PRECIPITATED SILICA

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Tuesday, April 14, 2015

Precipitated silica is a silica (SiO2) produced by precipitation from a solution containing silicate salts. In 1999, more than 1M tons/y were produced, mainly for use in tires and shoe soles.

Silica has two main varieties (a) Ground silica and (b) Processed silica. Ground silica is practically sand and is abundant in India and worldwide only the percentage of SiO2 varies from source to source. In general these are known as sands and are very cheap and usually used for glass making. It has very minimum use in rubber, however, can be used as heat resistant compound in rubber. It does not show any effect on cure. Processed silica is again SiO2 but in a purified form. This is obtained only after further processing from ground silica and in such process the percentage of SiO2 is increased considerably (>98%). Precipitated silica is a kind of processed silica only. In this method, silica is precipitated after acidification of alkaline silicate solution. There are three different types of reactions, possible: • The alkaline silicate solution flows into the acid solution. • The acid solution flows into the alkaline silicate solution. • The alkaline silicate solution and acid solution flows jointly into water or primary natural salt solution.

CHEMICAL CHARACTERISTICS OF PRECIPITATED SILICA:

Ø  SiO2 content

Ø  Filler, softener and performance improvement in rubber and plastics.

Ø  Cleaning, thickening and polishing agent in toothpastes for oral health care.

Ø  Cleaning, thickening and polishing agent in toothpastes for oral health care.

Ø  IEVE residue

Ø  Tamped density

Ø  DBP absorption

Ø  Food processing and pharmaceuticals additive as anti-caking, free-flow, thickening agent and absorbent to make liquids into powders.

Ø  BET Surface area

Ø  pH value

Ø  Food rheology modifier

Ø  Defoamer component

Ø  Drying loss

Ø  Ignition Loss

GLOBAL DEMAND

Growth in manufacturing industry and high GDP growth in the emerging economies of India and China has led to growth in several end user segments such as automobiles, plastics and agriculture among others. On account of which, Asia Pacific has been dominating the global precipitated silica market both in terms of production and consumption and this trend is expected to continue during the forecast period. World demand to rise 5.6% per annum through 2018

Global demand for specialty silicas -- which include precipitated silica, silica gel, silica sol, and fumed silica -- is forecast to grow 5.6 percent per year through 2018 to 2.9 million metric tons, valued at just under seven billion dollars. This will represent an acceleration from the pace of the 2008-2013 period, as improved manufacturing levels in a stronger economic environment support faster gains in the developed countries of North America and Western Europe

Global demand     1.6 million metric tonne per annum

Global demand for  speciality  silicas  such  as precipitated silica,

fumed silica, silica gel and silica sol will grow by 5.6% a year to 2.8 million metric

tonne by 2016, according to the recent report from Freedonia Inc.

 

GLOBAL PRODUCERS

Important global producers include the following

      Evonik

      Rhodia

      PPG Industries

      Huber

      Tokuyama

      Glassvenset

      Specialty Chemical Products

      Madhu Silica,India

 

Source: NPCS Team


ABOUT NPCS

 

NIIR PROJECT CONSULTANCY SERVICES (NPCS) is a reliable name in the industrial world for offering integrated technical consultancy services. NPCS is manned by engineers, planners, specialists, financial experts, economic analysts and design specialists with extensive experience in the related industries.

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Our Market Survey cum Detailed Techno Economic Feasibility Report Contains following information:

 

 

Ø  Introduction

·         Project Introduction

·         Project Objective and Strategy

·         Concise History of the Product

·         Properties

·         BIS (Bureau of Indian Standards) Provision & Specification

·         Uses & Applications

 

Ø  Market Study and Assessment

·         Current Indian Market Scenario

·         Present Market Demand and Supply

·         Estimated Future Market Demand and Forecast

·         Statistics of Import & Export

·         Names & Addresses of Existing Units (Present Players)

·         Market Opportunity

 

Ø  Raw Material

·         List of Raw Materials

·         Properties of Raw Materials

·         Prescribed Quality of Raw Materials

·         List of Suppliers and Manufacturers

 

Ø  Personnel (Manpower) Requirements

·         Requirement of Staff & Labor (Skilled and Unskilled) Managerial, Technical, Office Staff and Marketing Personnel

 

Ø  Plant and Machinery

·         List of Plant & Machinery

·         Miscellaneous Items

·         Appliances & Equipments

·         Laboratory Equipments & Accessories

·         Electrification

·         Electric Load & Water

·         Maintenance Cost

·         Sources of Plant & Machinery (Suppliers and Manufacturers)

 

