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“A PROJECT FEASIBILITY REPORT” ON

HAND SANITIZER (ALCOHOL BASED)

A project submitted in partial fulfillment of the requirements


for the award of the Degree of

BACHELOR OF BUSINESS ADMINISTRATION

BY
DECLARATION CERTIFICATE

This is to certify that the work presented in the project entitled


“HAND SANITIZER (ALCOHOL BASED)” in partial
fulfillment of the requirement for the award of Degree of Bachelor
of Business Administration of Birla Institute of Technology Mesra,
Ranchi is an authentic work carried out under my supervision and
guidance.

To the best of my knowledge, the content of this project does not


form a basis for the award of any previous Degree to anyone else.

DATE

Department of Management

Head

Dept. of Management
CERTIFICATE APPROVAL
The foregoing project entitled “HAND SANITIZER (ALCOHOL
BASED), is hereby approved as a creditable study of research
topic and has been presented in satisfactory manner to warrant its
acceptance as prerequisite to the degree for which it has been
submitted.

It is understood that by this approval, the undersigned do not


necessarily endorse any conclusion drawn or opinion expressed
therein, but approve the project for the purpose for which it is
submitted.

(Internal Examiner) (External Examiner)

(Director)
ACKNOLEDGEMENT
We take this opportunity to express our profound gratitude and deep
regards to our guide Dr anm for her exemplary guidance, monitoring
and constant encouragement throughout the course of PFR. The
blessing, help and guidance given by her time to time shall carry us a
long way in the journey of life on which we would like to embark. 

We are obliged and grateful for their cooperation during the period of
our assignment. 
INDEX
Summary…………………………………………………………

Chapter 1 INTRODUCTION………………………………1-5
1.1 Objective of project...................................................................1

1.2 Rationale & Scope of project…………………………………………………1-2

1.3 Review of Industries related to the product…………………………2-5

Chapter 2 TECHNICAL ASPECT………………………6-12


2.1 Description of product………………………………………………………6

2.2 Product specification……………………………………………………….6

2.3 Properties of product………………………………………………………7

2.4 Uses of product…………………………………………………………………7

2.5 Manufacturing process…………………………………………………7-8

2.6 Hand Sanitizer Production Unit Setup & Machinery……8

2.7 Product Technology……………………………………………………8-11

2.8 Quality & Specification Requirement………………………11

2.9 Product Requirement (Per Anum) …………………………….12

2.10 Power Required…………………………………………………………….12

Chapter 3 MARKET FEASIBILITY……………………13-17


3.1 Introduction..............................................................14-15

3.2 Market Dynamics..........................................................15

3.3 Market Opportunity..................................................15

3.4 Market Restraint.......................................................15

3.4 Implementation Schedule.........................................16-17

3.4 Basis and Presumption.................................................17

3.5 Market Segmentation....................................................17

Chapter 4 FINANCIAL FEASIBILITY...........................18-21


4.1 Fixed Capital (Land, Machinery, Equipment Tools & Non-
recurring Expenditure) ………………………………………………………………….18

4.2 Working Capital (Staff & Labor Salary, Raw material per month,
Advertisement, Rent etc.……………………………………………………………18-19

4.3 Statement of total Project


cost……………………………………...............................................………….19

4.4 Initial Capital Requirement…………………………………………………19-20

4.5 Cost of production Per annum ……………………..............................20


4.6 Income Statement………………………………………………………………20-21
4.7 Assumption (Collection Period of sale, Inventory Levels, Payment
period of Purchase and expenses, administrative & financial expenses)
…………………………………………………………………………………..20-21

4.8 Financial Analysis (Showing return on investment, Break even


volume and Price analysis) …………………………………………………………21
CONCLUSION…………………………………………………
….22
BIBLIOGRAPHY……………………………………………....
......23

SUMMARY
The outbreak of Novel corona-virus has overwhelmed health systems, created economic
turmoil, and disrupted supply chains around the world. One of the earliest and most severe
supply chain disruptions occurred in alcohol-based hand sanitizer, a critical resource in
combating the spread of corona viruses. Waterless alcohol-based hand sanitizers are an
increasingly popular method of hand hygiene and help prevent hospital-acquired infection
(HAI). Whether hand sanitizer dispensers (HSDs) may themselves harbor pathogens or act as
omits has not been reported. All HSDs in the surgical intensive care unit of an urban teaching
hospital were cultured at three sites: The dispenser lever, the rear underside, and the area
surrounding the dispensing nozzle.
The hand sanitizers available in the market are both alcohol based and non-alcohol. The
alcohol-based hand sanitizer claims to kills 99.99% microorganisms including the most
resistant form. The alcohol-free hand sanitizer viz. povidone-iodine, benzalkonium chloride
or triclosan have persistent antimicrobial activity for a prolonged period and claim to be
effective in killing microorganism. 
The hand sanitizers available in the market are both alcohol based and non-alcohol. The
alcohol-based hand sanitizer claims to kills 99.99% microorganisms including the most
resistant form. The alcohol-free hand sanitizer viz. povidone-iodine, benzalkonium chloride
or triclosan have persistent antimicrobial activity for a prolonged period and claim to be
effective in killing microorganism. The report further studies the key players and
manufacturers in the India.
WHEN TO USE:

HOW TO USE:
CHAPTER-1
INTRODUCTION
Germs are everywhere in the atmosphere. We live amongst the presence of various kinds of
Virus and bacteria. They can get onto hands and items we touch during daily activities and
make us sick. Cleaning hands at key times with soap and water or hand sanitizer that
contains at least 60% alcohol is one of the most important steps you can take to avoid
getting sick and spreading germs to those around you. Presently the breakout of Covid-19
virus throughout the world has made us more conscious about the utility of using hand
sanitizer.

