What is wax candle?
Wax candles are a daily household commodity and are also a mass consumption item used widely for lighting and illumination in houses, churches, and other religious places.
What can I earn? (Gross, net)
An annual profit of about Rs.40, 000 while producing about 100kgs, candles per day
What is the market for it?
Candles are essentially a mass consumption item. At present the demand of candles is very high but their supply always falls short of demand. Hence offering immense scope for profit in this field.
What is required? (Raw materials, skills, technology)
A small covered area for operating the business,
Paraffin wax, stearine, bees wax (optional), wick
Some equipment for processing, and
No specific skill is required .
How much will it cost to set up? And run?
You require a working capital of about RS.12, 000 per month while a fixed capital of about RS. 65,000.
Can someone help? (Training, tech. support, loans, raw material, and marketing)
Yes
See Manual For Details
Manual
The Enterprise
Wax candles are daily household necessity and are widely used for lighting and illumination in houses, churches, other religious places, hotels, restaurants etc in fact they have got their own charm and pleasure. Wax candles are made in a variety of sizes and shapes. At present there are many small-scale units manufacturing wax candles. But the estimated demand is very high compared to the current production, thereby offering scope for new investment in this field.
Market Position
Candles are in great demand and their supply always falls short of demand. These are a mass consumption item used widely for lighting and illuminations in the household. The demand for candles is increasing day by day due to its wide application in churches, religious places, hotels, restaurants, etc.
Artistic and decorators candles also have a very good market potential
Raw material requirement (Basis 100 KGs. Per day)
| |
KGs. |
| Paraffin wax |
60 |
| Stearine |
30 |
| Bees Wax |
10 |
Machinery and Equipment
Candle moulding machine (1 No.)
Wax melting vessels (aluminium) (4 Nos.)
Coal/ wood fired furnace (1 No.)
coolant water vessels(1 No).
Water pump (1 No).
Process of Manufacture
1.Paraffin wax and Stearic acid ( 5 to 10% of the wax quality) are brought to the molten stage in a mild steel or aluminium vessel kept on a coal or wood furnace
2.If desired, the dye (wax soluble) is mixed to the molten mass with stirring to disperse it uniformly
3.The wick is inserted in the candle moulding machine and molten mass(of wax, Stearic acid, and dye) is poured into the channels leading to the upper parts of the mould
4.Then cold water is allowed to circulate around the candle moulds to cool and set the mass
5.After the candles are set, they are removed with the help of ejectors operated by a handle fitted in the machines
6.The wick thread is cut and the candles are packed
7.The candle moulding are, sometimes fitted with a device to reduce the length of the candles if desired.
COST ANALYSIS
Basis: 100 KGs. per day of wax candles
| Covered area required 50 Sq.m. |
(In RS.) |
| Land and building |
25,000 |
| Plant & machinery |
30,000 |
| Fixed capital |
65,000 |
| Working capital per month |
12,000 |
| Total capital investment |
1,01,000 |
| Cost of production per annum |
1,63,400 |
| Receipt per annum |
1,98,750 |
| Profit per annum |
35,350 |
| Rate of return |
35% |
| Break Even Point |
48% |
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