Hollow bricks are the bricks which manufactured in die after batching its raw materials like m-sand, baby metal and cement. The detailed project report of Hollow Bricks manufacturing business has explained in this article in detail.
It has examined about its raw materials, machinery, profit and all other details relating with this business idea. Hollow bricks are mainly used to construct houses, building and compound walls. You can meet the quality of your products in accordance with the production technique and used technology.
All of its raw materials are abundantly available in market. The production can be take place in many ways. That means, it can be designed in many sizes.
For example, we have 4 inch bricks with hollo and we can also design 4 inch solo bricks. We also have bricks with the sizes of 5 inch, 6 inch and 8 inch. The following section has comprehensively analyzed about hollow bricks investment, machinery and the detail of profit margin.
What are the major investment for hollow bricks unit
Here we analyze what are the major investment for hollow bricks making unit. Like all other businesses, in the case of hollow bricks manufacturing business also we have to consider many issues when we calculating investment expenditure.
Mainly, we have to consider the investment for building construction, investment for machinery, electrical work and connection and expenditures for legal procedures. All these kinds of investment are explained below in detail.
Building Investment for hollow bricks making business
First of all, we can analyze building construction investment for hollow bricks unit . We can increase or decrease the expenditures for the construction of building based on our requirement. If you are taking an already constructed building for rent, the expenditure for building will be comparatively low.
In this case, we only need the advance amount to take building for rent. And the monthly rent can be added with the variable costs. Whereas, if you are construct a new building, you should have a minimum of 20 cents land for this purpose.
Because we should have enough space to manufacture the bricks and to stock the products. But the building is required for manufacturing the products. For this propose, we have to construct an open building with 15 meter width and 20 meter length. And you should ensure that the building has required distance from others property.
The building should have the distance of 10 meters from others land. This kind of a building will have 3228 square feet. No need to build a strong foundation for this type of building. So, RS 150 will be enough to build this building. Therefore, the total expenditures to build this kind of a building will be 484200 rupees. The building should have the roof height of 4 to 7 meters.
Machinery for hollow bricks manufacturing business
The amount of machinery for hollow bricks manufacturing business is subjected to vary largely in accordance with your requirements. Because many type of machineries are available in the market. Here, we are discussing about semi automatic machine. We have two types of machines in this category.
Hollow bricks printing machine
There are different types of hollow bricks printing machine. In one type, we can produce 8 products with 4 inch in one print and 10 bricks as output in another. The cost for 10 brick output machine is approximately 2.5 lakh rupees.
Mixer machine for bricks
Besides this machine, we should have a mixer machine for bricks to mix all raw materials in the production process. It is also available in many forms with different technologies. We have fully automatic mixer machine, semi automatic machines and manual machines.
Here, we are considering about semi automatic machine. Semi automatic machine is more than enough to make a reasonable amount of production in usual cases. The cost of this machine is 175,000 rupees.
Different dies
In addition to this, we need dies to operate this machine. 7 dies are compulsory for unit which producing 8 inch to 8 inch products. Now we can calculate the costs to produce this much dies. On an average, the cost to construct one die is 24,000 rupees. So, in total, we have to spend 168,000 to construct all dies.
Other machinery
Then, we need the small devises like trolly, hoe, pick and basket. To purchase all these kings of instruments, approximately, we have to spend 20,000 rupees. Therefore, by this calculation, the total investment expenditure for machinery to establish a hollow bricks manufacturing unit is 613,000 rupees.
Contact for machinery
Malabar machine
Kuzhiyam parambu kuzhimanna po
malappuram, Kerala india
Ph : +91 9895948969
Investment for Electrical work and connection
Here we are calculating the investment expenditures for electrical work and electrical connection. The total expenditure for basic electrical work in a hollow brick making unit is about 75,000 rupees. The reason for this comparatively low investment is because of the unit can be run by using 7 to 10 HP power consumption.
So, it only needs the panel board, switches and wring to meet that power consumption capacity. Therefore, we can complete electrical work in a limited cost. Three phase electrical connection is necessary for this kind of a hollow bricks manufacturing unit.
If three phase connection and power allocation is available in your locality, you can easily access connection from that source. So, you have to enquire the availability of power allocation through three phase in your nearest electricity office.
If you don’t need to install a new post and line and if it is already available in your area, you can collect OYC and electric connection with only 10,000 rupees. By this calculation, the total investment expenditure for electrical work and electrical connection is 85,000 rupees.
Net investment for hollow bricks plant
Now we can calculate the total investment expenditure by including all above mentioned categories of investment expenditures. As we mentioned above, the cost of building construction is RS 484,200, total machinery investment is RS 613,000 and the cost for electrical connection and work is RS 85,000.
