1. Product Description: Mattresses and pillows are basic consumer goods in all urban centers. Even “well-to do” farmers in rural areas have started using mattresses and pillows. Mattresses are basically made using three main raw materials- spring and cotton, cotton only and sponge. Some low quality mattresses are made from by-products of garment making industries and also from straws.
2. Rationale: Mainly due to low income, practically all rural families do not use mattresses and pillows. Anybody who is familiar about rural life is aware how rural people live. Even in the urban areas, people use mattresses and pillows mostly made from rags and waste cotton. For those who use mattresses and pillows made from spring and cotton and sponge, these mattresses are imported from Addis Ababa. Making mattresses and pillows requires simple operations and simple production machines. Provided that the market justifies the establishment of a mattress and pillow making plant, there is no reason why these products can not be produced in the Region.
3. Market Potential: In 2005, the urban population of the Amhara Region was estimated to be about 2.2 million. With five person’s per-family, there were 440,000 urban families in the Region. If we assume that at least two mattresses and four pillows are required by each family, total requirement of mattresses and pillows in the urban areas of the Region are 880,000 and 1,760,000 respectively. If we assume that at least 10 percent of the rural population will use mattresses and pillows, total requirement of these products will be 677,000 mattresses and 1,354,000 pillows (ten percent of the rural population of the region is about 1.7 million). Combined requirement of mattresses and pillows is 1,557,000 mattresses and 3,114,000 pillows. If only 10 percent of the products are replaced every year, annual requirement will be 155,700 mattresses and 311,400 pillows. The proposed plant will concentrate on the production of spring and sponge mattresses and pillows. Mattresses to be made from waste cotton, rags and straw will be left to the cottage industry.
4. Source of Raw Material: The main raw materials are springs, cotton and fabrics or fabrics and sponge. Cotton fabrics and sponge can be obtained from domestic factories. The spring has to be imported.
5. Process and Technology: Production process involves the cutting of cloth casings, preparation of the springs, or cutting the sponge, stitching, cleaning of in-fill or stuffing the in-fills then quilting and tufting of the stuffed mattresses at intervals according to desired patterns. Only stitching and preparation of the springs require mechanical work; the rest could be performed manually. Major machinery required include cutting machine, stuffing or in-fill mixing machine, sewing machine, stuffing pressing equipment, accessories and hand tools.
6. Estimated Investment: For a plant which will produce 10,000 mattresses and 40,000 pillows, the estimated investment will be
n Building 200 m2 at Birr 1500/m2……. .= Birr 300,000
n Plant and machinery …………………= Birr 125,000
n Working Capital …………………….= Birr 75,000
Total ………….= Birr 500,000
7. Benefits: Self–sufficiency in these particular industrial products, additional demand for the Region’s lint cotton and cotton fabrics, introduction of new skills, saving of regional financial resources.
8. Location: Bahir Dar, Combolcha, Gondar.