Hand sanitizer is an alternative to hand washing with soap and water. It can be made in
different form such as gel, foam, and liquid solution (sprays). The base of all hand sanitizers
is alcohol. The alcohol used may be isopropyl alcohol (Isopropanol), ethanol-propane or
povidone-iodine. Alcohol based hand sanitizer are more effective in killing microorganisms.
(Hand hygiene, 2006) An alcohol is any organic compound in which the hydroxyl functional
group (OH) is bound to a saturated carbon atom. The primary alcohol usually forms the base
of hand sanitizer which is about 60%. Hand sanitizers effectiveness starts with its formula.
The base of all hand sanitizers is alcohol, added to vitamin E, aloe-Vera (or another softening
ingredient), and glycerin.

The essential, and germ-killing ingredient in hand sanitizers is the alcohol, and the minimum
amount one needs for a sanitizer is60%. The process of germ killing starts by removing the
oil on the skin, the bacteria present in the body from coming to the surface. Then the
alcohol kills the bacterial once rubbed over the hands. Hand sanitizers is clearly effective
against gastrointestinal and, to a less erecting, respiratory infections. Alcohol rubs also helps,
to kill many kinds of bacteria and TB bacteria. Medicinal plants are plants used in the
management of many ailments and as such their applications are numerous. Examples
include turmeric which contains main bioactive compound cur cumin; it has power anti-
inflammatory effects and is an extraordinarily strong anti-oxidant. The aim of this study is to
produce hand sanitizers from locally grown medicinal plants. CDC recommends washing
hands with soap and water whenever possible because hand washing reduces the amounts
of all types of germs and chemicals on hands. But if soap and water are not available, using a
hand sanitizer with at least 60% alcohol can help to avoid getting sick and spreading germs
to others. The guidance for effective hand washing and use of hand sanitizer in community
settings was developed based on data from several studies. Alcohol-based hand sanitizers
can quickly reduce the number of microbes on hands in some situations, but sanitizers do
not eliminate all types of germs.
Objective of Product:

 Remove or destroy potentially harmful micro-organisms,


 Prevent the hands in becoming a vector of cross infection,
 Render the hands socially clean to continue the delivery of health care,
 Protect from harmful disease like covid-19,
 To enhance the hygiene levels in our community.

Objective of Project:

 To spread awareness
 To earn profit.

Rationale and Scope of project:

A word of warning

Hand sanitizer recipes, including the one below, are intended for use by
Professionals with the necessary expertise and resources for safe creation and
proper utilization. Hand sanitizers should be used in extreme situations when hand
washing is not available for the near future. Hand sanitizers should not be used on
children’s skin as they may be more prone to use them improperly, leading to a
greater risk of injury.

Hand washing vs. Hand sanitizer

There are significant differences between washing hands with soap and water and
using hand sanitizer. Soap and water work to remove all types of germs from hands,
while sanitizer acts by killing certain germs on the skin. Alcohol-based hand
sanitizers can quickly reduce the number of germs in many situations; they should
be used in the right situations.
Knowing when it is best to wash your hands, and when hand sanitizers can be
helpful, is key to protecting yourself from the new corona virus as well as other
illnesses, like the common cold and seasonal flu. While both serve a purpose,
washing your hands with soap and water should always be a priority, according to
the CDC. Only use hand sanitizer if soap and water is not available in each situation.
It is also important to always wash your hands:
1. After going to the bathroom
2. After blowing your nose, coughing, or sneezing
3. Before eating,
4. After touching surfaces that could be contaminated
The Centers for Disease Control and Prevention (CDC) lists specific instructions Trusted
Source on the most effective way to wash your hands. They recommend the following steps:

1. Always use clean, running water. (It can be warm or cold).


2. Wet your hands first, then turn the water off, and lather your hands with soap.
3. Rub your hands together with the soap for at least 20 seconds. Make sure to
scrub the back of your hands, between your fingers and under your nails.
4. Turn the water on and rinse your hands. Use a clean towel or air dry.

Scope: -

Hand sanitizers have an advantage over conventional hand washing products as they can be
applied directly without water. Also, renowned manufacturing companies such as Henkel
Corporation, Unilever, and Procter and Gamble have been offering hand sanitizers in
convenient packaging’s such as sachet and mini bottles, which can easily be carried in a bag
or a pocket by the consumers. According to findings, there is a preference for using hand
sanitizer by 77.0% of the population covered in a survey, while 23.0% claim not to use the
product. The 77.0% population in the favor of using hand sanitizer is comprised of 37.5%
male users and 62.5% of female users. Moreover, key manufacturers are adding to their
product line to increase their market share with increasing awareness. For instance, as per
findings, 62.0% of the population surveyed in 2017 claims to use Dettol hand sanitizer, 21.0%
use Lifebuoy hand sanitizer, and 17.0% use Himalaya hand sanitizer.

Reviewing industries related to the product: -

P&G
Since January, we have mobilized teams to provide the capability to manufacture and
distribute hand sanitizer in five plants around the globe. Perfumers in Europe used their
chemical management expertise to develop and create their own Surface Sanitizer. Within
three days, a multi-functional team assembled to develop, test, and produce hand sanitizer
with great agility. These experts shared their learning with manufacturing facilities leaders to
scale our production capabilities.

