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EDITORIAL

Green prospects…

S

eems the worst of the worldwide slump is over, not withstanding the very latest economic-political developments in Greece. As a matter of fact, last year’s downturn taught most of us the ability not only to adapt to unforeseen changes but also to have a positive outlook for the opportunities that would emerge on the other side. Even this may not be enough in a futuristic context. The real need is therefore to have a sustainable mode, so crucial for business success of an enterprise, especially in the chemical sector. As ‘Chemical World’ marks its 6 th Anniversary, it’s time to look back, think afresh and move ahead with swift action. As you hold this special edition, there is a wide array of specially compiled content to be explored/leveraged. Here is a quick preview of what’s in store. To begin with, the ‘Sector Watch’ section presents perspectives of more than 20 captains of the industry from reviewing the current state of affairs to analysing the key trends to presenting the future outlook. Their invaluable insights into almost every segment of the Indian chemical industry should lead to actionable strategies

Business Insights Technologies Opportunities

Editor : Manas R Bastia Assistant Editor: Rakesh Rao Research Desk: KTP Radhika Jinoy, Sumedha Mahorey Correspondents Desk: Prasenjit Chakraborty, Rachita Jha, Geetha Jayaraman, Shivani Mody, Ayesha Augustine, Divya Karmakar Copy Desk: Meghanadan Sudhakaran, Marcilin Madathil, Priyadarshini Basu, Swati Sharma Products Desk: Michael Anthony, Sudheer Vathiyath, A Mohankumar Group Photo Editor & Creative Head: Shiresh R Karrale Design: Mahendra Varpe Production: Vikas Bobhate, Pravin Koyande, Dnyaneshwar Goythale, Kalpesh Dhanmeher, Ravikumar Potdar, Ravi Salian, Sanjay Shelar, Lovey Fernandes, Pukha Dhawan, Varsha Nawathe, Abhay Borkar Marketing & Branding: Jagruti Shah, Ganesh Mahale Chief Executive Officer: Lakshmi Narasimhan Associate Vice President: Sudhanva Jategaonkar Subscription: Sunder Thiyagarajan, General Manager - Copy Sales Sheetal Kotawadekar, Senior Manager, Tel: 91-22-3003 4631/4633 Email: customercare@infomedia18.in

towards enhanced competitiveness and in turn, better prospects ahead. Next is the ‘Business & Markets’ section with an exclusive collection of articles specially contributed by the who’s who of the industry. They have covered a range of themes from Green Chemistry to plant safety and energy management to sustainable development. Plus, there is much more interesting and useful content presented with brand new design elements… On this occasion of the 6 th Anniversary, here’s a Big Thank You to all our internal and external stakeholders for this wonderful journey! Believe, you will enjoy reading this special edition as much as we enjoyed putting it together. Have a good read and yes, do write-in your feedback on this New Avatar - content and design elements - to make it even better. Cheers to the ‘Green’er days ahead!

Editorial Advisory Board Pothen Paul Executive Chairman, Aker Powergas Pvt Ltd D P Misra Director, TCE Consulting Engineers Ltd and Former Director General, ICC P D Samudra Executive Director (Sales) & Member of the Board, Uhde India Ltd

Manas R Bastia Editor manas@infomedia18.in

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Printed by Mohan Gajria and published by Lakshmi Narasimhan on behalf of Infomedia 18 Limited and printed at Infomedia 18 Ltd, Plot no.3, Sector 7, off Sion-Panvel Road, Nerul, Navi Mumbai 400 706, and published at Infomedia 18 Ltd, ‘A’ Wing, Ruby House, J.K.Sawant Marg, Dadar (W), Mumbai - 400 028. Chemical World is registered with the Registrar of Newspapers of India under No. 14798/2005. Views and opinions expressed in this publication are not necessarily those of Infomedia 18 Limited. Infomedia 18 Limited reserves the right to use the information published herein in any manner whatsoever. While every effort has been made to ensure accuracy of the information published in this edition, neither Infomedia 18 Ltd nor any of its employees accept any responsibility for any errors or omission. Further, Infomedia 18 Ltd does not take any responsibility for loss or damage incurred or suffered by any subscriber of this magazine as a result of his/her accepting any invitation/offer published in this edition. No part of this publication may be reproduced in any form without the written permission of the publisher. All rights reserved. Editor: Manas R Bastia

May 2010 | Chemical World

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CONTENTS

72

SECTOR WATCH STATUS REVIEW 20 Experts review the performances of 15 key segments of chemical industry

22

TREND ANALYSIS Prospects of chemical industry: Succeeding through strategic orientation Raju Bhinge, Chief Executive, Tata Strategic Management Group (TSMG), and Ankur Singhai, Project Leader - Chemical and Energy Practice, TSMG

46

INDUSTRY OUTLOOK Indian chemical industry: The knowledge centre of the world Dr Joerg Strassburger, MD & Country Representative, LANXESS India Pvt Ltd

50

BUSINESS & MARKETS INDUSTRY UPDATE

82

85

„

Global M&A activities: Ready to rise again Navroz Mahudawala, Associate Director - Chemicals Practice, Ernst & Young

54

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Hazard reduction: An eco-freindly path for development Dr Paul Anastas, Assistant Administrator - Office of Research and Development, US Environment Protection Agency

56

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Accident-free operations: Better be safe than sorry Trevor Kletz, Visiting Professor, Loughborough University, the UK

58

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Effective steam handling: A potential cost saver Dr Naushad Forbes, Director, Forbes Marshall

60

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From economics to ecosystem: Embracing the change Rajiv Juneja, Executive GM - Corporate & Marketing Communication, Millipore India Pvt Ltd

64

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Green future: CDM leading the way Venkata Raman Kakaraparthi, Technical Manager, South Asia in Climate Change Services, Det Norske Vertas AS

66

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Developing CDM projects: Risk mitigation is the key Vipul Mathur, Project Implementer, Implementation Team, EcoSecurities

68

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Developing biofuel market: The missing links Dr Alok Adholeya, Director - Biotech and Bioresources, The Energy and Resources Institute (TERI)

70

MARKET TRENDS „

Heat exchangers: Driving performance in process industries

„

Chillers: Cool solutions for enhanced efficiency

72 76

GREEN TECHNOLOGY Biofuels: Energising growth the green-way

78

LEADERS SPEAK “We expect to see much stiffer competition in India in the coming years” ...Says, Gajanan Nabar, Managing Director, Praxair India

82

FACILITY VISIT WACKER Chemie’s Burghausen plant: An integrated path to success

R EG U L A R S EC TI O N S Editorial ...................................................... 9 National News ......................................... 12 World News............................................. 16 Events Calendar ....................................... 93 Product Update........................................ 97 Product Inquiry ...................................... 107

CORROSION CONTROL Inorganic-organic hybrid nanocomposites: A shift in coating performance Prof A S Khanna and Gunjan Gupta, Corrosion Science & Engineering Deptt, IIT-Bombay

Strategic management thinking: Making enterprises future-ready Suresh Lulla, MD, Qimpro Consultants Pvt Ltd

Product Index......................................... 111

MARKET TRENDS : Polymers

Chemical World | May 2010

89

Highlights of Next Issue SECTOR WATCH

10

87

MANAGEMENT MANTRAS

Advertisement Inquiry............................ 109 Advertisers’ List ..................................... 112

85

: Engineering, Procurement & Construction (EPC)

Note: $ stands for US dollar and £ stands for UK pound, unless mentioned otherwise


NATIONAL NEWS FELICITATION

AMAI’s awards function held in Delhi

The award ceremony in progress

The Alkali Manufacturers Association of India (AMAI) recently presented the annual awards for caustic soda and KNOWLEDGE FORUM

Uhde holds symposium for chlor-alkali industry Uhde GmbH and Uhde India jointly organised an exclusive symposium for users of the Uhde Membrane Cell technology, in Mumbai recently. Approximately 100 representatives participated in the twoday symposium that featured presentations from the Uhde AGROCHEMICALS

Fertiliser companies sign 140 LT import deals

Fertiliser companies have contracted to import nearly 140 lakh tonne (LT) NEW APPOINTMENT

Venkatesh Valluri elected Chairman of Ingersoll Rand Board The Board of Directors of Ingersoll – Rand (India) Ltd have elected Venkatesh Valluri as the new Chairman. Valluri succeeds Daljit L Mirchandani who resigned as Director and consequently relinquished office as Chairman of

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Chemical World | May 2010

soda ash industries. The Sriram Award for Caustic Soda Industry was presented to DCW Ltd, Sahupuram, Tamil Nadu, and the Darbari Seth Award for Soda Ash Industry was bagged by GHCL Ltd, Gujarat. Addressing the gathering, Srikant Kumar Jena, Minister of State - Chemicals and Fertilisers, said that the caustic soda and soda ash are major industries in the country. The Minister further added that these awards are significant in order to promote economy, ecology and equity in these sectors.

The criteria of evaluation for both these awards included manufacturing process, adoption of technology, capacity utilisation, energy efficiency, water conservation, emission reduction, waste water recycling, waste utilisation, rain water harvesting, tree-plantation, house keeping and labour productivity, besides welfare of employees, safety & health practices, social responsibilities, community development and hazardous waste management.

Group and users of Uhde technology. The presentations were highly interactive and generated considerable interest among the delegates. The symposium concluded with a panel discussion featuring eminent caustic soda and chlorine luminaries V N Sharma; R K Maheshwari; Dr S Pelkonen; V K Gulati, Senior Executive Director – Commercial, Gujarat Alkalies and Chemicals; Mudit Jain, President

- Caustic Soda Division, DCW Ltd; and Dr B Lueke (moderator) MD, Uhde India.

of fertiliser since April 1, to meet the domestic demand, according to the Central Government. “During 2010-11, 68.35 LT of DAP, 61.07 LT of MOP and 10.23 LT of NPK fertilisers have already been contracted,” informed Srikant Kumar Jena, Minister of State for Chemicals and Fertilisers. As on April 1, the country had an opening stock of 2.21 LT of urea, 1.97 LT of DAP, 0.97 LT of MOP and 1.24 LT of complex fertilisers, he added. The Minister said that the government had fixed Nutrient-Based Subsidy (NBS)

policy, effective April 1, 2010, in such a manner that the maximum retail price fixed by the companies is near to earlier levels. “A marginal increase of Rs 30 per bag only has taken place. In case of MOP, no increase has taken place and in case of SSP there is a reduction of Rs 70 per bag,” he added. Under the NBS scheme, the government provides subsidy to manufacturers of potassic and phosphatic fertilisers on the basis of the amount of nutrients contained in them.

the Board of Directors. Valluri was appointed President of Ingersoll Rand in India in May 2009. Before joining Ingersoll Rand, Valluri was associated with the global measurement technology leader company, Agilent Technologies, as its President & Country Manager for over five years. Prior to Agilent, he held various leadership roles at GE (General Electric) in India

and abroad. Valluri also serves on the Board of United Way India. He holds a Bachelor’s Degree in Technology in Electronics, and is an alumnus of IIM Ahmedabad.

A view of inauguration


NATIONAL NEWS EXPANSION

DuPont Sustainable Solutions to target market opportunities

To strengthen its global customer offering, DuPont Sustainable Solutions NEW LAUNCH

FACT plans to introduce complex fertiliser soon Fertilisers and Chemicals (Travancore) Ltd will be shortly launching a complex fertiliser under a new brand name, according to company sources. FACTMIX, customised for soil & crop in Tamil Nadu, Karnataka and Andhra Pradesh, is under development and will be launched shortly, followed JOINT VENTURE

IOC forms JV to produce high-value petrochemicals

In a tactical move aimed at producing high-value petrochemicals COLLABORATION

RIL-GAIL in pact for co-operation in petrochemicals Reliance Industries Ltd (RIL) and GAIL (India) Ltd have recently signed a memorandum of understanding (MoU) for joint co-operation in petrochemicals. Under the MoU, GAIL and RIL will explore opportunities for setting up

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Chemical World | May 2010

has recently announced expansion & integration of its consulting services, training and technology products. With this expansion, the company is targeting a market of $ 15 billion. “DuPont’s long history of implementing safety & process improvements, both within the company and for external clients, enables us to deliver customised performance solutions that take into account cultural differences and diverse industry requirements. With this expansion, we

will be offering a broader scope of solutions for our valued clients,” said K Ganesh, Leader - India Business, DuPont Sustainable Solutions. DuPont Sustainable Solutions is one of the 13 DuPont businesses. Bringing customers the benefits of an integrated global service and technology delivery enterprise, DuPont transforms workplaces and work cultures to create safer, more efficient and environmentally sustainable organisations.

by FACTMIX for wetland rice and vegetables in Kerala. FACTMIX is a high-efficiency fertiliser mixture with high agronomic value. It is expected that when FACTMIX is applied along with bio-cultures and organic manures, as per integrated nutrient management practices, the dosage of chemical fertiliser may be reduced significantly, without compromising on the highyield levels.

The usage of FACTMIX holds potential for restoring soil health and fertility. The huge burden of subsidy incurred by the Centre may also be significantly reduced while increasing agricultural productivity.

in India, Indian Oil Corporation Ltd (IOCL) recently entered into a joint venture (JV) with TSRC Corporation, Taiwan, and Marubeni Corporation, Japan, to set up a state-of-theart styrene butadiene rubber (SBR) unit at Panipat. With a capacity of 1,20,000 tonne per annum, the SBR unit will utilise Butadiene feed made available from IOCL’s Panipat naphtha cracker complex to produce high-quality synthetic rubber used in the manufacturing of automotive

tyres, conveyors, fan belts, etc. The project is targeted to be completed by September 2012 at an estimated cost of Rs 900 crore. Currently, India lacks an operating SBR capacity, and the entire domestic demand is met through imports. Thus, setting up of the SBR unit at Panipat would not only result in import substitution but also add value to the intermediate streams of IOCL’s Panipat naphtha cracker complex.

petrochemical complexes outside India in feedstock-rich countries. A Working Group, consisting of representatives from both the companies, will examine identified opportunities. GAIL and RIL will set up a special-purpose vehicle (SPV) for setting up petrochemical complexes abroad. According to a joint statement issued by both companies, the MoU holds

significant importance in the area of petrochemicals between GAIL and RIL.


