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Cupboard and Drawer Locks Making Plant

 

1.         Product Description: These locks are also called furniture locks as they are used in various types of furniture.  Cupboard locks are used for locking cupboard doors and drawer locks are used for locking drawers of tables and other similar furniture.  These locks are generally made from brass to have long life and good appearance.  However, as brass becomes more expensive, the locks are also made from sheet metal.  Lately locks are made by casting zinc.

 

2.         Rationale:  One can easily imagine the number of cupboards and drawers there are in use in the country.  It is in the hundreds of thousands.  There are drawers and cupboards in homes, offices, hotels, hospitals, shops, factories, stores, etc.  If we take homes alone, we can roughly estimates the number of cupboards and drawers available in the urban areas of the country.  In 2006, there are about 2.4 million families living in the urban areas of the country.  Of these families, it is safe to assume that at least 40 percent of them have one cupboard and two drawers.  This translates into 960,000 cupboards and 1,920,000 drawers.  Usually one cupboard has two locks and one drawer has one lock.  Hence the number of cupboard locks is 1,920,000 and that drawer is 1,920,000 locks.  All these locks are imported.  It is common sense to think about exploiting this huge market by establishing a plant which will produce cupboard and drawer locks.

 

3.         Market Potential: Following the above argument, let us assume that at least 25 percent of the existing locks are replaced every year and new demand for locks grows by 3 percent per year.  Total annual demand for these locks will then be 1,075,200= (25%of 3,840,000+3% of 3,840,000).  Meeting this annual demand will be more than the production capacity of at least 5 small scale locks producing factories.

 

4.         Source of Raw Material:  The different parts of locks are all made from metals.  All these will be imported probably in ready-made of semi-finished form.

 

5.         Process and Technology: The different components of locks i.e. body plate cover, plate belt; levers, keys etc. are sand casted with the help of patterns.  They keys are sometimes made of steel on a power press in die.  The casted parts of locks are filled to give the finish in die.  After filling the springs are fitted to levers and grooves are cut to fill in the key blank.  The different components are then assembled and the opening and closing of lock is checked for its smooth operation.  Required machinery include pit furnaces with electric blower, moulding, casting, filling and fitting tools, bench vices, hammers, chisels, belt sander and polishing machine, measuring tools.

 

6.         Estimated Investment:  For a plant which can produce 120,000 cupboard and drawer locks, the estimated investment will be the following.

§        Building/Shade 400m2 at Birr 1500/m2            = Birr       600,000

§        Machinery                                                   = Birr         100,000

§        Working Capital                                          = Birr           80,000

        780,000

7.         Benefits: Saves foreign exchange and regional financial resources, brings financial resources to the Region, introduces new skills and technology, and promotes self-sufficiency in industrial products.

 

8.         Location:  Bahir Dar, Combolcha, Debre Birhan or any other major urban center in the Region.

 


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