Currently, we are producing Surface Sanitizer in 55-gallon utility drums for distribution to
relief organizations; we are providing Safeguard Hand Sanitizer as a consumer-sized product
for hospitals, health authorities and for use at our own facilities. Soon, our manufacturing
capacity will expand to five additional locations across the globe the globe and plan for a
capacity and plan for a capacity of 45,000 liters (about half the volume of a one car garage)
per week when fully operational.
Also, the Power of Clean Water-In a world where a billion people struggle with access to
clean drinking water and sanitary, our Children's Safe Drinking Water (CSDW) Program
provides clean water to those in need. Our P&G Purifier of Water packets act as a water
treatment plant - all in a 4-gram packet. Each P&G water purification packet treats 10 liters
of water and kills bacteria and viruses and removes parasites and solid materials. In just 30
minutes, a family of five can have clean drinking water for an entire day. In 2020, with the
help from our more than 150 global partners, we delivered our 17 billionth liter of clean
water on our way to our goal of 25 billion liters by 2025.

HINDUSTAN UNILEVER
Lifebuoy Antibacterial Hand Sanitizer has over 60% alcohol content and gives you instant
germ protection. Lifebuoy Antibacterial Hand Sanitizer kills 99.9% bacteria and virus without
water

Lifebuoy Antibacterial Hand Sanitizer has Glycerin; it leaves your skin feeling moisturized

Apply enough Hand sanitizer gel on your palm. Spread and rub over the back of your hands
thoroughly and fingertips until completely dry before touching other surfaces

Lifebuoy Antibacterial Hand Sanitizer also comes in a convenient easy to carry pack that
helps protect you when out of home. Make Lifebuoy hand sanitizer your new 24-hour
companion in school, at home, work place, metros, market, and gyms.

Lemon Fresh- Washing hands with soap or hand wash instead of washing hands with only
plain water is recommended. This can help protect you and your families from ingesting
infection causing germs that are sitting on your hands.

Nature fresh- Lifebuoy Nature Hand wash with the goodness of green tea extract helps
thoroughly cleanse hands while giving you germ protection. Lifebuoy Nature Hand wash
with the goodness of green tea extract helps thoroughly cleanse hands while giving you
germ protection.

DETTOL
Dettol Hand Sanitizer kills 99.9% of germs instantly, without water. Use anytime, anywhere:
while in car, office, handbag, picnics, nappy change, travel, sports etc. Leaves your hands
refreshed. Use as often as required. Fueled by our passion to do more and backed by our
expertise in germ Protection, Dettol hygiene products are designed to help you protect your
family from harmful germs that can cause illness.
SAVLON
Savlon is highly effective against common household germs. Its range of products protects
you from 1 million Germs.

As opposed to other antiseptics, savlon's unique formula offers protection against a wide
variety of bacteria including gram positive germs while being gentle on skin. With neutral Ph
ratings and low alcohol content, savlon antiseptics act without burning or hurting your skin.
Doctor’s most trusted.

With Savlon Antiseptic Liquid being our first product, today Savlon offers much more than
just that. All-new soaps and liquid hand washes offer you strong, but gentle protection on all
fronts. Starting out with Antiseptic Liquid, Savlon has gained repute for effectiveness in germ
protection and its gentle action on skin

GODREJ
Instant hand sanitizer- use to sanitize your hands after you touch doors, doorbells,
doorknobs, door handles, or even pets. Contains more than 60% alcohol, as per the
recommendations of WHO. Leaves your hands feeling fresh, clean, and soft. Kills 99.9%
germs, tested on selected lab organisms.

Mr. Magic hand wash - powder to liquid format first, in the world of hand washes.
With neem
This is tough on germs.
Extremely affordable!
Compared to other hand washes in the market.
Over? Refill!!
Get a refill worth Rs.15 and make a full bottle of hand wash, all over again.

Disinfectant Surface Wipes


Disinfects surfaces at home and on the go
Disinfects sofas, chairs, tables, car seats, arm rests, luggage handles, door handles,
benches and more. It is anti-bacterial and helps keep surfaces cleaner and safer , kills
99.9% germs.
SCOTT EDIL since 1996
WHO approved formula?

Contains alcohol 80%v/v, ethanol 70% v/v, and Aloe-Vera gel. Leaves your hands
feeling fresh, clean, and soft. Kills 99.9% germs, tested on selected lab organisms. Use
as often as required. Fueled by our passion to do more and backed by our expertise in germ
protection, hygiene products are designed to help you protect your family from harmful
germs that can cause illness. Pure and safe, kills 99.99% germs without water. Disinfectant
Surface Wipes

Its bacteria and virus-repellant and helps keep surfaces cleaner and safer .
CHAPTER- 2
TECHNICAL
FEASIBILITY
Description of product: -
Hand sanitizer, also called hand antiseptic or hand rub, agent applied to the hands for the
purpose of removing disease-causing organisms. Hand hygiene is one of the most important
measures to prevent the spread of infectious diseases. Hand sanitizer use is recommended
when soap and water are not available for hand washing or when repeated hand washing
compromises the natural skin barrier. Although the effectiveness of hand sanitizer is
variable, it is employed as a simple means of infection control in wider areas such as daycare
centers, schools, hospitals, health care clinics and super markets. As a result of rising
awareness about hand hygiene and its benefits, there has been a constant increase in
demand of hand sanitizers. Hand sanitizers typically come in foam, gel, or liquid form. This
project profile envisages manufacturing of alcohol based liquid hand sanitizer.

Depending on the active ingredient used, hand sanitizers can be classified into two types:
alcohol-based or alcohol-free. Alcohol-based products typically contain between 60 and 95
percent alcohol, usually in the form of ethanol, Isopropanol. At those concentrations,
alcohol immediately denatures proteins, effectively neutralizing certain types of
microorganisms. Alcohol-free products are based on disinfectants, such as benzalkonium
chloride (BAC), or on antimicrobial agents, such as triclosan. The activity of disinfectants and
antimicrobial agents is both immediate and persistent. Many hand sanitizers also contain
emollients (e.g., glycerin) that soothe the skin, thickening agents, and fragrance.

