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PROJECT CONSULTANCY SERVICES FOR MANUFACTURING OF PERFUMES AND FRAGRANCES

 

Perfumes and Fragrances

Perfume Compositions intended to impart a pleasant odor, scent or aroma, processes of making or using a perfume composition. Broad terms such as "perfume" or "perfume oil" stated to be ingredients in cosmetics.

Perfume compositions usually include an active ingredient or enhancer and one or more adjuvant (extenders, antioxidants, fixatives). Subclasses 2 and 3 are based on the active or enhancing organoleptic ingredient. An active ingredient is a compound which imparts the aroma to the perfume compositions or enhances or augments the aroma of an existing perfume composition. Fixatives and extenders are not considered to be active ingredients; a fixative slow down the rate of evaporation of a perfume by reducing the volatility, and an extender increases the volume of the perfume composition without diluting the aroma.

Nature of fragrances in perfumes

  • Citrus
  • Floral
  • Fruity
  • Green
  • Oceanic
  • Oriental
  • Spicy
  • Woody

Major chemicals in perfumes


  • Acetone
  • Benzaldehyde
  • Benzyl acetate
  • Benzyl alcohol
  • Camphor
  • Ethanol
  • Ethyl acetate
  • Limonene
  • Linalool
  • Methylene chloride
  • a-pinene
  • g-terpinene
  • a-terpineol



Where perfumes are used?

Perfumes are used in cosmetic, household items and luxury products. Products can be:

  • Detergents
  • Shampoos
  • Soaps
  • Skin care

Natural ingredients in perfumes


  • Flowers
  • Grasses
  • Spices
  • Fruit
  • Wood
  • Roots
  • Resins
  • Balsams
  • Leaves
  • Gums
  • Animal Secretions.


Factors affecting perfume

  • Heat
  • Light
  • Oxygen
  • Extraneous organic material

Market structure

The market for perfumes and fragrances, as perceived in western parlance, is of a recent origin. The demand in India has existed for ages for traditional ittars which have been fading out except for ceremonial occasions and with old connoisseurs. The old redolences are being overtaken by eau de colognes and western perfumes while the former have been consigned to a few elitist households only. In the wake of the economic reform policies and freer imports, the market is developing a global perspective.

Presently there are some 500 companies in the fragrance industry. The small scale sector is dominating the market. The unorganised market could be four times the size (by volume) of the organized market. From a very small demand of 950 tonne in 1990-91, it expanded to 12,500 tonne in 2000-01. The market for the product is estimated to have expanded by over 50% in three years to 18,300 tonne in 2003-04, and further to 26,650 tonne in 2006-07 and to over 30,000 tonne in the following year. It is expected to increase to 36,400 tonne in 2009-10.

Hindustan Unilever had hived off its flavours, fragrances and food ingredients business into a joint venture with the ICI group, although it kept its option open on the exiting the Rs 3 bn with venture.

Revlon has revived its ageing brand, Charlie, with a new version of perfume. The launch underscored that the market for Charlie in the UK is still very much alive. Archies Greetings and Gifts, with a wide range of greetings and gifts Zeroone a range of grooming accessories - perfumes, de-odorants, after-shave and talcum powder in male and female variants - was also earlier unveiled by Archies. Archies' perfume division set up a strong distribution and retail network of 475 stores across the country to push its scents.

Christian Dior Perfumes, one of the biggest fashion brands in the world (owned by the Louis-Vuitton-Moet-Hennessy group), entered the Indian market with its premium range of fragrances, skin care and make-up products. It launched it Higher Dior, the eau de toilet for men. The direct competition to it comes from Estelle Lauder, Chanel and Lancome. 

Reckitt Benckiser has launched its global air freshner brand Air Wick with a choice of fragrances in three formats - electrical diffuser, aerosol spray and freshmatic automatic spray. The fragrances available include English Rose, Peachy Jasmine and lavender fields. The Air Wick Electrical Diffuser started with an introductory price of Rs 125, while. Aerosol spray was launced at Rs 700. 

