Pre-Feasibility Study

Prime Ministers Small Business Loan Scheme

Inland Fish Farming

Small and Medium Enterprises Development Authority Ministry of Industries & Production
Government of Pakistan
www.smeda.org.pk
HEAD OFFICE
4th Floor, Building No. 3, Aiwan e Iqbal, Egerton Road, Lahore Tel 92 42 111 111 456, Fax 92 42 36304926-7 helpdesk@smeda.org.pk REGIONAL OFFICE PUNJAB 3rd Floor, Building No. 3, Aiwan e Iqbal, Egerton Road Lahore, Tel: (042) 111-111-456 Fax: (042)6304926-7 helpdesk.punjab@smeda.org.pk REGIONAL OFFICE SINDH 5TH Floor, Bahria Complex II, M.T. Khan Road, Karachi. Tel: (021) 111-111-456 Fax: (021) 5610572 helpdesk-khi@smeda.org.pk REGIONAL OFFICE KPK Ground Floor State Life Building The Mall, Peshawar. Tel: (091) 9213046-47 Fax: (091) 286908 helpdesk-pew@smeda.org.pk REGIONAL OFFICE BALOCHISTAN Bungalow No. 15-A Chaman Housing Scheme Airport Road, Quetta. Tel: (081) 831623, 831702 Fax: (081) 831922 helpdesk-qta@smeda.org.pk

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Pre-feasibility Study

Inland Fish Farming

Table of Contents
1. 2. 3. 4. 5. 6. 7. 8. 9. DISCLAIMER ..................................................................................................................................................... 1 PURPOSE OF THE DOCUMENT .................................................................................................................. 2 INTRODUCTION TO SMEDA ......................................................................................................................... 2 INTRODUCTION TO SCHEME ...................................................................................................................... 3 EXECUTIVE SUMMARY ................................................................................................................................. 3 BRIEF DESCRIPTION OF PROJECT & PRODUCT .................................................................................. 3 CRITICAL FACTORS....................................................................................................................................... 5 INSTALLED & OPERATIONAL CAPACITIES ............................................................................................ 5 GEOGRAPHICAL POTENTIAL FOR INVESTMENT ................................................................................. 5

10. POTENTIAL TARGET MARKETS/ CITIES .................................................................................................. 6 11. PRODUCTION PROCESS FLOW ................................................................................................................. 6 12. PROJECT COST SUMMARY ......................................................................................................................... 6 12.1 PROJECT ECONOMICS................................................................................................................................ 6 12.2 PROJECT FINANCING .................................................................................................................................. 7 12.3 PROJECT COST .......................................................................................................................................... 7 12.4 SPACE REQUIREMENT ................................................................................................................................ 7 12.5 MACHINERY AND EQUIPMENT .................................................................................................................... 7 12.6 FURNITURE & FIXTURES ............................................................................................................................ 8 12.7 HUMAN RESOURCE REQUIREMENT ........................................................................................................... 8 12.8 REVENUE GENERATION ............................................................................................................................. 8 13. CONTACT DETAILS OF EXPERTS AND CONSULTANTS ..................................................................... 9 14. ANNEXURE ..................................................................................................................................................... 10 14.1 PROFIT AND LOSS STATEMENT .............................................................................................................. 10 14.2 BALANCE SHEET .......................................................................................................................................... 11 14.3 CASH FLOW ................................................................................................................................................... 12 14.4 USEFUL PROJECT MANAGEMENT TIPS ................................................................................................ 13 14.5 USEFUL LINKS............................................................................................................................................... 14 15. KEY ASSUMPTIONS ..................................................................................................................................... 15

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1. DISCLAIMER
This information memorandum is to introduce the subject matter and provide a general idea and information on the said matter. Although, the material included in this document is based on data/information gathered from various reliable sources; however, it is based upon certain assumptions which may differ from case to case. The information has been provided on as is where is basis without any warranties or assertions as to the correctness or soundness thereof. Although, due care and diligence has been taken to compile this document, the contained information may vary due to any change in any of the concerned factors, and the actual results may differ substantially from the presented information. SMEDA, its employees or agents do not assume any liability for any financial or other loss resulting from this memorandum in consequence of undertaking this activity. The contained information does not preclude any further professional advice. The prospective user of this memorandum is encouraged to carry out additional diligence and gather any information which is necessary for making an informed decision, including taking professional advice from a qualified consultant/technical expert before taking any decision to act upon the information. For more information on services offered by SMEDA, please contact our website: www.smeda.org.pk

