Detailed Project Report (DPR) on Leather Shoes

LEATHER SHOES

[EIRI/EDPR/1055] J.C.: 9699

INTRODUCTION

Since the time, mankind discovered leather as a protective material for the foot, chappals in different forms were made. In the beginning chappals had only fuctional utility, i.e. to protect foot form thorns, insects etc. Today in addition to fuctional utility chappals have also become an item of fashion and also form a part of dress which has necessiated changes in the manufacturing process. Today chappels are used by simple villageers, farmers, common people of urban areas ans also by the rich people. To cope up with the requirement of different types of materials and by different manufacturing process is cemented construction. These cemented sole chappals with decorative, plain or odourful straps, have become very popular. This type of chappals have also found a good overseas market.

In certain cases, it becomes economical and advantageous for the industry to buy, than to make, with their justification, a number of footwear industries are in developed countries procure ready made components as per their specifications, namely, stiffeners, toe puffs etc. Previously procurements of components were made from local and nearby units. To bring down the cost of production, further, these units started importing these components especially closed uppers from other countries who were able to supply these at lesser price due to availability of raw materials and cheaper labour cost in those countries.

The practice of procuring components and assembling is not much prevalent in India footwear industries till today. About one and half decade ago, only a few units started making closed developed countries. In the beginning, there these units started faced difficulties in maintaining quality as per specifications of the buyers, but soon they got over these difficulties.

There is great export potential if one can manufacture closed leather uppers of required quality at the prevalent price.

It is also felt that in future a number of footwear manufacturing units in India will start procuring components like closed uppers, units, soles, heels etc and assemble them in places of manufacturing a complete footwear.

The Indian footwear industry can be divided into two broad categories, namely, small scale and cottage industry or organized sector and large scale on the organized sector. Scientific production and marketing techniques are well known to the organized and (large scale sector) are essential part of their organization and management plant. However in footwear the large scale and the small scale sectors acts as complementary to each other.

The small scale footwear industry in general is not communicative and reserved. The need coaking and even spoon feeding, at the initial stages to get interested in the economic conditions and lack of education among the small scale footwear units.

Fashion may come and go, leather antique is well as modern. Its substitutes are only its poor supplements. There is nothing like, leather. India is about to take a lead in the manufacturing of leather and leather products and top the list in the world within this century.

Leather industry is one of the oldest cottage industries of India. Here the industry flourished in conditions of natural advantage offered by the largest cattle population in the world.

COST ESTIMATION

Plant Capacity            5000 Pairs/Day

Land & Building (5000 sq.mt.)    Rs. 3.50 Cr

Plant & Machinery                    Rs. 1.18 Cr

Working Capital for 2 Months    Rs. 12.25 Cr

Total Capital Investment          Rs. 17.18 Cr

Rate of Return                          80%

Break Even Point                      23%

CONTENTS

INTRODUCTION

MARKET SURVEY

BRANDS SOURCED FROM INDIA:

BESIDES, MAJOR BRANDS ARE SOURCED FROM INDIA, MNC BRANDS ARE SOLD IN INDIA AND INDIAN BRANDS SOLD IN INDIA.

FOOTWEAR IMPORTS GLOBAL TREND:

MAJOR IMPORTING COUNTRIES OF FOOTWEAR (LEATHER AND NON-LEATHER)

MAJOR EXPORTING COUNTRIES OF FOOTWEAR (LEATHER AND NON-LEATHER)

FOOTWEAR – GLOBAL SCENARIO AND INDIA’S SHARE

INDIA’S FOOTWEAR EXPORT GROWTH OVER THE LAST FOUR DECADES 

MAJOR MARKETS:

FOOTWEAR EXPORTS – TO MAJOR MARKETS – 2010-11

A STATEMENT SHOWING INDIA’S EXPORT OF FOOTWEAR TO

DIFFERENT COUNTRIES:

PARTNERSHIPS THAT SPELL SUCCESS

INDIAN FOOTWEAR INDUSTRY POISED FOR GROWTH

MANUFACTURERS/EXPORTERS OF LEATHER SHOES

ANSAR & COMPANY

B.I.S. SPECIFICATIONS

TABLE. 1 PHYSICAL REQUIREMENT FOR SHOE UPPER LEATHER FOR DIRECT MOULDING PROCESS

TABLE. 2 CHEMICAL REQUIREMNETS FOR SHOE UPPER LEATHER FOR DIRECT MOULDING PROCESS

SOLING MATERIAL USAGE:-

UPPER MATERIALS USAGE:-

LINING:-

PADDING/CUSHION:-

INSOLE:-

PVC BLOWN:-

SOCKS INSOLE:-

MID SOLE:-

KINDS OF MANUFACTURING

1. GOODYEAR SYSTEM:-

2. MACHTEY SYSTEM:-

3. CEMENTED SYSTEM:-

4. INJECTION SYSTEM:-

5. DIRECT VULCANIZING SYSTEM:-

ADVANTAGE AND DISADVANTAGE OF THE ABOVE MANUFACTURING SYSTEM ARE STATED AS FOLLOWING.