Product specification: -

The active ingredient in this hand sanitizer recipe is the alcohol, which needs to comprise at
least 70% of the product to be an effective disinfectant. The recipe calls for 99% isopropyl
alcohol (rubbing alcohol) or ethanol (grain alcohol, most commonly available at 90%-99%).
Please do not use any other types of alcohol (e.g., methanol, butanol), as they are toxic.
Also, if you use a product that contains a lower percentage of alcohol (e.g., 70% alcohol)
then you need to increase the amount of alcohol in the recipe or it will not be as effective.

Making hand sanitizer is easy to do and only requires a few ingredients: - Isopropyl or
rubbing alcohol (99 percent alcohol volume); aloe Vera gel/ Glycerin; an essential oil such as
tea tree oil or lavender oil, or you can use lemon juice instead. In addition to adding
fragrance to your hand sanitizer, the essential oil you choose may also help protect you
against germs. For example, thyme and clove oil have antimicrobial properties. If you are
using antimicrobial oils, only use a drop or two, since these oils tend to be immensely
powerful and might irritate your skin. Other oils, such as lavender or chamomile, may help
soothe your skin. Tea tree oil is antimicrobial. A couple of drops may be added to the recipe,
but it is important to note many people are sensitive to this oil, even when it is diluted.

Properties of product: -
75 % of the total batch volume of isopropyl or rubbing alcohol (99 percent) 22 % of aloe Vera
gel / Glycerin (to help keep your hands smooth and to counteract the harshness of alcohol).
3 % of Hydrogen per oxide.10 drops of essential oil, such as lavender oil, or you can use
lemon juice instead. Synthetic essential oil also can be used for commercial purpose.

The key to making an effective, germ-busting hand sanitizer is to stick to a 3:1 proportion of
alcohol to Glycerin. This keeps the alcohol content around 60 percent. This is the minimum
amount needed to kill most germs, according to the CDC Trusted Source. The base of all
hand sanitizers is alcohol, added to vitamin E, aloe Vera (or another softening ingredient),
and glycerin. The essential, and germ-killing ingredient in hand sanitizers is the alcohol, and
the minimum amount one needs for a sanitizer is60%.

The low concentration of H2O2 is intended to help eliminate contaminating spores in the
bulk solutions and recipients and is not an active substance for hand antisepsis. However,
the use of 3–6% for the production might be complicated by its corrosive nature. Alcohol-
based hand sanitizers can quickly reduce the number of microbes on hands in some
situations, but sanitizers do not eliminate all types of germs.

Use of product: -
So, a particularly good market demand has been created in the recent situation. It has been
observed that all the virus and bacteria enter the human body through our hands. At work
place or when people travel into a different place, they can sanitize their hands easily with
the hand sanitizer and get Reid of many viruses and bacteria. For these reasons, the demand
of Hand Sanitizer has increased a lot in the recent time.
Use an alcohol-based hand sanitizer that contains at least 60% alcohol. Supervise young
children when they use hand sanitizer to prevent swallowing alcohol, especially in schools
and childcare facilities.

 Put enough sanitizer on your hands to cover all surfaces.


 Rub your hands together until they feel dry (this should take around 20 seconds).

Do NOT rinse or wipe off the hand sanitizer before it is dry; it may not work well against
germs.
 Hand sanitizers are used to kill most viruses, bacteria, microorganisms on the hands. One of
the most important steps you can take to avoid getting sick and spreading germs to those
around you. Alcohol has been used as an antiseptic. Use of alcohol-based hand gels dries
skin less, leaving more moisture in the epidermis, than hand washing with
antiseptic/antimicrobial soap and water.

Manufacturing process: -
The principal raw materials required to produce hand sanitizer are Ethanol or Isopropanol,
Glycerol, Hydrogen Peroxide, distilled water, and essential oil such as peppermint or
Lavender oil or lemon extract. Other oils, such as lavender or chamomile, may help soothe
your skin. Tea tree oil is antimicrobial. All the enlisted raw materials can be procured locally.
Directions for Preparation:
 Pour all ingredients into a container/Tank, ideally one with a pouring spout like a
glass measuring container.
 Mix with a Mixer and then beat with a whisk to turn the sanitizer into a gel.
 Pour the ingredients into an empty bottle for easy use, and label it “hand sanitizer.”

For a larger batch of hand sanitizer, the World Health Organization (WHO) Trusted Source
has a formula for a hand sanitizer that uses:
Isopropyl alcohol or ethanol, hydrogen peroxide, glycerol, sterile distilled or boiled chilly
water.

Hand sanitizer Production Unit Setup & Machinery: -


A right location for factory operation is an important aspect. Major required utilities are
water and electricity. Easy availability of transport facility and labor is also important. You
will need to have 2000 sq.ft of non-agricultural land for establishing an improved sanitizer
manufacturing unit. Here, you can erect a plant (1000 sq.ft) with a processing capacity of
240kiloliters/annum. Additionally, the land must come with proper elevation. Hand sanitizer
manufacturing plant machinery / equipment’s consists of the following:
1. Raw material / Alcohol Storage Vessel (Recommended only if you are planning to go for
generous size mfg. plant ex 500 liters (about twice the volume of a bathtub) and above).
2. Transfer Pump to transfer alcohol to manufacturing vessel.
3. Manufacturing/ mixing vessel.
4. Product storage vessel.
5. Transfer Pumps (2 no’s – One to transfer sanitizer from mfg. vessel to storage vessel and
one from storage vessel to filling machine).
6. Filling line consisting of filling machine, capping machine, labeling machine & ink jet
printer for batch coding.
7. Working platform, control panels, essential pipes, valves, and filters.
8. Weighing balance.

Production Technology: -

The first step in preparing hand sanitizer is to fix the batch size. In this project profile, it is
assumed that the production capacity to be installed is about 500 L with optimal working
volume of 400 L and all the financial workings presented in this report are based on raw
materials listed in Table 1.