Lotus Innovations had introduced six Paris Bleau perfume brands in the country including Red Pearl, Zandarela, Dorien, Sawsan, Malena and Augustine. Priced between Rs 1500 and Rs 2500, the premium perfume range faced stiff competition in the market from brands like Baccarose, Christian Dior and Nina Ricci.

MKP Distributors imports several premium foreign brands such as Gucci and Hugo Boss. MKP has also been contracting to manufacture perfumes for companies like Avon, Revlon and Mayer India. At its factory in Bahadurgarh in Haryana, it produces and exports 100,000 perfume bottles a month to the Gulf, the Russia and the US market. It has developed its own brands such as Tycoon, Aqua and Serum for the export market that sell between USD 4 and 6 a bottle.

The market is growing. It is catching up with the nouveau rich lifestyle. A long-term high growth trend can be seen provided the consumer finds the product in conformity with his preferences and within the reach of his pocket.


 

How Niir Project Consultancy Services (NPCS) can be helpful:-

 

NPCS can provide project consultancy services to any budding entrepreneur, who wants to get knowledge on manufacturing of perfumes and fragrances. Consultancy can provide the complete report covering topics like Plant Economics, Production Schedule, Land & Building, Site Development Expenses, and Working Capital Requirement etc.

NPCS Project Consultancy Services helps in establishing business prospective in manufacturing of perfumes and fragrances. Detailed project report can be modified as per requirement of cost and capacity of the project. Our consultancy has a state-of-the-art experience in preparing projects report on different subjects as per need.


Detailed project report contains:


  • Introduction
  • Properties
  • BIS (Bureau of Indian Standard) Specifications & Requirements
  • Uses & Applications
  • Present Indian Market Position
  • Expected Future Demand
  • Export & Import Statistics Data
  • Names and Addresses of Existing Units (Present Manufactures)
  • List of Plant & Machineries
  • Miscellaneous Items and Accessories
  • Instruments, Laboratory Equipments and Accessories
  • Electrification, Electric Load and Water
  • Maintenance, Suppliers/Manufacturers of Plant and Machineries
  • Process of Manufacture
  • Flow Sheet Diagram
  • List of Raw Materials
  • Availability of Raw Materials
  • Requirement of Staff & Labour
  • Personnel Management
  • Skilled & Unskilled Labour
  • Requirement of Land Area
  • Built up Area
  • Plant Layout.


Along with financial details as under:

  • Assumptions for Profitability workings
  • Plant Economics
  • Production Schedule
  • Land & Building

Factory Land & Building

Site Development Expenses


  • Plant & Machinery

Indigenous Machineries

Other Machineries (Miscellaneous, Laboratory etc.)


  • Other Fixed Assets

Furniture & Fixtures

Pre-operative and Preliminary Expenses

Technical Knowhow

Provision of Contingencies


  • Working Capital Requirement Per Month

Raw Material

Packing Material

Lab & ETP Chemical Cost

Consumable Store


  • Overheads Required Per Month And Per Annum

Utilities & Overheads (Power, Water and Fuel Expenses etc.)

Royalty and Other Charges

Selling and Distribution Expenses


  • Salary and Wages
  • Turnover Per Annum
  • Share Capital


Equity Capital

Preference Share Capital


  • Annexure 1 :: Cost of Project and Means of Finance
  • Annexure 2 :: Profitability and Net Cash Accruals

Revenue/Income/Realization

Expenses/Cost of Products/Services/Items

Gross Profit

Financial Charges    

Total Cost of Sales

Net Profit After Taxes

Net Cash Accruals


  • Annexure 3 :: Assessment of Working Capital requirements

Current Assets

Gross Working. Capital

Current Liabilities

Net Working Capital

Working Note for Calculation of Work-in-process


  • Annexure 4 :: Sources and Disposition of Funds
  • Annexure 5 :: Projected Balance Sheets

ROI (Average of Fixed Assets)

RONW (Average of Share Capital)

ROI (Average of Total Assets)


  • Annexure 6 :: Profitability ratios

D.S.C.R

Earnings Per Share (EPS)

Debt Equity Ratio


  • Annexure 7 :: Break-Even Analysis

Variable Cost & Expenses

Semi-Var./Semi-Fixed Exp.

