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Grease & Lube Oil Blending Plant

Capacity 0 Plant and Machinery cost 0.00 Lakhs
Working Capital 0.00 Rate of Return (ROR) 0.00 %
Break Even Point (BEP) 0.00 % TCI 0.00 Lakhs
Cost of Project 0.00Lakhs

Description:

Grease & Lube Oil Blending Plant. Lubricants & Greases Manufacturing Business. Lube Oil Blending and Filling Plant.

 

Lubrication is simply the use of a material to improve the smoothness if movement of one surface over another; the material which is used in this way is called a lubricant. Lubricants are usually liquids or semi-liquids, but may be solids or gases or any combination of solids, liquids, and gases.

Lubricant is a substance which is used to control (more often to reduce) friction and wear of the surfaces in a contact of the bodies in relative motion. Depending on its nature, lubricants are also used to eliminate heat and wear debris, supply additives into the contact, transmit power, protect, seal. A lubricant can be in liquid (oil, water, etc.), solid (graphite, graphene, and molybdenum disulfide), gaseous (air) or even semisolid (grease) forms. Most of the lubricants contain additives (5-30%) to improve their performance.

Lubricating oil creates a separating film between surfaces of adjacent moving parts to minimize direct contact between them, decreasing heat caused by friction and reducing wear. Lubricating oils are specially formulated oils that reduce friction between moving parts and help maintain mechanical parts. Lubricating oil is a thick fatty oil used to make the parts of a machine move smoothly.

Lubricating oil, sometimes simply called lubricant/lube, is a class of oils used to reduce the friction, heat, and wear between mechanical components that are in contact with each other. Lubricating oil is used in motorized vehicles, where it is known specifically as motor oil and transmission fluid.

Applications of Lubricants:

Lubricants are primarily used to reduce friction stress between surfaces. They have the following uses:

·         As antiwear, antioxidants, and antifoaming agents.

·         As demulsifying and emulsifying agents.

·         As rust and corrosion inhibitors.

·         In machinery as engine oils, compressor oils, gear oils, and piston oils.

·         As hydraulic, brake, and gear box fluids.

·         Used in the soap and paint industries.

·         Some specific uses of certain variants of lubricants are:

·         Synthetic lubricants are used in turbines, vacuum pumps, and semiconductor devices.

·         Molybdenum is used as a paint pigment and as a catalyst.

·         Liquid lubricants are used in medicines.

Lubricants are also used as cutting fluids in many industries. Oil, water, and oil emulsion are used as cutting fluids. These liquids are used to cool as well as to lubricate surfaces. Emulsions of oil in water are most widely used as cutting fluids. Lubricants are also used as cutting fluids in cutting, grinding, trading, and drilling of the metals. Cutting fluids are used in machining operations where friction is very high because of close contact between the work piece and the tool. This high friction generates a large amount of local heat and the tool is overheated and may even lose its temper and hardness. As a result, liquids, such as lubricating oils, water, or water emulsions are used on working parts of the machines.

The use of lubricating oils in vehicles is vital to their operation. When an engine is properly lubricated, it needs to put less work into moving pistons as the pistons glide easily. In the long run, this means that the car is able to operate while using less fuel and run at a lower temperature. Overall, the proper use of lubricating oil in a car improves efficiency and reduces the amount of wear and tear on moving engine parts.

Grease

A grease is best thought of as a sponge full of oil, with the sponge being the “base“ or thickener. It holds the oil and additives in place and gives the grease the basic characteristics such as drop point and water resistance. The oil content, typically 80-90% of the grease, provides most of the lubrication performance. To achieve the desired characteristics of a grease, careful selection of base lubricating oil viscosity, base type additives and fillers is essential.

When Are Greases Used

Greases are generally used in place of oil in the following situations:

·         The manufacturer specifies a grease and a lubricant is not required for cooling.

·         Where the grease acts as a seal to prevent entry of contaminants or loss of lubricant.

·         Soft grease can be used in place of oils in gearboxes with worn or ineffective seal or where oils would be thrown off the bearing surfaces or leak past seals.

·         Lubrication points can only be reached during maintenance shutdowns.

·         It is important to maintain lubricant in the bearing area during periods of prolonged shutdowns or frequent stop-start operations (oil drains away when a machine is stopped but a grease does not).

·         Where noise reduction is important.

·         To decrease the frequency of lubrication.

·         In worn bearings previously lubricated by oil to reduce noise and extend useful life.

·         Resists leakage, dripping or undesirable throw off.

·         The main advantage of grease over a fluid are its potentially longer life convenience and ease of application.

 

Market Outlook

The main role of a lubricant is to reduce friction between metal surfaces, leading to reduction of heat generation and ultimately to the protection of the parts. Lubricants play an important role in a variety of automotive, commercial and industrial applications such as automotive, manufacturing, power generation and marine. Automotive vehicles require engine oils, transmission fluids, brake fluids and greases.

