FORMALDEHYDE
Capacity/Shifts/Days
Production capacity for manufacturing of Formaldehyde is suggested to be 60,000 tonnes per annum based on 300 days in a year.
Market Prospect
PRODUCT APPLICATION
Formaldehyde (HCHO or CH20)is a readily polymerizable gas. It is commercially available as a37 to 50 per cent aqueous solution, which may contain up to 15 percent Methanol to inhibit polymerization. Gaseous formaldehyde has astrong pungent odour, soluble in water and alcohol. Formaldehyde in the form of 37 per cent aqueous solution with 15 percent Methanol has boiling point of 96° C. Formaldehyde is toxic by inhalation and skin irritant. It has moderate fire risk. It may be stored and transported in drums, bottles, tankers and trucks. Storage and transportation of formaldehyde require necessary precautions for hazardous materials.
Formaldehyde is used in the manufacture of a number of thermosetting resins and moulding powders such as Melamine Formaldehyde, Phenol Formaldehyde, Urea Formaldehyde, Resorcinol Formaldehyde,etc. It is also used for producing Polyacetal Resin, Pentaerythritol, Rexamethylenetetramine, dyes, medicine, embalming fluids, preservatives, hardening agent, reducing agent, corrosion inhibitor in oil wells, durable press treatment of textile fabrics etc.
EXISTING PRODUCTION
Current (1996-97) production of formaldehyde in India is about 2.4 lakh TPA.
MAJOR EXISTING UNITS
i) Allied Resins & Chemicals Ltd., Calcutta
ii) Southern Synthetics Ltd., Ranipet, Tamil Nadu
iii) Hindustan Organic Chemicals Ltd., Maharashtra
DEMAND PROJECTION
Likely demand, according to the Perspective Planning report, would be well over 3 lakh TPA by the turn of this century.
Raw Materials/Consumables
The main raw material required for the manufacture of Formaldehyde is Methanol. It is likely to be available in sufficient quantities indigenously and no imports may be necessary.
Consumables/Packaging / Rs. 14.30 Mn.
Total cost of raw materialsincluding Consumables/Packaging / Rs. 300.30 Mn.
Utilities
Power / 300 KVA
LDO / 0.04 KL/Day
Source of Technology
i) Blagden Campbell Chemicals Ltd., UK
ii) Gaf-Hul Chemie GmbH, Germany
iii) Dor Chemicals Ltd., Israel
iv) Nichiyu Chemical Co. Ltd., Japan
Manufacturing Process
Formaldehyde may be made either by catalytic vapour phase oxidation of Methanol or by a combination of oxidation dehydrogenation process. Exothermic oxidation and endothermic dehydrogenation of Methanoloccur simultaneously in commercial units in a balanced reaction, called auto thermal because the oxidativereaction furnishes heat tocause the dehydrogenation to take place. The ratio of air and Methanol for oxidative reaction is required to be maintained at 1.6m3 of air per Kg. of Methanol. The yield of Formaldehyde is around 50-60 per cent by the exothermic reaction.
Employment Potential
Skilled / 100Unskilled / 25
Administrative/Supervisory / 50
Total / 175
Project Cost
(Rs. in Mn.)
Land & Land Development (2500 sq. m.) / 0.50Building & Civil Structure (1200 sq. m.) / 4.50
Plant & Machinery / 400.00
Utilities, Services & Misc. Fixed Assets / 80.00
Preliminary & Preoperative expenses / 62.00
Contingency / 54.50
Margin Money for Working Capital / 22.50
Total / 624.00 (US$ 16.42 Mn.)
Means of Finance
(Rs. in Mn.)
Share Capital / 312.00Term Loan / 312.00
Total / 624.00
Project Parameters
Working Capital requirement (3rd year) / Rs. 120.00 Mn.
Bank Finance for working capital (3rd year) / Rs. 90.00 Mn
Implementation period / 18 Months
Profitability/Working Results
(Rs. in Mn.)