Profit Volume Ratio (PVR)

Fixed Expenses / Cost 

B.E.P


  • Annexure 8 to 11 :: Sensitivity Analysis-Price/Volume

Resultant N.P.B.T

Resultant D.S.C.R

Resultant PV Ratio

Resultant DER

Resultant ROI

Resultant BEP


  • Annexure 12 :: Shareholding Pattern and Stake Status

Equity Capital

Preference Share Capital


  • Annexure 13 :: Quantitative Details-Output/Sales/Stocks

Determined Capacity P.A of Products/Services

Achievable Efficiency/Yield % of Products/Services/Items 

Net Usable Load/Capacity of Products/Services/Items   

Expected Sales/ Revenue/ Income of Products/ Services/ Items   


  • Annexure 14 :: Product wise domestic Sales Realization
  • Annexure 15 :: Total Raw Material Cost
  • Annexure 16 :: Raw Material Cost per unit
  • Annexure 17 :: Total Lab & ETP Chemical Cost
  • Annexure 18 :: Consumables, Store etc.,
  • Annexure 19:: Packing Material Cost
  • Annexure 20:: Packing Material Cost Per Unit
  • Annexure 21 :: Employees Expenses
  • Annexure 22 :: Fuel Expenses
  • Annexure 23 :: Power/Electricity Expenses
  • Annexure 24 :: Royalty & Other Charges
  • Annexure 25 :: Repairs & Maintenance Exp.
  • Annexure 26 :: Other Mfg. Expenses
  • Annexure 27 :: Administration Expenses
  • Annexure 28 :: Selling Expenses
  • Annexure 29 :: Depreciation Charges - as per Books (Total)
  • Annexure 30 :: Depreciation Charges - as per Books (P & M)
  • Annexure 31 :: Depreciation Charges - As per IT Act WDV (Total)
  • Annexure 32 :: Depreciation Charges - As per IT Act WDV (P & M)
  • Annexure 33 :: Interest and Repayment - Term Loans
  • Annexure 34 :: Tax on Profits
  • Annexure 35 :: Projected Pay-Back Period And IRR


 

ABOUT NPCS

 

NIIR PROJECT CONSULTANCY SERVICES (NPCS) is a reliable name in the industrial world for offering integrated technical consultancy services. NPCS is manned by engineers, planners, specialists, financial experts, economic analysts and design specialists with extensive experience in the related industries.

Our various services are: Detailed Project Report,  Business Plan for Manufacturing Plant, Start-up Ideas, Business Ideas for Entrepreneurs, Start up Business Opportunities, entrepreneurship projects, Successful Business Plan, Industry Trends, Market Research, Manufacturing Process, Machinery, Raw Materials, project report, Cost and Revenue, Pre-feasibility study for Profitable Manufacturing Business, Project Identification, Project Feasibility and Market Study, Identification of Profitable Industrial Project Opportunities, Business Opportunities, Investment Opportunities for Most Profitable Business in India, Manufacturing Business Ideas, Preparation of Project Profile, Pre-Investment and Pre-Feasibility Study, Market Research Study, Preparation of Techno-Economic Feasibility Report, Identification and Section of Plant, Process, Equipment, General Guidance, Startup Help, Technical and Commercial Counseling for setting up new industrial project and Most Profitable Small Scale Business.

NPCS also publishes varies process technology, technical, reference, self employment and startup books, directory, business and industry database, bankable detailed project report, market research report on various industries, small scale industry and profit making business. Besides being used by manufacturers, industrialists and entrepreneurs, our publications are also used by professionals including project engineers, information services bureau, consultants and project consultancy firms as one of the input in their research.

Our Detailed Project report aims at providing all the critical data required by any entrepreneur vying to venture into Project. While expanding a current business or while venturing into new business, entrepreneurs are often faced with the dilemma of zeroing in on a suitable product/line.

