Development Of Roofing Tile : Enterprises In Nepal
Govinda P. Devkota

The roofing tile technology has been promoted in Nepal since 1984, when six roofing tile machines were brought in from U.K.  The problem here was that imported machinery and the tile end product became very expensive.  DCS - a joint venture between the Nepal government and the United Mission to Nepal - set out to make the process appropriate for conditions in Nepal.  At first the progress was slow.  Since then, the place has picked up.  DCS provides formal training to selected interested entrepreneurs in both technical and marketing aspects of FCR/ MCR.  As a result there are 138 entrepreneurs so far in 40 districts of the country.

The basic raw materials required for the production of roofing tiles are cement, sand, fine aggregate, fibre and water.
The ratio of cement, sand and fibre in FCR is 1:2.6:1.8 (of cement weight) and the ratio of concrete in MCR is 1:1.4:1.4 (i.e. cement, sand and aggregates) with the required amount of water so that the concrete is in paste form.  The cement, sand, water ratio is 1:2.6:0.65.

The tile production process is simple, but should take care of quality control such as workability, porosity strength and shape of the tile.

DCS supplies equipment and all other necessary accessories on a cost plus basis.  It also provides roofing tile technology and a back up service to the entrepreneurs established.

Training and Follow Up
Roofing tile training: It is known that technical as well as business skills are imperative for the successful opertion of the tile business.

Training seminars for potential entrepreneurs are run by DCS’s roofing tile programme (RTP) four to six times a year in Butwal.  Seminars run for 11 days and cover all aspects of tile production, installation, maintenance of the equipment, business communication, marketing strategies as well as source of finance.  Training is provided to prospective entrepreneurs who have proper application and been specifically invited for training.

The fees for training are charged as follows:
¨      Individual Nepali participants, Rs. 1500/- per course.
¨      Individual Nepali supported by a development organisation, Rs. 2500/- per course.
¨      Individual non-Nepali, Rs. 5,000/- per course.

Nepali participants may come with one helper.  At the end of the training, a certificate is awarded to those prospective entrepreneurs who have completed both practical and theoretical classes, but not to the helpers.  Additional courses such as building skills and product diversification are being included from this year.

Up to July 1994, 296 people were trained including 14 non-Nepali from India, Vietnam, Philippines and Bhutan.
Since 1993, training courses have also been conducted in promoting business and communication skills.  The course is for a week and so far 10 people have been trained.

DCS has developed and designed a vibrating table and all the accessories required for making tiles.  Currently, DCS no longer retains the policy of making accessories in its own workshop.  Instead it gives orders to bazaar workshops.

Interested persons can obtain the equipment from DCS by paying cash or draft or by providing ADB/N coupon (i.e. taking loan from ADB/N).  Generally it is repaid by selling the tiles from their business.

It needs around Rs. 25,000/- for the setting up of a small tile industry.  About 50 percent of this cost is accounted for by the vibrating machine.  A tile may cost about Rs. 5 to 7 per piece, depending on the availability of the materials, quality etc.

DCS has supplied a total of 169 machines; 5 power operated, 164 pedal operated including 8 to outside countries until September 1994.

Two individual entrepreneurs from Neejgarh and Chandranigahapur have produced their own wooden vibrating table which may be cheaper but less efficient.  It was originally developed by Appropriate Technology Unit of ADB/N in order to reduce the cost.  One entrepreneur at Janakpur has made a wooden vibrating table from which three tiles can be produced at a time but are of poor quality.

The DCS vibrating table is popular because of its vibrating  capability.  Its PRM is 4000 and normally 3200-4000 RPM is required to make a good quality tile.  The mould supplied by DCS is designed according to the needs of local conditions (concrete mould made with the help of grandmother mould).

Follow Up and Monitoring
To strengthen the activities of the entrepreneurs a follow up visit is made at least after training to check their progress and advise on problems.  Quality control, marketing situation and profitability of the industry are also discussed which is useful in designing training courses and evaluating progress.  Generally a one year guarantee is provided against failure of the vibrating table.

Spare parts and repair services are available at DCS, Butwal.

Entrepreneurs Development
The tile entrepreneurs supported by DCS come from 40 districts of Nepal, but some districts have a greater number of entrepreneurs than others.  Entrepreneurs range from lower middle class to upper middle class.

The distribution of the entrepreneurs within Nepal is at random.  The survey shows the degree of dispersion in the three regions i.e. Hills, Terai/Inner Terai and Himalayan regions.

There are 138 tile entrepreneurs established with assistance from DCS.  The distribution of these entrepreneurs is spread over the hills (40.6 percent) and Terai (59.4 percent) of Nepal.  There is no entrepreneur in the Himalaya.  This is probably because of remoteness, poverty and unawareness.  Almost 34 percent of tht total entrepreneurs are in Lumbini zone, about 15 percent in Nawaparasi district and 9 percent in Bardai district.

One entrepreneur named Shital Shah of Janakpur produces 150-170 tiles in a day.  Seventy tiles can be produced from one bag of cement and there is a profit of Rs. 2.50 per tile.  He has recovered the cost of the vibrating table and other equipment within eight months of his business establishment.

Rajeshwor Singh of Dhanusa produces 175-180 tiles a day and make a profit of more than Rs. 50,000 a year.  Rim Bahadur of Rupandehi produces 200 tiles/day.  He has three machines at three different places since the last six years.

About 25 percent of the entrepreneurs take loans from the bank; the rest provide the funds from their own savings.  Some of them are not serious about repaying the loan taken from the bank.

One house needs 600-1000 tiles for the roof.  Roughly roofing tiles for 10 houses should cover the expenses of the entrepreneur.  The wooden piece used for barter and purlin could be replaced with bamboo in order to reduce the cost.

Conclusion and Recommendation
The future of micro-enterprise development such as roofing tile technology is promising in Nepal.  DCS is strengthening its capacity in the areas of micro-enterprise development.  However, one should not neglect the quality control of the product in order to be a reputable entrepreneur.

It is found that some of the entrepreneurs have brought more than one vibrating table.  Out of 176 trainees (excluding helpers), 169 vibrating tables (including eight outside Nepal) were sold to 138 entrepreneurs (excluding five outside Nepal).

It is felt that it will be impossible for DCS to monitor all the enterprises established.  An awareness among the users or owners should be created in order to transfer the technology as well as the means to successfully operate the system.

There is a need for the establishment of an entrepreneur’s association for the promotional activities of roofing tile technology as well as after sale services.

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