Industry Overview
Aluminium recycling involves treating aluminium scrap to produce new aluminium metal and alloys, providing an alternative to primary aluminium production. The chemical composition and quality of recycled alloys depend strongly on the quality and selection of the incoming scrap. Compared with primary alloys, recycled aluminium may contain impurities and its alloying elements can be more difficult to control. However, careful selection of high-quality scrap can enable secondary alloys to achieve purity levels approaching those of primary alloys.
Iron (Fe) is an important factor in distinguishing primary and secondary aluminium alloys because it is difficult to remove from molten aluminium and can form brittle intermetallic compounds that affect the mechanical properties of finished components. Primary aluminium alloys generally have lower iron content and are preferred where properties such as mechanical strength, ductility, corrosion resistance, workability, weldability, and electrical conductivity are critical. Secondary aluminium alloys, meanwhile, offer good castability and the inherent low density of aluminium, making them particularly suitable for high-pressure die-casting applications.
The proposed aluminium recycling project has a stated plant capacity of 6 MT/day and covers scrap pretreatment, cleaning, melting, refining, degassing, pouring, ingot production, quality control, emissions management, logistics, and related support facilities.
Cost Estimation
| Particulars | Value |
|---|---|
| Plant Capacity | 6 MT/Day |
| Land & Building (4000 sq.mt.) | Rs. 2.17 Cr |
| Plant & Machinery | Rs. 77 Lac |
| Working Capital for 2 Months | Rs. 4.17 Cr |
| Total Capital Investment | Rs. 7.86 Cr |
| Rate of Return | 49% |
| Break Even Point | 40% |
Content Index
- INTRODUCTION
- PROMOTER DETAILS
- INDUSTRY AND RECYCLING TREND
- ALUMINIUM PROPERTIES
- ALUMINUM INGOT SPECIFICATION
- USES AND APPLICATION
- APPLICATIONS
- B.I.S. SPECIFICATIONS
- PROCESS FLOW DIAGRAM
- MANUFACTURING PROCESS
- SCRAP PRETREATMENT
- MECHANICAL CLEANING
- PYROMETALLURGICAL CLEANING
- HYDROMETALLURGICAL CLEANING
- MELTING
- MOC -SKELNER FURNACE
- TEMPERATURE CONTROL
- DEGASSING
- POURING
- CLEANING
- EMISSIONS AND CONTROLS
- SCRAP PRETREATMENT EMISSIONS
- SMELTING/REFINING EMISSIONS
- SHIPMENT PROCESS FOR INGOT
- MARKING
- STRAPPING
- PACKING LIST & TEST CERTIFICATE
- LOADING
- LOGISTICS AND WAREHOUSES
- BUNDLING
- MARKET OVERVIEW OF ALUMINIUM RECYCLING INDUSTRY
- GLOBAL ALUMINIUM INDUSTRY STRUCTURE
- INDIAN ALUMINIUM INDUSTRY
- ALUMINIUM RECYCLING ECONOMY
- ALUMINIUM RECYCLING AND ITS SOCIO-ECONOMIC IMPLICATIONS
- RECYCLING ISSUES: LIFETIMES OF METAL PRODUCTS
- ALUMINIUM RECYCLING IN INDIA HAS A GREAT FUTURE.
- GLOBAL ALUMINIUM SCRAP EXPORTERS
- RECOMMENDATIONS ON INDIAN ALUMINIUM RECYCLING
- ALUMINIUM AS A CORE INDUSTRY
- ALUMINIUM AS A STRATEGIC SECTOR
- EXPORT POLICY FOR DOWNSTREAM INDUSTRY
- ZERO WASTE CONCEPT FOR THE INDUSTRY
- QUALITY CONTROL OF RECYCLED ALUMINIUM PRODUCTS
- POLLUTION CONTROL
- IMPORT-EXPORT OF ALUMINIUM PRODUCTS
- ALUMINIUM IMPORTS
- ALUMINIUM EXPORTS
- INDIA-ASEAN FREE TRADE AGREEMENT
- SWOT ANALYSIS
- STRENGTHS
- WEAKNESS
- OPPORTUNITY
- THREATS
- PLANT LAYOUT
- SUPPLIERS OF ALUMINIUM INGOT
- SUPPLIERS OF SKELNER FURNACE
- SUPPLIERS OF INGOT CASTING MACHINE
- SUPPLIERS OF SHREDDER
- SUPPLIERS OF DE-COATER
- SUPPLIERS OF MAGNETIC SEPARATOR
- SUPPLIERS OF SPECTROMETER
- SUPPLIERS OF POROSITY TESTING MACHINE
- SUPPLIERS OF AIR POLLUTION CONTROL EQUIPMENTS
- SUPPLIERS OF AIR CONDITIONING EQUIPMENTS
- SUPPLIERS OF AIR COMPRESSURE
- SUPPLIERS OF PLATFORM WEIGHING MACHINE
- SUPPLIERS OF MATERIAL HANDLING EQUIPMENT
- NDT INSPECTION EQUIPMENT
- SUPPLIERS OF FIRE FIGHTING EQUIPMENT
- SUPPLIERS OF ELECTRICAL MEASURING INSTRUMENTS
- SUPPLIERS OF ALUMINIUM CABLE SCRAP
- EXPORTER OF ALUMINIUM INGOT
- DOMESTIC BUYER
- SUPPLIERS FOR ALUMINIUM NOTCH BAR, SHOTS AND CUBES
- SUPPLIERS OF ALUMINIUM FOIL
- SUPPLIERS OF ALUMINIUM CONDUCTOR
- ALUMINIUM EXTRUSION SECTIONS
- SUPPLIERS OF ALUMINIUM PROFILE
- 1. LIST OF LICENSE REQUIRED FOR ALUMINIUM RECYCLING INDUSTRY
- 2. RELEVANT ACTS/RULES/ NORMS FOR RECYCLING ACTIVITY. SCRAP RECYCLING UNITS ARE TO ADHERE TO BELOW MENTIONED STATUTES AND ANY OTHER RELEVANT GUIDELINES ISSUED BY GOVERNMENT FROM TIME TO TIME:
- 3. SCRAP RECYCLING CENTERS SHOULD PREFERABLY ACCREDIT THEIR CENTERS/ UNITS WITH THE LATEST VERSION OF QUALITY STANDARDS VIZ.
