Detailed Project Report
Areca Leaf Plates and Crockery
—
Prepared on: 27 October 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹19.37 L
- Term loan from bank
- ₹12.59 L
- Promoter’s contribution
- ₹1.94 L
- Subsidy
- ₹4.84 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-6.43 L
- Average DSCR
- -1.34
- Break-even (% of capacity used)
- —
02 Promoter and unit
| Promoter name | — |
|---|---|
| Business / firm name | — |
| Legal form | Proprietorship |
| Address of the unit | — |
| Applicant category | General · Rural |
03 The project
Heat-press fallen areca palm leaf sheaths into plates, bowls, spoons and cups that replace plastic and thermocol.
| Main product or service | Areca Leaf Plates and Crockery |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Caterers and event organisers
- Restaurants, hotels and takeaway outlets
- Retail shops and eco-product stores
- Importers of eco-friendly tableware
- Wholesale to disposable-ware traders
- Direct supply to caterers
- Exporters and online stores
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Hydraulic areca plate making machine | 1 | 3,45,000 | 3,45,000 |
| Shrink wrapping machine | 1 | 1,50,000 | 1,50,000 |
| Plate machine with 3 hydraulic cylinders, 3 MS frames, 6 aluminium dies (12", 10", 8" round, 12" partition, 6" and 4" bowls) and 2 HP power pack | 1 | 5,60,000 | 5,60,000 |
| Areca spoon making machine, single-die hydraulic | 1 | 2,85,000 | 2,85,000 |
| Areca 100 ml tea cup machine, 3 hydraulic cylinders | 1 | 3,65,000 | 3,65,000 |
| Transport and installation | 1 | 1,40,000 | 1,40,000 |
| Total | 18,45,000 |
Pre-filled from: PMEGP sample project report — Areca Leaf Plates (prepared by Udyami/Samadhan); PMEGP sample project report — Areca Nut Palm Leaf Crockery (prepared by Udyami/Samadhan). Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Areca palm leaf sheaths — 2,88,000 leaves a year at ₹8 each, including ₹2 transport (₹23.70 L report)
- Sandpaper — for finishing
- Packing material
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 18.45 |
| Contingency | 0.92 |
| Total fixed capital | 19.37 |
| Working capital margin | 0.00 |
| Total project cost | 19.37 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 1.94 | 10.0 |
| Subsidy | 4.84 | 25.0 |
| Term loan from bank | 12.59 | 65.0 |
| Total | 19.37 | 100.0 |
| Working capital loan (outside project cost) | 0.00 |
09 Key assumptions
| Selling price | ₹0 per units |
|---|---|
| Raw material & packing cost | ₹0 per units |
| Capacity used each year | 60% · 70% · 80% · 80% · 80% · 80% · 80% |
| Term loan interest rate (% a year) | 11% · 84 months (Moratorium 6) |
| Working capital method | Turnover method (RBI) · Working capital interest (% a year) 11% |
| Income tax rate | 25% |
| Yearly price and cost rise | 0% |
10 Production and sales
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capacity used | 60% | 70% | 80% | 80% | 80% | 80% | 80% |
| Production (units) | 6,000 | 7,000 | 8,000 | 8,000 | 8,000 | 8,000 | 8,000 |
| Sales | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
11 Projected profitability
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Sales | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Raw material and packing | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Power and fuel | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Salaries and wages | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 |
| Rent | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Administration | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Selling and distribution | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Repairs and maintenance | 0.39 | 0.39 | 0.39 | 0.39 | 0.39 | 0.39 | 0.39 |
