Business of Biomass Briquettes Manufacture: Demand in Global Markets:

Biomass Briquettes are a Biofuel Substitute to coal and charcoal. Briquettes are mostly used in the developing world, where cooking fuels are not as easily available. Briquetting or pelletizing is the process to improve the characteristics of Biomass as a Renewable Energy Resource by densification. Densification means less volume needed for the same amount of energy output.

 

 

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The advantages of biomass briquetting are by no means limited to its use in modern industrial plants or solid fuel boilers. Indeed, in developing countries a far bigger percentage of the population covers their Energy Needs with Biomass alone, where their primary need is for heat energy for cooking and heating. It is notable that biomass briquettes have played a bigger part in many projects over recent years, such as those for distributing Better Stove Technologies. Biomass briquettes can be produced out of many field or process residues and burning them in cooking appliances instead of Traditional Fuels as logged and collected wood or charcoal can be an interesting alternative for business makers but also for fuel clients.

 

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People have been using Biomass Briquettes in Nepal since before recorded history. Though inefficient, the burning of loose biomass created enough heat for cooking purposes and keeping warm. The first Commercial Production Plant was created in 1982 and produced almost 900 metric tons of biomass.

 

Growth in Global Market:

According Global Biomass Briquette Market Report, Global Biomass Briquette market size is projected to reach USD 612.6 million by 2026, from USD 401.4 million in 2020, at a CAGR of 7.3% during 2021-2026.

 

Related Book: - The Complete Book on Biomass Based Products (Biochemicals, Biofuels, Activated Carbon)

 

 

At present, the Biomass Fuel Industry is generally at a more advanced level in developed countries. The world's large enterprises are mainly concentrated in EU. While, foreign companies have more Advanced Equipment, strong R and D capability, and leading technical level. With the development of Chinese Biomass Fuel Industry Production Technology, their share in the International Market is increasing, and competitiveness in the international market gradually increases.


Biomass Briquettes are a Biofuel Substitute to coal and charcoal. Briquettes are mostly used in the developing world, where cooking fuels are not as easily available. Briquetting or pelletizing is the process to improve the characteristics of Biomass as a Renewable Energy Resource by densification. Densification means less volume needed for the same amount of energy output.



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The most common use of the briquettes is in the Developing World, where energy sources are not as widely available.

Gujarat is the Leading State across India in Production of Briquette. Binder less biomass briquette machines are used by above 150 biomass Briquette Manufacturers based in India.

Necessary requirements to start a briquette production unit:-

·         Land Requirement: Land area of minimum 1 acre is Required for Starting A Briquette Production Unit to store the raw materials for Briquetting and produced Briquettes.

·         Raw materials

·         Drying Facility to dry raw materials

·         Shredding machine

·         Briquetting machine

 

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Reasons of Growth:

The reason biomass briquettes are used worldwide is because they are Environmentally-Friendly, Entirely Renewable, And Easy to Implement. They can be used to boil water and create steam energy, propel turbines for electricity and even heat homes and businesses.

Concern for environment can be a major reason for production of biomass briquettes globally.

 

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Briquettes transformed by Biomass Waste increase density of biomass in bulk quantity, thus costs of storage, maintaining & transportation are reduced by almost 10 times, to make storage and transportation easier than fossil fuels. Various other fuel types which are quite expensive are harmful and difficult to handle. Biomass Briquettes Have a Long Shelf-Life and can be produced in a Variety of Sizes.

Biomass briquettes, as compared to the Traditional Fuels, are Economically Cheaper than Black Coal and more, because of their Less Purchase Price.

 

Conclusion:

Niir Project Consultancy Services (NPCS) provide detailed project reports, Books, Business Plan for Manufacturing Plant, Start-up Ideas, and Business Ideas for Entrepreneurs, etc. You can also get the detailed project report on “Biomass Briquettes Manufacture”, the project reports give reliable data on analysis of market, confirming availability of various necessities such as plant & machinery, raw materials to forecasting the financial requirements.

 

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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