Ø  Manufacturing Process and Formulations

·         Detailed Process of Manufacture with Formulation

·         Packaging Required

·         Process Flow Sheet Diagram

 

Ø  Infrastructure and Utilities

·         Project Location

·         Requirement of Land Area

·         Rates of the Land

·         Built Up Area

·         Construction Schedule

·         Plant Layout and Requirement of Utilities

 

Project at a Glance

Along with financial details as under:

 

  •     Assumptions for Profitability workings

  •    Plant Economics

  •    Production Schedule

  •    Land & Building

            Factory Land & Building

            Site Development Expenses

  •    Plant & Machinery

             Indigenous Machineries

            Other Machineries (Miscellaneous, Laboratory etc.)

  •    Other Fixed Assets

            Furniture & Fixtures

            Pre-operative and Preliminary Expenses

            Technical Knowhow

            Provision of Contingencies

  •   Working Capital Requirement Per Month

             Raw Material

            Packing Material

            Lab & ETP Chemical Cost

           Consumable Store

  •   Overheads Required Per Month And Per Annum

         Utilities & Overheads (Power, Water and Fuel Expenses etc.)

             Royalty and Other Charges

            Selling and Distribution Expenses

  •    Salary and Wages

  •    Turnover Per Annum

  •   Share Capital

            Equity Capital

            Preference Share Capital

 

  •    Annexure 1:: Cost of Project and Means of Finance

  •    Annexure 2::  Profitability and Net Cash Accruals

                Revenue/Income/Realisation

                Expenses/Cost of Products/Services/Items

                Gross Profit

                Financial Charges     

                Total Cost of Sales

                Net Profit After Taxes

                Net Cash Accruals

  •   Annexure 3 :: Assessment of Working Capital requirements

                Current Assets

                Gross Working. Capital

                Current Liabilities

                Net Working Capital

                Working Note for Calculation of Work-in-process

  •    Annexure 4 :: Sources and Disposition of Funds

  •    Annexure 5 :: Projected Balance Sheets

                ROI (Average of Fixed Assets)

                RONW (Average of Share Capital)

                ROI (Average of Total Assets)

  •    Annexure 6 :: Profitability ratios

                D.S.C.R

                Earnings Per Share (EPS)

               

             Debt Equity Ratio

        Annexure 7   :: Break-Even Analysis

                Variable Cost & Expenses

                Semi-Var./Semi-Fixed Exp.

                Profit Volume Ratio (PVR)

                Fixed Expenses / Cost 

                B.E.P

  •   Annexure 8 to 11:: Sensitivity Analysis-Price/Volume

            Resultant N.P.B.T

            Resultant D.S.C.R

   Resultant PV Ratio

   Resultant DER

  Resultant ROI

          Resultant BEP

  •    Annexure 12 :: Shareholding Pattern and Stake Status

        Equity Capital

        Preference Share Capital

  •   Annexure 13 :: Quantitative Details-Output/Sales/Stocks

        Determined Capacity P.A of Products/Services

        Achievable Efficiency/Yield % of Products/Services/Items 

        Net Usable Load/Capacity of Products/Services/Items   

       Expected Sales/ Revenue/ Income of Products/ Services/ Items   

  •    Annexure 14 :: Product wise domestic Sales Realisation

  •    Annexure 15 :: Total Raw Material Cost

  •    Annexure 16 :: Raw Material Cost per unit

  •    Annexure 17 :: Total Lab & ETP Chemical Cost

  •    Annexure 18  :: Consumables, Store etc.,

  •    Annexure 19  :: Packing Material Cost

  •    Annexure 20  :: Packing Material Cost Per Unit

  •    Annexure 21 :: Employees Expenses

  •    Annexure 22 :: Fuel Expenses

  •    Annexure 23 :: Power/Electricity Expenses

  •    Annexure 24 :: Royalty & Other Charges

  •    Annexure 25 :: Repairs & Maintenance Exp.

  •    Annexure 26 :: Other Mfg. Expenses

  •    Annexure 27 :: Administration Expenses

  •    Annexure 28 :: Selling Expenses

  •    Annexure 29 :: Depreciation Charges – as per Books (Total)

  •   Annexure 30   :: Depreciation Charges – as per Books (P & M)

  •   Annexure 31   :: Depreciation Charges - As per IT Act WDV (Total)

  •   Annexure 32   :: Depreciation Charges - As per IT Act WDV (P & M)

  •   Annexure 33   :: Interest and Repayment - Term Loans

  •   Annexure 34   :: Tax on Profits

  •   Annexure 35   ::Projected Pay-Back Period And IRR