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Profitable Project Investment Opportunity in Acetates Production

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:

Profitable Project Investment Opportunity in Acetates Production. Ethyl and Butyl Acetate Manufacturing Business

 

Ethyl acetate

Ethyl acetate is a moderately polar solvent that has the advantages of being volatile, relatively non-toxic and non-hygroscopic. It is an important green organic solvent with excellent dissolving ability and quick-drying property. Ethyl acetate (structure shown above) is the most familiar ester to many chemistry students and possibly the ester with the widest range of uses. Esters are structurally derived from carboxylic acids by replacing the acidic hydrogen by an alkyl or aryl group. Ethyl acetate itself is a colourless liquid at room temperature with a pleasant "fruity" smell, b.p. 77°C.

Common Uses of Ethyl Acetate

Ethyl acetate is manufactured on a large scale, as over 1 million tons are produced annually in the world. This chemical is used commonly due to its low cost and agreeable aroma.

·         Nail polish remover

·         Cigarettes

·         Glue

·         Paint (as an activator or hardener)

·         Confections (as an artificial flavor)

·         Perfume

Ethyl acetate has many uses, such as artificial fruit essences and aroma enhancers, artificial flavours for confectionery, ice cream and cakes, as a solvent in many applications (including decaffeinating tea and coffee) for varnishes and paints (nail varnish remover), and for the manufacture of printing inks and perfumes.

Ethyl acetate is most commonly used as a solvent (due to its dilution properties).  As a high purity solvent, it is used in cleaning electric circuit boards and as a nail polish remover.  At a lower purity, it can be used as in printing, pharmaceuticals, perfumes, food, decaffeination of tea/coffee and a carrier solvent for herbicides. Ethyl acetate is also used in coating formulations for wood furniture, agricultural, construction equipment, mining equipment and marine uses.  It is also naturally produced in wine during the fermentation process.  The main user end markets of these product are the electronics, cosmetic, printing, food and coatings industries.

In addition to the common uses listed above, ethyl acetate is also used in the process of decaffeinating coffee and tea, and it occurs as a byproduct of acetic acid and ethyl alcohol in wine fermentation.

Ethyl Acetate Market size may grow significantly over the forecast timeframe as it is used as solvent in inks, oil based enamels and adhesives. It also finds application in cosmetics, wine food & beverage and laboratory experiments.

It is organic in nature and known as ethyl ethanoate, acetic ester or acetic ether. It is manufactured by Fischer ethanol esterification and acetic acid or ethanol dehydrogenation Hydrogenation process is more economical and commonly accepted process in chemical plant.

Ethyl acetate has wide application scope in nail products including nail polish removers, nail polishes and base coats as efficient solvent. It possesses fruity odour and acts as film forming agent in nail paint. It is also used in nail paint remover as it is gentle on nail enamel and quickly removes nail paint. Frequent consumer visits in spa and salon to maintain nails may contribute towards product demand. Rise in nail products demand due to growing awareness regarding personal grooming mainly in young generation may boost product demand in nail care applications.

Ethyl acetate is common two components solvents in column chromatography. It has more than four polarities thereby used in difficult separations. Column chromatography is used in wine industry to differentiate various wine types and to study wine vintage. Global chromatography market was valued at over USD 7.05 billion in 2016. Rise in wine consumption mainly in Germany and UK should favour ethyl acetate market size.

The global ethyl acetate market has experienced a remarkable growth over the last decade owing to its use in the several industries such as food & beverage, pharmaceutical, cosmetics, laboratories and others. Progressive growth in such industries has propelled the demand for ethyl acetate across the world.

Domestic demand is driven by its use as a solvent for printing inks, paints and in pharmaceuticals as well as in exports. India exports significant volumes of ethyl acetate, however, domestic production is not up to full capacity because of low demand.

Ethyl Acetate is an organic compound produced by Fischer ethanol esterification and ethanol dehydrogenation process. This process is termed as an economic process and widely used in a chemical plant. Ethyl Acetate is prominently used in automotive, construction, pharmaceuticals, medical, food & beverages, packaging, to produce best quality products in the sectors.

Butyl acetate

Butyl acetate, also known as butyl ethanoate is an organic compound which is majorly used as a solvent for manufacturing lacquers and other products. It is a flammable colorless liquid which is found in various types of fruits. Butyl acetate is commonly used as a synthetic fruit flavoring in certain food products such as cheese, ice creams, candies and baked goods. It is primarily manufactured by the Fischer esterifaction of acetic acid and butanol isomer in the presence of catalytic sulfuric acid. Butyl acetate also serves as a raw material in certain coating, cosmetic and adhesive industries. Various isomers of butyl acetate are produced in the industry such as sec-butyl acetate, tert-butyl acetate and isobutyl acetate.

Butyl acetate is widely used as a solvent for lacquers, since it provides good flow and brush resistance in film-coating resins such as cellulose nitrate, cellulose acetate butyrate, ethyl cellulose, polystyrene, and methyl methacrylate resins. It is also largely used as a solvent in the manufacture of plastics, textiles, artificial leathers, as an ingredient for perfumes & synthetic flavors, and as an extractant for oils & pharmaceuticals. China, Germany, and U.S. are the largest consumers of n-butanol for manufacturing butyl acetate. Growth in this segment is driven by increasing use of paints, lacquers, and cosmetics.

The market for butyl acetate (BAC or butac), which primarily is a colorless flammable liquid ester with fragrance, is flourishing on the back of the prosperity of its various end-use industries such as building and construction and automotive. In addition to that, butyl acetate is now frequently used as synthetic fruit flavoring agent for the manufacturing of food products such as cheese, ice creams, bakery products, and candles. It also is used as a raw material for the production of cosmetics, industrial adhesives, and certain coating. Consequently, as each of these industries touch new peaks in the near future, the demand in the global butyl acetate market is anticipated to increment at a notable CAGR during the forecast period of 2017 to 2025.

The demand for butyl acetate has been swelling consistently, aggressively during peak season for solvents. In addition to that, increasing usage of water-based coatings by the building and constructing industry as well as growing demand for automotive paints are also reflecting positively on the market. A number of cosmetic products and adhesives are now also produced using butyl acetate, which is further providing traction to the market. Butyl acetate is now a common solvent for the manufacturing of textiles, plastics, artificial leathers, as an extractant for oils & pharmaceuticals and as an ingredient for perfumes & synthetic flavors. On the other hand, hazardous issues pertaining to the production of butyl acetate and the need to continuously monitor the exposure level are obstructing the market from attaining its true potential.

The global market for butyl acetate has witnessed a significant growth over the past few years, primarily driven by the growing demand in the Asia Pacific region. Production facilities of the compound are primarily concentrated in North America and Europe, which also serve as the major exporting regions. Developed regions such as the Middle East is anticipated to gain significant share in the butyl acetate industry on account of increasing efforts by their governments to attract various petrochemical and chemical companies.

 

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  • One Lac / Lakh / Lakhs is equivalent to one hundred thousand (100,000)
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• Good Present/Future Demand
• Export-Import Market Potential
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• Project Costs and Payback Period


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• What will be the market potential?


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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.


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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

·         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