The main role of a lubricant is to reduce friction between metal surfaces, leading to reduction of heat generation and ultimately to the protection of the parts. Lubricants play an important role in a variety of automotive, commercial and industrial applications such as automotive, manufacturing, power generation and marine. Automotive vehicles require engine oils, transmission fluids, brake fluids and greases.

A total of 64,585 KL of lubricants, worth of LKR 26.11 billion were sold during the year 2016, up 11.4 % compared to the total sales (quantity) of the year 2015.

Lubricant consumption in India stood at around 2.9 million MT during 2013-14, registering a healthy growth rate of 7.6% during 2008-13; the market was valued at around INR 260 billion. Automotive lubricants account for around 47% of the lubricant usage in India; industrial lubes and process oils together account for the rest.

Currently, USA is the largest consumer of lubricant oil across the world. China and India comes at second and third position respectively. The consumption pattern In Indian lubricant oil industry is similar to world lube industry. Majority of lubricant is being consumed by automobile sector (55%), rest is being used for Industrial purpose and marine industry.

Industrial lubricants are majorly used in the core industrial sectors such as spamming cement, coal, steel, engineering, sugar, marine, defense, railways, power, surface transport, fertilizer and others. The business is driven by growth in infrastructure investments, manufacturing, mining sector and increased manufacturing exports. In this segment demand for high performance lubricants are driven by applications such as compressors, textile machinery windmills, captive power plants and others. One of the essentials in lubricant science is world-class technology. Lubricant technology is driven by the changing needs of the customers and stakeholders.

As the global lubricants market volume expected to grow from an estimated 38,635.3 KT in 2014 to 42,780.7 KT by 2019, with a CAGR of 2.4 per cent between 2014 and 2019, India is set to put its foots into the path of economic growth as well.

Automotive is the largest and fastest-growing end-use industry for grease. The passenger vehicles and commercial vehicles are driving the demand for high performance grease in the automotive industry. In the automotive industry, grease is extensively used in various auto parts such as wheel bearings, universal joints, suspensions, gears, switches, and connectors because of their excellent properties such as mechanical stability, temperature tolerance, water resistance, and anti-oxidants. The need for high performance grease is rising in the increasing manufacturing of machines and equipment for end-use industries.

Industrial greases market trails the GDP due to their widespread application in manufacturing of goods and automotive maintenance operations. Due to the surge in manufacturing in Asia Pacific, the industrial greases market in the region is estimated to witness growth, expanding at a CAGR of 6.3% between 2015 and 2021 in terms of revenue. With the anticipated increase in manufacturing in China in the coming years, the demand for industrial greases in the country is expected to rise between 2015 and 2021. With the rising operating time of machines and greater speed of operations, the need for industrial greases is expected to increase by 2021. Besides, with increase in mechanization of manufacturing activities in developed regions such as North America and Europe, demand for industrial greases is anticipated to increase in these markets. 

 

Tags

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Information

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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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And before diversifying/venturing into any product, wish to study the following aspects of the identified product:


• Good Present/Future Demand
• Export-Import Market Potential
• Raw Material & Manpower Availability
• Project Costs and Payback Period


We at NPCS, through our reliable expertise in the project consultancy and market research field, Provides exhaustive information about the project, which satisfies all the above mentioned requirements and has high growth potential in the markets. And through our report we aim to help you make sound and informed business decision.

 

The report contains all the data which will help an entrepreneur find answers to questions like:

• Why I should invest in this project?
• What will drive the growth of the product?
• What are the costs involved?
• What will be the market potential?


The report first focuses on enhancing the basic knowledge of the entrepreneur about the main product, by elucidating details like product definition, its uses and applications, industry segmentation as well as an overall overview of the industry sector in India. The report then helps an entrepreneur identify the target customer group of its product. It further helps in making sound investment decision by listing and then elaborating on factors that will contribute to the growth of product consumption in India and also talks about the foreign trade of the product along with the list of top importing and top exporting countries. Report includes graphical representation and forecasts of key data discussed in the above mentioned segment. It further explicates the growth potential of the product.

The report includes other market data like key players in the Industry segment along with their contact information and recent developments. It includes crucial information like raw material requirements, list of machinery and manufacturing process for the plant. Core project financials like plant capacity, costs involved in setting up of project, working capital requirements, projected revenue and profit are further listed in the report.


Reasons for buying the report:

• This report helps you to identify a profitable project for investing or diversifying into by throwing light to crucial areas like industry size, demand of the product and reasons for investing in the product.

• This report provides vital information on the product like its definition, characteristics and segmentation.

• This report helps you market and place the product correctly by identifying the target customer group of the product.

• This report helps you understand the viability of the project by disclosing details like raw materials required, manufacturing process, project costs and snapshot of other project financials.

• The report provides forecasts of key parameters which helps to anticipate the industry performance and make sound business decision.

 

Our Approach:


• Our research reports broadly cover Indian markets, present analysis, outlook and forecast.

• The market forecasts are developed on the basis of secondary research and are cross-validated through interactions with the industry players. 

• We use reliable sources of information and databases.  And information from such sources is processed by us and included in the report.

 

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