WORLD NEWS NEW FACILITY

AkzoNobel to add new plant at Ningbo

AkzoNobel will be setting up an additional plant at its Ningbo multisite for its functional chemicals GLOBAL MEET

Helsinki Chemicals Forum to discuss environment issues The Second Global Helsinki Chemicals Forum is scheduled to take place on May 20 and 21, 2010, at the Helsinki Exhibition and Convention Centre. The European Chemicals Agency’s (ECHA) 4th Stakeholders’ Day will take place on the 19th of May at same venue. The programme features a variety of high-level TECHNOLOGY

Steam-cracking furnace modules arrive at ExxonMobil’s complex

A significant development

milestone in the of ExxonMobil’s

NEW PRODUCT LAUNCH

Atlas Copco introduces energy-efficient screw technology blowers Atlas Copco has launched its new and proven energy efficient technology for air blowing applications the ZS screw blower. Screw technology, on an average is 30 per cent more energy efficient compared to lobe technology. Industries

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Chemical World | May 2010

business. The new Euro 17 million project, part of a total investment of Euro 275 million, will further expand the company’s rapidly growing organic peroxides activities. Production of chelates has already started at the location, while new ethylene amines and ethylene oxide factories are also due to come on stream later this year. The new unit is expected to be operational in late 2011. “This latest addition to our Ningbo site will enable us to

better serve our growing customer base in the region,” said Rob Frohn, Board Member - Specialty Chemicals, AkzoNobel. The new organic peroxides plant will produce Perkadox 14 (used for different types of rubber and thermoplastics) and Trigonox 101 (used for rheology control of polypropylene and synthetic rubbers). These are used in industries such as automotive, building and construction, as well as for durable goods.

speakers and panelists representing key stakeholders from around the world, who have an impact on the overall policy environment related to chemicals. Khalida Bouzar, Deputy Director, United Nations Environment Programme (UNEP), said, “Over the past decade, the global community has brought critical chemicalsrelated environmental problems to the forefront of the international policy agenda. Particular attention

has been drawn to the widening gap among countries with regard to capacities to manage chemicalrelated risks. Key international instruments and processes have been agreed upon to address these concerns.”

largest integrated chemical and refining complex was achieved with the arrival of seven world-scale furnace modules at the Singapore facility. Each furnace module is about 15 stories (50 m) tall and weighs over 2,000 tonne. These furnaces are part of a feed-flexible steam cracker that will have an ethylene production capacity of one million tpa.

“The safe completion and movement of these furnaces illustrates the scale of this petrochemical project,” said Georges Grosliere, Venture Executive, ExxonMobil Chemical Company. “When completed, the integrated manufacturing site here will be well placed to serve the growing markets in the Asia Pacific region,” said Kwa Chong Seng, CMD, ExxonMobil Asia Pacific Pte Ltd.

and applications such as wastewater treatment, pneumatic conveying, power generation, food and beverage, pharmaceuticals, chemicals, pulp & paper, textiles, cement, and general manufacturing will highly benefit from energy savings by replacing the conventional lobe with the leading screw technology, as per a company press release.

The ZS screw blower will replace the company’s entire range of ‘Roots’ type rotary lobe blowers.


WORLD NEWS NEW COMPLEX

Hexion Specialty opens resins manufacturing complex in Brazil

US-based Hexion Specialty Chemicals recently opened a resins manufacturing COLLABORATION

Jacobs receives three-year contract from DuPont DuPont has awarded Jacobs Engineering Group Inc a contract for providing engineering, procurement and construction management services (EPCM) under a Master Services Agreement (MSA) for the company’s operations in Europe, Asia and North America. Under the three-year MSA, PRODUCTION CAPACITY

Evonik expands methacrylic acid capacities in China

Evonik Industries, one of the leading providers of methacrylate chemicals, has expanded its production capacity at the NEW TECHNOLOGY

Dinnissen develops new hygienic compact containment system The Netherlands based Dinnissen Process Technology has developed a hygienic compact containment system, especially for environments where it is essential to work hygienically, safely and efficiently because of specific cleanliness requirements, explosion hazard and/or the potential emission

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Chemical World | May 2010

complex in Montenegro to serve the engineered wood products market in southern Brazil. The plant complex is expected to produce 4,50,000 tonne UF resins per annum. The facility includes state-of-the-art environmental and safety protection with the recycling and reuse of waste streams, strict environmental control & monitoring systems, and the latest manufacturing technology, enabling it to produce leading-edge resins.

Hexion’s Brazilian subsidiary, Hexion Quimica Industria e Comercio, will operate the world-scale plant, which produces formaldehyde, and is expected to have a rated capacity of 1,50,000 tonne for this raw material. The $ 60 million plant will serve large customer plants in the region using UF resin in the production of engineered wood panels such as particleboard, interior-grade plywood and medium-density fibreboard.

Jacobs will execute projects at DuPont’s manufacturing facilities. Jacobs is also providing front-end engineering and design services at various, select DuPont project sites throughout North America. While making the announcement, Tom Hammond, Executive Vice President, Jacobs Engineering Group Inc, said, “We are pleased to extend our excellent working relationship with DuPont and continue providing

long-term services to them. DuPont is a market leader and Jacobs is committed to delivering the highest level of service and value to help them maintain that position.”

new site in Shanghai, China, to 25,000 MT as part of overhauling its methacrylic acid production.The expanded facility will become operational soon and will provide additional quantities of glacial methacrylic acid (GMAA) to meet growing demand. Evonik Industries produces and markets MMA, GMAA, n- and iBMA, hydroxy methacrylates, and other specialty methacrylates under the umbrella trademark VISIOMER®.

Evonik Industries is a creative industrial group from Germany with the core business of specialty chemicals. In addition, Evonik is an expert in power generation from hard coal and renewable energies. Evonik is active in over 100 countries around the world. In its fiscal year 2009 about 39,000 employees generated sales of about Euro 13.1 billion, and an operating profit (EBITDA) of about Euro 2.0 billion.

of toxic or sensitising substances, according to a company statement. This concept combines the quick and thorough cleaning of production processes with an extremely effective containment of even the finest particles. The quick and thorough cleaning achieved with the system is based on its compact design and the fact that all the process equipment is quickly and easily accessible for cleaning purposes, it added.

Dinnissen has succeeded in producing such a compact design via the use of accurate flow meters, dosage components and extremely accurate weighing systems.


SECTOR WATCH

STATUS REVIEW 20 experts review the performances of 15 key segments of chemical industry .....................................................22-45 TREND ANALYSIS Prospects of chemical industry: Succeeding through strategic orientation..... 46 INDUSTRY OUTLOOK Indian chemical industry: The knowledge centre of the world ...................... 50

May 2010 | Chemical World

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STATUS REVIEW Agrochemicals

“Optimising trade-off between liquidity & profitability is the key� Rajesh Aggarwal, Managing Director, Insecticides India Ltd, joined his family business as Marketing In-charge in 1993. In 2002, he came up with a new banner - Insecticides India Ltd - and has been pioneering a sterling performance in the organisation since then. In an interaction with Sumedha Mahorey, he discusses the key challenges that lie ahead for the agrochemical industry.

Impact of slowdown Like any other sector, the Indian agrochemical industry also faced many challenges, but it could manage the negative impact of the downturn. It was possible by focussing on reducing cost, expanding its customer base and introducing new products, having superior managerial ability, motivating the employees to improve productivity, and forecasting the demand accurately such that they could avoid inventory backlog and excessive overheads. Having a sound working capital management to optimise trade-off between liquidity and profitability would be the key.

Growth drivers The potential of the agrochemical industry, where three-fourth of the farming population follows the traditional method, is immense. With more awareness, farmers will opt for advanced agriculture, which would lead to increased usage of hybrid seeds and agrochemicals. As the availability of cultivable land is limited, consumption of agrochemicals for better yield is expected to rise in the future.

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Chemical World | May 2010

Policy initiatives The Central Government is undertaking several policy initiatives such as encouraging research & development (R&D) and fiscal incentives to promote exports. As a signatory to the evolving global trade regime, it has now become mandatory for the Indian agrochemical industry to develop patent laws in accordance with global practices.

Key challenges in post-slowdown Globally, due to consolidation in the industry, top five MNCs control almost 50 per cent of the market. In India, the industry is fragmented with around 30-40 large manufacturers and 400 formulators. This has led to a highly competitive market. The growth in spurious pesticides has cost India dearly - almost Rs 250 million. This is despite the fact that the state agricultural departments are involved in enforcing the Insecticides Act in terms of issuing manufacturing licences, environmental clearances and monitoring the distribution & quality of the products. Even then, unscrupulous elements manage to produce, distribute and sell sub-standard & spurious pesticides without any fear of the law.

Latest developments The Indian agrochemical industry is focussing on technology, as the investment made in R&D by the Indian companies in the sector has increased in the last few years. The industry is striving to bring out new developments to add value and variety to the products offered to the farmers.

Outlook for the industry The industry is growing at a steady rate. To leverage on the opportunity, companies should aggressively focus on R&D and infrastructural investment in this sector.


STATUS REVIEW Analytical Equipment

“A double-digit growth is expected in the coming years” S Thyagarajan is the President, Indian Analytical Instruments Association, and Chairman, Spinco Biotech Group of Companies. Being extensively trained in all analytical instrumentation and widely travelled abroad, he is largely responsible for the company’s growth. Rakesh Rao discusses with Thyagarajan the trends and opportunities in the analytical equipment sector. The learning curve The slowdown period witnessed a de-growth of 15 per cent for almost all companies dealing in analytical and laboratory instruments. However, there were few companies who have seen growth even in these scenarios mainly because of their focus in consumable market and services.

New emphasis While the pharmaceutical industry continues to be the major growth driver for analytical instrumentation, the biotech industry also has a need for more lab instrumentation. The recent emphasis on food safety has also opened new avenues for growth.

Key challenges The demand for state-of-the-art instruments to be at par with their global partners has paved the way for more import of instruments. This has indirectly affected the Indian manufacturers. After the acquisition of Chemito by Thermo Fisher, there are few Indian manufacturers left specialising in manufacturing of sophisticated instrumentation. On the other hand, the real challenge faced by analytical instrument

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Chemical World | May 2010

manufacturers today is the terms in many tenders for multiple years of warranty and corresponding performance bank guarantees, which are not agreeable for the global manufacturers. The government should look into relaxing these conditions at least for longestablished companies and well-known brands.

New opportunities Nanotechnology and stem cell research are two new areas where a lot of government funding for research activities is expected to come in the coming years. Life science instrumentation, which is nearly 25 per cent of the total analytical equipment market globally, heavily depends on reagents, and India will not be an exception.

Emerging trends In high-performance liquid chromatography (HPLC), the trend is changing towards fast LC. Next generation DNA sequencers have been introduced in the market and more than a dozen platforms are already in use in India. These are quite capital-intensive products. The other trend is towards ‘going small’ but powerful instruments.

Outlook for 2010-11 As per a market estimate, the global market for 2009 was around $ 37,000 million, which is expected to grow at around 4 per cent through 2012. The Indian market for 2010 is estimated to be $ 1,000 million with compounded annual growth of around 17 per cent. For some of the product segments, especially for chromatography and life science, the expected growth is well over 20 per cent. Presently, the Indian market is less than 3 per cent of the global demand for analytical instrumentation. Besides China, India is the only country where a comfortable double-digit growth is expected in the coming years.


Analytical Equipment STATUS REVIEW

“There are many opportunities for at-line or on-line process analytical instruments� Segments/regions driving growth The compliance and imposition of various regulations related to safety & security and environmental issues & quality control in energy and petrochemical industries will create many opportunities for at-line or on-line process analytical instruments. The important end-user segments of chemical industry such as water (including waste water), pharmaceutical & biotech, food & beverages, environmental and semi-conductor industries will drive the growth of process analytical instruments, apart from traditional petrochemical and chemical industries keeping its share of the market. The developing countries such as China, India, Brazil, Thailand, etc will drive the growth of at-line and on-line analytical instruments.

Anil Nimkar is Director Global Application Development, PerkinElmer Life and Analytical Sciences. He has been with the company for last 15 years and is currently involved in marketing of molecular spectroscopy (FTIR, UV/VIS, fluorescence) products. In conversation with Rakesh Rao, he highlights the performance of process analytical instrument market.

Trends in analytical instruments

gates, state and country entry points will have the opportunity to qualify the materials. This can have effective control on the movement of counterfeit materials. The development in process analytical instruments and their usage in the industry has led to improvements in production efficiency, environmental monitoring, and control on process variations, and at the end, greater profitability. One of the latest trends witnessed is applying electronics effectively in the technology, as well as operability with handheld devices and data systems.

