Compedium of Diaspora opportunities
BRASS & BRONZE ITEMS CASTINGS BUSINESS IN UGANDA
Brass is an alloy of copper and zinc and the proportion of copper and zinc vary in this alloy depending upon requirements of the end product. Copper alloy with tin is known as gun metal or tin bronze. This has wide application in engineering, marine and automobile industry. Copper alloy with aluminium is known as aluminium bronze. It is also extensively used in manufacturing of decorative items for our daily use. It costs US$ 36,035 with a capacity of 15,000kg yielding estimated revenue of US $ 44,994 per year.
Production Process, capacity and technology
The process of casting involves melting of the desired composition, preparation of mould cavity of sand, pouring the molten metal into mould cavity, knocking the mould after solidification and cooling of the castings, fitting and cleaning. The envisaged plant has a minimum m plant capacity of 15,000kg per annum but output can be increased tremendously when a grip on the market has been made.
Capital investment Requirement in US $
|Capital Investment Item||Units||Qty||@|
|Oil fired tilting furnace||No||1||1,000|
|ladle & tongs||No||2||15|
|Hand moulding equipment||No||1||1,200|
|TC of Machinery & Tools|
Production costs assume 312 days per year with daily capacity of 48.1 Kgs.
Depreciation (fixed asset write off) assumes a 4 year life of assets written off at 25% per
year for all assets.
Direct costs include materials, supplies and all other costs incurred to produce the product.
A production month is 26 days and Currency used is US Dollars.
Production and Operation costs in US $
(a) Direct materials, supplies and costs
|Cost Item||Units||@||Qty /day||Pdn cost /day||Pdn cost /mth||Pdn cost /yr|
|Copper & Zinc||kgs||1||32||32||833||10,000|
|Mould release agent||ltrs||6||0.16||1.0||25||300|
|General Costs (Overheads)|
|Selling & distribution||200||2,400|
|Utilities (Water, power)||200||2,400|
|Total Operating Costs||3002.9||36,035|
Project product costs and Price structure in US $
|Item||Qty /day||Qty /yr||@||Pdn cost/yr||UPx||TR|
|Brass & Bronze casting||48.1||14,998||2.40||36,035||3||44,994|
Profitability Analysis in US $
|Profitability Item||/ day||/ month||/ year|
|Less: Production &operating costs||115||3,003||36,035|
Brass and bronze items have very good market potential. The demand for use of brass and bronze art ware for decoration purposes in houses and offices has increased considerably. With increased industrialization in Uganda and an improvement in the quality of living, demand for the castings is bound to go up.
Source of Equipment and Raw materials
Can be locally fabricated in Uganda by Tonet Ltd kanyanya Gayaza Rd or imported and raw materials can easily be mobilized locally or even imported.
Startup costs 25% granted on actual cost over the first four years in four equal installments.