Table 1: - Ethanol based Formulation:

Raw material 10 L capacity 50 L capacity 100 L capacity 400 L capacity 1000 L


capacity

Ethanol 8.3 L 41.7 L 83.3 L 333.3 L 833.3 L

Hydrogen 0.42 L 2.1 L 4.2 L 16.7 41.7 L


Peroxide

Glycerol 0.15 L 0. 7 L 1.5 L 5.8 L 14.5 L

Distilled water 1L 5.1 L 10.3 L 41 L 102.5 L

Essential oil for 0.08 L 0.4 L 0.8 L 3.2 L 8L


fragrance

Table 2: -Isopropanol based Formulation:


Raw material 10 L capacity 50 L capacity 100 L capacity 400 L capacity 1000 L capacity

Isopropanol 8.3 L 41.7 L 83.3 L 300.6 L 833.3 L

Hydrogen 0.42 L 2.1 L 4.2 L 16.7 L 41.7 L


Peroxide
Glycerol 0.15 L 0.7 L 1.5 L 5.8 L 14.5 L

Distilled water 1L 5.1 L 10.3 L 73.7 L 102.5 L

Essential oil for 0.08 L 0.4 L 0.8 L 3.2 L 8L


fragrance

1. In 500 L stainless steel jacketed vessels add 333.3 L of Ethanol. Using the jacket control,
temperature of the batch to be maintained at less than 20 °C.

2. Turn on the mechanical Stirrer. To this add 16.7 L hydrogen peroxide.

3. To the above solution add 5.8 L glycerol.

4. Add 41 L of distilled water and continue stirring for 30 minutes to ensure uniform mixing
by keeping the batch temperature at less than 20 °C throughout the process.

5. Finally add 3.2 L of essential oil (clove, Eucalyptus, peppermint, or citrus oil) for fragrance
and continue stirring for 30 minutes.

Alcohol storage tanks must be minimum 10 times the capacity of the manufacturing vessel
so that, at least 10 batches could be catered before refilling the alcohol storage tank. For
making sanitizer in gel form, add Carbopol which will thicken the sanitizer into gel form.
Permitted color & perfume may be added as required. The homogenizer will mix the
Carbopol into alcohol and water to give uniformity. Then once the sanitizer is ready transfer
it to storage vessel and take it for filling. For small quantity preparation, the tanks should be
calibrated for the ethanol/isopropyl alcohol volumes and for the final volumes of either 10
or 50 liters (about twice the volume of a toaster oven) and kindly ensure below containers
are used.

10-litre preparations: - Glass or plastic bottles with screw threaded stoppers can be used.
50-litre preparations: - Large plastic (preferably polypropylene, translucent enough to see
the liquid level) or stainless-steel tanks with an 80 to100 liter (about the volume of a mini
fridge) capacity should be used to allow for mixing without overflowing.

Quality & specification requirements: -

In general alcohol-based hand sanitizers has shelf life of 2years. However, if stored under
proper storage conditions, shelf life can be extended up to 3 years. For hand sanitizer
production, mentioning the shelf life on packets or labels is mandatory. The quality of
Alcohol to be used should be about 91-99 % purity. The entrepreneur may approach the
appropriate authorities of ‘Drugs & Cosmetics’ license department or ISI specification for
better marketing of the product. In establishing a hand sanitizer production unit, you will
need to obtain several different license and registration from different Government
authority.

1. UAM Registration (udyogaadhaar.gov.in).

2. Company Registration with ROC.

3. Trade License.

4. Factory License.

5. Drugs & Cosmetics License.

6. BIS Certification.

7. Fire License (easybusiness.tn.gov.in).

Production Capacity (per annum): -

The estimated production capacity per annum is as follows:

Item Quantity/annum Value (Rs Lakhs)


Hand Sanitizer 240 kiloliters 720 Lakhs

Power requirement: -

5 HP motor. Entrepreneur is advised to contact State Pollution Control Board for detailed
guidance directly.
CHAPTER- 3
MARKET FEASIBILITY

INTRODUCTION
The hand sanitizer market in India is being driven by the growing demand for cleanliness and
hygiene. Due to the COVID-19 outbreak, the market for hand sanitizer is exponentially
growing. It is expected to have a healthy growth over the forecast period of 2021-2026. The
market is further growing due to the emergence of innovative formats of hand sanitizer to
meet the urgent demand of the consumers. Several brands are designing hand sanitizer to
provide effective preventive hygiene across the nation. So, a particularly good market
demand has been created in the recent situation. It has been observed that all the virus and
bacteria enter the human body through our hands. At work place or when people travel into
a different place, they can sanitize their hands easily with the hand sanitizer and get Reid of
many viruses and bacteria. For these reasons, the demand of Hand Sanitizer has increased a
lot in the recent time. Hand hygiene is one of the most important measured to prevent the
spread of infectious diseases.

The demand for hand hygiene products has been exceeding the supply in both online as well
as brick and mortar sale channels worldwide owing to the global outbreak of the virus in a
brief time span. The outbreak has reinforced the significance of regular hand sanitizing and
cleaning practices among consumers and is among the prominent factor driving the market.
The hand sanitizer market is categorized into Gel, Liquid, Foam and Spray. West India
dominated the country’s hand sanitizer market in 2019, and the region is expected to
maintain its dominance during the forecast period. Some of the major players operating in
India. It is an integral procedure in the healthcare environment. Similarly, it is particularly
important for the community as well. As per an estimate, simple hand washing can save
about one million lives per year. As a result of rising awareness about hand hygiene and its
benefits, there has been a constant increase in demand of hand sanitizers. To meet the high
demands of the hand sanitizers.

