25.4 25.4 25.4 25.4 25.4 29.6 -
Repayment of Unsecured Loan 17.0 17.0
Interest 6.3 6.2 6.0 5.6 5.0 4.3 3.5 2.8 2.0 1.3 0.5 -
Tax 3.8 5.1 5.7 6.4 7.1 7.9 8.6 9.5 10.3 11.2 12.2 13.1
Total Cash Outflows 329.7 80.5 45.9 39.7 31.5 36.0 40.4 40.5 40.6 40.8 41.1 45.5 16.5
Opening Cash Balance - - 0.9 10.0 28.7 59.0 88.7 117.7 150.0 186.4 226.8 271.5 316.4
Net Flows - 0.9 9.2 18.7 30.3 29.6 29.0 32.3 36.3 40.4 44.7 44.9 78.8
Closing Balance - 0.9 10.0 28.7 59.0 88.7 117.7 150.0 186.4 226.8 271.5 316.4 395.1

55
 9.13. Financial Ratios
Table 14: DSCR

DSCR Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
EBITDA 47.4 55.1 58.4 61.8 65.6 69.4 72.8 76.9 81.2 85.7 90.4 95.3
Less: WC interest - - - - - - - - - - - -
-
Less: Tax -3.8 -5.1 -5.7 -6.4 -7.1 -7.9 -8.6 -9.5 -11.2 -12.2 -13.1
10.3
Net Operating Income 43.6 50.0 52.7 55.4 58.5 61.5 64.2 67.5 70.9 74.5 78.2 82.2

Instalment for Term Rupee Loan - 8.5 8.5 16.9 21.1 25.4 25.4 25.4 25.4 25.4 29.6 -
Add Interest on Term Rupee Loan 6.3 6.2 6.0 5.6 5.0 4.3 3.5 2.8 2.0 1.3 0.5 -
Total Debt 6.3 14.7 14.4 22.5 26.1 29.7 28.9 28.1 27.4 26.6 30.1 -
Annual DSCR 6.88 3.41 3.65 2.47 2.24 2.07 2.22 2.40 2.59 2.80 2.60
Average DSCR 3.03
Min. DSCR 2.07
Max. DSCR 6.88

Ratios Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
ROE 15.4% 20.9% 23.4% 26.0% 29.1% 32.2% 35.1% 38.6% 42.1% 45.8% 49.6% 53.3%
ROCE 7.6% 9.7% 10.5% 11.0% 11.6% 12.2% 12.5% 12.9% 13.1% 13.3% 13.4% 12.8%
EBITDA to Capital Employed 11.8% 13.5% 14.2% 14.9% 15.7% 16.5% 17.2% 18.1% 18.9% 19.8% 20.8% 21.7%

Project IRR (pre-tax) Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Inflows
PBT 22.0 29.8 33.4 37.2 41.5 46.0 50.2 55.1 60.2 65.4 70.9 76.2

56
Depreciation + Amortisation 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1
Interest 6.3 6.2 6.0 5.6 5.0 4.3 3.5 2.8 2.0 1.3 0.5 -
Total Inflow 47.4 55.1 58.4 61.8 65.6 69.4 72.8 76.9 81.2 85.7 90.4 95.3
Outflow
Capital Expenditure 329.7
Change in net working capital 70.4 9.1 2.6 2.6 2.7 2.8 3.0 3.0 3.1 3.2 3.3 3.4
Total Outflow 400.0 9.1 2.6 2.6 2.7 2.8 3.0 3.0 3.1 3.2 3.3 3.4
Net Inflow (352.7) 46.0 55.8 59.2 62.9 66.6 69.9 73.9 78.1 82.5 87.1 91.9 6,016
Project IRR (pre-tax) 33.8%

Project IRR (post-tax) Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Inflows
PAT 18.2 24.7 27.6 30.8 34.4 38.1 41.6 45.6 49.8 54.2 58.7 63.2
Depreciation + Amortisation 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1
Interest (1- tax%) 5.3 5.1 4.9 4.6 4.1 3.6 2.9 2.3 1.7 1.1 0.4 -
Total Inflow 42.5 48.9 51.6 54.5 57.6 60.8 63.6 67.0 70.6 74.3 78.2 82.2
Outflow
Capital Expenditure 329.7
Change in net working capital 70.4 9.1 2.6 2.6 2.7 2.8 3.0 3.0 3.1 3.2 3.3 3.4
Total Outflow 400.0 9.1 2.6 2.6 2.7 2.8 3.0 3.0 3.1 3.2 3.3 3.4
Net Inflow (357.5) 39.8 49.1 51.8 54.9 57.9 60.6 64.0 67.5 71.1 74.9 78.8 5,160
Project IRR (post-tax) 31.2%