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2. PURPOSE OF THE DOCUMENT

The objective of the pre-feasibility study is primarily to facilitate potential entrepreneurs in project identification for investment. The project pre-feasibility may form the basis of an important investment decision and in order to serve this objective, the document/study covers various aspects of project concept development, start-up, and production, marketing, finance and business management. The purpose of this document is to facilitate potential investors in Inland Fish Farming by providing them with a general understanding of the business with the intention of supporting potential investors in crucial investment decisions. The need to come up with pre-feasibility reports for undocumented or minimally documented sectors attains greater imminence as the research that precedes such reports reveal certain thumb rules; best practices developed by existing enterprises by trial and error, and certain industrial norms that become a guiding source regarding various aspects of business set-up and its successful management. Apart from carefully studying the whole document one must consider critical aspects provided later on, which form basis of any Investment Decision.

3. INTRODUCTION TO SMEDA
The Small and Medium Enterprises Development Authority (SMEDA) was established in October 1998 with an objective to provide fresh impetus to the economy through development of Small and Medium Enterprises (SMEs). With a mission "to assist in employment generation and value addition to the national income, through development of the SME sector, by helping increase the number, scale and competitiveness of SMEs" , SMEDA has carried out sectoral research to identify policy, access to finance, business development services, strategic initiatives and institutional collaboration and networking initiatives. Preparation and dissemination of prefeasibility studies in key areas of investment has been a successful hallmark of SME facilitation by SMEDA. Concurrent to the prefeasibility studies, a broad spectrum of business development services is also offered to the SMEs by SMEDA. These services include identification of experts and consultants and delivery of need based capacity building programs of different types in addition to business guidance through help desk services.

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4. INTRODUCTION TO SCHEME
Prime Ministers Small Business Loans Scheme, for young entrepreneurs, with an allocated budget of Rs. 5.0 Billion for the year 2013-14, is designed to provide subsidised financing at 8% mark-up per annum for one hundred thousand (100,000) beneficiaries, through designated financial institutions, initially through National Bank of Pakistan (NBP) and First Women Bank Ltd. (FWBL). Small business loans with tenure upto 7 years, and a debt : equity of 90 : 10 will be disbursed to SME beneficiaries across Pakistan, covering; Punjab, Sindh, Khyber Pakhtunkhwah, Balochistan, Gilgit Baltistan, Azad Jammu & Kashmir and Federally Administered Tribal Areas (FATA).

5. EXECUTIVE SUMMARY
Inland Fish Farming is proposed to be located in the potential areas of Pakistan, which provide desired suitable environment. The proposed location for the establishment of the fish farms is primarily warm area, having particularly a water temperature range between 5 - 30 degree centigrade. It is suggested that the farms may be established in Sibi and Jacobabad etc. or any other place, having similar attributes. Fish is a nutritious product, widely consumed around the world, in varieties of food items. In addition, fish is also used in medicine industry. All such factors contribute towards making fish farming a viable project for investment. The project will start operations at 14,400 fish species of different age, for first 9 months cycle. Total cost estimate is Rs. 2.1 Million, with fixed investment Rs. 0.7 Million, and working capital Rs. 1.4 Million. Given the cost assumptions, IRR and Payback are 51% and 2.8 years respectively. The most critical considerations or factors for success of the project are: 1. Healthy and certified seedlings 2. Ample supply of water

6. BRIEF DESCRIPTION OF PROJECT & PRODUCT

Following key parameters must be addressed as per pre-feasibility study: Techniques: Three different techniques are used for inland fish farming. However, keeping in view the economical, technical and managerial factors, Semi-intensive fish farming technique is suggested for the proposed project.

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Location: The project would be located in Sibi, Naseer Abad, Jaffar Abad (Balochistan) or warm areas that provide suitable environment, particularly water temperature range between 5-30 degree centigrade. Product: Fish is nutrient product wildly consumed around the world in verities of food items. It is not only used in a wide range of traditional to modern dishes, but is also sold as canned product. In addition, fish is also used in medicine industry. Target Market: In addition to major cities, such as Quetta, Karachi, Lahore and Islamabad, there is an enormous export potential for Middle Eastern countries. Employment Generation: The proposed project will provide direct employment to 5 individuals. Financial analysis shows the proposed inland farm shall be profitable from the very first year of operations.

