Detailed Project Report on potassium sulphate

POTASSIUM SULPHATE
[CODE NO 1574]

         Potassium sulfate (K2SO4) mineral name arcanite forms colorless,  nonhygroscopic crystal. It occasionally occurs in nature in the pure state in salt deposit, but  is  more  widely found  in  the form of mineral double salts in  combination  with sulfates of calcium, magnesium, and sodium.

         Potassium sulfate is after potassium chloride the most important potassium containing fertilizer being used mainly for special crops. Potassium sulfate constitutes 5%  of  the  world demand for potash fertilizer.

         Prior to 1939, the German potash industry  was  the  chief source of potassium sulfate for American chemical and  fertilizer industries, although considerable tonnages were being produced in this  country  by  the  interaction  of potassium chloride and sulfuric acid as a side product of salt-cake  manufacture.  With the termination of European imports, the production of the salt was undertaken on a larger scale by the American Potash and Chemical Corp.  through the interaction of burkeite  (Na2CO3 2Na2SO4)  with  potassium  chloride  followed  in  turn  by   the successful  recovery  of  this  salt  from  langbeinite  by   the International  Minerals  and Chemical Corp. In  agricultural  use potassium  sulfate  is  preferred for the  tobacco  crop  of  the Southeast and the citrus crop of Southern California.

Cost Estimation

Plant Capacity                                           100.00 MT/Day                   
 Land & Building (7 Acres)                            Rs 15.45  Cr
Plant & Machinery                                        Rs 11.88 Cr         
W.C. for 2 Months                                         Rs 15.98 Cr       
Total Capital Investment                                 Rs.45.49 Cr             
Rate of Return                                                   32%  
Break Even Point                                               50%


MARKET SURVEY CUM DETAILED TECHNO
ECONOMIC FEASIBILITY REPORT covers
 
•            Introduction
•            Properties
•            BIS (Bureau of Indian Standard) Specifications & Requirements
•            Uses & Applications
•            Present Indian Market Position
•            Expected Future Demand
•            Export & Import Statistics Data
•            Names and Addresses of Existing Units (Present Manufactures)
•            List of Plant & Machineries
•            Miscellaneous Items and Accessories
•            Instruments, Laboratory Equipments and Accessories
•            Electrification, Electric Load and Water
•            Maintenance, Suppliers/Manufacturers of Plant and Machineries
•            Process of Manufacture with formulae if applicable
•            Flow Sheet Diagram
•            List of Raw Materials
•            Availability of Raw Materials
•            Requirement of Staff & Labour
•            Personnel Management
•            Skilled & Unskilled Labour
•            Requirement of Land Area
•            Built up Area
•            Plant Layout.
 
along with financial details as under:
 
Summary of Capital Cost of Project
Land & Side Development Exp.
Buildings
Plant & Machineries
Misc. Fixed Assets
Technical Know how Fees & Exp.
Preliminary Expenses
Pre-operative Expenses
Provision for Contingencies
below mentioned financial statements (Annexure) will be  for 5 to 10 Years
  Annexure  ::         Cost of Project and Means of Finance
  Annexure  ::         Output, Profitability and Cash Flow Chart
  Annexure  ::         Assessment of Working Capital requirements
  Annexure  ::         Sources of Finance
  Annexure  ::         Balance Sheets
  Annexure  ::         Break-Even Analysis and profitability analysis.
  Annexure  ::         Quantitative Details-Output/Sales/Stocks
  Annexure  ::         Sales Realisation        
  Annexure  ::         Raw Material Cost       
  Annexure  ::         Other Raw Material Cost             
  Annexure  ::         Packing Material Cost         
  Annexure  ::         Consumables, Store etc.,                    
  Annexure  ::         Employees Expenses            
  Annexure  ::         Fuel Expenses                 
  Annexure  ::         Power/Electricity Expenses    
  Annexure  ::         Repairs & Maintenance Exp.    
  Annexure  ::         Other Mfg. Expenses           
  Annexure  ::         Administration Expenses       
  Annexure  ::         Selling Expenses              
  Annexure  ::         Depreciation Charges - Profitability
  Annexure  ::         Depreciation Charges
  Annexure  ::         Interest and Repayment - Term Loans
  Annexure  ::         Tax on Profit
  Annexure  ::         Assumptions for Profitability workings
  Annexure  ::         Assessment of Working Capital

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