Equity IRR (pre-tax) Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Inflows
PBT 22.0 29.8 33.4 37.2 41.5 46.0 50.2 55.1 60.2 65.4 70.9 76.2
Depreciation + Amortisation 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1

57
 Total Inflow 41.0 48.9 52.4 56.3 60.6 65.1 69.3 74.2 79.2 84.5 89.9 95.3
Outflow
Equity 118.4
Principal Repaid - 8.5 8.5 16.9 21.1 25.4 25.4 25.4 25.4 25.4 29.6 -
Change in net working capital 70.4 9.1 2.6 2.6 2.7 2.8 3.0 3.0 3.1 3.2 3.3 3.4
Total Outflow 188.8 17.6 11.0 19.5 23.8 28.2 28.3 28.4 28.5 28.6 32.9 3.4
Net Inflow (147.7) 31.3 41.4 36.7 36.8 36.9 41.0 45.8 50.8 55.9 57.0 91.9 6,016
Equity IRR (pre-tax) 45.6%

Equity IRR (Post-tax) Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Inflows
PAT 18.2 24.7 27.6 30.8 34.4 38.1 41.6 45.6 49.8 54.2 58.7 63.2
Depreciation + Amortisation 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1 19.1
Total Inflow 37.2 43.8 46.7 49.9 53.5 57.2 60.7 64.7 68.9 73.2 77.8 82.2
Outflow
Equity 118.4
Principal Repaid - 8.5 8.5 16.9 21.1 25.4 25.4 25.4 25.4 25.4 29.6 -
Change in net working capital 70.4 9.1 2.6 2.6 2.7 2.8 3.0 3.0 3.1 3.2 3.3 3.4
Total Outflow 188.8 17.6 11.0 19.5 23.8 28.2 28.3 28.4 28.5 28.6 32.9 3.4
Net Inflow (151.5) 26.2 35.7 30.3 29.6 29.0 32.3 36.3 40.4 44.7 44.9 78.8 2,926
Equity IRR (Post-tax) 36.9%

Payback Period
Year: Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12
Cash profit (PAT + depreciation) 37.2 43.8 46.7 49.9 53.5 57.2 60.7 64.7 68.9 73.2 77.8 82.2
Cumulative cash profit 37.2 81.0 127.7 177.6 231.0 288.2 348.9 413.6 482.5 555.7 633.5 715.7
Project cost 329.7

58
 0.0 0.0 0.0 0.0 0.0 6.0 7.0 8.0 9.0 10.0 10.0 0.0
0.0 0.0 0.0 0.0 0.0 0.7 -0.3 -1.2 -2.1 -2.9 -3.7 0.0
0.0 0.0 0.0 0.0 6.7 0.0 0.0 0.0 0.0 0.0 0.0
Payback years 6.7

59
 Project IRR (post-tax) Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10
Inflows
PAT 0.0 21.4 23.5 25.8 28.5 31.2 34.0 37.0 40.3 43.7
Depreciation + Amortisation 1.4 8.3 8.3 8.3 8.3 8.3 8.3 8.3 8.3 8.3
Interest (1- tax%) 3.8 7.1 6.9 6.4 5.7 4.9 4.1 3.1 2.1 1.0
Total Inflow 5.2 36.8 38.8 40.6 42.5 44.5 46.4 48.5 50.8 53.1
Outflow
Capital Expenditure 117.2
Change in net working capital 9.9 4.4 6.9 1.7 0.8 0.6 3.9 (0.1) 0.3 (8.8)
Total Outflow 127.1 4.4 6.9 1.7 0.8 0.6 3.9 (0.1) 0.3 (8.8)
Net Inflow (121.9) 32.4 31.8 38.9 41.7 43.9 42.4 48.7 50.5 61.9 1,057
Project IRR (post-tax) 40.8%