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7. CRITICAL FACTORS
The commercial viability of the proposed project depends on the following factors: Selection of proper location with water, equipment, and staff play very important role in ensuring the project to run successfully. Farm should be positioned away from agricultural activities, to avoid spray application of pesticides. It should have enough elevation, so it can easily be desiccated, during the off season. Healthy certified seedlings must be purchased from certified dealers, for the assurance of desire fish species. To attract larger number of customers, the product must be processed on basic quality standards. Each farm should maintain a written health and welfare program, for elimination of diseases and quality production. Farm should have a whole sale distribution of its final product.

8. INSTALLED & OPERATIONAL CAPACITIES

The project will start operations with 20,000 fish species of different age, for the first 9 months cycle. The proposed fish species for the said project are Thaila, Moraka and Rohu. These species provide an ideal environment for farm management, as per their feeding pattern. Rohu feeds near the water surface, Thaila in the middle and Moraka takes feeds from the bottom. This pattern will provide an efficient utilization of feeds and prevent feed losses. The recommended ratio of these species is Rohu (40%), Thaila (30%) and Moraka (30%) respectively.

9. GEOGRAPHICAL POTENTIAL FOR INVESTMENT

The proposed location for establishment of the fish farms will primarily be warm areas that provide suitable environment, with particularly water temperature range between 530 degree centigrade. It is suggested, that the farms may be established in Sibi, Jaffarabad, Naseerabad (Baluchistan) etc. or any other place, having similar attributes. The marketing of fish follows the traditional distribution channel, through middlemen or wholesalers at farm who will identify potential buyers and negotiate price, or directly to retailers in urban markets. The time spent in transportation, from farm to the retail shop, varies from area to area. Over the years, collection and transportation of fish has improved with the use of loader vehicles. However, greater the distance between farm and consumer, more complicated will be the marketing or distribution system, due to the

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perishable nature of the product. The trick in marketing is availability of current market information, of fish supply and demand, which will determine the selling price.

10.

POTENTIAL TARGET MARKETS/ CITIES

The target customers for fish are households, hotels, restaurants and pharmaceutical companies. Fish production, trade and utilization in the world has been increasing dramatically fast, due to the prevalence of huge demand. Fish industry trade is expected to reach $130 billion by the end of 2013. In 2007, USA was the largest consumer of fish with imports worth US$ 13.63 billion. Japan followed as second major importer with US$11.38 billion, whereas, Spain stood at third position with imports of US$ 6.98 billion.

11.

PRODUCTION PROCESS FLOW

The overall production cycle for the inland fish farming comprises of 8-9 months, subject to the life/age of the seedlings (specie). In case of fresh seedlings (with an age of less than 20 days), the production cycle will take 9 months to achieve the desired output. It varies respectively, with the selection of fish (seedlings) age. Keeping in view the economical prospective, it is suggested that fish with different age may be used for different ponds.

12.

PROJECT COST SUMMARY

A detailed financial model has been developed to analyze the commercial viability of Inland Fish Farming under the Prime Ministers Small Business Loan Scheme. Various cost and revenue related assumptions, along with results of the analysis, are outlined in this section. The projected Income Statement, Cash Flow Statement and Balance Sheet are attached as appendix. 12.1 Project Economics

All figures in the financial model have been calculated, for 14,400 units of fish for 4 acres of land. The following table shows internal rates of return and payback period. Table 1 - Project Economics
Description Internal Rate of Return (IRR) Payback Period (yrs) Net Present Value (NPV) Details 51% 2.8 9,942,224

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Factors that influence the profitability of Inland Fish Farm are farm management, selection of fish seedlings, proper feeding and care of oxygen in ponds. 12.2 Project Financing

Following table provides details of the equity required and variables related to bank loan;
Description Total Equity (10%) Bank Loan (90 %.) Markup to the Borrower (%age/annum) Tenure of Loan (Years) Details Rs. 219,500 Rs. 1,975,500 8% 7

12.3

Project Cost

Following requirements have been identified for operations of the proposed business. Table 1: Capital Investment for the Project
Capital Investment Total Capital Cost Initial Working Capital Total Project Cost Amount (Rs.) 7,52,500 1,442,500 2,195,000

12.4

Space Requirement

Total area required for the Inland Fish Farming is 4 acres of land that comprises of 3 pond, office building, guard room and open space. Table 2: Space Requirement
Space Requirement (Sq. ft.) Office Building cum Store Construction of 3 Ponds Total Cost/ Unit 600 25,000 Area (Sq. ft.) 150 Total Cost 90,000 75,000 165,000

