SULPHUR 90% WDG
[CODE NO 1517]
India is the fourth largest producer of agrochemicals globally, after United States, Japan and China. The agrochemicals industry is a significant industry for the Indian economy. The Indian agrochemicals market grew at a rate of 11% from USD 1.22 billion in FY08 to an estimated USD 1.36 billion in FY09. India’s agrochemicals consumption is one of the lowest in the world with per hectare consumption of just 0.58 Kg compared to US (4.5 Kg/ha) and Japan (11 Kg/ha). In India, paddy accounts for the maximum share of pesticide consumption, around 28%, followed by cotton (20%). Indian population is increasing and the per capita size of land decreasing, the use of pesticides in India has to improve further. Besides increasing in domestic consumption, the exports by the Indian Agrochemicals Industry can be doubled in the next four years if proper strategies and sophisticated technologies are adopted by the industry.
Industry Structure………
In India, there are about 125 technical grade manufacturers (10 multinationals), 800 formulators, over 145,000 distributors. 60 technical grade pesticides are being manufactured indigenously. Technical grade manufacturers sell high purity chemicals in bulk (generally in drums of 200-250 Kg) to formulators.
Formulators, in turn, prepare formulations by adding inert carriers, solvents, surface active agents, deodorants etc. These formulations are packed for retail sale and bought by the farmers.
The Indian agrochemicals market is characterized by low capacity utilization.
The total installed capacity in FY09 was 146,000 tons and total production was 85,000 tons leading to a low capacity utilization of 58%. The industry suffers from high inventory (owing to seasonal & irregular demand on account of monsoons) and long credit periods to farmers, thus making operations ‘working capital’ intensive.
India due to its inherent strength of low-cost manufacturing and qualified low-cost manpower is a net exporter of pesticides to countries such as USA and some European & African countries. Exports formed ~50% of total industry turnover in FY08 and have achieved a Compounded Annual Growth Rate (CAGR) of 29% from FY04 to FY08.
Cost Estimation
Plant Capacity 20.00MT/Day
Land & Building (8000 Sq.Mtr) Rs.11.28 Cr
Plant & Machinery Rs.1.07 Cr
W.C. for 3 Months Rs. 5.98 Cr
Total Capital Investment Rs. 18.87 Cr
Rate of Return 53%
Break Even Point 27%
MARKET SURVEY CUM DETAILED TECHNO
ECONOMIC FEASIBILITY REPORT covers
• Introduction
• Properties
• BIS (Bureau of Indian Standard) Specifications & Requirements
• Uses & Applications
• Present Indian Market Position
• Expected Future Demand
• Export & Import Statistics Data
• Names and Addresses of Existing Units (Present Manufactures)
• List of Plant & Machineries
• Miscellaneous Items and Accessories
• Instruments, Laboratory Equipments and Accessories
• Electrification, Electric Load and Water
• Maintenance, Suppliers/Manufacturers of Plant and Machineries
• Process of Manufacture with formulae if applicable
• Flow Sheet Diagram
• List of Raw Materials
• Availability of Raw Materials
• Requirement of Staff & Labour
• Personnel Management
• Skilled & Unskilled Labour
• Requirement of Land Area
• Built up Area
• Plant Layout.
along with financial details as under:
Summary of Capital Cost of Project
Land & Side Development Exp.
Buildings
Plant & Machineries
Misc. Fixed Assets
Technical Know how Fees & Exp.
Preliminary Expenses
Pre-operative Expenses
Provision for Contingencies
below mentioned financial statements (Annexure) will be for 5 to 10 Years
Annexure :: Cost of Project and Means of Finance
Annexure :: Output, Profitability and Cash Flow Chart
Annexure :: Assessment of Working Capital requirements
Annexure :: Sources of Finance
Annexure :: Balance Sheets
Annexure :: Break-Even Analysis and profitability analysis.
Annexure :: Quantitative Details-Output/Sales/Stocks
Annexure :: Sales Realisation
Annexure :: Raw Material Cost
Annexure :: Other Raw Material Cost
Annexure :: Packing Material Cost
Annexure :: Consumables, Store etc.,
Annexure :: Employees Expenses
Annexure :: Fuel Expenses
Annexure :: Power/Electricity Expenses
Annexure :: Repairs & Maintenance Exp.
Annexure :: Other Mfg. Expenses
Annexure :: Administration Expenses
Annexure :: Selling Expenses
Annexure :: Depreciation Charges - Profitability
Annexure :: Depreciation Charges
Annexure :: Interest and Repayment - Term Loans
Annexure :: Tax on Profit
Annexure :: Assumptions for Profitability workings
Annexure :: Assessment of Working Capital
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