60
Table 15: Equity IRR (post-tax)
Equity IRR (Post-tax) Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10
Inflows
PAT 0.0 21.4 23.5 25.8 28.5 31.2 34.0 37.0 40.3 43.7
Depreciation + Amortisation 1.4 8.3 8.3 8.3 8.3 8.3 8.3 8.3 8.3 8.3
Total Inflow 1.4 29.8 31.9 34.2 36.8 39.6 42.3 45.4 48.7 52.1
Outflow
Equity 29.3
Principal Repaid - 0.9 3.5 8.8 10.5 10.5 11.4 14.1 14.1 14.1
Change in net working capital 9.9 4.4 6.9 1.7 0.8 0.6 3.9 (0.1) 0.3 (8.8)
Total Outflow 39.2 5.3 10.5 10.5 11.3 11.2 15.4 13.9 14.3 5.3
Net Inflow (37.8) 24.4 21.4 23.7 25.5 28.4 26.9 31.5 34.3 46.8 799
Equity IRR (Post-tax) 70.9%

61
62
 9.14. Depreciation
Table 16: Depreciation - St. Line Method
Depreciation Straight Line
(Rs. Crores)
Method
Add
Proportion
Cost of Capital Cost
ate Pre-
Rate of Assets of Assets
Operative Y- Y- Y-
Description Depreciati including after Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9
Expenses 10 11 12
on (SLM) Contingenc Apportionm
including
ies ent
Contingenc
y
Land 0.0% 48.50 2.93 51.43 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Factory Building 3.3% 31.92 1.93 33.85 1.13 1.13 1.13 1.13 1.13 1.13 1.13 1.13 1.13 1.13 1.13 1.13

Plant and Machinery 10.3% 125.42 7.58 132.99 13.70 13.70 13.70 13.70 13.70 13.70 13.70 13.70 13.70 13.70 13.70 13.70

Misc. Fixed Assets 10.3% 38.67 2.34 41.01 4.22 4.22 4.22 4.22 4.22 4.22 4.22 4.22 4.22 4.22 4.22 4.22
Total 244.51 14.77 259.28 19.05 19.05 19.05 19.05 19.05 19.05 19.05 19.05 19.05 19.05 19.05 19.05
259.2 259.2 259.2 259.2 259.2 259.2 259.2 259.2 259.2 259.2 259.2 259.2
Gross Asset Value 259.28 259.28 259.28
8 8 8 8 8 8 8 8 8 8 8 8
Cumulative 114.3 133.3 152.4 171.4 190.5 209.5 228.6 247.6 266.7 266.7
19.05 38.11 57.16 76.21 95.27
Depreciation 2 7 2 8 3 8 4 9 4 4

Net Asset Value 240.23 221.18 202.12 183.07 164.02 144.97 125.91 106.86 87.81 68.75 49.70 30.65 11.59

63
 9.15. Tax Calculation
Table 17: Tax Payable

Tax Calculation Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y- 11 Y - 12
Taxable Income 21.96 29.82 33.37 37.20 41.55 46.03 50.23 55.10 60.16 65.40 70.88 76.24
Tax Payable as per Normal Provisions 3.77 5.12 5.73 6.38 7.13 7.90 8.62 9.46 10.32 11.22 12.16 13.08
Net Tax Payable 3.77 5.12 5.73 6.38 7.13 7.90 8.62 9.46 10.32 11.22 12.16 13.08

64
 9.16. Loan Calculations
Table 18: Loan Calculations

Construction period Y-1 Y-2 Y-3 Y-4 Y-5 Y-6 Y-7 Y-8 Y-9 Y-10 Y-11 Y-12

Total Loan

Outstanding amount at the beginning of year - 211.3 211.3 202.8 194.4 177.5 156.3 131.0 105.6 80.3 54.9 29.6

Principal Repayment - - 8.5 8.5 16.9 21.1 25.4 25.4 25.4 25.4 25.4 29.6

Outstanding amount at the end of year - 211.3 202.8 194.4 177.5 156.3 131.0 105.6 80.3 54.9 29.6 (0.0)

Interest on loan - 6.3 6.2 6.0 5.6 5.0 4.3 3.5 2.8 2.0 1.3 0.5

Interest during pre-operative period is capitalized in PPOE 2.6

65
 9.17. Implementation Plan
Table 19: Implementation Plan - Design Phase
Sl M1 M2 M3
N Description of Works Week Week Week
o 1 2 3 4 1 2 3 4 1 2 3 4
1 Site selection for the project
2 Land procurement
3 Measurement for the size of project.
4 Digital survey preparation
5 Selection of process machinery
6 Prepare machinery layout plan and master plan
7 Finalization of layout planning
8 Preparation of Spin Plan
9 Estimation of Project Cost (Imported)
10 Estimation of Project Cost (Local)
11 Soil test report preparation
12 Selection of quality equipment’s
13 Steel structure design
14 Return air duct design finalization
15 Supply air duct design finalization
16 Steel structure design finalization
17 Structural design finalization
18 Architectural design finalization
19 False ceiling design finalization
20 Electrical transmission system design (HT)
21 Electrical transformer and switchgear design
22 Electrical distribution system design (LT)
23 Compressed air system design
24 Internal lighting system design
25 Outdoor lighting system design