12.5

Machinery and Equipment

Following table provides list of machinery and equipment required for Inland Fish Farm. Table 3: List of Machinery and Equipment
Description Air Pump/ Water Pump Net Pipes (500 Running Ft.) Filter Total No 4 1 1 4 12 Total Price (PKR) 100,000 50,000 100,000 80,000 330,000

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Main equipment for Inland Fish Farming is provided in table given above. Fish farming does not require special equipment or machinery etc. 12.6 Furniture & Fixtures
Description Office equipment Total Cost 10,000

12.7

Human Resource Requirement

Table 4: Human Resource Requirement

Description Owner manager Supervisor Labour Guard Total Staff No. of Employees 1 1 2 1 5 Salary per month 25,000 12,000 20,000 10,000 70,000

The table above provides details of human resource required to manage basic fish farm. The staff salaries are estimated according to the market trends. However, these requirements and pay scales may vary area to area. 12.8 Revenue Generation

Final product of Inland Fish Farm is fish ready for sale in market that will generate revenue. The capacity of farm is 16,000 units of fish for first year sell price as per market Rs. 270.
Product Fish Total Sales Revenue Unit No. Sales Price (Rs./Unit) 325 First Year Production 14,400 First Year Revenue (Rs) 4,680,000 4,680,000

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CONTACT DETAILS OF EXPERTS AND CONSULTANTS

Prof. Dr. Muhammad Ashraf Chairman Dept. of Fisheries and Aquaculture, University of Veterinary and Animal Sciences, Out Fall Road, Lahore Ph: 042-99213510, 049-4422102 (Ravi Campus Pattoki) Cell No. 0300-7627688 Dr. Abdul Rab Program Leader/ PSO Aquaculture and Fisheries Programme National Agricultural Research Centre Park Road, Islamabad Tel: 051 9255061, 051 9255012 Muhammad Ashraf Director General Fisheries Department of Fisheries, Government of Punjab 2- Sanda Road Lahore Ph: 042-99212374-75 & 79

Director General Department of Fisheries Govt. of Balochistan, Quetta Ph: 081-9211587

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ANNEXURE PROFIT AND LOSS STATEMENT

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

Projected Income Statement (Rs.)

Revenue Bed Debt Expenses Net (Adjusted Sales) Cost of Sales Cost of fry Cost of Feed Salaries (Production Staff) Utilities Gross Profit Gross Profit Margin General Administrative & Selling Expenses Salaries Factory/Office Miscellaneous Expenses Rent Expense Amortization of Preliminary Expenses Depreciation Expense Maintenance Expense Pond Maintainence Selling & Promotional Expense Subtotal Operating Income Financial Charges (8% Per Annum) Earnings Before Taxes Tax Net Profit

4,680,000 46,800 4,633,200 3,494,800 450,000 2,332,800 504,000 208,000 1,138,400 25%

5,405,400 54,054 5,351,346 3,869,030 519,750 2,566,080 554,400 228,800 1,482,316 28%

6,243,237 62,432 6,180,805 4,284,519 600,311 2,822,688 609,840 251,680 1,896,285 31%

7,210,939 72,109 7,138,829 4,745,988 693,359 3,104,957 670,824 276,848 2,392,841 34%

8,328,634 83,286 8,245,348 5,258,722 800,830 3,415,452 737,906 304,533 2,986,626 36%

9,619,573 96,196 9,523,377 5,828,640 924,959 3,756,998 811,697 334,986 3,694,737 39%

11,110,606 111,106 10,999,500 6,462,376 1,068,328 4,132,698 892,867 368,485 4,537,124 41%

12,832,750 128,328 12,704,423 7,167,372 1,233,918 4,545,967 982,153 405,333 5,537,051 44%

14,821,827 148,218 14,673,608 7,951,975 1,425,176 5,000,564 1,080,369 445,866 6,721,633 46%

17,119,210 171,192 16,948,018 8,825,557 1,646,078 5,500,620 1,188,406 490,453 8,122,461 48%

300,000 120,000 100,000 30,000 50,250 11,875 25,000 46,332 683,457 454,943 150,112 304,831 304,831

330,000 132,000 105,000 30,000 45,225 11,875 26,250 53,513 733,863 748,453 131,904 616,548 61,655 554,894

363,000 145,200 110,250 30,000 40,703 11,875 27,563 61,808 790,398 1,105,887 112,185 993,703 71,555 922,147

399,300 159,720 115,763 30,000 36,632 11,875 28,941 71,388 853,619 1,539,222 90,829 1,448,394 139,759 1,308,634