Year I / Year II / Year IIICapacity Utilisation / 60.00 / 70.00 / 80.00
Production (In MT.) / 36000.00 / 42000.00 / 48000.00
Total Sales Realisation (A) / 360.00 / 420.00 / 480.00
Cost of Production (B) / 325.50 / 358.81 / 386.28
Profit before Tax (A-B) / 34.50 / 61.19 / 93.72
Provision for Income Tax / 2.50 / 4.70 / 18.20
Profit After Tax / 32.00 / 56.49 / 75.52
Economic Indicators
Repayment period - 8 years including 2 years moratorium
Return on Investment (3rd year) -27.98%
D.S.C.R (Average) -1.97: 1
Break-Even point (3rd year) -43.59% ofinstalled capacity
Return On Equity (3rd year) -24.21%
Internal Rate of Return (IRR) -20.20%
FORMALDEHYDE
Chemical IdentityChemical Name / Formaldehyde
Chemical Classification / Aliphatic Aldehyde
Synonyms / Formaldehyde, Formaline, Methylaldehyde
Formula / HCHO
Molecular Wt. / 30.03
Regulated identification
Shipping Name / Formaldehyde(solution)
Codes/Label / Flammable liquid, Class-3
Hazardous Waste ID No. / ----
Hazchem Code / 2SE/2T
Hazardous Ingredients
Formaldehyde / C.A.S. No. 50-00-0
Physical / Chemical Data
Description / Colourless liquid
Formaldehyde, % w/w Min. / 37.00
Methanol, % w/w, Max. / 1.0-3.0
Formic Acid, % w/w, Max. / 0.03
Water, % w/w / By balance
Iron, ppm, Max. / 5
Chloride / NT
Lead / NT
pH / 2.8-3.2
Sp. Gr. At 25 Deg. C / 1.080-1.100
Haze (Typical) / 12-14
Field of Application
For phenolic resins, artificial silk, cellulose esters and glass mirrors.
In the manufacture of explosives, photographic materials, antiseptics and fumigants, in treatment of pulp and paper, in cosmetics, fertilizers and fuels, in treatment of fur and hair, mouth wash, germicidal soap, lavender water and cologne, sterilization of surgical instruments, as food preservatives, polishes for refining of hydro carbons.
Packaging
35 kgs capacity HDPE blue colour carboys.
- POLY VINYL ALCOHOL
1.PRODUCT CHARACTERISTICS
Poly Vinyl Alcohol (PVA) is one of the few high molecular weight commercial polymers, which is water soluble.
Appearance / Dry solidCommercially available in granular or powder form
Properties / The properties of Polyvinyl alcohol vary according to the molecular weight of the parent poly vinyl acetate and the degree of hydrolysis.
Polyvinyl alcohols are highly resistant to solvents, oils and grease. They form tough, clean films that have high tensile strength and abrasion resistance.
Grades / A wide range of grades is available both in fully hydrolysed form and in various stages of unhydrolysed form.
Poly vinyl alcohol is produced in four general molecular weight ranges.
*Molecular weight of Main Commercial Poly vinyl alcohol grades
Viscosity grade / Nominal / MnLow / 25,000 / 5 to 7
Intermediate / 40,000 / 13 to 16
Medium / 60,000 / 28 to 32
High / 100,000 / 55 to 65
2.PRODUCT APPLICATIONS
PVA is not considered as a thermoplastic because the melt temperature exceeds the degradation temperature for fully hydrolysed grades.
By using plasticizers, the resin's melt processing temperature can be controlled at 185 deg. C with an adequate melt flow with improved heat stability.
High boiling methylol compounds e.g. Pentaerythritol and 1, 2, 6-Hexanetriol are preferred for high temperature processing.
Thus, casting extrusion, injection and blow moulding can process the polymer. The outstanding properties of polyvinyl alcohol resins have led to their use as a versatile water-soluble polymer in diverse industrial applications.
The outstanding properties of polyvinyl alcohol make it versatile for its following broad industrial uses.
*As a binder in adhesive formulations
*In textile sizing
*As an emulsion polymerisation aid
Other diverse applications are given below:
*As joint cement for building construction
*Water-soluble film for hospital-laundry bags
*Emulsifiers in cosmetics
*Temporary protective film
*Soil binding to prevent erosion
*Intermediate in the production of polyvinyl butyral
*Adhesive interlayer in laminated safety glass
*Polyvinyl alcohol fibre
Adhesives: Polyvinyl alcohol is a first class adhesive for corrugated board, paper and paper board and in general purpose adhesives for bonding paper, textile and porous ceramic surfaces.
Fully hydrolysed grades are used for making quick setting and water resistant adhesives for the backing of postage stamps, cartons etc.
Polyvinyl alcohol is also used as modifier for Polyvinyl acetate emulsion adhesives because it increases the stability of functioning as emulsifiers and protective colloids.
The formulations for PVA based adhesives for general packaging used in India are given below.
Composition / PartsPVA Emulsions / 100
Plasticizer / 10 to 15
Dextrin / 0 to 100
Clay Filler / 0 to 30
Preservative / 0 to 2
Stabilizer / 0 to 2
Wetting Agent / 0 to 0.2
Secondary water / 0 to 100
Defoamer / 0 to 2
Deodorant / 0 to 1
Paper and Paper Board Coatings: Polyvinyl alcohol is an exceptionally powerful pigment binder for paper and paper board coatings, Pigmented coatings, in grease proof and other speciality coatings.