Technologies offered by process analytical instrument manufacturers have kept intact the fundamental design of the instrument. Several opportunities are in the offing in the associated electronics & communication aspects of these instruments. The handheld instruments at-line with absolute positive identification and quantitative or semiquantitative measurements at various chemical as well as physical processes attract the chemical industry. The quick and authentic screening tools at the entry and exit points of materials at various locations such as dispensing spots, industrial

In 2010 and 2011, the process analytical instrument market will be penetrating the emerging regions in different geographic locations. New applications of the instruments and support services as well as training are other competitive factors that affect online and at-line process analytical instruments. Introduction of a few technological advances such as handheld positive identification and quantification, technological incorporation of more software & digital communication are trends that are catching up.

Key challenges Manufacturers will also have to face issues like establishing effective distribution channels in growing markets, intense competition in developing countries to maintain profitable cost structures, and maintaining customer support & training team, which is essential and expected by the customer.

Outlook for 2010-11

May 2010 | Chemical World

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STATUS REVIEW Automation

“Key challenge would be to scale up skilled resources� R

Hemant Joshi, Leader - Marketing & Business Development, Honeywell Process Solutions India, holds an Electrical Engineering degree from the University of Mumbai. He has been instrumental in building a growth culture after taking up his role at Honeywell. In conversation with Sumedha Mahorey, he shares the potential of automation systems that can add value by improving business performance. Recovering from economic slowdown Focus on outcome-based solutions that provide return on investment to the customer, and on solutions that drive efficiency in manufacturing have been instrumental in the recovery post-economic slowdown phase.

Scaling up business One of the major growth drivers post-slowdown will be the investment by the Government of India to scale up infrastructure in the country. This will directly lead to growth in the core verticals in the industrial space such as power, metals and infrastructure as well as the chemical industry. This in turn will help the economy scale the recovery path.

Trends in automation Current trends in automation include: Emphasis on open systems R Interoperability of multiple applications/ solutions in a manufacturing automation environment such as service oriented architecture (SOA) in the manufacturing IT space R

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Virtualisation is one key area that the industry is moving towards with a slightly more longterm impact

Setting up ventures Apart from the challenges that an economy faces after any slowdown, the key challenge would be to scale up the skilled resources to serve the demand created by the growth in the core verticals in India. The power vertical would mainly face this challenge as the rate of setting up plants does not match the available capacity/resources/ talent to run them.

To be globally competitive The automation industry needs a policy environment that encourages efficiency and controls carbon footprint. This will be a key contributor to the growth of the industry. Incentives to invest in automation from a quality and productivity perspective can help better adoption of automation in manufacturing. This will also make the industry more globally competitive.

Outlook for 2010-11 We see a positive growth rate in the sector with the control automation industry in India predicted to grow at an average rate of 12 per cent. Chemical manufacturers can look forward to better automation systems that can add value by improving business performance & driving safety, reliability and efficiency. From specialty chemicals & batch processes to fertilisers and plastics, the automation industry has the potential to offer a wide range of solutions to optimise rate of interest and delivery time, while protecting the technology investment.


Automation STATUS REVIEW

“Rationale for IT innovation is strong in the current scenario� Pre-slowdown scenario Changing economic conditions have led the the chemical industry into revisiting the ways business is done. It is now looking towards information technology (IT) as a means to enable the business process and bring about operational transformation. Customers are now emphasising on self-funding projects, deployments that are more incremental in nature and on projects that focus on providing critical information and decision-making power to line-of-business personnel. The downturn has led to the growth of value-based services, which has led to the selection of appropriate technology solutions that can help industries deliver better results.

Plan of action Stakeholders have demanded effective governance including enterprise risk management, transparency, accountability and optimised performance to ensure that they receive risk-free sustainable results.

Key growth drivers The competitive landscape is beginning to change in the chemicals market. The rationale for IT innovation is strong in the current scenario, as this period represents a transition to new market conditions. Real-time, visible results, visibility and transparency are the biggest motivators for today’s business. Running an integrated SAP solution for business processes helps organisations see the same information in real time.

Measures to be taken With environmental awareness gaining strength, organisations are investing heavily in solutions that are sustainable and provide long-term profits. Chemical companies are now looking at sustainability as a business opportunity. Appropriate IT solutions would help

Rajamani Srinivasan, Vice President - Solution Engineering, SAP India, is accountable for driving the business strategy, accelerating profitable revenue growth in the software and services segment across the subcontinent, and articulating business values of SAP solutions across industries, verticals and organisations. In a discussion with Sumedha Mahorey, he talks about the future IT in the chemical industry. organisations analyse customer behaviour and change their business strategies according to their needs.

Main challenges Companies should use the current environment to adapt their business models and to seek & develop mutually beneficial relationships to gain a competitive edge. Continued restructuring efforts without neglecting development environment and close analysis of business performance, including market moves and key indicators would help the industry in sustaining growth.

The near future The chemical industry is facing increasingly rigorous environmental regulations. A timely, proactive and clear response by industry players to environmental issues will pay significant dividends in the future. Many global chemical manufacturers have been proactive in developing sustainable products and new methods of manufacturing without direct regulatory pressure. Indian companies, which have not yet developed a strategy for climate change and sustainability, should take inspiration from such companies.

May 2010 | Chemical World

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STATUS REVIEW Base Chemicals

“Companies should opt for energy-efficient technologies� Guruprasad Mohapatra is the Managing Director, Gujarat Alkalies and Chemicals Ltd. A senior IAS officer (of 1986 batch), he is also holding additional charge of Managing Director, Gujarat Narmada Valley Fertilizers Company Ltd. In this interview with Rakesh Rao, Mohapatra analyses the performance of the base chemical industry.

Integrating business The rapid growth in dyes, dyes intermediates & pigments industry during the last few years, prior to economic slowdown, was due to the boom in exports mainly to the West, as excess capacity was built in the country. During the economic slowdown, as the demand dried up, these local units were severely affected. Hence, while adding new capacities, heavy dependence on exports should be avoided. A manufacturer should plan proper forward and backward integration so as to avoid over-dependence on any particular product. Further, any investment has to take care of possible substitution/sustainability.

Strategy to be successful Major competition will be from the Chinese companies, who have the advantage of economies of scale and low power rates. Therefore, companies should opt for energyefficient, state-of-the-art technologies with world-scale size plants to remain competitive, keeping in view the new growing segments and venturing out of slow-moving & declining segments. Amalgamation of capacities needs to be another focus point.

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Growth drivers In the post-slowdown phase, increase in demand from end use segments like textiles, agrochemicals, metals, soap & detergents, papers, pharmaceuticals, etc will be the key driving factors for the growth of base chemical segment. Infrastructure, including power and housing will drive the growth directly & indirectly of all chemicals.

Major issues The key issues faced by the base chemical segment are high-energy cost and low efficiency due to the systems prevailing in our country, as these are leading to hightransaction cost. Besides, dumping of base chemicals into the country at throwaway prices is affecting the industry. Slow response from authorities in case of unfair dumping is another major issue.

Overseas markets Continuous appreciation in Rupee is a real worry for the Indian exporters. Timely government intervention will be needed to keep the momentum in exports, as being done in China. Though there has been a lot of liberalisation in rules and regulations in export procedures, matters do not appear to percolate well, which creates many hurdles in smooth exports down the line. Export cost from plants to ports and expenses at ports are increasing FOB cost and exports are not remunerative.

Outlook for 2010-11 The outlook for base chemicals segment for 2010 and 2011 appears to be reasonably bright (with around 6 per cent growth rate), keeping in line with the GDP growth, even though it has a potential to grow at 10 per cent.


Base Chemicals STATUS REVIEW

“Government should support the industry with appropriate policies� Emerging from economic slowdown Global economies are linked to each other, and businesses need to understand that even economies like India, which are growing at a respectable rate will be impacted, albeit indirectly if other global economic engines begin to stall. Helping the customer win in the marketplace must continue to be the key focus area, and for this, if it means that previously agreed terms of engagement needs to be revisited, so be it. Enterprises need to also revisit business processes and identify & strengthen ones that truly add value.

Dr Arup Basu is COO Chemicals, Tata Chemicals Ltd. Prior to this, he served as Head Haldia Complex in West Bengal, where the company manufactures phosphate based chemicals and fertilisers. Dr Basu discusses the dynamics of inorganic & basic chemicals market with Rakesh Rao.

Growth drivers Industries that cater to agriculture, energy, urban/infrastructure development and environment management sectors are key for the growth of inorganic & basic chemicals market in the post-slowdown phase. The urban population will also grow, which will drive the demand for FMCG as well as construction, building materials, and metals & mining.

Strategy for success Social responsibility and governance issues may play a larger role and will become critical & nonnegotiable part of any organisation’s strategy. Also, a company that chooses to focus only on India or ASEAN can also have a phenomenal growth trajectory, so being geographically global is not mandatory. The game changer however will be the spirit and culture of innovation that an enterprise is able to nurture.

Steps to be taken The key internal challenge revolves around developing an unassailable low-cost position in the commodity chemicals space and/or a capability to convert innovations into profitable products at a rate that others cannot keep up with, and combining this with the ability to build adequate scale. In addition, the players need to

rectify their operations and focus on improving their environmental scorecard so that the unfair environmental reputation that this critical sector is painted with can be gradually addressed. Externally, the challenge is to engage with the Indian Government to ensure that some semblance of a fair playing field is maintained (level playing field is a popular myth) particularly as the Indian market is a beacon for companies in other parts of the world whose economies are not too buoyant. For the industry to remain competitive in global markets, the government should support the former with appropriate policies. China will be the primary growth driver, and Indian organisations will have to be smart in capturing/seizing the opportunity.

Outlook for 2010-11 The anomaly in contribution to GDP with the percentage of workforce engaged in the agriculture-manufacturing-service sectors needs to be progressively corrected, and this can be enabled by continuing on the inclusive growth and reforms agenda such as implementation of GST in letter and spirit. Overall, the chemical sector should expect a growth of around 7-10 per cent in the near future.

May 2010 | Chemical World

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STATUS REVIEW EPC

“Fortunes of EPC companies will continue to be fairly mixed” Pothen Paul is the Executive chairman, Aker Powergas Pvt Ltd. He has over 40 years of experience in organisational management, project management, construction management and plant design. In conversation with Rakesh Rao, Paul highlights the latest trends seen in the engineering, procurement and construction (EPC) segment.

Growth drivers In India (a domestic consumption driven economy), it is the impressive growth of auto, fast moving consumer goods (FMCG), consumer electronics and white good sectors, which will set the pace for investments in the process industry domain. Oil refining, petrochemicals & polymers, specialty chemicals and paints are a few of the beneficiary segments. In oil refining, we already are in a comfortable position even after factoring in the potentials for refined product exports, and so capacity creation might become a lot more selective. Another opportunity is the investment boom in the fertiliser sector driven by increasing availability of natural gas. But price de-control is a key prerequisite.

Key challenges Lingering shortage of business opportunities in India & irrational competition resulting from it, and low levels of new investments in the western hemisphere (a good source of engineering business for the Indian operations of a number of western head-quartered EPC companies), are the main challenges. Shortage of good quality talent too continues to be an issue.

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Regions/countries aiding growth The Middle East, China, India, Central Asia (onshore & offshore oil & gas) and Brazil will be the growth engines for some time to come. In the western hemisphere, Canada’s Tar Sands belt might be a rare exception. In the offshore oil & gas segment, Australia might see some significant investments.

Scenario in India While China has attracted billions of dollars of investments in the process industry from the likes of Shell, Bayer, BASF, Dow, Dow Corning and a dozen multinationals, India’s track record till date has been dismal. Apart from demands generated by its manufacturingcentric economy and significantly better standards of its infrastructure, what made a critical difference is the strategic wooing of such investments, by China’s central and regional governments. From a demand perspective, India is now well-placed to start attracting similar investments. But to make it happen, our governments and related agencies need to become a lot more proactive in welcoming & facilitating them. Another critical prerequisite is process industry regions/industrial estates, incorporating world-class infrastructure.

Outlook for the industry If growth in demand and political stability continues, we are likely to see the beginning of a number of project investments in the later part of this year, and the trend will continue in the subsequent years. But, for EPC companies for which historically overseas engineering business has accounted for a decent share of their revenues, the news is not good. So, on the whole, the fortunes of EPC companies will continue to be fairly mixed.


STATUS REVIEW Fragrance

“European consumers are likely to lead the recovery� Rahul Ashok is Consultant - Consumer Markets Team, Datamonitor India. He is currently involved in conceptualising & creating knowledge solutions targeted at supporting product development and marketing initiatives in the consumer packaged goods (CPG) industry. In this interview with Rakesh Rao, he tracks the trends in fragrance market.

Post-slowdown scenario Even though good fragrance has been an integral part of personal grooming for long, the recent global economic downturn has significantly impacted consumer attitudes and preferences towards fragrances. During the three-year period prior to the slowdown, ie 2004-2007, markets in South and Central America and the Middle East were fuelling growth. Consumers in these geographies were allocating 13-15 per cent of their total personal care expenses on fragrances, compared to the global average of 8 per cent. Even post slowdown, consumers in these geographies have been found to sustain the overall growth of the fragrances market, whereas the per capita expenditure of the consumers in North America has dropped significantly.

Major markets The European market has always been significant for the fragrances manufacturers globally. It is expected that in the post-slowdown environment, European consumers are likely to lead the recovery, as high-value perfume products have already started witnessing reasonable growth in this region. Further, among all these geographies, it has been noted that Saudi Arabia, UAE, Brazil,

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Spain and Italy have the highest daily per capita fragrance usage as of 2008.