 


And before diversifying/venturing into any product, wish to study the following aspects of the identified product:


• Good Present/Future Demand
• Export-Import Market Potential
• Raw Material & Manpower Availability
• Project Costs and Payback Period


We at NPCS, through our reliable expertise in the project consultancy and market research field, Provides exhaustive information about the project, which satisfies all the above mentioned requirements and has high growth potential in the markets. And through our report we aim to help you make sound and informed business decision.

 

The report contains all the data which will help an entrepreneur find answers to questions like:

• Why I should invest in this project?
• What will drive the growth of the product?
• What are the costs involved?
• What will be the market potential?


The report first focuses on enhancing the basic knowledge of the entrepreneur about the main product, by elucidating details like product definition, its uses and applications, industry segmentation as well as an overall overview of the industry sector in India. The report then helps an entrepreneur identify the target customer group of its product. It further helps in making sound investment decision by listing and then elaborating on factors that will contribute to the growth of product consumption in India and also talks about the foreign trade of the product along with the list of top importing and top exporting countries. Report includes graphical representation and forecasts of key data discussed in the above mentioned segment. It further explicates the growth potential of the product.

The report includes other market data like key players in the Industry segment along with their contact information and recent developments. It includes crucial information like raw material requirements, list of machinery and manufacturing process for the plant. Core project financials like plant capacity, costs involved in setting up of project, working capital requirements, projected revenue and profit are further listed in the report.


Reasons for buying the report:

• This report helps you to identify a profitable project for investing or diversifying into by throwing light to crucial areas like industry size, demand of the product and reasons for investing in the product.

• This report provides vital information on the product like its definition, characteristics and segmentation.

• This report helps you market and place the product correctly by identifying the target customer group of the product.

• This report helps you understand the viability of the project by disclosing details like raw materials required, manufacturing process, project costs and snapshot of other project financials.

• The report provides forecasts of key parameters which helps to anticipate the industry performance and make sound business decision.

 

Our Approach:


• Our research reports broadly cover Indian markets, present analysis, outlook and forecast.

• The market forecasts are developed on the basis of secondary research and are cross-validated through interactions with the industry players. 

• We use reliable sources of information and databases.  And information from such sources is processed by us and included in the report.

 

Our Market Survey cum Detailed Techno Economic Feasibility Report Contains following information:

 

 

Ø  Introduction

·         Project Introduction

·         Project Objective and Strategy

·         Concise History of the Product

·         Properties

·         BIS (Bureau of Indian Standards) Provision & Specification

·         Uses & Applications

 

Ø  Market Study and Assessment

·         Current Indian Market Scenario

·         Present Market Demand and Supply

·         Estimated Future Market Demand and Forecast

·         Statistics of Import & Export

·         Names & Addresses of Existing Units (Present Players)

·         Market Opportunity

 

Ø  Raw Material

·         List of Raw Materials

·         Properties of Raw Materials

·         Prescribed Quality of Raw Materials

·         List of Suppliers and Manufacturers

 

Ø  Personnel (Manpower) Requirements

·         Requirement of Staff & Labor (Skilled and Unskilled) Managerial, Technical, Office Staff and Marketing Personnel

 

Ø  Plant and Machinery

·         List of Plant & Machinery

·         Miscellaneous Items

·         Appliances & Equipments

·         Laboratory Equipments & Accessories

·         Electrification

·         Electric Load & Water

·         Maintenance Cost

·         Sources of Plant & Machinery (Suppliers and Manufacturers)

 

Ø  Manufacturing Process and Formulations

·         Detailed Process of Manufacture with Formulation

·         Packaging Required

·         Process Flow Sheet Diagram

 

Ø  Infrastructure and Utilities

·         Project Location

·         Requirement of Land Area

·         Rates of the Land

·         Built Up Area

·         Construction Schedule

·         Plant Layout and Requirement of Utilities

 

Project at a Glance

Along with financial details as under:

 

  •     Assumptions for Profitability workings

  •    Plant Economics

  •    Production Schedule

  •    Land & Building

            Factory Land & Building

            Site Development Expenses

  •    Plant & Machinery

             Indigenous Machineries

            Other Machineries (Miscellaneous, Laboratory etc.)