439,230 175,692 121,551 30,000 32,969 11,875 30,388 82,453 924,158 2,062,468 67,700 1,994,768 246,454 1,748,314

483,153 193,261 127,628 29,672 11,875 31,907 95,234 972,730 2,722,007 42,652 2,679,355 392,339 2,287,016

531,468 212,587 134,010 26,705 11,875 33,502 109,995 1,060,142 3,476,981 15,525 3,461,456 587,864 2,873,592

584,615 233,846 140,710 24,034 11,875 35,178 127,044 1,157,302 4,379,748 4,379,748 836,424 3,543,324

643,077 257,231 147,746 21,631 11,875 36,936 146,736 1,265,231 5,456,402 5,456,402 1,159,421 4,296,982

707,384 282,954 155,133 19,468 11,875 38,783 169,480 1,385,077 6,737,383 6,737,383 1,580,584 5,156,799

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1 4 .2

BALANCE SHEET
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

Projected Balance Sheet (Rs.) Assets Current Assets Cash & Bank Balance Raw Material Inventory Finished Goods Inventory Accounts Receivable Advnace Rent Total Current Assets Fixed Assets Plant Machinery & Facility Factory Construction Land Furniture & Fixtures Vehicle Total Fixed Assets Intangible Assets Preliminary Expenses Total Assets Owner's Equity

283,000 1,159,500 0 0 100,000 1,542,500

734,506 873,700 0 0 100,000 1,708,206

1,033,485 967,258 0 0 100,000 2,100,742

1,665,160 1,071,130 0 0 100,000 2,836,290

2,646,401 1,186,497 0 0 100,000 3,932,899

4,027,715 1,314,680 0 0 100,000 5,442,395

5,875,089 1,457,160 0 0 100,000 7,432,249

8,262,990 1,615,594 0 0 100,000 9,978,584

11,654,099 1,791,843 0 0 100,000 13,545,942

15,776,561 1,987,994 0 0 100,000 17,864,555

20,734,433 2,206,389 0 0 100,000 23,040,822

237,500 165,000 0 100,000 0 502,500

213,750 148,500 0 90,000 0 452,250

192,375 133,650 0 81,000 0 407,025

173,138 120,285 0 72,900 0 366,323

155,824 108,257 0 65,610 0 329,690

140,241 97,431 0 59,049 0 296,721

126,217 87,688 0 53,144 0 267,049

113,596 78,919 0 47,830 0 240,344

102,236 71,027 0 43,047 0 216,310

92,012 63,924 0 38,742 0 194,679

82,811 57,532 0 34,868 0 175,211

150,000 2,195,000 219,500

120,000 2,280,456 524,331

90,000 2,597,767 1,079,225

60,000 3,262,612 2,001,372

30,000 4,292,589 3,310,006 5,739,117

7,699,298

10,218,928 10,218,928

13,762,252 13,762,252

18,059,234 18,059,234

23,216,033 23,216,033

5,058,320

7,345,336

Long Term Liability Total Equity & Liabilities

1,975,500 2,195,000

1,756,125 2,280,456

1,518,543 2,597,767

1,261,241 3,262,612

982,583 4,292,589

680,796 5,739,117

353,962 7,699,298

0 10,218,928

0 13,762,252

0 18,059,234

0 23,216,033

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1 4 .3

CASH FLOW
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

Projected Statement of Cash Flows (Rs.) Cash Flow From Operating Activities Net Profit Add: Depreciation Expense Amortization Expense (Increase) / decrease in Receivables (Increase) / decrease in RM (Increase) / decrease in FG Inventory Net Cash Flow From Operations Cash Flow From Financing Activities Receipt of Long Term Debt Repayment of Long Term Debt Owner's Equity Net Cash Flow From Financing Activities Cash Flow From Investing Activities Equipment Factory/Office Furniture Preliminary Operating Expenses Purchase of Raw Material Inventory Advance Rent Construction & Renovation Net Cash Flow From Investing Activities NET CASH FLOW Cash at the Beginning of the Period Cash at the End of the Period

