The company is expanding its operative production capacity for manufacturing aluminium foils from 1800MT to 3500MT by installing balancing equipments and modernisation of the plant at the existing site at Pipalia Kalan in Distt Pali, Rajasthan.
Though the company has an installed capacity of 5000MT p.a., the operative capacity is restricted to 1800MT p.a. on account of various reasons, such as, mismatched capacity, ageing of plant, power tripping, inadequate capacity of complementary machinery, higher scrap generation and higher power consumption. To overcome these problems the company has embarked upon an expansion cum modernisation project which will technologically upgrade the existing plant and enhance the operative capacity by installing balancing equipments, thereby raising the operative capacity to 3000 Mt p.a.The advantage that will accrue on account of the expansion cum modernisation plan include increase in operative production capacity, improved quality of finished goods and product mix, reduction in scrap generation and power consumption.
As the Company is a running unit, the benefit from the proposed modernisation cum expansion programme is likely to accrue gradually during the course of implementation of the project.
SWOT Analysis The major strengths of the proposed project of the company are expansion of existing capacity at low capital cost, change in product mix with a greater proportion of high value added foils, virtually no gestation period as the process of expansion and modernisation is