  •    Other Fixed Assets

            Furniture & Fixtures

            Pre-operative and Preliminary Expenses

            Technical Knowhow

            Provision of Contingencies

  •   Working Capital Requirement Per Month

             Raw Material

            Packing Material

            Lab & ETP Chemical Cost

           Consumable Store

  •   Overheads Required Per Month And Per Annum

         Utilities & Overheads (Power, Water and Fuel Expenses etc.)

             Royalty and Other Charges

            Selling and Distribution Expenses

  •    Salary and Wages

  •    Turnover Per Annum

  •   Share Capital

            Equity Capital

            Preference Share Capital

 

  •    Annexure 1:: Cost of Project and Means of Finance

  •    Annexure 2::  Profitability and Net Cash Accruals

                Revenue/Income/Realisation

                Expenses/Cost of Products/Services/Items

                Gross Profit

                Financial Charges     

                Total Cost of Sales

                Net Profit After Taxes

                Net Cash Accruals

  •   Annexure 3 :: Assessment of Working Capital requirements

                Current Assets

                Gross Working. Capital

                Current Liabilities

                Net Working Capital

                Working Note for Calculation of Work-in-process

  •    Annexure 4 :: Sources and Disposition of Funds

  •    Annexure 5 :: Projected Balance Sheets

                ROI (Average of Fixed Assets)

                RONW (Average of Share Capital)

                ROI (Average of Total Assets)

  •    Annexure 6 :: Profitability ratios

                D.S.C.R

                Earnings Per Share (EPS)

               

             Debt Equity Ratio

   •     Annexure 7   :: Break-Even Analysis

                Variable Cost & Expenses

                Semi-Var./Semi-Fixed Exp.

                Profit Volume Ratio (PVR)

                Fixed Expenses / Cost 

                B.E.P

  •   Annexure 8 to 11:: Sensitivity Analysis-Price/Volume

            Resultant N.P.B.T

            Resultant D.S.C.R

   Resultant PV Ratio

   Resultant DER

  Resultant ROI

          Resultant BEP

  •    Annexure 12 :: Shareholding Pattern and Stake Status

        Equity Capital

        Preference Share Capital

  •   Annexure 13 :: Quantitative Details-Output/Sales/Stocks

        Determined Capacity P.A of Products/Services

        Achievable Efficiency/Yield % of Products/Services/Items 

        Net Usable Load/Capacity of Products/Services/Items   

       Expected Sales/ Revenue/ Income of Products/ Services/ Items   

  •    Annexure 14 :: Product wise domestic Sales Realisation

  •    Annexure 15 :: Total Raw Material Cost

  •    Annexure 16 :: Raw Material Cost per unit

  •    Annexure 17 :: Total Lab & ETP Chemical Cost

  •    Annexure 18  :: Consumables, Store etc.,

  •    Annexure 19  :: Packing Material Cost

  •    Annexure 20  :: Packing Material Cost Per Unit

  •    Annexure 21 :: Employees Expenses

  •    Annexure 22 :: Fuel Expenses

  •    Annexure 23 :: Power/Electricity Expenses

  •    Annexure 24 :: Royalty & Other Charges

  •    Annexure 25 :: Repairs & Maintenance Exp.

  •    Annexure 26 :: Other Mfg. Expenses

  •    Annexure 27 :: Administration Expenses

  •    Annexure 28 :: Selling Expenses

  •    Annexure 29 :: Depreciation Charges – as per Books (Total)

  •   Annexure 30   :: Depreciation Charges – as per Books (P & M)

  •   Annexure 31   :: Depreciation Charges - As per IT Act WDV (Total)

  •   Annexure 32   :: Depreciation Charges - As per IT Act WDV (P & M)

  •   Annexure 33   :: Interest and Repayment - Term Loans

  •   Annexure 34   :: Tax on Profits

  •   Annexure 35   ::Projected Pay-Back Period And IRR