Cast Film: Unsupported film cast from aqueous solutions of polyvinyl alcohol and a plasticiser provides a unique combination of water solubility, gas barrier properties and resistance towards organic solvents.
Polyvinyl alcohol films can be used as container liners in packaging of oils, greases and paints.
The use of this water-soluble Polyvinyl alcohol film in the packaging of materials such as dyes, detergents, bleach, fungicides, insecticides and other materials which pose health or safety risks, enable dissolving in water without the removal of the package.
Building products: Polyvinyl alcohol improves the performance of cement materials, which are used in roof coatings and cement paint, thin-bed tile mortars, dry wall construction and cement toppings for repairs.
Fibre: Polyvinyl alcohol is also used for textile fibre although it must be chemically treated to get water soluble. Polyvinyl alcohol fibre has good strength characteristics. Mainly fully hydrolysed grades of Polyvinyl alcohol are used for the fibre production.
Polyvinyl alcohol is an efficient textile finishing agent which may be used to modify the hand of textile finishes based on thermosetting resins such as Urea formaldehyde and Melamine formaldehyde resins. It is also used as good textile warp size for filament and spun yarn.
On a world-wide basis, textile warp sizing is one of the largest applications for polyvinyl alcohol.
Materials Bonding: Polyvinyl alcohol acts a good binder for the solid particles including pigments, ceramics, cement and textile fibres. Polyvinyl alcohol is used as a binder for the stabilisation of soil so as to control erosion. It can also be used as a binder in catalyst pellets, cork compositions and variety of other materials.
Cosmetics: The emulsifying binding and thickening properties of polyvinyl alcohol make it useful for cosmetic applications. Cold creams, shaving creams, eye make-up and facial masks may be formulated using polyvinyl alcohol.
Chemical Derivatives: One of the most important uses of polyvinyl alcohol is as a chemical intermediate in its reaction with aldehydes forming Polyvinyl acetals. Poly vinyl butyral is used in the manufacture of automotive safety glass.
3.IMPORTSAround 6500 tonnes per annum
4.EXPORTSNil
5.INDIAN MANUFACTURERS
There are two manufacturers in India producing polyvinyl alcohol
*Vam Organics Chemicals Ltd, New Delhi2000 tonnes per annum
* Polychem Ltd., Mumbai 2000 metric tonnes
(Not in operation)
6. DEMAND SUPPLY TRENDS
Demand level7200 tonnes per annum
Estimated growth rate in demand: 12% per annum
7.MANUFACTURING PROCESS
Poly vinyl alcohol is produced from Vinyl acetate monomer.
8.GLOBAL SCENARIO
Global production of PVAAround 4 lakh tonnes per annum
Global demand pattern for PVA:-
Vinylon / 1.15%Textile fibre / 10.28%
Paper / 13.05%
Films / 10.37%
Adhesive / 18.22%
Others / 16.90%
Global production: -
The global production of PVA is about 4 lakh tonnes per year (excluding China), of which about 1.9 lakh tonnes is produced in Japan, followed by USA, France, Germany, UK, Taiwan and Italy, North Korea, Mexico, China has small batch type plants with undisclosed production data.
9.RECOMMENDATIONS
Poly vinyl alcohol has excellent growth potential in demand and the project respect an ideal import substitution investment opportunity.
Recommended capacity7500 tonnes per annum
Estimated project costRs.30 crores
2.Bamboo Mat Veneer Composites
In India, several cost-effective technologies have been developed for manufacturing sheet materials having properties similar or even better than plywood made from plantation timber. These technologies are not only environment friendly but also people friendly as they have immense employment generation potential. Technologies are now available for industrial adoption - some of them are listed below :
Bamboo mat boards
Bamboo mat veneer components
Bamboo mat corrugated sheets – suitable for roofing as a substitute for asbestos cement corrugated sheets which are considered to be health hazardous
Bamboo mat moulded articles such as trays, pots, boxes, panels, bowls, crates etc.
Bamboo Mat Board
The decline in the availability of timber and the emergence of new technologies and product options has spurred interest in the field of wood substitutes and composites. These include boards of different types – mat, corrugated, laminated, particle, wafer and chip. Some products provide promising linkages between the organised and unorganised sectors, between household activity and industrial operations, for instance, resin bonded boards made from hand woven mats.
The Centre for Bamboo Development at IPIRTI has developed technology for manufacturing bamboo mat board (BMB) and its variants, including bamboo mat corrugated sheets (BMCS) and bamboo mat moulded articles. The following Indian species have been found suitable for bamboo mat composites:
Bambusa balcooa: This specie grows up to an altitude of 600m in preferably heavy textured soil. It is the best and the strongest species for building purposes and for scaffolding. It is also used for agarbatti sticks.