| Insurance | 0.10 | 0.10 | 0.10 | 0.10 | 0.10 | 0.10 | 0.10 |
| Total cost of operations | 3.36 | 3.36 | 3.36 | 3.36 | 3.36 | 3.36 | 3.36 |
| Operating profit (EBITDA) | -3.36 | -3.36 | -3.36 | -3.36 | -3.36 | -3.36 | -3.36 |
| Depreciation | 2.91 | 2.47 | 2.10 | 1.78 | 1.52 | 1.29 | 1.10 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 1.36 | 1.18 | 0.97 | 0.75 | 0.54 | 0.33 | 0.12 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -7.63 | -7.02 | -6.43 | -5.90 | -5.42 | -4.98 | -4.58 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -7.63 | -7.02 | -6.43 | -5.90 | -5.42 | -4.98 | -4.58 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -7.63 | -7.02 | -6.43 | -5.90 | -5.42 | -4.98 | -4.58 |
| Depreciation | 2.91 | 2.47 | 2.10 | 1.78 | 1.52 | 1.29 | 1.10 |
| Cash accruals (PAT + depreciation) | -4.73 | -4.55 | -4.33 | -4.12 | -3.91 | -3.69 | -3.48 |
| Term loan repaid | 0.97 | 1.94 | 1.94 | 1.94 | 1.94 | 1.94 | 1.94 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -5.70 | -6.48 | -6.27 | -6.06 | -5.84 | -5.63 | -5.42 |
| Cash and bank | -5.70 | -12.18 | -18.45 | -24.50 | -30.35 | -35.98 | -41.39 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 6.78 | 6.78 | 6.78 | 6.78 | 6.78 | 6.78 | 6.78 |
| Reserves and surplus | -7.63 | -14.65 | -21.08 | -26.98 | -32.41 | -37.39 | -41.96 |
| Term loan outstanding | 11.62 | 9.69 | 7.75 | 5.81 | 3.87 | 1.94 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | 10.77 | 1.82 | -6.55 | -14.39 | -21.75 | -28.67 | -35.18 |
| Net fixed assets | 16.47 | 14.00 | 11.90 | 10.11 | 8.60 | 7.31 | 6.21 |
| Preliminary expenses not written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Current assets (stock and debtors) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Cash and bank | -5.70 | -12.18 | -18.45 | -24.50 | -30.35 | -35.98 | -41.39 |
| Total assets | 10.77 | 1.82 | -6.55 | -14.39 | -21.75 | -28.67 | -35.18 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -1.44 | -1.08 | -1.16 | -1.25 | -1.36 | -1.48 | -1.64 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -1.34 |
|---|---|
| Lowest DSCR | -1.64 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 2.91 | 2.47 | 2.10 | 1.78 | 1.52 | 1.29 | 1.10 |
Written-down value method at Income-tax Rules block rates (building 10%, plant & machinery 15%, furniture 10%, computers 40%). Change them if your CA uses other rates.
16 Term loan repayment
| Year | Opening | Interest | Term loan repaid | Closing |
|---|---|---|---|---|
| 1 | 12.59 | 1.36 | 0.97 | 11.62 |
| 2 | 11.62 | 1.18 | 1.94 | 9.69 |
| 3 | 9.69 | 0.97 | 1.94 | 7.75 |
| 4 | 7.75 | 0.75 | 1.94 | 5.81 |
| 5 | 5.81 | 0.54 | 1.94 | 3.87 |
| 6 | 3.87 | 0.33 | 1.94 | 1.94 |
| 7 | 1.94 | 0.12 | 1.94 | 0.00 |
17 Licences and registrations
- Udyam
- GST
- Trade licence from the local body
- IEC for exports
18 Government schemes that may apply
- Prime Minister's Employment Generation Programme (PMEGP)
- Pradhan Mantri MUDRA Yojana (PMMY) – Shishu, Kishor, Tarun, Tarun Plus
- Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
19 Sources
- PMEGP sample project report — Areca Leaf Plates (prepared by Udyami/Samadhan) — https://pmegp.msme.gov.in/Home/DownloadDocument?fileName=Documents/ProjectSampleReport/Areca_Leaf_Plates_%28_Samadhan_Projects_%29.pdf
- PMEGP sample project report — Areca Nut Palm Leaf Crockery (prepared by Udyami/Samadhan) — https://pmegp.msme.gov.in/Home/DownloadDocument?fileName=Documents/ProjectSampleReport/Area_Nut_Plam_Leaf_Crockery_%28_Samadhan_Projects_%29.pdf
This report is a projection from the figures entered by the promoter. It is not a bank appraisal or a guarantee of a loan or subsidy. Check every figure with current quotations and your chartered accountant before submitting it.