Strategy for growth With the market showing signs of bouncing back in several countries, it is vital for companies to understand the impact of the slowdown on consumer behaviour. Despite the slowdown, it has been observed that though consumers’ desire for value consciousness has increased, the feeling of prestige and luxury associated with fragrances has not declined. This has resulted in consumers placing a high importance on branding than efficacy while choosing fragrance products. In an attempt to maintain this brand equity, manufacturers have already begun to respond to the more discerning attitude of consumers by launching more innovative products with blended fragrances, natural ingredients, etc. Companies such as Diesel have already tapped this consumer psyche by creating product design and concepts, which are strikingly different & aligned with the overall value proposition of the brand.

Emerging trends The consumer demand for more functional fragrances is poised to increase in the future, in the form of products offering mood-enhancing, relaxing, rejuvenating and stimulating benefits as well. So, just as food and beverage manufacturers have explored the use of active ingredients in their formulations, it is a possible route also for fragrance companies to differentiate themselves in future.

Outlook for the industry According to Datamonitor estimates, the global fragrance market was worth $ 34.6 billion in 2009 and had registered a growth rate of 3.2 per cent over the previous year. The market is expected to reach slightly over $ 40 billion by 2014.


Industrial Gases STATUS REVIEW

“BRIC countries will be the key to unprecedented growth” Tackling economic slowdown In the case of industrial gas suppliers, who typically have long-term supply contracts, there has not been any significant effect on production or revenue. It is important that every major player take a rational short- and long-term approach to its capital expenditures based on proven demand.

Beneficiary sectors and regions The global gas industry is benefitting from the growth in sectors like steel, non-ferrous, oil, gas, pharmaceuticals, glass, medical, metal fabrication and electronics, which are largely coming from the emerging markets. In the near future, it is likely that the Middle East will also compete favourably with global steel and non-ferrous regions due to its low-power cost advantage. Developed markets in Europe, the US and Japan have more unique industrial growth drivers such as solar energy and high-technology electronics, offshore oil, enhanced oil recovery, biofuels and coal gassification. China, India, Brazil and Russia (BRIC) countries will be key to unprecedented growth in on-site volume. Even the Middle East, not as a consumer but as a major exporter of global energy, will be an important contributor with gas-to-liquid (GTL) and enhanced oil recovery.

Key challenges A major challenge is to design and build air separation plants that will make large-scale utilisation of oxygen, significantly less expensive than it is today in applications such as power generation through coal gassification. The trend towards production of argon from large tonnage plants is likely to create some near-term regional imbalances until the excess capacity is consumed by growth in stainless steel and automotive production. Infrastructure facilities in countries like India will have to grow exponentially to permit better utilisation of distribution capital.

Neil S Amber is Director Global Business Development, Universal Industrial Gases Inc (UIG). Prior to this role, he was Director - Corporate Development, Airgas, and looked after the acquisitions & development of Airgas joint ventures in emerging markets like India. In this interview, Amber discusses with Rakesh Rao the changing dynamics in the industrial gases market.

Industrial gas industry needs to grow its skill set and broaden its limited product base in order to benefit from increased CNG/LNG gas distribution opportunities. There has to be a renewed effort in developing new industrial gas applications that support specialised and high-technology industries like solar, coal gassification, carbon capture, etc.

Strategy to success Depending on the company’s strengths, it is important to focus on developing niche markets, reduce production costs, replace old equipment and continuously search for new opportunities that challenge dominant monopolies in regional markets. Creativity and entrepreneurship will be the key to a company’s growth.

Outlook for 2010-11 The outlook for 2010 is flat but the improvement in activity will certainly make this a better year than 2009. The gas volumes in 2011 will recover from the slowdown in 2009, but it will take two-three years for significant new capital investments to make a dent in volumes. Growth in China in 2010 & 2011 will still be above 15 per cent, and in India it will be in double digits. The long-term outlook remains positive.

May 2010 | Chemical World

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STATUS REVIEW Logistics

“Lack of world-class infrastructure is a big hurdle” S K Hazra is Managing Director, Aegis Logistics Ltd. He is presently chairing the Infrastructure Expert Committee as well as Safety, Health & Environment (SHE) Expert Committee of Indian Chemical Council (ICC). He has vast experience in projects related to chemical, oil & gas sector with specialisation in SHE & infrastructural issues. In conversation with Rakesh Rao, Hazra reflects on the performance of the logistics industry.

competitive. However, it will be specialty and knowledge segments, which will drive growth in chemical logistics sector in this decade.

Roadblocks There is a dearth of chemical logistics companies with associated infrastructure. Till now, the chemical logistics companies concentrated on niche areas viz, setting up port terminals and container freight stations for facilitating import & export of chemicals and petroleum products in solid & liquid form. The lack of world-class infrastructure is a big hurdle for logistics companies in the chemical industry.

Trends in logistics Slowdown effect The recent global slowdown had affected India too, though to a lesser extent. It forced Indian companies into action on three fronts. First, Indian chemical manufacturers were compelled to have a relook at their cost base effecting substantial reduction in manufacturing related cost as well as the cost of services. In the process, companies achieved substantial improvement in their operational efficiency. Second, this was the first instance that Indian companies - like their counterparts in the US and UK - took tough decisions such as merging operations, mothballing unviable plants without noticeable labour unrest. Third, as exports suddenly dwindled, companies concentrated on the developing domestic market, moving from metros to smaller towns and rural areas.

Growth drivers Indian chemical industry had been experiencing good all round growth with specialty and knowledge chemicals sectors leading the pack. Commodity chemicals sector has a low capita usage base and its steady growth will no doubt demand efficient third party logistics (3PL) and fourth party logistics (4PL) service to be globally

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In the logistics industry, 3PL service providers carry out specific logistics task(s) outsourced by the clients. A 4PL logistics provider extends entire logistics service to the chemical companies outsourcing all their logistics activities. A 4PL logistics provider needs to operate on either ‘hub and spoke model (HSM)’ or ‘virtual warehouse model (VWM)’ depending on the logistics requirement of the chemical industry. A comprehensive ‘Chemical Classification, Labeling and Packaging Regulation’ in line with UN promoted Global Harmonizing Scheme (GHS) is in the offing for adoption by the chemical industry in India.

Future opportunities Fast-growing Indian chemical industry handicapped by sub-optimum logistics support provides tremendous opportunities to logistics companies intending to serve this sector. Scope exists from transport operations to setting up integrated logistics chemical park, dedicated fleet of trucks/bulk tankers/iso tankers, dedicated warehouses (hazardous and non-hazardous chemicals), tank terminals at ports/logistics hubs, dedicated chemical rakes to move along the railways’ upcoming Western and Eastern freight corridors.


Paints & Coatings STATUS REVIEW

“Market leaders are reluctant to pass on the justified price� Business strategies The most important point to note is to ensure that one does not become too ambitious, and no long-term positions are taken before forecasting as far as the local market is concerned. Knowing the customer better should be the policy to be implemented to ensure that one is not with the weaker customer.

Performance of industry in 2009 In 2009, architectural paint market grew around 17-18 per cent and industrial paint sector by 7-8 per cent. In the decorative segment, the largest growth registered was in the water-based system, and the SME sector grew by more than 20 per cent, which is the highest in the industry till now.

Key issues The price of raw materials is rising due to the increase of 2.06 per cent excise duty proposed in the Union Budget 2010, and the impact of 5 per cent due to the hike in petrol & diesel price. Further, there is a shortage in petrochemicals and monomer globally. It seems that Europe & America are working in co-ordination and violating all laws under the pretext of maintenance shut down and labour strikes. It is a disturbing fact that market leaders are reluctant to pass on the justified price to their customers, which in turn affects the growth of SMEs.

New opportunities In the industrial segment, SMEs are faring well due to their one-on-one relationship with the customer and understanding his needs. The most important challenge is to compete with the multinational companies entering India, which bring along their vendors too. The government must implement proper policies so that SMEs can also demonstrate their

Nirav Raveshia is President, Indian Small Scale Paint Association, and Managing Director, N R Chemicals Pvt Ltd – one of the leading raw material suppliers to the surface coating industry. In this interview with Rakesh Rao, Raveshia analyses the performance of the paint industry.

technical skills and compete with large paint manufacturers.

Evolving market Most of the small/medium scale paint manufacturers are witnessing growth in water-based segment whereas that of volatile organic compound is low, which also proves that SMEs are taking steps to prevent pollution. With the customers having brand perception, several SMEs will be spending money on media.

Outlook for 2011 Fortunately, India is not affected by the global economic slowdown. It is an important year for the paint industry, as the government is spending a huge amount on infrastructure. We are witnessing a growth rate of 17-18 per cent this year, which may go up to 19-20 per cent in 2011, wherein major contribution will be by architectural paints. As for the industrial paint, a steady growth of 7-8 per cent is forecast. However, a lot of competition will be seen as many multinational companies are entering India, and this year will be a challenging one for the SME sector.

May 2010 | Chemical World

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STATUS REVIEW Petrochemicals

“Primary challenge is to maintain profitability and operating rates” Ujjal De is Senior Vice President, and Head - Marketing & Business Development, Haldia Petrochemicals Ltd. He has 30 years of experience in petrochemical marketing, which includes 15 years with the country’s first petrochemical company National Organic Chemical Industries Ltd, and four years with Reliance Industries Ltd. De discusses with Rakesh Rao the performance of petrochemicals industry.

Demand–supply scenario

Lessons to be learnt from economic slowdown

During FY 2008-09 and FY 2009-10, when global polyolefin industry has shown a demand contraction, domestic polyolefin industry clocked growth of 5 per cent and 15 per cent, respectively. Indian polyolefin (PO) industry is likely to achieve demand growth of 12 per cent yoy. Despite the entry of IOCL in the league of petrochemical manufacturers, India is likely to remain net deficit in PE. In PP, India continues to remain net exporter with current surplus of approximately 1 million MT/annum.

The only way industry can save itself from an economic catastrophe is to remain vigilant. Carrying excess stock of raw materials and finished goods should be avoided, as it can lead to value destruction in case of steep fall in commodity prices across the product chain. Further, one should be careful in pricing in export market.

Manufacturers must remain innovative and maintain cost-competitiveness in the global market. The primary focus is to capture high-value additions by forward integration and export value-added products, instead of exporting intermediate chemicals resins.

Key challenges In the face of massive capacity additions in the Middle East and Asia, the primary challenge for petrochemical producers, particularly units with naphtha crackers, is to maintain profitability and operating rates. Indian petrochemical industry is struggling with 5 per cent import duty on naphtha. This has put the country in a unique position, where nil duty differential exists between feedstock naphtha and polymer products.

Export potential Currently, significant polymer resin is being exported, wherein we are not able to realise the potential of significant value-addition of

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the product. With India emerging as a global manufacturing hub, huge potential exists for polymer processing industry to export valueadded processed plastics, instead of resins.

Chemical World | May 2010

Strategy for success

Outlook for 2010-11 The outlook for FY10-11 is positive with PO demand growth projection of approximately 12 per cent yoy. Major contributor to this is Indian demographics, supported by the average age of Indians, increasing disposable income in urban & rural (due to NREGA) and thus changing lifestyles. The booming sectors such as retail (customised packaging) and infrastructure (packaging, water management, etc) are creating robust demand for petrochemical. With the Central Government’s emphasis on agriculture productivity in the Union Budget FY11, the demand of plastics for packaging, irrigation and water conservation applications will get a boost.


STATUS REVIEW Pharma & APIs

“Designing ‘path-defining’ technologies would be the key” Dr Shrikant S Sakhalkar, General Manager Pharmaceutical & Intermediates Division (Business Development), Atul Ltd, is also responsible for product management of the division. He has varied experience in the field of research, process development & scaleup, quality management, production and works management. In conversation with Sumedha Mahorey, he emphasises on the shifting focus on atom efficiencies. Growth drivers The immense capital of intellectually healthy workforce and the increasing affordability of an enormous population are the key drivers for growth in India. The future is going to be a knowledge-based world. Research would be the backbone of all activities leading to growth. Designing ‘path-defining’ technologies would be the key to success.

Technological advancements Drug development has witnessed a paradigm shift towards providing greener and more eco-friendly solutions. The emphasis today is on atom efficiencies and use of environmentalfriendly technologies such as aqua-based reactions, catalytic processes yielding the desired product in high yields, use of biotechnology to produce the desired product in less number of steps, shift from batch to continuous processes wherever possible, thus reducing the manufacturing costs and hazards involved in batch processes. Use of natural products is on the rise and technologies such as extractions using super critical fluids have changed the isolation technology completely. With the increasing

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importance of the impurity profiling and isomeric purity of an Active Pharmaceutical Ingredient (API), companies are today on the constant lookout for improving their downstream processing using techniques such as highperformance chromatographic separations to obtain the desired purity.

Policy initiatives We need to increase the collaboration with all research institutes and provide world-class infrastructure facilities to researchers. We also need to strengthen our intelluctual property rights (IPR) database management and provide researchers adequate back-up literature information in their quest for novelty. The key lies in the speed to access this information. We also need to strengthen our existing patent laws to attract foreign collaborations.

Boosting exports The strategy to boost exports in the competitive generic regime would be to: R Develop win-win partnerships with foreign collaborators R Improve productivity developing multi-skilled workforce R Emphasise on quality and speed of delivery R Build world-class capacities R Develop cutting-edge technologies

Outlook for 2010 & 2011 The global pharmaceutical market was estimated at $ 700 billion in 2006-07, and is expected to grow at 6 per cent compounded annual growth rate (CAGR) to reach $ 937 billion in 2011-12. Generic drugs segment constituted $ 92 billion of global pharmaceutical sales, and is expected to grow at 11 per cent CAGR to reach $ 155 billion in 2011-12. The Indian pharmaceutical market is expected to grow from $ 13 billion in FY 2006-07 to $ 34 billion in FY 2011-12.