LEATHER TREATMENT

EXAMPLE 1

EXAMPLE 2

EXAMPLE 4

EXAMPLE 5

THE DATA COMPUTED IN THIS SERIES OF TESTS IS SHOWN IN TABLE III BELOW:

EXAMPLE 6

EXAMPLE 7

EXAMPLE 8

EXAMPLE 9

EXAMPLE 10

EXAMPLE 11

LEATHER SHOE

PERFECTFIT SYSTEM FOR LEATHER SHOES

FIG. 1. THE CONTENTS OF THE PERFECTFIT SYSTEM KIT IN A PERSPECTIVE VIEW:

FIG. 2. DIFFERENT VIEWS OF THE HEATING BAG STRUCTURE AND CONTENTS

FIG. 3. DEMONSTRATION OF THE PERFECTFIT SYSTEM AT WORK ARTIFICIAL LEATHER SHOE

OTHER ESPECIALLY PREFERRED EMBODIMENTS OF THE METHOD ARE GIVEN BELOW IN A-G:

A. A LAMINATED SHEET MATERIAL, INCLUDING, IN ORDER:

B. A LAMINATED SHEET MATERIAL, INCLUDING, IN ORDER:

EXAMPLES

FINENESS OF ULTRAFINE FIBERS

COLOR DIFFERENCE

POLYMER ELONGATION AT BREAK

PRODUCTION EXAMPLE 1

PRODUCTION EXAMPLE 2

PRODUCTION EXAMPLE 3

EXAMPLE 1

DYE COMPOSITION

EXAMPLE 2

EXAMPLE 3

EXAMPLE 4

TOP LAYER FORMATION METHOD

ADHESIVE LAYER

COMPARATIVE EXAMPLE 1

COMPARATIVE EXAMPLE 2

COMPARATIVE EXAMPLE 3

TABLE 1

EXAMPLE 5

EXAMPLE 6

EXAMPLE 7

LEATHER SHOE

EXAMPLES

LEATHER SHOES

CHROMIUM-FREE, WATERPROOF LEATHER

EXAMPLE 1

EXAMPLE 2

EXAMPLE 3

EXAMPLE 4

EXAMPLE 5

EXAMPLE 6

EXAMPLE 7

EXAMPLE 8

EXAMPLE 9

EXAMPLE 10

EXAMPLE 11

WATER PROOFNESS:

EXAMPLE 12

WATER PROOFNESS:

NEW KIND OF SHOE MAKING

APPLYING THE CHEMISTRY AND NEW TECHNOLOGY:-

MACHINES FOR THE PRODUCTION OF BOTTOM PARTS:-

B. MACHINES IN THE LASTING ROOM:-

C. MACHINES FOR APPLYING ADHESIVES:-

ADHESIVES ARE APPLIED ON MOVING PARTS:-

IN SPORT JOINING TWO PARTS

D. DRYING, SETTING AND CONVEYING SYSTEM:-

SUPPLIERS OF PLANT AND EQUIPMENTS

APPENDIX – A:

01. PLANT ECONOMICS

02. LAND & BUILDING

03. PLANT AND MACHINERY

04. OTHER FIXED ASSESTS

05. FIXED CAPITAL

06. RAW MATERIAL

07. SALARY AND WAGES

08. UTILITIES AND OVERHEADS

09. TOTAL WORKING CAPITAL

10. TOTAL CAPITAL INVESTMENT

11. COST OF PRODUCTION

12. TURN OVER/ANNUM

13. BREAK EVEN POINT

14. RESOURCES FOR FINANCE

15. INSTALMENT PAYABLE IN 5 YEARS

16. DEPRECIATION CHART FOR 5 YEARS

17. PROFIT ANALYSIS FOR 5 YEARS

18. PROJECTED BALANCE SHEET FOR (5 YEARS)