Hand sanitizers have an advantage over conventional hand washing product. The market
growth of hand sanitizer is being driven by the growing awareness regarding hand hygiene.
The market is further aided by the growing shift towards health and wellness due to which
consumers are adopting precautionary measures to safeguard against contracting any
disease. In addition, hand sanitizer dispensers are being installed in schools at a rapid pace
to prevent health issues like diarrhea, cold, cough, and other related infections among
students from occurring or spreading. Furthermore, the launch of fragrant and perfumed
hand sanitizers that offer a pleasant scent to hands in addition to maintaining hygiene, along
with the environment-friendly and natural product variants, are also aiding the product’s
demand. The market has witnessed a sudden upsurge owing to corona virus outbreak in
2020 and is expected to have exponential growth over the forecast period.
The risks associated with not maintaining the hygiene level of hands. Moreover, the rising influence of
social media and online advertisements has exposed a person to the contemporary trends of personal
care and hygiene, which is accelerating the usage of hand sanitizers among consumers. According to
studies, this product also minimizes the risk of gastrointestinal and respiratory infect India hand sanitizer
market is projected to surpass $ 43 million by 2025. Growth of hand sanitizer market in India can be
attributed to rising awareness about healthy lifestyle & wellness, shifting consumer preference towards
convenient hygiene products, and rising disposable income. Therefore, hand hygiene forms the most
essential element of personal care, thereby driving the popularity of hand sanitizers. Also, the
government promotes the usage of hand care products to increase awareness as well as avoid health
issues among consumers. For instance, the WHO and FDA have taken initiatives to make peoples aware
of hand hygiene and tons among consumers who use hand sanitizer. However, the growth of the market
can be hampered by the usage of chemical ingredients associated with the product causing allergies to
some people. So, with product innovation and new product development with introducing organic and
natural ingredients in the manufacturing of hand sanitizers, this will gain the trust of consumers.
Keeping in view the above and rising awareness about hand hygiene and its benefits, there has been a
constant increase in demand for hand sanitizers.

Consumer inclination towards health & wellness and product innovation such as addition of fragrances
in formulation of sanitizers are projected to boost the growth of the global hand sanitizer market.
Furthermore, improvement in living standards, rise in health expenditure, increase in awareness about
hand hygiene, and support from organization such as WHO, FDA, and others towards the need for
sanitation augment the demand for hand sanitizers. However, health hazards associated with chemical
ingredients are anticipated to hamper the market growth during the forecast period. Large consumer
base along with rise in prevalence of corona virus respiratory infections among population are the
primary reason for hand sanitizer market growth. Online retailers will see the highest growth rate during
the forecast owing to availability of multiple brands, detail information about product, price comparison,
and door step delivery of the product.

Rise in adoption of hand hygiene practices among people along with increasing presence of prominent
players in these regions are expected to grow the market to a substantial height. Hospitals and nursing
homes are the largest consumers of sanitizers by volume, precisely the liquid-type; owing to strict
sanitation and hygiene practices. There is zero tolerance for viruses and bacteria in the commercial
sector such as hotels and food service restaurants. The commercial sector must abide by
stringent rules and regulations on food safety and hygiene. Consequently, commercial sector is
increasing adoption of hand sanitizers and encouraging employee such as chefs, waters,
barbers, food industry workers and other to use hand sanitizers frequently. In the hospitality
sector, the adoption of hand sanitizers is increasing in luxury hotels and other accommodations.
Moreover, food processing facilities must take care of food hygiene as failure to ensure hygiene
may result in cancellation of their business licenses. Increasing pressure on the commercial
sector to follow stringent rules and regulations framed by the government boost demand for
hand sanitizers. This factor is expected to have a significant impact on the growth of the global
hand sanitizers market in near future. 
MARKET DYNAMICS

The factors such as growing awareness about hand hygiene, changing living standards, and rise in health
expenditure are driving the growth of the market. Players are adopting various strategies to hold or grab
consumer base. Manufacturers are adding fragrances to their formulation to attract the consumer. Rising
promotion by health experts, social media and online advertisements has influence people for personal
care and hygiene, which is accelerating the demand of hand sanitizers. At present, hand sanitizer is most
in demand item in the world owing to the global coronavirus outbreak.

Consumer inclination towards health & wellness in formulation of sanitizers is projected to boost
the growth of the global hand sanitizer market. Furthermore, improvement in living standards, rise in
health expenditure, increase in awareness about hand hygiene, and support from organization such as
WHO, FDA, and others towards the need for sanitation augment the demand for hand sanitizers.
However, health hazards associated with chemical ingredients are anticipated to hamper the market
growth during the forecast period. Large consumer base along with rise in prevalence of corona virus
respiratory infections among population are the primary reason for hand sanitizer market growth. Online
retailers will see the highest growth rate during the forecast owing to availability of multiple brands,
detail information about product, price comparison, and door step delivery of the product. As a result,
sales of hand sanitizer are skyrocketing leading to the rationing and price hikes. However, the cost pf
hand wash is restraining the growth of the market.

MARKET OPPURTUNITY: -

Manufactures focus on Launching Innovative and naturally made Skin Care Products to Flourish Growth.
Manufactures are keenly focusing on various innovative products which provide cleanliness and
protection from virus and bacteria as well as help to limit the problems of dead skin, anti-aging, dark
spots, and others. The innovation in the design of the bottled skin cleansers with an ability to
automatically pump out the liquid solution acts as a fantastic opportunity for market growth. Moreover,
an increasing shift of the consumers towards naturally made skin care groceries create newer
opportunities for the companies to expand their business in the natural personal care segments. Also,
increasing demand for the scented skincare items would create newer opportunities in the aromatic
skincare category.

