How to Start a Manufacturing Business of Kerosene De Aromatization Plant

A kerosene de-aromatization plant is a facility that is used to remove the aromatic compounds from kerosene, a hydrocarbon-based fuel commonly used for lighting and cooking. The process of de-aromatization involves passing kerosene through a series of distillation columns, which separates the aromatic compounds from the non-aromatic compounds. The result is a kerosene product that is lower in aromatics and higher in non-aromatic hydrocarbons.

Starting a manufacturing business of a kerosene de-aromatization plant can be a profitable venture, as the demand for kerosene and its derivatives is quite high in developing countries like India, and also the current trend of producing low aromatic kerosene is increasing its demand even more. This can be a capital-intensive business and requires significant investment in equipment and facilities. However, with the right approach and a little bit of hard work, you can start a successful kerosene de-aromatization plant business.

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The process of de-aromatization can be done in different ways, some of which are chemical, catalytic, and distillation. The selection of the process depends on various factors like feedstock, desired end product, and the location of the facility. The design and process of a kerosene de-aromatization plant also may vary from location to location and from company to company. Therefore, before starting a business in this field, it is important to conduct thorough research and consult with experts in the field.

Market Size in India:

The kerosene market in India is a large and growing industry. According to data from the Petroleum Planning and Analysis Cell (PPAC), the consumption of kerosene in India reached 17.72 million metric tonnes in 2020. This represents a significant increase from previous years and is driven by a growing population and rising energy demand.

Kerosene is widely used in India as a source of lighting and cooking fuel, particularly in rural areas where access to electricity is limited. The Indian government also provides subsidies for kerosene to support low-income households.

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As of 2021, the Indian government has mandated the production of low-aromatic kerosene. This is expected to increase the demand for de-aromatization plants in the country.

Benefits of Kerosene De Aromatization:

Kerosene de-aromatization plants can provide several benefits for businesses:

1. Kerosene de-aromatization removes impurities, such as aromatic hydrocarbons, from kerosene, resulting in a higher-quality product that can command a higher price.

2. By removing impurities, kerosene de-aromatization can help reduce the environmental impact of kerosene use, by reducing emissions of pollutants such as benzene, toluene, and xylene.

3. De-aromatization of kerosene can reduce the costs associated with refining and processing, leading to cost savings for the business.

4. A de-aromatization plant can increase a business's production capacity, allowing it to meet higher demand and expand into new markets.

5. A de-aromatization plant can reduce a business's dependence on foreign imports of kerosene, making it less susceptible to price fluctuations and supply disruptions.

6. Increased product value, cost savings, and the ability to expand into new markets can lead to increased revenue for the business.

7. De-aromatized kerosene can be used for different applications such as aviation, chemical industries, and marine industry, giving access to new markets and revenue streams.

8. Producing high-quality, environmentally friendly, and safe products can help improve the reputation of the business and increase customer loyalty.

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Raw Materials Requirement:

The raw material required for a kerosene de-aromatization plant typically includes kerosene, also known as jet fuel, paraffin, or heating oil, which is a light hydrocarbon liquid that is primarily used as fuel for jet engines and heating systems. The kerosene must be free from contaminants and impurities such as sulfur and heavy metals and meets the standard ASTM D1655.

Additionally, the plant may require other materials and chemicals for the de-aromatization process, such as catalysts, solvents, and acids. The specific materials and chemicals used will depend on the type of process technology used in the plant. The plant also needs energy sources like electricity and steam to operate.

It's important to have reliable suppliers for these raw materials and to have backup options in case of supply disruptions. It's also important to conduct regular quality checks on the raw materials to ensure they meet the necessary standards and specifications.

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Registration, Certificates, and Licence Required:

Starting a kerosene de-aromatization plant business typically requires obtaining various licenses and permits to comply with regulations and industry standards. The specific registration and license requirements will vary depending on the location of the plant and the regulations in place. However, some common registration and licenses that may be required include:

· Business Registration

· Environmental License

· OSHA Compliance Safety and Health Certificate

· NFPA Compliance Fire Safety Certificate

· ASTM D1655 Product Certificate

· ISO 9001 Quality Management System Certificate

· Import-Export License

· Transport and Storage License

Land Acquisition:

The land should be located in an area that is accessible to the necessary infrastructure, such as transportation, power, and water. It should also be in close proximity to the source of raw materials, such as kerosene, and to the target market for the de-aromatized kerosene.

The land should be zoned for industrial use. The size of the land will depend on the size of the de-aromatization plant and associated facilities, such as storage tanks, office buildings, and parking.

The land should be free from environmental hazards such as floods, landslides, or soil contamination. The land should have good access to trucks and other vehicles for the transportation of raw materials and finished products. The land should have access to necessary utilities such as electricity, water, and natural gas.

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Investment:

Investment is a crucial aspect of starting a kerosene de-aromatization plant business. The total investment will depend on various factors such as the size of the plant, the location, the process technology used, and the specific requirements of the project.

· The biggest investment will typically be for the construction of the de-aromatization plant, including the cost of the land, building, equipment, and installation.

· The investment will be needed for the purchase of raw materials such as kerosene and chemicals used in the process, as well as for storage and handling facilities.

· Ongoing operating costs such as labor, utilities, maintenance, and insurance will also need to be factored into the investment.

· The investment will be needed for legal and professional services such as consulting, permitting, and compliance with regulations.

· The investment will be needed for marketing and branding to promote the business and its products.

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Conclusion:

The market for kerosene and its derivatives is quite high, particularly in developing countries like India, and the demand for low-aromatic kerosene is increasing. It's also important to comply with all the laws and regulations that apply to your business. And finally, to be successful in this business, you should have a continuous improvement mindset, and adapt to the latest advancements in the industry. With the right approach and a bit of hard work, you can start a successful kerosene de-aromatization plant business.

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