Pharma & APIs STATUS REVIEW

“Leading companies are now investing more in R&D” Industry scenario In October 2008, sales in the Rs-35,000-crore drug retail market dipped by 1.2 per cent, first time in many years, due to consumers’ shift towards cheaper brands and stockist facing a financial crunch due to global downturn trends. However, retail sales gradually strengthened and in February 2009, it rose to a remarkable 13.3 per cent mark. The current global financial conditions accelerated the process in implementing transformational changes in organisations across the globe, as the industry confronted low corporate stock prices and an increasingly cost-averse customer.

Investing in R&D Leading companies are now investing more in R&D to introduce new products. Companies have realised that it will take many years to develop their own products. They are now eager to join hands with MNCs to co-develop and comarket patented products of MNCs.

Major issues Outsourcing has slowed down due to the limited drug development and market launches. In-house production by several major companies has also led to reduced outsourcing of API manufacturing. Another issue is the last synthesis step that has been kept in-house by major pharmaceutical companies, thus placing downward price pressures on the API manufacturers.

Growth strategies Strong opportunities have become apparent in the early phase of drug development & production services, biopharmaceuticals as well as markets of high-potency active pharmaceutical ingredients (HPAPIs). Companies from the US and Western Europe are looking for low-cost manufacturing bases

Vijay Singla, President Production, IOL Chemicals & Pharmaceuticals Ltd, has played a crucial role in setting up and expanding the capacities of the ibuprofen plant, apart from playing an important role in developing and testing molecules in the in-house laboratory. In an interaction with Sumedha Mahorey, he shares his views on the need for managing technical aspects and understanding customer’s requirements. and are making investments in countries like India and China.

Policy initiatives Stronger patent laws and units, which comply with the regulatory framework would attract favourable western investment into a developing country like India. Export driven industrialisation would also boost trade in this sector.

Outlook for 2010 2011 Suitable company policies and strategies would increase the profit margin in the API market. An integrated approach with rapid delivery and cost-competitiveness can be implemented for efficient API manufacturing and considerable profit margins. For the API manufacturers, considerable opportunities are available to improve their effectiveness. The approach for better project management includes understanding the customer’s requirements and managing the technical aspects, budget issues, strategical regulatory issues and quality assurance. Those manufacturers who understand and work on these lines will gain trust from customers, ultimately earning continuous business from them.

May 2010 | Chemical World

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STATUS REVIEW Plastics & Polymers

“A big challenge is in meeting customer demands” Jayant V Dhobley is President - Asia Pacific, DSM Engineering Plastics. He has been in the plastics business across various functional disciplines for the last 19 years. With strong support and contribution of the management team, he has successfully steered and grown the business in the turbulent economic conditions. In this interview with Rakesh Rao, Dhobley reflects on the performance of engineering plastics. Impact of economic slowdown The whole world has been impacted by the economic slowdown. The plastics industry too is not immune to it. However, we have utilised it to our advantage by providing strong support to our current and potential customers according to their needs. In China and India, the impact of the downturn was comparatively low. With our continuous introduction of new products and innovative solutions, demand is steady, and growing in certain segments. We are strong in both these economies, which allowed us to do fairly well, even in bad times such as last year.

Performance of Asian market The growth in Asian markets, mainly China and India continued even during 2009. The domestic growth in these two Asian economies surged ahead after a slow beginning, and has showed no signs of slowing down ever since. This resulted in an excellent performance of the engineering plastics industry during 2009. Currently, we see strong growth recovery, especially in Asia. Another trend is further restructuring of the industry.

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Challenges ahead One of the key issues is in gearing up for the surge in demand. Last year was a cautious one when people cut down significantly on investments and inventory. Now, with business surging ahead, a big challenge is in meeting demands of customers. Over time, new investments will be needed. DSM opened its new compounding factory in India last year, which has given us significant advantage to serve these demands.

Environmental aspects The engineering plastics industry has witnessed the trend of increased focus on the environmental aspects, which mainly include: R A need for high-performance engineering plastics to replace metals wherever possible R New materials for plastics packaging industry like breathable films for food packaging R Innovative halogen-free engineering plastics for environmental compliance R Increase in demand for recycled and biobased polymer materials Opportunities are plenty, and the key is to understand customers’ needs and stay focussed on solving their issues.

Growth sectors The main growth sectors will continue to be automotive, low-voltage switch gear, lighting, electronics and furniture. Overall, these segments grow at levels close to twice that of GDP growth, trends which the engineering plastics industry will follow too.

Outlook for the Asian engineering plastics industry In today’s difficult to year seems engineering most of the

economic scenario, it is rather predict about the future. This to be quite promising for the plastics industry, especially with global outlook looking bright.


STATUS REVIEW Process Equipment

“Process industry must ensure cost-competitiveness” Jose Hernanz is Managing Director, Alfa Laval India. Before his current assignment, he was Managing Director, Alfa Laval, Spain. Alfa Laval India is a part of one of the leading global providers of specialised products and engineering solutions based on its key technologies of heat transfer, separation and fluid handling. In this discussion, Hernanz shares his views on process plant & machinery (PPM) industry with Rakesh Rao. Facing adversities The economic downturn has forced businesses to introspect. Though the Indian economy has demonstrated robustness in the face of global challenges, the factors related to the downturn have made us face several adversities. While grappling with downturn trends, we learnt that the ability to adapt to changes and positive outlook for opportunities are crucial for business success.

Sustaining development To create a sustainable future, there is a need to conceive it first with overarching strategies of self-evaluation, change and optimistic approach. Also, there is a need to protect results, ie, cut overheads, improve efficiency and spend on the right things. This is the time to renegotiate with suppliers and become lean and agile. It is also an opportunity to acquire new technologies and go in for mergers & acquisitions that would add value in the long run. It is a challenge for leadership skills of providing the right direction. Having a clear direction inspires confidence in the staff and helps in building a faithful & determined team.

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Chemical World | May 2010

Main challenges PPM industry is facing the following challenges to meet the needs of the present without compromising the needs of the future generations in the face of increasing industrial competitiveness: R ‘Scale-up’, to extrapolate a process from smaller to the industrial plant-scale, which may require investment R Process intensification, to combine different processes into smaller compact and efficient units, instead of treating them as individual processes R Retrofitting, to upgrade a plant with the latest technologies/processes to become more efficient, within many constraints of the existing footprint of the plant

Regions/countries driving growth BRIC (Brazil, Russia, India and China) countries have been growing at a faster rate, and the trend will continue. The outperformance of emerging economies after the downturn will continue with India and China as frontrunners.

Boosting competitiveness Process industry must ensure costcompetitiveness in its operations and pursue innovative technologies that meet the current market demands/trends. The role of software is to enhance operational efficiency, and the e-enabled systems can reduce the time from order to execution, enabling human resources to focus on qualified support and assistance.

Ecological issues Escalating cost of energy and environmental protection are two major issues that need careful handling while choosing the process equipment. The thrust should be on heat/energy recovery & water reuse to reduce the operating cost and minimise harmful emissions.


Process Equipment STATUS REVIEW

“Asia will be the engine for future growth” PPM industry during slowdown The global economic slowdown saw major projects being shelved or deferred last year. The demand has shrunk and the PPM industry is now fighting for the smaller pie. The impact of the same can be seen from the reduced margins and bottom lines. The appreciation of the Indian Rupee also affected our country’s competitiveness.

Sectors driving growth Process plant equipment forms an important part of almost every industry. The focus being on oil & gas and power now, these would be the growth drivers. Once the oil & gas industry picks up, downstream industries like fertilisers, petrochemicals, refining should also grow. Hence, it is expected that there should be a steady pattern of growth for the process equipment sector. It is important to devise a manufacturing policy, which would create a conducive & favourable environment for manufacturing rather than trading.

Challenges facing the industry When it comes to industries like oil & gas, we still depend on imports to a large extent. Our manufacturing base to cater to this sector is still limited. There is a scope for accessing global technologies here. Given the nature of the process equipment, almost 50-60 per cent of the materials may need to be imported. We still struggle with basic raw materials like thick carbon, stainless steel & alloy steel plates and forgings.

Regions key for progress The key drivers for the PPM industry would be the regions where one would see investments in sectors like power, oil & gas, fertilisers, crude oil refining, petrochemicals & other downstream sectors, pharmaceuticals, and minerals & metallurgy. The Middle East will continue to drive the oil & gas and downstream investments.

C M Venkateswaran is the Chairman, Process Plant & Machinery Association of India (PPMAI). He heads the Pune Operations of Aker Powergas and is responsible for the process & construction, and the subsea oil & gas activities. In conversation with Rakesh Rao, Venkateswaran discusses the challenges & opportunities in the process plant & machinery (PPM) industry.

India would see significant investments in power, oil & gas and fertilisers in the coming days. Iran, South East Asia and Australia have significant investments planned in oil & gas projects. On the whole, the Asia region will be engine for the near future growth.

Boosting growth We need to build capacities, capabilities; infrastructure and international reputation to divert, if not prevent the onslaught of China and Korea. We need to be an end-to-end solution provider. Manufacturers and the government need to play their roles. The manufacturers need to continue to develop and hone their systems with respect to engineering, project management & planning, costing, health, safety & environment (HSE) and documentation.

Outlook for 2010-11 The general outlook for the Indian PPM industry is positive with key sectors like oil & gas, power fertilisers poised for growth and the downstream industries looking up.

May 2010 | Chemical World

43


STATUS REVIEW Specialty Chemicals

“Indian companies need to increase investment in R&D” Dr Kishore M Shah is Chairman, Sauradip Chemical Industries, and President, Indian Specialty Chemical Manufacturers’ Association for 2009-2010. He was conferred with ‘Udyog Patra’ award by Dr Shankar Dayal Sharma, the ex-President of India in 1992. In an interaction with Sumedha Mahorey, he focusses on the need to increase investment in R&D activities to sustain through the tough business environment. Improving efficiency The current global economic situation and its impact on India are unprecedented, both in scale and its suddenness. We should utilise this difficult time to improve our operational efficiencies, re-look our cost structures, cut unnecessary expenses and be prudent & judicious with cash management.

Driving growth Specialty chemicals are finding more applications in the construction, automotive, electronic and water treatment segments. These are most likely to drive the growth of the global specialty chemical market in the next five years.

environment. They can leverage on low R&D costs to undertake intensive research for developing value-added products and innovation. India’s cost advantage would also be the key driver to attract outsourcing and Contract Research & Manufacturing Services (CRAMS).

Policy initiatives To be successful, Indian companies must master the art of innovation by constantly developing and adopting best products, techniques and practices that are available in the region. We need to create a modern regulatory framework that drives innovation, encourages growth and increases productivity. We must also promote innovation with more interaction between business universities and encourage the growth of successful clusters & future high-growth companies.

Boosting exports Reforms have been initiated across a swathe of sectors to impart structural flexibility, strengthen competitiveness and improve efficiency of the economy as a whole. Buyer-seller meets & exhibitions abroad and within India have helped the exporters, especially from small and medium sector. With continued policy support from the government, the Chemexcil and the enterprising exporting community will not only sustain but also substantially increase overall export.

Outlook for 2010-11 Key challenges Although price and raw materials are important aspects for the specialty chemical segment, innovation and technology are the prime focus areas. Improving & upgrading product quality through innovation and diversifying the product portfolio are important for industries to maintain their competitive edge. This would require Indian specialty chemicals companies to increase investment on R&D activities to sustain themselves through the tough business

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Chemical World | May 2010

Specialty chemicals comprise 22 per cent of the global chemicals market, which has remained steady over the last few years. During 2003-07, the market grew at an average of 6.47 per cent to $ 493 billion. Seventy-five per cent of the global market is concentrated in North America, Western Europe & Japan with India and China emerging as major markets among developing nations. The market is expected to grow at a compounded annual growth rate (CAGR) of 7.7 per cent and reach $ 774 billion by the year 2011.


Water & Wastewater Treatment STATUS REVIEW

“Reduce operating costs and improve operating efficiencies� Improving efficiency To be able to ride out of an economic slowdown, it is important that companies do not depend on a single market segment or geographical market for their business. Serving diverse market sectors, presence in global markets & a wide range of technologies that enable solutions rather than only products, will provide a more robust and protective business grid, should one or the other sector or market or application be restrained by the economic climate. A basic objective must also be to reduce operating costs and improve operating efficiencies. During an economic downturn, when the liquidity crunch impacts business, companies need to be careful about the selection of business and efficient management of cash flow. Although water and wastewater treatment industry had grown during this period, the slowdown resulted in delayed decisions on many major projects, more so in the private sector as new investments were put on hold during the first half of 2009.

Overcoming hurdles Increasingly, more customers will be looking for an integrated package of products and services. Therefore, the industry must build the capability in providing comprehensive total water management solutions and having a bank of trained & experienced manpower to manage operation & maintenance of plants. Currently, the industry faces a major challenge in procuring fresh water, which necessitates maximum use of wastewater through recycling. It has to develop cost-effective solutions for recycling wastewater; and also technologies, which will require less consumption of energy & chemicals. As water scarcity increases, industrial water conservation will have to go beyond restricting the usage & discharge of water and extend towards reducing demand for and dependency on water. If the private sector has to

Rajesh Sharma is Vice Chairman & Managing Director, Ion Exchange (India) Ltd. After joining the company in 1974, he has held a number of sales, marketing & management positions, and has extensive knowledge about the water & wastewater treatment domain. He tracks the performance of this market in an interaction with Rakesh Rao.

participate, tariffs for drinking water & sanitation need to be rationalised.