Bambusa nutans: This is a medium sized graceful bamboo. It is one of the widely available species in Bangladesh and one of the commercial species of Thailand. It also naturally occurs in Sub-Himalayan tracts from Yamuna eastwards to Arunachal Pradesh.
Dendrocalamus strictus: This is one of the two most important bamboo species and occupies 53% of total bamboo growing area in India. It is extensively used as raw material for paper mills and also for variety of purposes such as construction agricultural implements, musical instruments, furniture etc.
Dendrocalamus brandisii: It is used for house building, baskets and decoratives.
Dendrocalamus hamiltonii: The specie is used for walls of huts, construction purposes, basket making, mats, water and milk vessels, fuel and floats for timber rafts.
Meloccana baccifera: The specie is distributed in India, Bangladesh and Myanmar and also cultivated in many Asian countries. This is used for building houses, for making woven ware and as an important source for supply of superior paper pulp. Culms are used to make floats and transport wooden logs.
All the above species are currently being used in India for low level of applications such as in the paper industry and for poles. Bamboo board ensures a 3.2 times value-addition over the raw bamboo.
The strength, hardness, intensity for Bamboo Board are better than common wood board for its special Hi-steam pressure process, so the features of good strength, hard wearing, long living, periodical recycling use are maintained. The board has perfect water-proof function for its shrinking and expanding rate. Its water-absorbing rate is better than wood and also the board is never rusted and humidity resistant and smooth. The strength of 12mm bamboo ply-board is equivalent to 25 mm plywood.
Based on the culm derivatives used, the boards may be grouped in the following categories:
Culms converted into slivers or strips by flattening and cutting and further processed;
Culms peeled into veneers and further processed;
Culms converted into particles, fibres, wafers or strands and reconstituted and
Combination of one or more of the above products among themselves or with other materials and further processed.
Making Bamboo Mat Board
Bamboo is split into strips of the desired size and woven into mats.
For thickness greater than 6mm, bamboo mats can be interleavedwith wood veneers to make bamboo mat veneer composites.
Bamboo boards can be also made by using bamboo slivers and impregnated paper coating.
A total of around 13 layers woven bamboo mats each of 1.6 mm thickness are used to give a finished thickness of about 11 mm.
Bamboo Mat Corrugated Sheets
Bamboo mat corrugated sheets are suitable for roofing as a substitute for asbestos cement corrugated sheets, which are considered to be a health hazard. The initial few steps for manufacturing the corrugated sheets are same as for mat boards.
The bamboo slats are woven together at 60-degree angle to each other so as to make a standard size of corrugated sheet. Usually, the dimensions of the mat are considerably more than the final corrugated sheet. Mats are laid over each other to get the desired thickness and kept in a mould after application of resin. Phenol formaldehyde rein used for moulding the sheets impart fire redundancy and termite resistance characteristics. The mould would then be closed and compressed using a hydraulic press. Curing of resin takes place at a specified temperature, pressure & duration of contact moulding and the corrugated sheet is finished to size.
The Bureau of Indian Standard has brought out standards on "Bamboo mat veneer composite for general purpose IS: 14588/1999". Resin coated bamboo mats, woven in herringbone pattern using slivers of about 0.6 mm thickness and rotary cut veneers from plantation wood are used for manufacture of bamboo mat veneer composites. Specific construction of bamboo mat and veneer layers are used and thickness of manufactured board can be in the range of 4 mm to 25 mm. Bamboo mat composite boards can be made in existing plywood manufacturing factories without major additional capital investment.
Advantages of Bamboo Mat Board/Corrugated Sheets
Economical when compared to plywood
Can be used for interior decoration and flooring and also as a construction tool.
Can be used as packing or packaging material for all types of machine components
Can be used for interior decoration and furniture in hotels, restaurants, ships, trains etc.
Is a gender friendly activity
BMB has been used in a number of showrooms, shops and offices for counters, staircases, wall panelling as well as false ceiling. The users have been appreciative of the new material applications.
Market Scenario
The total market size of different types of boards and plywood put together is currently estimated at Rs.5000 crore in India out of which plywood industry is Rs.4000 crore and that of the other boards (MDF, Particle, Hard board) is Rs.1000 crore.
The present turnover of the unorganised sector is Rs.3000 crore out of which even if 10 per cent of the units switchover to bamboo it implies a turnover of Rs.300 crore for the bamboo board industry. The economics of using bamboo based intermediate veneers provides sufficient justification for the switchover from wood to bamboo veneer. It is expected that the switchover can take place in at least 20 per cent of the organised medium-sized units currently engaged in plywood production and which have been shut down because of non-availability of wood/timber material.