So, the total investment is 1,182,200 rupees. In addition to this amount, we have to spend RS 50,000 for legal procedures and other miscellaneous expenditures. So, in total, by spending RS 1,232,200, you can establish a well established hollow bricks making unit with production capacity of 1200 to 1500 bricks in day.
Production process of hollow bricks making
The production process of making hollow bricks has explained in this section in detail. As we mentioned in above section, the first process is to mix all raw materials. We have to use three raw materials in this process. They are; baby metal, m-sand and cement.
Firstly we have to fill required water in to mixer machine. Then we have to add 3 basket baby metals with it. After that, we should add 3 basket m-sand and 2/3 basket cement with it. After batching it for 3 or 4 minutes in mixer machine, again we have to add an additional 3 basket baby metal, 2 basket m-sand and 2/3 basket cement into it.
We can add necessary water to make it in required loose with it in this time. After batch it well, we can put it into trolly. Then this material has to fill in our required die and it has to be vibrated for correct filling fit in die. Then, it has to be punched from above with a compressor.
This bricks should keep in the same place for a day and after it can be deposit in to tank. It has to be kept in water at least for 7 days then it can be shifted to our stock keeping place. This is the usual production process of making hollow bricks.
Profit from hollow bricks business
To calculate the profit margin of a hollow bricks unit, firstly we have to consider the cost of raw materials. As we all know, the price of baby metal and m-sand is varying in different areas. Here we are taking an average price or this calculation process.
Raw material price and cost
We are taking the price of baby metal as 25 rupees for a foot and 22 rupees for a foot m-sand. The price of one pack cement is RS 450. Here we are calculating the cost of raw materials in to a single batch.
We need 4 foot baby metal, 3.3 foot m-sand and 1 foot cement to one batch. So, by our calculation, that cost of raw materials of one batch will be 323 rupees. From this, we can produce 18 pieces of bricks with 4 inch.
Therefore, in this calculation, the cost to produce a single piece is 18 rupees. It also can be done by the method of producing 22 bricks from a batch. We are making this calculation process on the assumption of producing 18 bricks from a batch.
The selling price of a piece of hollow brick is 25 to 28 rupees. Here we are taking RS 27 as an average rate. So, by this calculation, the profit margin of a single brick is 9 rupees. It might be 6 or 7 rupees in some areas.
Profit per day
If we are making our process with a machine which producing 10 prints in one press, we can take the output of 1500 to 1800 bricks in a day. Now we can calculate the total profit in a day.
For this calculation, we are considering our average profit from a single brick as 7 rupees. If we are producing 1500 bricks in a day, our total earnings will be 10,500 rupees.
Total expenses per day
Now we can calculate the costs to produce this bricks. To produce 1500 bricks in a day, we have to hire 4 workers for job. If we are providing 800 rupees as wage for a worker, we have to spend 3200 as salary for all four workers. Electricity bill for a day will be around 200 rupees.
On an average, for material transportation and other costs, we have to spend about 200 rupees. So, in this calculation, the total cost in a day is 3600 rupees.
Net profit per day
By the above mentioned calculation, per day net profit of a hollow bricks unit is 6900 rupees. Besides those costs mentioned above, we may have to add some other costs like maintenance expenditure, any liabilities like loan and its interest and other miscellanies expenditures with our per day cost. Anyhow, we can surely earn 6000 rupees minimum as net profit in a day from this unit if you are running the unit in its optimum capacity.
Monthly profit from hollow bricks plant
Here, we are calculating monthly profit in the assumption that our net profit is 6000 rupees in a day. The profit from hollow bricks unit is subjected to the condition that the unit should be operated in is maximum capacity of production.
We can get the maximum of 26 days as working days in month. If we are continuously producing all those days with its average production capacity, we can earn the monthly profit of RS 156,000 from a unit
Marketing
Unlike all other manufacturing products, the hollow bricks can be easily marketed in our localities and nearest places. So if you are establishing this type of a unit, its marketing strategy is local area marketing. So first of all you have to consider the marketing possibility of hollow bricks in you native place.
You can also expand your business by a good connection with engineers and contractors. For this, it is compulsory to have good quality for your products and it should be unique from other products. If you are keeping the quality of your products, the satisfied customers will again order your product and the business can expanded and diversified in future.
By getting orders through engineers, you can attain a stable market for your products. Because you will get continuous orders by getting continuous works to them. By meeting quality, you can also avoid credit transactions and you can easily collect ready cash on sales.
conclusion
Hollow bricks manufacturing business can be established by any common man and it has a secured good profitability. It can be started with a minimum amount of investment and it can be developed and expanded in any localities.
In this article, we have included all the details to establish a hollow bricks making unit. If you are a new entrepreneur, you can surely enter to this business by studying this article in detail.
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