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Soap Noodles Production from Vegetable Oil

Soap Noodles Production from Vegetable Oil. Manufacturing of Vegetable Oil Based Soap Noodles

 

Soap noodles are produced from vegetable oil and animal fat by saponification reaction and are formed as a salt of the fatty acids. These materials are used as a feedstock for producing soap. Its consistent composition, high quality, exceptional detergency, ease of application and bio-compatible nature are the important trends and factors influencing the market confidently. Therefore, they are used in various applications such as household use, special purpose soaps, industrial use and others.

Soap noodles are small noodle-like oil-based products. It is primarily used as a base material in the production of household and toilet soaps along with the additives like pigments, distinctive fragrance, and others. They are generally made from a sodium hydroxide reaction with vegetable oil-based fatty acids or tallow-based fatty acids.

Lots of manufacturers buy soap noodles and then add fragrance, pigments and many other components in the soap noodles to create their own brand of soap. With the help of soap noodles, a manufacturer can make a variety of soaps in different fragrances and features. Once the process has been completed then the soap is moulded and gets its final shape and then stamped with the brand and packaged for delivery.

Different kinds of specifications of soap noodles are used usually depend on the type of soap that is manufactured by the manufacturers such as laundry soap, toilet soap, high lather, translucent soaps and many more.

 

Market Outlook

Global soap noodles market is expected to reach USD 4,900.7 Million by 2025 at a CAGR of 3.9% during the forecast period from 2018-2025. The key contributing factor for the market growth are rising preference of consumers towards hygiene and living standard and awareness for cleanliness and growing demand of the product in end-use industries

Global soap noodles market is expected to grow over the forecast period owing to its increasing demand in soap industry. The product is used in the production of household and toilet soaps as a base material with addition of signature fragrance, pigments, and other additives in application industries. Depending on the qualities such as color, fatty acid, and water content, the prices of the product vary greatly across the globe.

Among the various segments in soap noodles market, the vegetable oil segment is the most common. Due to its economic nature, the manufacturers in various countries have developed their own products by adding various additives and reagents. Moreover, its growing use in toilet soaps, laundry soap, high lather soaps, and other along with an abundant supply of palm oil is estimated to drive the market. It is projected that the increasing use of tallow based soap noodles in developed economies is propelled to drive the market over the assessment period.

The market for applications is further classified into household use, special purpose soaps, industrial use, and others. Among these, the household use segment holds the major portion of the market on account of growing use of the product in toilet soaps, washing soaps, and others. The extensive use of soap noodles in special purpose soaps such as herbal soaps, aromatherapy soaps, and others is set to drive the market during the forecast period. Moreover, the textile industry has also witnessed a higher growth due to an increased consumption of the product in industrial soaps.

The global soap noodles market by source has been segmented into vegetable oil and tallow. Vegetable oil segment, comprised majorly by palm oil and palm kernel, held the largest share in 2018. Developing countries in Asia Pacific region are highly dependent on palm oil for soap noodle production. The presence of the significant palm oil manufacturing countries in the region namely Indonesia and Malaysia have made easier feedstock availability, which is the major factor attributing industry growth. Additionally, countries such as China and Japan also use animal fat for soap noodles production in the region. Tallow is a common source to produce soap mainly in North and Latin American countries. The abundant availability of tallow at a low cost in these regions is fuelling segment growth.

Soap noodles are categorized into various types depending on the raw materials used such as vegetable oil and tallow. In 2015, vegetable oil-based soap noodles led the overall soap noodles market vis-à-vis tallow-based soap noodles. Different specifications of soap noodles are produced by adding various functional additives depending on their end-use application such as toilet soaps, laundry soaps, translucent soaps, high lather soaps, and medicated soaps. The abundant supply of palm oil and the rise in consumer preference regarding the usage of vegetable-based materials are the major factors estimated to drive the vegetable oil segment during the forecast period.

The global soap noodles market is projected to generate maximum growth from the APAC region, as the soap market is thriving in the economies of China, India, Indonesia, Japan, and Malaysia. The Western European market to maintain its status as the second largest regional market for soap noodles during the forecast period.

The application segment includes household use, industrial use and special purpose. The household use segment dominated the market with the highest share in 2017.  The increase in population in South-East Asia and Central Asia and the rise in demand for soap products due to the increase in awareness towards hygiene are the major factors that augment the growth prospects of the soap noodles market in this segment.

Growing shift towards the use of liquid soaps and gels mainly in the developed regions is projected to be the major soap noodles market restraining factor in the coming years. The proficient soap manufacturers are seen to reduce innovation cost in their bar soap product segments and shifting their reliance into the liquid soap segments. This change in research and development expenditure is anticipated to be a major restraint of market growth.

The major players of market include PermataHijau Group, KLK OLEO, 3F INDUSTRIES LTD., Deeno Group, AdimuliaSarimas Indonesia, IOI Oleochemicals, Wilmar International Ltd., John Drury, Musim Mas Holdings, and VVF Limited.

 

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Ø  Introduction

·         Project Introduction

·         Project Objective and Strategy

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·         Properties

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·         Uses & Applications

 

Ø  Market Study and Assessment

·         Current Indian Market Scenario

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Ø  Plant and Machinery

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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