New opportunities Growing public awareness on safe drinking water & pollution, rising water scarcity, increasing regulatory & enforcement measures and increasing infrastructure initiatives & investments continue to offer opportunities for the water and wastewater treatment industry.

Future trends The water & wastewater treatment industry need to demonstrate the capability of 360o water management that adds value across the entire water cycle, including influent supply and conservation, through production processes to effluent treatment to recycle for zero discharge. Another trend will be to outsource management of utilities like water to specialists, as this would help not only in optimising consumption of water but also optimising operating costs of water treatment for customers. Further, the outlook for the industry is good with increased investment by the private sector and government. The overall water and wastewater treatment market should show 18-20 per cent growth in the near future.

May 2010 | Chemical World

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TREND ANALYSIS

Prospects of chemical industry

Succeeding through strategic orientation The long-term growth prospects of the Indian chemical industry remain intact. However, post downturn, domestic chemical manufacturers across different segments are likely to face stiff competition either from imports or global giants manufacturing locally to serve the Indian market. There is no common solution to counter such competitive pressures as each segment has different critical success factors. Chemical manufacturers in India can do well if they tailor their strategy depending on the segment in which they operate.

chemicals and knowledge chemicals. Basic chemicals, with approximately 57 per cent share, is the largest segment followed by specialty chemicals at 25 per cent and knowledge chemicals at 18 per cent. This has largely remained unchanged over the past few years. Each segment is different, with its own unique set of challenges and opportunities. Therefore, these segments need to be looked at in greater detail to understand what the future has in store for Indian chemical manufacturers.

Basic chemicals

Courtesy: C&I Engineering Inc

Raju Bhinge & Ankur Singhai

I

ndia’s chemical industry has come long way, growing from $ 28 billion in FY03 to $ 42 billion in FY09. While it grew at around 7.5 per cent per annum from FY03 through FY08, the recent economic downturn slowed down the growth momentum considerably. Only 5 per cent growth was recorded during the FY08-09 period, that too on account of the stimulus package announced by the Central Government. However, going by the Index of Industry Production (IIP) data for the period April 2009 to January 2010, the chemical industry in the country has bounced back strongly, growing at around 11.5 per cent during FY09-10. The chemical industry primarily comprises three segments viz, basic chemicals, specialty

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Chemical World | May 2010

Petrochemicals (olefins and aromatics) form the backbone of basic chemical industry with more than 60 per cent share by revenue. As illustrated in Figure 1, demand for olefins in India is expected to grow at 10 per cent per annum while demand for aromatics is expected to grow at 12 per cent per annum over the next four-five years. High GDP growth (7-8 per cent per annum) and increase in real per capita income (6-7 per cent per annum) will drive the demand in key-end use industries like automobiles, consumer durables, textiles, packaging and real estate, thereby stimulating the demand for petrochemicals. As global majors across diverse industries like auto and consumer durables set up manufacturing facilities in India, downstream polymer processing industry is also evolving into a more organised market. On one hand, multinationals like Austrian Alpla (packaging industry) and Italian Meccaferi (non-woven geo-textile) are making a mark in the domestic market while on the other hand domestic companies like Jain Irrigation and Essel Propack


TREND ANALYSIS

are trying to create a global footprint. This will further drive the demand for petrochemicals in India. High growth prospects have led to many companies announcing plans to set up domestic capacity close to market. Reliance Industries recently announced plans to set up a 1.3-1.6 million tonne per annum cracker at Jamnagar by 2014. Similarly, Indian Oil and ONGC are setting up petrochemical facilities, which are expected to come online in 2010 and 2013, respectively. Further, availability of captive feedstock like naphtha & refinery off-gases and infrastructure support through development of Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR) are incentivising companies to invest in petrochemical capacities. However, Indian companies should take note of the wave of petrochemicals capacity (over 13 million tonne) coming up in West Asia in the next four-five years. Most of this capacity is based on low-cost gas feedstock, which can render naphtha-based complexes uncompetitive. Already plagued by overcapacity, many European capacities like the one at Wilton, Teesside chemical cluster, are being closed down. Besides, owing to proximity to India, West Asian companies will target the Indian market. This is a major risk for Indian chemical manufacturers looking to invest/expand their petrochemical business. As shown in Figure 2, six factors would define the success of Indian petrochemical industry in the future. Indian companies will have to review their capabilities along each of these dimensions. They should leverage highgrowth domestic market and focus on securing access to low-cost captive feedstock and world-scale capacities to have a meaningful role in the petrochemical market. Other sub-segments like inorganic chemicals and fertilisers also operate on similar principles. Since the basic chemical segment is mainly commoditised, any company would have to strategise around either being well

entrenched in the market (domestic or global) or have a global scale or have access to low-cost feedstock or a combination of these to sustain competitive advantage.

Specialty chemicals

Indian petrochemical demand (in million tonne)

CAGR (FY10-14)

Indian Petrochemical supply (in million tonne)

5.8

12%

11

10%

3.3

5.0-6.0

14%

11.0-12.0

10%

4.1

7

FY2009-10

CAGR (FY10-14)

7

FY2013-14

FY2009-10

FY2013-14

A wide range of Aromatics Aromatics Olefins Olefins end-use industries Figure 1: Indian petrochemical demand supply projections drives the demand for specialty While the growth story for specialty chemicals industry. Thus, as depicted in Figure 3, global economic slowdown has chemicals has returned post downturn, impacted adversely the growth of key the competitive landscape has changed, consumer industries, and consequently the which domestic companies should specialty chemicals industry in India. Not all take cognisance of. Specialty chemical segments were equally affected. Chemicals industry has seen consolidation with being supplied to consumer industries global majors like BASF and Dow with relatively higher export dependence, entering the specialty chemical space for example, textiles witnessed a steeper by acquiring Ciba and Rohm and decline in growth as compared to Haas, respectively. Thus, BASF, which chemicals for industries like paper where till now was supplying performance domestic demand has a predominant share plastics to auto industry, would also start supplying specialty chemicals. As a in the overall demand. However, the fundamental shape of result, the domestic specialty chemical the Indian specialty chemicals growth manufacturers will face a much bigger curve has not altered significantly. It and stronger competitor in the market. Companies need to address four is expected to return to pre-slowdown growth rates of approximately 15 per key dimensions to compete successfully in India’s specialty chemicals industry cent pa in one-two years. Post slowdown some of the key- (Figure 4). Emerging trends in consumer end user industries such as auto, industries call for development of unique construction and consumer electronics local products/solutions based on an are estimated to grow at an even understanding of Indian customer. This faster pace. Besides, a number of new factor is critical for companies supplying applications in each of these sectors will Economies Costs (feedstock also contribute to growth. For example, of scale and fixed costs) auto industry is expected to grow at 9 per cent per annum during the next five Critical success factors years from 11.25 million units in FY08affecting Global demand Infrastructure the indian supply situation 09 to 17.12 million units in FY13-14. petrochemical industry Moreover, emerging trends like demand for cost-effective fuel-efficient cars Domestic Downstream demand supply are driving the usage of performance and upstream situation integration plastics in cars, which in turn would Figure 2: Critical success factors for require specialty chemicals like antiIndian petrochemical industry oxidants to provide thermal stability.

May 2010 | Chemical World

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TREND ANALYSIS

to the whole spectrum of end-user industries. Automotive industry requires chemicals to support emergence of India as a low-cost small car hub and green-technology features. Creating products to support growing demand for ultra low-cost housing projects and green buildings is critical for the growth of construction chemical manufacturers. Likewise, demand for environmentfriendly crop-protection solutions/GM crops and processed food creates new opportunities for agro-based chemical manufacturers. Growth of renewable energy sector is increasingly creating new customer segments for chemical manufacturers as well.

Knowledge chemicals Knowledge chemicals mainly consist of pharmaceuticals and agro-chemicals. These segments were relatively unaffected by economic downturn. Domestic pharma market was estimated to be $ 7.5 billion in FY09 and has a CAGR of 14 per cent during the period FY08-09 to FY13-14. Besides domestic sales, export of generic drugs and active pharmaceutical ingredients by Indian companies adds another $ 11-12 billion to the pharmaceutical market. Similarly, the domestic agrochemical market was estimated to be $ 900 million in FY08-09 with another $ 300-400 million exports. The domestic agro-chemical market is expected to have a modest CAGR of 7.5 per cent End-use market growth projections (% pa) 12

Textiles

High-moderate (Housing slow down, infrastructure projects stalled)

15 10

Glass

High-moderate (Housing / automotive slow down)

14 7

Paints

High-moderate (Housing / automotive slow down)

12

Severe (Cut on discretionary expenses, high interest rates, cars expensive liability, some respite due to launch of small cars)

6

Automobiles

12 12

Leather

17 7

Paper

10 15

During slowdown

Severe (Exports affected)

High-moderate (Cut on discretionary expenses)

Pre-slowdown

Figure 3: Impact of slowdown on key end-use industries

48

Strong relationship with key end use industries: Understanding of needs 1

3 Competing successfully in Indian specialty chemicals industry

Cost leadership

4 Leverage local upstream chemicals supply

Figure 4: Important factors for success in specialty chemical market R

Develop high-quality low-cost manufacturing facilities from lab scale to tonne scale

Conclusion Three common themes are emerging across the segments: R Domestic market continues to offer high-growth opportunities R Competitive pressure is increasing both from imports and from global majors setting up manufacturing facilities in India R There has to be an ongoing focus on bringing down costs Thus, in order to successfully tap the high-growth domestic market while keeping the competition at bay, Indian chemical companies will have to tailor their strategies along the critical dimensions depending on the segments in which they operate. Raju Bhinge is Chief Executive, Tata Strategic Management Group (TSMG). He has wide experience in dealing with corporate level strategic issues and has consulted numerous organisations on key strategic issues like growth, divestments & review of business portfolio.

Low-moderate

9

Personal care

2 Low cost application development capability: Frugal innovation

Impact of slowdown 20 Severe (Exports constitute 40-50%; badly affected)

9

Construction

during the next four-five years. Both sub-segments in knowledge chemicals industry have witnessed similar life-cycle trends. It started with a focus on lowcost export of generics and gradually moved on to developing contract manufacturing opportunities. Currently, the contract manufacturing market presents a $ 2 billion opportunity for the Indian pharmaceutical industry and is likely to grow at 25-30 per cent per annum over the next two-three years. Similar opportunities exist in agrochemical space. Rallis has invested Rs 150 crore in a plant at Dahej in Gujarat for contract manufacturing of agro-chemicals for its global partners. Even as India boasts of the highest number of US FDA plants, Abbreviated New Drug Application (ANDA) and Drug Master File (DMF) filings outside the US, it is facing stiff regulatory pressures in those developed markets. In contract manufacturing market too, China is following closely on the heels of India. The agro-chemical market in India already has global majors like Monsanto, BASF and Dow competing with local companies like United Phosphorus and Excel Crop Care. Thus, Indian knowledge chemical companies may need to focus on the following three parameters to become globally competitive: R Understand the exact need of the consumers R Increase R&D efforts to develop new molecules

Chemical World | May 2010

Ankur Singhai is Project Leader - Chemical and Energy Practice, TSMG. For details, email: info@tsmg.com


INDUSTRY OUTLOOK

Indian chemical industry

The knowledge centre of the world The Indian chemical industry forms the backbone of the industrial & agricultural development of the country, and provides raw materials, intermediates & building blocks for several other downstream industries. In addition, India has been increasing its export of chemical products in the recent years. The chemical sector has been one of the fast growing segments of the Indian industry. products, etc, the chemical industry is certainly headed for a fast-paced growth.

Key demand drivers

Courtesy: MVLS Info

Dr Joerg Strassburger

W

hile the Indian chemical industry forms an important part of the country’s economy, it has also made its mark on the global market. Booming economy, increasing purchasing power of the local population and availability of large scientific manpower are attracting MNCs to invest in the country.

The evolution Over the last decade, the chemical industry in India has evolved from being a basic chemical producer to becoming a provider of specialty & knowledge chemicals. With increased investments in R&D, the industry is registering significant growth in the knowledge sector comprising specialty & fine chemicals and pharmaceuticals. Also, with growth in user industries like automobiles, construction, paints, textiles, paper, glass, leather, personal care

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Chemical World | May 2010

As the Indian economy is witnessing a high growth rate in all segments, particularly driven by a burgeoning middle-class, fiscal stimulus by the government and increased spending on infrastructure, there will be an in-tandem growth in all segments like automobiles, plastics, pharmaceuticals, construction, food processing, domestic and industrial appliances, among others. This would trigger a high demand for the chemical industry across segments – basic, specialty and knowledge chemicals. India is also becoming an export hub for specialty and knowledge chemicals. The reengineering capabilities and the low cost of production make India an interesting destination for sourcing activities of companies all over the world.

Hurdles to cross In India, an important part of the chemical industry is largely unorganised and fragmented in nature and is small-scale in operations. Most Indian companies lack a global platform for production, distribution, and also they are not equipped to serve the needs of a global market. Lack of innovation is another key parameter that hinders the growth of the Indian chemical industry. Additionally, rise in the prices of crude oil in the recent past, cost of power and the fluctuation in the exchange rates have also hampered the volume of exports. Also, China, which is the largest producer and exporter of chemicals in Asia, is posing tough competition to India. A consolidation in the industry which creates strategically better


INDUSTRY OUTLOOK

positioned players is needed to be able to do necessary investments and to capture the opportunities in the domestic & export markets. Environmental protection and health issues are also key areas that companies have to address. In this regard, the chemical industry has a significant role to play – in matters of compliance with rules and regulations, drafting of policies for internal & external stakeholders, adopting safe dumping practices, having a transparent & audited governance, etc. The Indian chemical industry needs to mature far more in this area to be able to make a mark on the global platform. A consolidation would also help to bring in the necessary changes.

