1. Product Description:- Chalk sticks are used in all schools and colleges everywhere. They have an indispensable role in the teaching and learning process being the medium through which the knowledge of the teacher is transferred to the students.
2. Rationale:- In the Amhara Region there were 3,509 schools, 2.2 million students and about 34,000 teachers in 2004. Annual consumption of chalk sticks could be as high 8.5 million sticks. All these chalk sticks is bought in Addis Ababa and transported to the Amhara Region. May be the transport cost is one quarter of the price of the chalk stick. Chalk sticks are made mainly from gypsum which is found in the Region. There is every economic reason for producing chalk sticks in the Region. The Region has enough market to absorb the production of a chalk stick producing plant.
3. Market Potential:- The consumption of chalk sticks will increase as the number of students and schools increase. The annual consumption of about 8.5 million sticks of chalk will justify the establishment of a viable chalk stick making plant.
4. Source of Raw Material:- The main raw material for chalk sticks is plaster of Paris or calcium soleplate hemi-hydrate which is obtained by calcing gypsum. Gypsum is found in many parts of the Region in abundant quantity.
5. Production Process & Technology:- The main stages of preparing chalk sticks are: preparation of plaster of Paris powder, preparation of moulds, formulation of chalk mixture, filling of moulds, drying of moulded sticks and packaging. Main machineries include mortar pan, aluminum molds, raw jaw crusher, furnace, boiler, baking oven storage tanks.
6. Estimated Investment:- Required building area is 50m2 whose construction cost will be Birr 30,000. Machinery will be about Birr 100,000= Total Investment 130,000 for production capacity of 25000 chalk sticks or 250 boxes per day.
7. Benefit:- Self sufficiency, utilization of the Region’s natural resource.
8. Location:- Any urban center in the Region located near the location of the main raw material.