66
Sl M1 M2 M3
N Description of Works Week Week Week
o 1 2 3 4 1 2 3 4 1 2 3 4
26 Service equipment’s design
27 General workshop design
28 Material handling accessories design
29 Fire Hydrant system design
30 Rain water drainage system design
31 Sewage system design
32 Water supply system design (Raw and soft)
33 Estimation of Civil Works
34 Estimation of Mechanical Works
35 Estimation of Electrical Works
36 Cost estimation/cash flow chart preparation

67
Table 20: Implementation Plan - Procurement Phase
M4 M5 M6 M7 M8 M9 M10
S.
Description of Item Week Week Week Week Week Week Week
No.
1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
Imported:
1 Primary machinery selection
2 Inviting the Quotation
3 Specification finalization & negotiation
4 Performa invoice collection
5 L.C Opening for process machinery
6 L.C Opening for Utility machinery
7 Machinery shipment schedule
Local:
Arrangement of civil manpower/Contractor
1
selection
2 Local purchase order preparation for civil items
3 Local purchase order for compressed air pipe line
4 Local purchase order for supply air duct material
5 Local purchase order for false ceiling materials
6 Local purchase order for water pipe line materials
7 Local purchase order for lifting accessories
Local purchase order for erection tools and
8
accessories
9 Receive material
10 Quality Checking
11 MRR Preparation (Material Received Receipt)

68
Table 21: Implementation Plan - Construction Phase
Sl M4 M5 M6 M7 M8 M9 M10 M11
N Week Week Week Week Week Week Week Week
Description of Item
o.
1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
A Factory Building
Layout of Column and footing based on RA
1
Duct position
2 Earth Cutting For column and Footing
3 Foundation Works of Column and footing
4 Return air duct casting
5 Gread Beam casting
6 Ground floor casting
7 Ground floor column casting
8 Beam Casting
9 1st Slab casting
10 First floor column casting
11 Beam Casting along with anchor bolt fixing
12 2nd Slab casting
13 Steel column erection
14 Brick wall works
15 Floor trimix works
16 Plaster and finishing works
17 Painting works
18 Supply air duct hanging
19 False Ceiling fabrication and installation
20 Rain Water Drainage construction works
21 Internal Road Construction
22 Gardening and beautification
B Humidification
Layout preparation works as per luwa final
1
drawing
2 Earth Cutting For column and Footing
3 Foundation works of Column and footing

69
Sl M4 M5 M6 M7 M8 M9 M10 M11
N Week Week Week Week Week Week Week Week
Description of Item
o.
1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
4 Underground Floor Casting works
5 Underground floor column and wall casting
6 1st slab casting
7 Air washer column and wall casting
8 2nd slab casting
9 Air washer column and wall casting
10 3rd slab casting
11 Air washer column and wall casting
12 Plaster and finishing works
13 Painting and finishing works

70
Table 22: Implementation Plan - Erection Phase
M12 M13 M14 M15
Sl
Description of Item Week Week Week Week
No
1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
A Electrical
1 Support channel fixing for BBT Transmission
2 BBT Installation works
3 DB SDB preparation works
4 Support channel fixing for cable distribution
5 Electrical cable distribution works
6 Electrical connection preparation to machinery
7 Internal Lighting works
8 Electrical connection preparation to Humidification plant
9 Installation of HT and LT sub-station
B Mechanical
Utility Services:
1 Support channel fixing for compressed air piping
2 Compressed air under ground header fabrication
3 Compressed air over head line fabrication
4 Compressor installation & room piping works
5 Soft water supply line installation for Humidification plant
6 Deep tube well boring and installation
7 Humidification plant erection works
8 FDP erection and piping works
9 Humidification plant support channel, platform etc installation
10 Installation of workshop machineries
Process machineries:
1 Ring frame erection works
2 Blow room carding erection works
3 Preparatory machinery erection works

71
 M12 M13 M14 M15
Sl
Description of Item Week Week Week Week
No
1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
4 Winding machinery erection works
5 Installation of card shop & Ring shop equipment’s
6 Erection works of Quality equipment’s
7 All machinery Commissioning works
8 Test run production start-up

72
Annexure
74