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Extraction and Production of Essential Oils

Extraction and Production of Essential Oils

(Phytochemicals, Aromatic Chemicals, Aromatic Compounds, Spice Oils and Oleoresins, Curcumin, Rose Oil Extraction, Chilli Oil, Ginger Oil, Black Pepper Oil, Chilli Oleoresin, Cresols, Menthol Oil, Clove Oil & Citronella Oil, Patchouli Oil, Garlic Oil)

 

The essential oils are extracted from the botanical material using a variety of extraction methods to suit the material extracted from and are highly odoriferous liquids.

Essential oils are the fragrant, highly concentrated natural constituents that are found in plants. They are what give the plant its characteristic odour and contain the healing power of the plant from which it was extracted. When used correctly, essential oils bring a wide range of health benefits since unlike modern drugs, they have no side-effects.

How are Essential Oils Extracted?

Mostly, essential oils are obtained by steam distillation although other methods are used. Citrus fruits are cold pressed by mechanical means, and the oil from delicate flowers is obtained by a more sophisticated method that produces what is known as an absolute - not an essential oil. This special process is used because delicate flowers cannot withstand the high temperatures needed to extract essential oils by steam distillation.

After extraction, the resulting essential oil is a highly concentrated liquid that contains the aroma and therapeutic properties of the source from which it came. Nothing should be added or removed from this oil if it is to be used in aromatherapy. To achieve maximum therapeutic benefits, essential oils should be exactly as they came from the still - 100% pure and natural. A true essential oil.

Curcumin

Turmeric is native to Asia and India. It is very important spice in India, which produces nearly the whole world’s crop and used 80% of it. It has been used in Indian systems of medicine for a long time. Turmeric is a very unique and versatile natural plant product combining the properties of a spice of flavourant, a colourant of brilliant yellow dye, cosmetic and a drug….Read more

Rose Oil Extraction

Out of 5000 varieties of roses in India, only fasli Rosa and Edward Rose yield rose oil. The Fasli variety is found in Aligarh and Edward rose in kannauj. Rose oils are in constant use in perfume spray industry, toilet soap industry and talcum powder industry….Read more

Chilli Oil

Spices are used for flavour, colour, aroma and preservation of food or beverages. Spices may be derived from many parts of the plant: bark, buds, flowers, fruits, leaves, rhizomes, roots, seeds, stigmas and styles or the entire plant tops. The term “herb” is used as a subset of spice and refers to plants with aromatic leaves….Read more

Ginger Oil

Ginger is one of the oldest and most important spices used in different kinds of food preparation. Ginger possesses a warm pungent taste and a pleasant odor, hence it has a wide use as a flavoring in numerous food preparation, beverages, ginger bread, soups, pickles and many soft drinks….Read more

Black Pepper Oil

The trade distinguishes between two principal types of pepper, viz., the black and the white both derived from the same plant piper nigrum L. (fam. Piperaceae), a climbing or trailing vine like shrub native to southern India. Black pepper is the dried whole unripe fruit of this plant….Read more

Garlic Oil

Garlic is one of the important bulb crops grown and used as spice and condiment throughout India. It possesses a high nutritive value and medicinal property. Allicin, the principle of garlic has antibiotic properties. The plant is a small herb and produces a group of small bulbs called cloves covered with a thin skin….Read more

Chilli Oleoresin

The paprika oleoresins are produced by solvent extraction of dried, ground red pepper fruits, using a solvent-system compatible with the lipophilic/hydrophilic characteristics of the extract sought and subsequent solvent-system removal….Read more

Cresols

Cresols are organic compounds which are methylphenols. They are a widely occurring natural and manufactured group of aromatic organic compounds which are categorized as phenols (sometimes called phenolics). Depending on the temperature, cresols can be solid or liquid because they have melting points not far from room temperature….Read more

Herbal Natural Essential Oil (Super Critical Liquid Carbon Dioxide Process)

Herbs like pudina, Palmrosa, citronella etc. can be easily used for the steam distillation process for the distillation of essential oil, but tuberosa, rose cannot be used for steam distillation process since by steam temperature it break down its entity and oil loss its property….Read more

Menthol Oil, Clove Oil & Citronella Oil

Menthol, Spearmint Oil, Citrate oil and Basil oil from Northern India found roads in to other countries. Menthol has got wide range of applications ranging from perfumery, cigarettes, liquors, as a horning agent in chewing gum and number of pharmaceutical formulations….Read more

Patchouli Oil

Patchouli oil is an essential oil, which is produced from the botanical source of plant name Pagosternum cablin. It is extracted from parchouli leaves as raw material by using solvent extraction or super critical carbon dioxide extraction process….Read more

Oleoresin of Spices

Oleoresin (Oleo + Resin) is a homogeneous mixture comprising of resin and oils that are volatile in nature. Before understanding the details of Oleoresins, let us first look at the nature of resin. Resin is obtained from many plants, especially coniferous trees, as a hydrocarbon secretion. And as far as its usage is concerned, no one is unaware that resin is used as adhesives and varnishes….Read more

 

Market Outlook

The global essential oil market size exceeded USD 6.0 billion in 2015. Increasing applications in aromatherapy coupled with rising demand for fragrances and flavors in food & beverages and personal care is expected to drive market growth over the forecast period.

Essential oils are also widely utilized in cleaning & home products owing to their superior antibacterial and antiseptic properties. Customers are keen on specialized products as various applications require specific characteristics and ingredients.

Essential oils demand from spa & relaxation application is expected to grow at a CAGR of 8.7% from 2016 to 2024. Essential oils have a great soothing and calming effect on the nervous system and are also beneficial in blood circulation stimulation, which has triggered the essential oils demand from spa & relaxation application segment.

The essential oil market is segmented on the basis of product type, application, and geography. The product segment is further classified as orange, eucalyptus, corn mint, peppermint, citronella, lime, lemon, clover leaf, spearmint, ginger and others. Based on application, the essential oil market is classified as food & beverages, medical, cleaning & home, spa & relaxation, and others. Spa & relaxation is estimated be the fastest growing application segment, closely followed by the applications of essential oils in Food & beverages.

Essential oils and oleoresins market is expected to show healthy CAGR in the next four to five years.

The global cresols market is single-handedly driven by the burgeoning demand for vitamin E. Vitamin E is primarily used for fortification of food and beverages and in dietary supplements. Changing lifestyles coupled with the increasing incidence of food adulteration is leading to the greater demand for dietary supplements. The opportunity in the global cresols market was worth US$266.07 mn in 2016 and is poised to reach US$325.01 mn by the end of 2023, progressing at a CAGR of 3.3% therein.

 

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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

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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