PRODUCT DESCRIPTION AND APPLICATION
Bed cover is a fabric worn on the bed over the blanket and sheet is used on the bed inside a blanket. Table linen on the other hand is used to cover a table.
They have higher demand especially by the urban population. Current demand is met through local production and import.
The product can be made from cotton, blends of cotton and man - made fiber and all nylon.
MARKET STUDY
Thus current effective demand is estimated at 1,718,303 kg.
RAW & AUXILIARY MATERIALS
The major raw material required for the production of the items indicated above are dyed cotton fabrics, nylon fabrics and sewing thread of various colors.
The textile industries operational in different parts of Ethiopia can be used as sources of raw materials. These include Akaki Textile Factory, Kombolcha Textile Factory, Bahir Dar Textile Factory, Dire Dawa Textile Factory etc. Packing materials can be procured from Wonji Pulp and Paper Factory. Ethio—Japan Nylon Factory is a source of nylon fabrics.
TECHNOLOGY
The production of bed sheets, bed covers and table linen involves such activities like cutting, sewing, pattern making, designing, dyeing and packing. These activities are simple and can be mastered in very short time. The production of bed covers, bed sheets and table linen does not have any negative impact on environment.
INVESTEMENT
The total investment requirement is estimated at Birr 7.32 million, out of which Birr 1.62 million is required for plant and machinery. The plant will create employment opportunities for 41 persons.
The project is financially viable with an internal rate of return (IRR) of 27.10% and a net present value (NPV) of Birr 5.47 million ,discounted at 8.5 %.