Opportunities galore Given the fact that there is an increased consumption in India from customer verticals, global chemical manufacturers are more keen to be present in the country. As a result, significant investments have been made by multinational companies in the Indian market in the recent years. On the other hand, Indian companies are now actively acquiring small and medium-sized ones in Europe and the US to enhance their technology edge, improve capabilities, increase reach and penetrate those markets. Availability of an enormous talent pool in India makes it viable for companies to set up R&D units here and foster innovation at a much low cost. Continuous product and process innovation, performance improvement and identifying new modes of applications are key factors for the chemical industry to prosper in the long run. Organisations need to build product leadership through rigorous innovation, continuous improvement and inventing new ways of meeting customer needs.

Bright future ahead The chemical industry globally has been recovering post economic slowdown. Increase in exports of chemicals and the imports of crude oil, fast rise in domestic consumption are factors that lead us to believe that the chemical and petrochemical industry in India would be on a fast growth track in the months to come. Some indicative data from research reports published by industry bodies also show that the chemical industry has been given a boost and would certainly rise both in terms of volume & quality in the coming years. Dr Joerg Strassburger is the Country Representative & Managing Director at LANXESS India Pvt Ltd. Since 2005, he has been responsible for the operations and development of the global LANXESS business units in India. For details, email: rhituparna.mitra@lanxess.com

May 2010 | Chemical World

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BUSINESS & MARKETS

INDUSTRY UPDATE M&As Global M&A activities: Ready to rise again.................................................... 54 GREEN CHEMISTRY Hazard reduction: An eco-freindly path for development.............................. 56 PLANT SAFETY Accident-free operations: Better be safe than sorry....................................... 58 ENERGY MANAGEMENT Effective steam handling: A potential cost saver ........................................... 60 SUSTAINABLE DEVELOPMENT From economics to ecosystem: Embracing the change ................................ 64 CDM Green future: CDM leading the way ........................................................ 66 Developing CDM projects: Risk mitigation is the key................................ 68 BIOFUELS Developing biofuel market: The missing links................................................ 70

May 2010 | Chemical World

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INDUSTRY UPDATE M&As

Global M&A activities

Ready to rise again The global economic slowdown had its impact on the mergers & acquisitions (M&A) in the chemical industry. With global economy showing signs of improvement, confidence is back among the investors. Experts believe that there will be an increase in both M&A appetite and capacity for the coming year in the global chemical industry.

Courtesy: Florida State Parks Information Center

T

he global M&A and private equity environments went through a major turmoil in 2008 and the first half of 2009. Though there was a substantial rise in the latter half of 2009 (due to the under-performance of the first half), 2009 turned out to be one of the worst years in corporate activity. Since the chemical sector mirrors the general economic courses, a similar trend was witnessed. However, the growth in the first quarter (Q1) of 2010 has been outstanding, and in all likelihood, calendar year (CY) 2010 may show similar numbers as CY 2008.

Global statistics In CY09, global chemicals M&A activity declined by 70 per cent to $ 18.5 billion in terms of deal value

Deal value (US$ billion)

600

499

500

362

50

400

40 30

300

61.5 118

200

18.5

18.9

100

CY09

1Q10

20 10 0

Deal Count

70 60

0 CY08

Value (US$ billion)

Count

Figure 1: Global M&A activity Source: Bloomberg

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Chemical World | May 2010

and 27 per cent in terms of deal count. However, the activity has picked up well in 2010 after slowdown in 2009; Q1 2010 alone has seen deals worth $ 18.9 billion. Average deal size with disclosed transaction value has also experienced an upward trend. After declining to $ 95.1 million in CY09, it increased to $ 314.4 million in Q1 2010.

PE statistics Private equity activity in the global chemicals industry witnessed a significant decline in CY’09. At $ 1 billion, activity fell more than 85 per cent from its CY08 levels. However, with an improvement in the global macroeconomic environment, PE activity has gained momentum, and Q1 2010 alone witnessed $ 2 billion worth of PE investments in a total of nine deals. Deal size (US$ million)

Navroz Mahudawala

350 300 250 200 150 100 50 0

314.4 256.3

95.1

CY08

CY09

1Q10

Figure 2: Trends in deal size Source: Bloomberg


M&As INDUSTRY UPDATE

Key trends Some of the key trends that investment bankers are witnessing currently and which are expected to continue through the rest of 2010 are: R While most activities in chemicals in 2008 and H1 2009 were mid-market in size, bigger deals returned back in the latter half of 2009 R There is greater interest from China, Japan & Middle East in global M&A, as these geographies are better positioned compared to the rest of the world – China, from a domestic demand perspective, and Middle East from a feedstock perspective. A key case in point is Sinochem’s interest in the Nufarm deal earlier, which was aborted. Later, Sumitomo Japan showed interest, and the deal is now in the advanced stage R Several transactions continue to be one-to-one negotiations instead of open auctions R Financial buyers (ie, buyout & growth capital funds) seem to be returning back. In March 2010, Bain acquired Styron Corp from Dow Chemical. Infact, Bain’s recent first deal in India was a minority stake in Himadri Chemicals R Many transactions that occurred in 2009 were attempts by larger corporations to streamline their portfolios (ie, business sale) rather than an outright company sale

Better opportunity After a period of subdued activity globally in earlier part of 2009, M&A activities have witnessed a major rise. Long-term players would view this as the right opportunity to grow. Industry observers believe that post-second quarter, there will be a further outburst of activity. 2010 will be a year to watch out for global chemical sector consolidation. (The views expressed herein are personal and do not necessarily

Table 1: Leading chemical sector deals in the last four quarters The deal

Rationale

CIBA would strengthen BASF’s product portfolio and expand its position in specialty In April 2009, BASF acquired Ciba AG chemicals, particularly in the paper, plastics for $ 5,500 million and coatings industry. For Ciba, falling profitability and mounting financial liabilities & pension obligations led to the acquisition Dow’s divestiture of its ownership in Optimal is in-line with its recent de-leveraging plan to exit ancillary businesses and increase its In July 2009, Petroliam Nasional Berhad financial flexibility, improve its cash flow acquired Optimal Group from The Dow and reduce debt. Optimal acquisition is Chemical Company for $ 660 million expected to strengthen Petroliam’s plefins business and its presence in the Malaysian petrochemical market This is a sale of assets under liquidation scheme. Tronox filed for bankruptcy in In August 2009, Huntsman purchased January, 2009. The transaction will make Huntsman world’s second largest maker of assets of Tronox for $ 415 million whitener. It will also enhance its chloride capacity and increase presence in Asia In September 2009, Solvay acquired For Solvay, this leads to strengthening of Berezniki soda ash plant from Sodium position in soda ash industry in Russia Group Investments Ltd for $ 232 million Agrium will provide Terra an assured supply In November 2009, Terra Industries of cheap natural gas resources, its superior acquired Agrium Inc for $ 250 million production capabilities (ammonia-based products) and boost its presence in North America The transaction is expected to help In December 2009, Sumitomo Chemical both companies in the areas of product signed a deal to acquire 20 per cent distribution, product development, logistics stake in Nufarm for $ 547.3 million and manufacturing The transaction will strengthen Braskem’s In January 2010, Braskem SA position in the Brazilian and Latin American acquired Quattor Participacoes SA for petrochemicals market. It will also $ 4,041 million significantly enhance its production capacity of thermoplastic resins and ethylene This acquisition will provide Air Products In February 2010, Air Products & with a strong base in North America and will Chemicals Inc acquired Airgas Inc for make it one of the largest industrial gases $ 6,641.2 million producers in the region In March 2010, CF Industries acquired The combined entity will become the second Terra Industries for $ 4,846 million largest nitrogen fertiliser producer in the world Source: Bloomberg & other secondary sources

represent the views of Ernst & Young Global or any of its member firms) Navroz Mahudawala is Associate director - Chemicals Practice, Ernst & Young. He joined the company in December 2004, and has

more than 13 years experience in investment banking. Prior to joining Ernst & Young, he has worked with KPMG Corporate Finance for around four years as an AVP. He has also worked with a diverse background of clients on assignments in M&As, advisory, valuations, debt restructuring and financial advisory. For details, email: amber.sironzkar@in.ey.com

May 2010 | Chemical World

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INDUSTRY UPDATE Green Chemistry

Hazard reduction

An eco-friendly path for development Scientific advances in a rapidly emerging field termed ‘Green Chemistry’ offer the brightest promise for guiding an economy into a new era of sustainability. The future epoch will be one in which people use water, air, energy, and other resources in ways that meet current needs without compromising the ability of future generations to meet their needs. Further, chemists, chemical engineers & others throughout the scientific community can forge the path forward, and together their innovation will lead the way. Courtesy: Industrial Green Chemistry Workshop

Dr Paul T Anastas

G

reen Chemistry is the design of chemical processes and products that reduce or eliminate the usage and generation of hazardous substances. If we are going to move towards a sustainable society, we need to incorporate the principles of Green Chemistry as a new design paradigm, a framework for generating the materials that are the basis of our society & economy in ways that are less harmful to human beings and the environment. How do we achieve this? There are six essential steps - feedstock, manufacturing, energy, performance criteria, waste and systems thinking - for advancing Green

6 essential steps for advancing Green Chemistry ¦ Choosing right feedstock ¦ Improving manufacturing process ¦ Energy management ¦ Performance criteria based on sustainability ¦ Waste reduction ¦ Incorporating systems thinking and sustainability into every work

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Chemistry and seeing that its principles are systematically and fully implemented in our industrial processes. Hopefully, these steps will allow Green Chemistry to put us on a path to a sustainable future.

Feedstock The 12 principles of Green Chemistry cut across the lifecycle of any product or process. Anytime a chemist puts pencil to paper or reaches for the computer mouse to begin the process of designing of a chemical product or synthetic methodology, he has an opportunity to embrace Green Chemistry and embark on the path of sustainability. Green Chemistry challenges us to ensure that the feedstock we use as the building blocks of the products we design are renewable and not depleting. Majority of the feedstock choices that our current industrial systems rely on, such as metals and fossil materials, are fundamentally limited & finite, presenting significant limitations for sustainability.

Manufacturing Today, even in our most efficient synthesis and manufacturing processes, majority of atoms wind up in the waste stream. This is


Green Chemistry INDUSTRY UPDATE

not only unsustainable, but inelegant chemistry. Instead, syntheses need to be generated that are ‘atom economical’, ie, every atom of feedstock used in the manufacturing process gets incorporated into the final product. Further, as we look at the manufacturing process as a whole, we know that many substances used, such as solvents and other auxiliary materials, are inefficient and contribute to waste. Many are of high concern to the public because they are toxic to humans and have been known to contaminate the atmosphere, and drinking & ground water. By innovating the design of these processes in ways that eliminate, where possible, the reliance on toxic auxiliary products will be an important step in utilising Green Chemistry.

Energy management How we use energy is another essential part of the Green Chemistry manufacturing process that should guide us into the future. A chemist, should design the process in such a way that syntheses and manufacturing can be achieved at ambient temperatures and pressure. In addition, the nature of the energy we harness to make products should be clean and renewable whenever possible.

Performance criteria As we move through the life cycle to the design of a product, concerns for the toxicity or the hazard of that product is based on its fundamental physical and chemical properties the same properties that chemists are experts at designing. In the same way, chemists design a substance that is red or blue, or a material to be brittle or elastic. With Green Chemistry, we now have the knowhow to design a substance that is less toxic. We need to incorporate that thinking

into how we measure and evaluate what we design. Sustainability and the reduction of hazards to human health and the environment must become the performance criteria for measuring success.

Waste reduction We have historically looked at waste & waste disposal as the natural end points for products that are beyond their commercial life. This needs to change, as we incorporate Green Chemistry principles into the way we conduct business. We need to consider the end of our products even as we reach for the pencil or computer mouse. The products and materials we introduce into the world should

Green Chemistry offers chemists and other scientists an opportunity and responsibility to help society achieve a sustainable future be designed so that they degrade through natural biological or physical systems - without persisting, bio-accumulating, and biomagnifying - at the end of their commercial lives. As chemists and molecular designers, we have gained expertise over many decades for manipulating the basic chemical and physical properties of materials. We should now utilise this expertise to facilitate changes that shift the ultimate destination of our products from waste to another stage of sustainability.

Systems thinking We need to incorporate systems thinking and sustainability into everything we do. While each of the steps is important and essential, they represent a cohesive, interdependent

framework for designing the next generation of products and processes so that they are fundamentally sustainable.

In a nutshell Each step on the path towards sustainability is part of a comprehensive system that will not only produce sustainable products, but one that will enable & empower a transformative, innovative change in the way people produce products and interact with the environment. Green Chemistry has the potential to not only offer us an entire new generation of safe, clean and sustainable products, but spark a period of sustained & healthy economic growth. Green Chemistry offers chemists and other scientists an opportunity and responsibility to help the society achieve a sustainable future. A significant progress in embracing Green Chemistry and Green Engineering is being witnessed now. The pace will increase, and the economy will become sustainable. Several out-ofbox thinking innovations are being introduced, too. These remarkable innovations are moving us closer to the day when Green Chemistry becomes standard and is recognised for what it truly is: A way to boost profits and increase productivity while protecting the environment and human health. Dr Paul T Anastas is Assistant Administrator, Office of Research and Development (ORD) and the Science Advisor, US Environmental Protection Agency. Known widely as the ‘Father of Green Chemistry’ for his research on the design, manufacture, and use of minimally-toxic, environmentallyfriendly chemicals, he has an extensive record of leadership in government, academia, and the private sector. For details, email: petteway.latisha@epamail.epa.gov

May 2010 | Chemical World

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INDUSTRY UPDATE Plant Safety

Accident-free operations

Better be safe than sorry Chemical plants are full of potential hazards and can cause accidents & disasters if they are not treated properly. Accidents may take place due to hazardous chemicals, high temperature, high pressure, unsafe acts & conditions, work at elevated area, etc. Hence, it is important to take all the necessary precautions to prevent accidents.