- ALUMINIUM ALLOYS AND ITS CLASSIFICATION
- LIST OF ALUMINUM ALLOYS
- IDENTIFYING ALUMINUM ALLOYS
- WHAT IS THE STRONGEST ALUMINUM ALLOY?
- ALUMINUM ALLOY CLASSIFICATION
- LIST OF PUBLIC SECTOR UNDERTAKING (PSUS) USED ALUMINIUM AS A RAW MATERIALS
- FOR LICENSE AND EXPORT OF ALUMINIUM INGOTS
- BIS SPECIFICATION OF ALUMINIUM INGOTS
- IMPORTER OF ALUMINIUM SCRAP IN INDIA
- BUYER’S OF ALUMINIUM INGOTS
Appendix
- APPENDIX – A:
- 01. PLANT ECONOMICS
- 02. LAND & BUILDING
- 03. PLANT AND MACHINERY
- 04. OTHER FIXED ASSESTS
- 05. FIXED CAPITAL
- 06. RAW MATERIAL
- 07. SALARY AND WAGES
- 08. UTILITIES AND OVERHEADS
- 09. TOTAL WORKING CAPITAL
- 10. TOTAL CAPITAL INVESTMENT
- 11. COST OF PRODUCTION
- 12. TURN OVER/ANNUM
- 13. BREAK EVEN POINT
- 14. RESOURCES FOR FINANCE
- 15. INSTALMENT PAYABLE IN 5 YEARS
- 16. DEPRECIATION CHART FOR 5 YEARS
- 17. PROFIT ANALYSIS FOR 5 YEARS
- 18. PROJECTED BALANCE SHEET FOR (5 YEARS)
Frequently Asked Questions
Aluminium recycling is the process of treating aluminium scrap to produce new aluminium metal and alloys. The process generally involves scrap collection and sorting, pretreatment, cleaning, melting, refining, degassing, casting and quality control. Recycling provides an alternative to producing aluminium from primary raw materials and allows recovered metal to be converted into useful products such as aluminium ingots and alloys. The quality of the finished recycled alloy depends significantly on the composition and cleanliness of the scrap feedstock.
Scrap quality is important because it directly affects the chemical composition and quality of the recycled aluminium alloy. Different scrap streams can contain varying levels of alloying elements, contaminants and impurities. Proper segregation and pretreatment help control these inputs before melting. Better-quality and appropriately sorted scrap can support the production of secondary alloys with properties closer to those of primary alloys, while contaminated or poorly classified scrap can make alloy composition and final product quality more difficult to control.
Iron is an important impurity in aluminium recycling because it is difficult to remove from molten aluminium and can form brittle intermetallic compounds. These compounds may adversely affect the mechanical properties of finished aluminium components. Consequently, iron content and scrap composition need to be considered during scrap selection, melting and alloy management. The acceptable iron level depends on the intended alloy and application, making composition control an important part of recycled aluminium production and quality assurance.
The main steps typically include scrap pretreatment, mechanical or other cleaning, melting, refining, temperature control, degassing, pouring and casting into ingots. Depending on the scrap type, pretreatment may be used to remove coatings, non-metallic materials and other contaminants. The report also covers pyrometallurgical and hydrometallurgical cleaning approaches, followed by emissions control, product marking, strapping, packing, testing, loading and logistics. Process selection depends on scrap characteristics, desired alloy composition and product requirements.
Secondary aluminium alloys are often suitable for die casting because they can provide good castability while retaining aluminium's naturally low density. These characteristics make them useful for manufacturing components through processes such as high-pressure die casting. Their suitability depends on the specific alloy composition and the requirements of the finished component. Compared with applications requiring very high levels of ductility, weldability or electrical conductivity, die-casting applications can be more tolerant of alloy compositions associated with recycled aluminium.
Equipment requirements depend on the scrap stream, process route and finished product specifications. The report identifies equipment and supplier categories including shredders, de-coaters, magnetic separators, furnaces, ingot casting machines, spectrometers, porosity testing machines, air pollution control equipment, weighing machines, material handling equipment and inspection systems. Supporting facilities may include fire-fighting equipment, electrical measuring instruments, air compressors and other plant utilities. Equipment selection should be based on required throughput, scrap characteristics, alloy quality and applicable safety and environmental requirements.
Quality control for recycled aluminium ingots focuses on chemical composition, cleanliness, physical condition and compliance with applicable specifications. Scrap segregation and process control are important for maintaining consistent alloy chemistry. Testing equipment such as spectrometers can be used for composition analysis, while porosity and other inspection methods can help assess product quality. The report also addresses BIS specifications, marking, packing lists and test certificates. Consistent testing and documentation help manufacturers verify that finished ingots meet the requirements of their intended applications and customers.
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