0 0 0 0

304,831 50,250 30,000 0 285,800 0 670,881

554,894 45,225 30,000 0 (93,558) 0 536,561

922,147 40,703 30,000 0 (103,872) 0 888,977

1,308,634 36,632 30,000 0 (115,367) 0 1,259,899

1,748,314 32,969 30,000 0 (128,183) 0 1,683,100

2,287,016 29,672 0 (142,479) 0 2,174,209

2,873,592 26,705 0 (158,434) 0 2,741,863

3,543,324 24,034 0 (176,249) 0 3,391,109

4,296,982 21,631 0 (196,151) 0 4,122,462

5,156,799 19,468 0 (218,396) 0 4,957,872

1,975,500 (219,375) 219,500 2,195,000 (219,375) (237,583) (257,302) (278,658) (301,786) (326,835) (353,962) 0 0 0 (237,583) (257,302) (278,658) (301,786) (326,835) (353,962) -

(237,500) (100,000) (150,000) (1,159,500) (100,000) (165,000) (1,912,000) 283,000 0 283,000 0 451,506 283,000 734,506 0 298,978 734,506 1,033,485 0 631,675 1,033,485 1,665,160 0 981,242 1,665,160 2,646,401

0 1,381,313 2,646,401 4,027,715

0 1,847,374 4,027,715 5,875,089

0 2,387,901 5,875,089 8,262,990

0 3,391,109 8,262,990 11,654,099

0 4,122,462 11,654,099 15,776,561

0 4,957,872 15,776,561 20,734,433

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1 4 .4
Technology

USEFUL PROJECT MANAGEMENT TIPS

Required spare parts & consumables: Suppliers credit agreements and availability as per schedule of maintenance be ensured before start of operations. Energy Requirement: Should not be overestimated or installed in excess and alternate source of energy for critical operations be arranged in advance. Machinery Suppliers: Should be asked for training and after sales services under the contract. Quality Assurance Equipment & Standards: Required product quality standards need to be defined on the packaging and a system to check them instituted, as this improves credibility.

Marketing Product Development & Packaging: Expert's help may be engaged for product/service and packaging design & development. Ads & P.O.S. Promotion: Business promotion and dissemination through banners and launch events is highly recommended. Product brochures from good quality service providers are also useful. Sales & Distribution Network: Expert's advise and distribution agreements are required. Price - Bulk Discounts, Cost plus Introductory Discounts: Price should never be allowed to compromise quality. Product cost estimates should be carefully documented before price setting. Price during introductory phase may be lower and used as promotional tool. Government controlled prices shall be displayed.

Human Resources Adequacy & Competencies: Skilled and experienced staff should be considered an investment even to the extent of offering share in business profit. Performance Based Remuneration: Attempt to manage human resource cost should be focused through performance measurement and performance based compensation. Training & Skill Development: Encouraging training and skill of self & employees through experts and exposure of best practices is route to success. Least cost options for Training and Skill Development (T&SD) may be linked with compensation benefits and awards.

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USEFUL LINKS

Prime Ministers Office www.pmo.gov.pk Small & Medium Enterprises Development Authority (SMEDA) www.smeda.org.pk National Bank of Pakistan (SBP) www.nbp.com.pk First Women Bank Limited (FWBL) www.fwbl.com.pk Government of Pakistan www.pakistan.gov.pk Ministry of Industries & Production www.moip.gov.pk Ministry of Education, Training & Standards in Higher Education http://moptt.gov.pk Government of Punjab www.punjab.gov.pk Government of Sindh www.sindh.gov.pk Government of Khyber Pakhtoonkhwa www.khyberpakhtunkhwa.gov.pk Government of Balochistan www.balochistan.gov.pk Government of Gilgit Baltistan www.gilgitbaltistan.gov.pk Government of Azad Jammu Kashmir www.ajk.gov.pk Trade Development Authority of Pakistan (TDAP)

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www.tdap.gov.pk Security Commission of Pakistan (SECP) www.secp.gov.pk Federation of Pakistan Chambers of Commerce and Industry (FPCCI) www.fpcci.com.pk State Bank of Pakistan (SBP) www.sbp.org.pk Pakistan Institute of Fashion and Design (PIFD) www.pifd.edu.pk Pakistan Fashion Design Council (PFDC) www.pfdc.org

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KEY ASSUMPTIONS
Assumptions 5 % per year 5 % per year 10 % per year 10 % per year 90 : 10 10 % per annum 10 % per annum 10 % per annum 7 Years Quarterly 8 % per annum

Particulars Sales Price Growth Rate Capacity Utilization Growth Rate Increase in Cost of Raw Materials Increase in Utilities (Electricity/Water/Gas) Debt / Equity Ratio Plant Building Machinery Office Furniture & Equipment Loan Period Loan Installments Financial Charges (Loan Rate)

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