MARKET RESTRAINT: -

Higher Cost of raw materials and the availability of substitute products to restraint growth. The higher
cost of materials used for the manufacturing of washers such as glycerin, fragrances, sodium lauryl ether
sulfate, and other creates hindrances in the manufacturing process. The raw material with higher cost is
expected to result in the higher pricing of the products, which is likely to decrease the demand for the
products. Additionally, the availability of substitutes as hand wash, soaps, hand wipes, and others would
also create act as a restraining factor for the market growth.
IMPLEMENTATION SCHEDULE: -

The project implementation will take about five months. Most of the activities run parallel. The break-up

of activities with relative time for each activity may be as follows:

ESTIMATED TIME
S.N0. ACTIVITY
PERIOD

Market survey for collection of data in respect of demand, raw


1. 2 WEEKS
material, machinery, and selection of site.

2. Preparation of project document and Registration 2 WEEKS

3. License from Drug Controller Authority 4 WEEKS

4. Arrangement of finance /loan 4 WEEKS

Procurement of machinery & equipment and their


5. 6 WEEKS
Installation

6. Purchase of raw materials 2 WEEKS

7. Recruitment of Staff & Trial production 2 WEEKS


The following steps involves in the implementation of the project.

a) Selection of site.
b) Form ownership.
c) Feasibility report.
d) Registration with DIC, PFA etc.
e) Arrangement of finance.
f) Construction of Factory Shed & Building.
g) Plant Erection & Electrification.
h) Recruitment of workforce.
i) Arrangement of raw materials including packaging materials.
j) Selection of marketing channel
k) Miscellaneous work i.e., Power and Water connection, Pollution control board clearance etc.
l) Normally 6 months is required to implement the project.

The product is covered under the Drug Control Act and all specifications laid down their kin are to be
complied with. The general requirements for obtaining Drug License are as under:

a. Land and Plant Layout.


b. Proof of Ownership of Land of Consent letter of owner if the land is taken on rent.
c. Copy of Memorandum of articles of association or partnership dead, list of Directors Etc. as the
case may be.
d. Photocopy of the packing material specimen.
e. Clearance from State Pollution Control Board.
f. Care should be taken in handling and storage of Ethyl Alcohol. The items used as raw material is
not linked with pollution hazards.

BASIS AND PRESUMPTION

a. The scheme is based on a single shift of 8 hours per day and 300 working days per annum.
b. The interest rate on the borrowed capital has been taken as 10 % per annum. Note: - Special rebate
on interest rate may be obtained from lender bank or SIDBI as product pertains under the category of
COVID-19 product list.
c. The cost in respect of raw materials, packing materials, machinery& equipment has been taken at the
time of preparation of project profile and may vary from place to place and time to time.
d. The rental value of production shed is taken as per the prevailing rates and may vary from place to
place.
e. The plant capacity utilization has been taken as 60 % for the first year, which may subsequently
increase to 70%, 80% & 90 % in the second, third & fourth year, respectively.
f. The cost of machinery & equipment/materials indicated refer to a particular make and the prices are
approximate to these prevailing in the market at the time of preparation of this profile.
g. Depreciation has been taken as an – a) On Machinery & Equipment @ 10% b) On Office Furniture &
Fixture @ 20%.
h. Interest on Total Capital Investment has been taken @ 13% per annum.
i. Minimum 40% of the total investment is required as margin money.
j. Payback period of the project will be 1 year after implementation.
k. Break Even Point has been calculated at the full capacity utilization.
l. For smooth functioning of unit, it is suggested that unit should have a good stock of quality raw
materials.

MARKET SEGMENTATION
The entire hand sanitizer market has been sub-categorized in product, distribution channel and end-
user. The report provides an analysis of these subsets with respects to the geographical segmentation.
This research study will help to identify the target demographics for a product or service.

BY PRODUCT
1. Foaming Hand Sanitizer
2. Foaming Instant Hand Sanitizer
3. Instant Hand Sanitizer Gel
4. Spray Hand Sanitizer

BY DISTRUBUTION CHANNEL
1. Online Store
2. Departmental Store
3. Pharmacy Store
4. Others

PACKAGING TYPE
1. Flip Flop Bottles
2. Pump Bottles
3. Dispensing Packets
4. Jars/Cans

END USE
1. Institutional
2. Hospitals and Healthcare
3. Offices/Commercial
4. Food Service
5. Food Processing
6. Schools & Universities
7. Manufacturing & Industrial
8. Hospitality
9. Grocery, Convenience Store & Retail
10. Others
11.Household
PACK SIZE
1. Below 100 ml
2. 101 ml-300 ml
3. 301-500 ml
4. 501 ml & Above

SALES CHANNEL
1. Direct
2. Indirect
3. Hypermarkets/Supermarkets
4. Specialty Stores
5. Multi Brand Stores
6. Discount Stores
7. Independent
8. Departmental Stores
9. Online Retailers
10. Another sales Channel
CHAPTER- 4
FINANCIAL FEASIBILITY
Fixed Capital 
 

The fixed capital is inclusive of motor vehicle, machinery, furniture, and fixture. Following is cost
bifurcation of the fixed capital: 

Fixed Capital  Quantity   Cost (Rs.) 

Furniture and Fixture     

-Chairs  20 30,000

-Tables   5

Motor Vehicle  2  15,00,000 

Machinery     

-Computers  2   

-Printers  1   

-CCTV Cameras  4  1,80,000


-AC  1 

-Sanitizer machinery 1 

Others     

-RO water coolers  1  15,000 

-Fire extinguishers  5 

TOTAL    17,25,000

 Working Capital 

 
The working Capital is inclusive of the salaries, raw material used, fuel and power, production overhead
and taxes. Following is the related table: 

Working Capital (per month)  Cost (Rs.) 

