Agarbatti Hard Copy



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AGARBATTI INTRODUCTION The burning incense in religious and social functions has been practiced in India since early times Agarbattis are obtainable in different colours and with different perfumes The burning time of agarbatti varies from 15 minutes to 3 hours depending on quality and size Majority of agarbattis manufactured are of cheap quality containing only charcoal powder, low quality sandal wood powder with wood gum powder Agarbatti industry is labour intensive cottage type of traditi
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    AGARBATTIINTRODUCTION The burning incense in religious and social functions has been practiced in Indiasince early times Agarbattis are obtainable in different colours and with different perfumes The burning time of agarbatti varies from 15 minutes to 3 hours depending on quality and size Majority of agarbattis manufactured areof cheap quality containing only charcoal powder, low quality sandal wood powder with wood gum powderAgarbatti industry is labour intensive cottage type of traditional activity in India The main marketing centres aresituated in Mysore and Bangalore in India It can be taken up in rural areas without any difficulty It requires onlylow technology for manufacturing the agarbattis It is a product of National pride MARKET Agarbattis are used by many communities in India daily for performing puja Agarbattis are also used in some of the foreign countries Hence, it has gooddemand This industry can be set up with less investment in small areasThere are about 10,000 agarbatti manufacturing units in the country including tiny,small and medium, besides another 200 well-established ones having over 50 branded agarbattis Nearly 12 lakh people are directly or indirectly employed by theindustry MANUFACTURING PROCESS Charcoal powder, white chip powder, jiget powder, sandle powder are mixed using water and dough is madeDough is rolled on bamboo sticks normally Rawagarbattis can be perfumed either by dipping in perfumed or by spraying the perfumes on the raw agarbattis COMPETITORS ORGANISED SECTOR-Cycle, HEM, ITC,Mangaldeep sells through 5 lakh retail outlets in the country and itssales volumes has increased from 50 million sticks per month to 100 million sticks nowUNORGANIZED SECTOR- Sankranti, Ananth and Jayanti Domestic Products(all from Bangalore), Cottage industry of Aurobindo Ashram, Pondicherry, Prayer Dhoop Agarbatti (New Delhi), Swastik Industries (Chandigarh), Jayanti Products(Agartala) and Khadi and Village Industries Commission (KVIC) mainly Coimbatore EXPORT India’s exports of agarbattis in 2005-06, as may be seen from the table, shot upsteeply by 2168 per cent when the same reached a level of Rs 24742 crore over Rs20333 crore in the previous year Country-wise export trends reveal that USA continues to be the largestmarket  SWOTSTRENGTHS -Eco-friendly product-Small area required-National PrideWEAKNESS-Labour dependent as there is barely any machinery used-Climatic conditions as the raw materials are produced only in cool and dry areas like Mysore and Banglore and  PuneSale fluctuations due to off season which is from mid December to mid MayOPPORTUNITIESIncreasing Demand as India is a religious country where people will always use it for pooja’s and during festivalsExport as there are many NRI’s abroad and there are not many countries manufacturing agarbattisTHREATSSubstitute Products-dhoop and lobanHuge Competition from unorganized and organized sectors NAME OF INDUSTRY- JAI SUGANDHALYA Ι CONSTITUTION -It is a sole proprietorship- Number of employees is 10 where the employees in the packaging department are paid on the bases of piecewages ie 10paise per packet or a salary of Rs4500- The employees in the manufacturing department are paid Rs3000 per month- Vyakti Vikas Kendra,is a non-profit organization where over 100 village women are gaining training in rollingagarbattis-The organizational structure is flat where MrJai Rao is the owner with 10 people working under him in the packaging, delivery and manufacturing department- The turnover is invested back into the business after deducting interest II REGISTRATION Provisional Registration Certificate (PRC) • This is given for the pre-operative period and enables the units to obtain the term loans and working capitalfrom financial institutions/banks under priority sector lending • Obtain facilities for accommodation, land, other approvals etc • Obtain various necessary NOCs and clearances from regulatory bodies such as Pollution Control Board,Labour Regulations etc Permanent Registration Certificate Enables the unit to get the following incentives/concessions: • Income-Tax exemption and Sales Tax exemption as per State Govt Policy • Incentives and concessions in power tariff etc • Price and purchase preference for goods produced • Availability of raw material depending on existing policy • Permanent registration of tiny units should be renewed after 5 years Procedure for Registration Features of the present procedures are as follows: • A unit can apply for PRC for any item that does not require industrial license which means items listed inSchedule-III and items not listed in Schedule-I or Schedule-II of the licencing Exemption Notification  Units employing less than 50/100 workers with/without power can apply for registration even for thoseitems included in Schedule-II • Unit applies for PRC in prescribed application form No field enquiry is done and PRC is issued • PRC is valid for five years If the entrepreneur is unable to set up the unit in this period, he can apply afreshat the end of five years period • Once the unit commences production, it has to apply for permanent registration on the prescribed formThe following form basis of evaluation: • The unit has obtained all necessary clearances whether statutory or administrative eg drug license under drug control order, NOC from Pollution Control Board, if required etc • Unit does not violate any locational restrictions in force, at the time of evaluation • Value of plant and machinery is within prescribed limitsUnit is not owned, controlled or subsidiary of any other industrial undertaking as per notification III CLEARANCEIV SHED -Location Material Index: The industrial estate is on a 500 sq feet rented plot which is closer to the supply of rawmaterials in comparison to the market Hence the location Material Index will be more than 1-Disposal of waste: The waste does not need to be treated as it is not hazardous to the environment and it isdisposed at the outskirts of Banglore at Athivali Taluk V Personnel factors: There is no union as there is no middle management and the number of labourers are so few hence it is not uniondominated 4 people are employed from Vyakti Vikas Kendra for manufacturing, 2 from local area, 2 experiencedtrained labourers for packaging and 2 labourers for deliveryAmmenities to employees: The employees are provided with a mask so that they do not inhale the bad odour Anyaccidents that occur at the workplace while doing the job are paid forIndustrial Environment: VI INFRASTRUCTURE There are two types of infrastructure ie physical and social infrastructurePhysical infrastructure: Rented land, Wooden Planks for rolling, weighing balance, hand sieves, plastic trays, buckets, mugs, wooden racks, blending vessels, delivery cycle and raw materialsSocial infrastructure: Masks provided for safety, Aid provided for on job accidents, Drinking Water VII MARKETING STRATEGY Our motto:The motto of our company will be to provide high quality, long lasting agarbattis at the most competitive priceswithin the stipulated delivery period Service with a smile and the customer is never wrong-Sell through distributor in tapped and untapped sectors (starting with the metros)- Distributor and retailer, confidence and support will be earned by giving them a % of the profit as







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