1. Product Description: Ruled papers both in horizontal and squared forms are used extensively through out the country. The purpose of this project idea is to manufacture ruled and squared foolscap papers by using a ruling machine with flexography printing process for use in schools, offices, shops and similar establishments. Ruled and squared papers are produced by ruling both sides of a sheet of paper and cut to a standard size. The product is mostly supplied in a packet containing 240 sheets (1.65 kgs.)
2. Rationale: All paper producing factories are located in Addis Ababa. Like so many other industrial products, the Amhara Region receives its paper supplies from Addis Ababa- paying unnecessary transport costs which results in higher prices paid by consumers in the Region. Most of the paper produced in the country is made from imported pulp; and ruling paper is a simple mechanical operations which can be done in any city. In the long run the Amhara Region must find its way to produce its paper consumption either from regional resources and/ or from imported inputs in any Region. In the short run, the Region should rule the paper it uses; and for this it needs to establish a paper ruling plant.
3. Market Potential:- More than 80 percent of the paper used in the Amhara Region is ruled paper. The 2.3 million elementary and secondary students in the Region use ruled paper. On the average, one student consumes about one kg of ruled paper in a year. Consumption by 2.3 million students is about 23000 quintals of ruled paper. Consumption by the general population could not be less than consumption by students. So total annual consumption could be 46000 quintals. This market size will make a paper ruling plant viable.
4. Source of Raw Material:- Plain paper is the raw material. At the country level plain paper is partly imported and partly locally produced. The Amhara Region will import its plain paper needs partly from Addis Ababa and partly from abroad.
5. Production Process & Technology:- The most common process is a reel to sheet printing technique using a flexographic process which allows both sides of the paper to be printed (ruled) at the same time when the paper passes through two ruling heads which are covered with engraved rubber cylinders. The printed paper is then cut at the required lengths. Finally the sheets are packed.
6. Estimated Investment:
§ Machinery & Equipment 770,000
§ Buildings 450,000
§ Equipment 400,000
1,620,000
7. Benefits: saves financial resources for the Region, strengthens, self-sufficiency, enhances the prospect of producing paper in the Region.
8. Location: Bahir Dar