Salaries, Wages and Benefits  1,36,000

Raw Material Purchases  16,21,000

Fuel and Power  90,000

Overhead Cost  75,000

Total Project Cost 

 Total activity cost  

=  

fixed activity cost  

+  

variable activity cost * duration 

cost/use * resource demand (renewable resources) 

+  

cost/unit * work content (renewable resources) 

cost/use (consumable resources) 


cost/unit * resource demand * duration  

(variable consumable resource with units expressed in time units (hours)) 

cost/unit * #units  

(fixed consumable resource with units not expressed in time units) 

=17,25,000 + 1,36,000 + 16,21,000 + 90,000 + 75,000

=36,47,000

Therefore, total activity cost/ total project cost is Rs.36,47,000

Income Statement 
 

The estimated income statement is clearly bifurcated below inclusive of all the incomes and expenses.  

Particulars  Year 1 (2021)  Year 2 (2022) 

Net Sales  4,00,00,000 4,00,00,500 

Cost of sales     

Salaries, wages, and Benefits  16,32,000 17,40,000

Raw material purchase  1,94,52,000  2,00,00,000 

Other service overheads  9,00,000 9,20,000

Fuel and Power  10,80,000 11,00,000

Depreciation  1,72,500 2,32,875

Total  6,32,36,500 6,39,93,375

Gross Profit  1,85,68,000 4,61,15,000

Other Admin Exp.  15,000  20,000 

Selling & Related Exp.  50,000  55,000 

OPERATING PROFIT   1,86,33,000 4,61,90,000 

Tax @average  33,53,940  83,14,200

NET PROFIT AFTER TAX  1,52,79,060  3,78,75,800

PROJECTED BALANCE SHEET 2021-22

Liabilities Amount (in Assets Amount


Rs.) (inRs.)
Capital- Fixed Assets:
10,00,000 Furniture 30,000
Vehicles 15,00,000
Add-Net profit -Depreciation 18,000 15,12,000
6,32,36,500 6,42,36,500 Machinery 50,000
Land & Building 1,94,52,000
Inventory 1,50,00,000
Machinery 45,00,000
Others 15,000 15,000
Office Expense 1,80,000 1,80,000
Current Assets 50,00,000
Suspense a/c 2,30,77,500
Total 6,42,36,500 Total 6,42,36,500

PROJECTED BALANCE SHEET 2022-23

Liabilities Amount (in Assets Amount


Rs.) (inRs.)
Capital- Fixed Assets:
10,00,000 Furniture 30,000
Vehicles 15,00,000
Add-Net profit -Depreciation 18,000 15,12,000
6,32,36,500 6,42,36,500 Machinery 50,000
Land & Building 1,94,52,000
Inventory 1,50,00,000
Machinery 45,00,000
Others 15,000 15,000
Office Expense 1,80,000 1,80,000
Current Assets 50,00,000
Suspense a/c 2,30,77,500
Total 6,42,36,500 Total 6,42,36,500
 

 Ratios
 

1. GROSS PROFIT RATIO = Gross profit x 100 

               Net sales 

                                                        = 1,85,68,000 x 100 = 29.362% 

                                                           6,32,36,500 

2. NET PROFIT RATIO = Profit Before Tax x 100 

                                                          Net sales 

                                                     = 1,86,33,000 x 100 = 29.465% 

                                                         6,32,36,500

3. WORKING CAPITAL TURNOVER RATIO = ___Net Sales____ 

                          Net Working Capital 

                                             = 40,00,000 = 0.020 times 

                                   19,22,000 
Findings 

  

 The financial data says that assets are more than our liabilities, and it is
good for business growth. Profit earned by business is efficient for our long-term business plan. 

 The financial analysis tells that it is a business, in which we can earn more profit by satisfying the
customer’s needs and wants. It is a profitable business for startup companies. 

 The assets are highly liquid; therefore, we can quickly convert our assets into cash.  

 Net sales of the business higher than the working capital cost, and net profit is good in the
business.   
CONCLUSION
With this, we know how to create a hand sanitizer, their uses, what prevents and why it is used.
Hand sanitizer is used to prevent some disease, and “replace” the soap. You can use it in place that
does not have a sink.
Know the right ways of using hand sanitizer and ace the game of hand sanitizer usage. Make sure
you maintain health of your family and yourself by opting for using hand sanitizer.
CDC and many research, support that proper hand sanitization before and after having contact
with anything is one of the most important measure for preventing the spread of infection.
The report segment of the global hand sanitizer market based on various relevant criteria. The
facts mentioned in this report can be used by the readers to make insightful estimators about the
market’s future trajectory to decide the course of action best suited for business.
The market research reports on the global hand sanitizer market examines manufacturing
capacities and give the comparison about the potential and actual capacity of various companies
and regional segments.
Furthermore, it also states the cost structure of the product and dynamic to the upstream raw
material supply chain and downstream demand. The import-export policies applicable important
national segment of this market.
But be careful because it does not kill every type of invader.

Our Approach: -
Requirement collection.
Thorough analysis of the project.
Economic feasibility study of the Project.
Market potential survey/research.
Report Compilation
BIBLIOGRAPHY
https://openjicareport.jica.go.jp/pdf/12238317.pdf

www.msmedi-chennai.gov.in

https://us.pg.com/blogs/Hand-Sanitizer/

https://www.godrejprotekt.com/personal-hygiene/instant-hand-sanitizer

https://www.dettol.co.in/en/products/hand-sanitizer/dettol-instant-hand-sanitizer/

www.savlon.in

www.lifebouy.in

www.unilever.com

https://www.scottedilpharma.com/

https://www.scott-edil.com/

https://www.nivea.co.uk/products/nivea-hand-sanitiser-40059008109840045.html

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