Courtesy: Meico System

Trevor A Kletz

T

he process industries, particularly the chemical and oil industries, handle many hazardous materials, often in large quantities. Nevertheless, many companies achieve very low accident rates. In some countries, however, the accident rates are very high, partly because the managers in these countries do not know how to improve them. Even countries and companies with good accident rates are under public pressure to reduce. Though many books, papers and courses are available explaining on how to improve accident rates, companies that want a better safety performance do not know where to start.

6 most effective ways to improve accident rates ¦ Publish accidents reports and their recommendations ¦ Utilise available information ¦ Whenever possible use inherently safer designs ¦ Train employees through discussion rather than by written

instructions ¦ Follow the procedure ¦ Preserve old accident reports

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Listed below are six most effective ways of improving accident rates. There is much more that could be done but one cannot do everything at once and have to start somewhere.

Publish accident reports These reports and their recommendations can help other companies & organisations benefit, for four reasons: R If we have an information, which may prevent accidents, it is our duty to pass it on to others R Some companies spend a huge amount on safety. By telling our competitors what we have done, we encourage them to spend as much as we have spent R We can get useful information from other companies in return for the information we have given them R The whole industry suffers if one company performs badly. To misquote the well-known words of John Donne: “No plant is an island, entire of itself; every plant is a piece of the continent, a part of the main. Any plant’s loss diminishes us, because we are involved in the industry; and therefore never send to know for whom the inquiry sitteth; it sitteth for thee.”


Plant Safety INDUSTRY UPDATE

Utilise available information Besides publicising new information, utilise what is already available. Many companies do not. The following ten actions will help one do so: R Include in every instruction, code and a standard note on the reasons for it and accounts of accidents that would not have occurred if the instruction, code or standard had been in existence at the time and had been followed R Describe old accidents as well as recent ones, other companies’ accidents as well as your own in safety bulletins, and discuss them at safety meetings R Follow up at regular intervals to see that the recommendations made after accidents are being followed, in design as well as operations R Remember that the first step down the road to an accident occurs when someone turns a blind eye to a missing blind (or other detail) R Include details of important accidents of the past in the training of undergraduates and employees R Keep a folder of old accident reports in every control room. It should be compulsory reading for new employees, and others should look through it from time to time R Read more books, which tell us what is old, as well as magazines that tell us what is new R Make sure that employees at all levels have adequate knowledge and experience. This is particularly important when people with long service are retiring and their successors have less experience R Look for the underlying causes of accidents as well as the immediate technical causes. For example, if the immediate cause is corrosion, the underlying cause may be choice of an unsuitable material of construction, an error during construction or maintenance, exposure to unforeseen conditions, and so on. Searching more deeply, these errors may be due to poor training or instructions,

poor supervision, poor auditing, a casual attitude to safety, etc R Provide better methods for searching accident databases

In 2009, an explosion occurred in the plant, but did not cause any leaks of methyl isocyanate (MIC), but drew attention to its poor design.

Safety design

Training through discussion

Whenever possible, use inherently safer designs, ie instead of adding on protective equipment to control hazards, see if one can remove the hazard. For example, if one is using a flammable or toxic solvent or other substance, can one utilise a non-flammable or non-toxic one instead? Safer designs are usually cheaper than the ones with added protective equipment.

Students and employees must be trained through discussions rather than by lecturing them or sending them written instructions. Discussions are a more effective method of teaching than reading or listening to a lecture. The discussion leader should briefly describe an accident and illustrate it on a slide(s). Those present should then say what they think was the cause and what they think should be done to prevent it from happening again. The audience remember more than they would by listening to a lecture and are more committed to the recommendations made as they have developed them.

Whenever possible, use inherently safer designs, ie instead of adding on protective equipment to control hazards, see if one can remove the hazard Another example is methyl isocyanate (MIC), the material that leaked from a tank at Bhopal, Madhya Pradesh, in 1984, and killed thousands of people, which was an intermediate, and not a raw material or product. It was convenient to be stored, but not essential to do so. It would have been safer to use it as it was made. The worst leak would then have been a few kilograms from a broken pipe. In addition, the cost of the storage tanks for MIC and the working capital tied up in their contents – thousands of dollars – would have been saved. Most of the reports and comments on Bhopal, including the official ones, missed this weakness in the design though many companies did reduce their stocks of hazardous intermediates afterwards. Union Carbide, the company that had designed the Bhopal plant, had built a similar plant in the US and made little or no change in its design.

Follow the procedure One should never remove the equipment before he knows why it was installed, and never abandon a procedure before one knows why it was adopted.

Preserve reports Never destroy old accident reports. A high price was paid for the information in them in money, and more importantly, by the suffering of the people who were killed or injured. Trevor A Kletz is Visiting Professor, Loughborough University, the UK. After graduating in Chemistry at Liverpool University, UK in 1944, he joined Imperial Chemical Industries (ICI) and spent eight years in research, sixteen in production management and the last fourteen years as Process Safety Advisor to the Petrochemicals Division. He has written several books & many papers on loss prevention & process safety and is credited with introducing the concept of ‘inherent safety’. He can be contacted on email: t.kletz@iboro.ac.uk

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INDUSTRY UPDATE Energy Management

Effective steam handling

A potential cost saver Rising material and utility costs coupled with increasing global competition are forcing industries to trim their cost of manufacturing. It is a fact that fuel prices will rise in the future. Across plants, there is a huge potential for savings in the fuel bill through effective steam management. Besides yielding savings, effective steam management plays a critical role in productivity and product quality. Savings are realised by addressing the areas of steam generation, steam distribution, utilisation and condensate & flash recovery.

Courtesy: www.energysavingnews.co.uk

Dr Naushad Forbes

A

few key areas that the chemical industry can focus on are poor condensate recovery, the primary reason being the fear of contamination; less than optimum boiler efficiency caused by fluctuating loads & selection of traps and their health. Here are six tips for a better output:

Uninterrupted monitoring Boiler operation parameters should be monitored continuously to correct operations. A steam-tofuel (S:F) variation of even 0.25 translates into 1.85 per cent excess fuel consumption. The cost

of buying a new boiler is small compared to the amount of money spent in operating the boiler year-on-year. This is a fact and also known is that this expense is governed by boiler efficiency (Figure 1). Although ‘boiler efficiency’ is an important parameter in the boiler specifications when purchasing a boiler, more attention needs to be given to it when the boiler is steaming. Boilers by themselves do not operate efficiently, but need to be operated in a manner that they deliver the best efficiency. In order to do so, the main parameter to measure is the S:F, which simply put is a ratio of the total steam generated to the total fuel consumed. Monitoring this parameter regularly is essential. A minor change in S:F, for example,

160

15%

5%

Capital Utility Maintenance Fuel

65%

Temperature in deg C

15%

120

60 Steam at 3 bar g At saturation temp of 145oC

Air 0.2

Condensate 1mm

40

0

Figure 1: Cost of operation (oil/gas fired boilers)

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Figure 2: Heat transfer curve

Pipe Wall 6 mm, SS wall


Energy Management INDUSTRY UPDATE

Plant analysing Over-sizing of the boiler must be avoided, or it leads to frequent onoff cycles in a boiler, which cuts down boiler efficiency. Boiler short cycling occurs when an oversized boiler quickly satisfies process heating demands, and then shuts down until heat is again required. Most boilers operate on the cross-limiting control scheme, where the air flow increases before the fuel flow rises, and it decreases after the fuel flow falls. Thus, during switch-on and switchoff, more heat is carried away with the air to the stack, reducing the overall efficiency. Frequent switch-on and switch-off causes the heat in the combustion chamber to be carried away by the air purge. This results in greater stack loss, thereby reducing the boiler efficiency. Thus, over-sizing boilers must be avoided. In the case of existing establishments with oversized boilers, it is possible to make adjustments to the boiler by analysing the plant load pattern so as to minimise the losses.

700

20 %

600 Heat content (kcal/kg)

13.5 to 13.25, translates into a 1.85 per cent variation in fuel consumption. Steps should be taken to sustain a high S:F.

500 400 300 200 80 %

100 0

0

1

2

3 4 5 6 Pressure in bar g

Latent heat

7

8

9

Sensible heat

Latent heat

Sensible heat

Figure 3: Heat content of steam

Effective heating and saving Air can be eliminated from steam systems to ensure effective heating, and thus save fuel. Air can be between 1,500 and 3,000 times more resistant to heat-flow than steel, and 8,000-16,000 times more resistant than copper. A film of air, which is only 0.025 mm thick may resist as much heat transfer as a wall of copper that is 400 mm thick. Of course, these comparisons depend on the temperature profiles across each layer. During indirect heat exchange, metal walls are not the only barriers to heat transfer. There is also likely to be a film of air, condensate and scale on the steam side. Proper cleaning on the steam side can eliminate or minimise scales. But, air and condensate films are of greater concern.

Table 1: Applications of various types of traps Application Suitable trap Remarks Ensures effective condensate discharge Thermodynamic Steam mains drain where condensate load is less and trap intermittent Process equipment

Ball float trap

Continuous discharge of condensate at steam temperature ensures rapid warm up in process & saves energy

Jacketing and tracing

Balanced pressure traps

Sub cools condensate before discharge, giving additional heat to application thus saving energy

Non-critical heating applications with existing risk of water hammer. Effective, but inefficient from energy For example, tanks with Inverted bucket perspective and has problems with air bottom coil heaters trap venting with top entry & exit for steam and condensate respectively

Air enters the system when a plant starts after a halt or after a batch. It can be removed via air eliminators, thereby ensuring effective heating and savings in fuel. Figure 2 represents the temperature gradient across a steam pipe carrying steam at 3 bar g with saturation temperature of 145 0C. In between the steam and product are a 0.2 mm air film, 1 mm condensate film and 6 mm stainless steel pipe wall. As seen in Figure 3, a drop of 400C occurs across an air film of just 0.2 mm thickness.

Timely maintenance A 1/8th inch hole in a steam main can waste 9 tonne fuel oil per year. Small leaks cost big money, so they should not be ignored. Even steam leaks that seem to be insignificant, drain a considerable amount of energy, wasting fuel and thus money. Repair of leaks in the steam system, most often than not, may be postponed for a later date. Steam leaks, along with the evident monetary loss, lead to the development of a corrosive environment. They restrict maintenance access and are dangerous for plant personnel. Thus, steam leaks should be attended to and repaired as soon as possible. A good operating practice would be that the plant operators or the designated authority survey the plant periodically to check for steam leaks. Once identified, these leaks should be repaired at the earliest to contain the losses.

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INDUSTRY UPDATE Energy Management

Considering 6,000 hr of annual operation, at 7 bar steam escaping through a 1/8 th inch (or 3 mm) diameter hole wastes 15 tonne of coal or 9 tonne of oil or 375 GJ of gas annually.

Effective recovery To save energy, recover condensate, because condensate holds almost 20 per cent of the fuel energy burnt in the boiler. When steam condenses by giving away, it is latent heat; the resulting condensate is still at the same temperature as steam. This heat, termed sensible heat, can be recovered. As shown in Figure 3, heat in condensate is about 20 per cent of the fuel energy burnt in the boiler. For example, for steam at 3 bar g, the energy content of the condensate formed (144 Kcal/kg) is 22 per cent of the total steam energy (654 Kcal/kg).

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A plant can significantly reduce its fuel bill by completely and effectively recovering & utilising condensate.

The right choice Application-based steam trap selection leads to 7-8 per cent reduction in steam consumption. For example, at a chemical plant in Gujarat, replacing thermodynamic traps with correctly sized ball float traps (FT) reduced process time from 7 hr to 5 hr and steam consumption by 8 per cent. Correct application-based steam trap selection on process equipment can save 7-8 per cent of steam consumption. Steam trap selection is application specific. Different traps are based on different modes of operation and some are more suited to a particular application. For example, thermodynamic traps are designed for applications where condensate load is less & intermittent, and

hence are ideally suited for mainline drain application. Ball FT should be selected for applications where the load is heavy and continuous, process equipment. A correctly selected and sized trap reduces process time and saves energy. Our observations based on thousands of plant surveys and over 1,000 audits indicate that wrong trap selection is prevalent across most plants. Dr Naushad Forbes is Director, Forbes Marshall, and is also CEO of steam engineering companies of the group. He is associated with various trade bodies, and is Vice Chairman, Maharashtra State Council, Confederation of Indian Industry. Dr Forbes also serves as Visiting Faculty at the Industrial Management School, Stanford University. He can be contacted on email: cgogate@forbesmarshall.com


INDUSTRY UPDATE Sustainable Development

From economics to ecosystem

Embracing the change Sustainable development is a concept which seeks to balance economic and social progress with concern for the environment and careful stewardship of natural resources. Within the chemical industry, companies are taking steps to develop solutions to help make sustainable development a reality. Courtesy: Millipore

Rajiv Juneja

S

ustainable development in the chemical industry is an area that is receiving more attention from policy makers, company stakeholders and technical & scientific communities. Today, most strategic priorities in the area of sustainability are focussing on a range of programmes that reduce industry’s impact on climate change and the effect of greenhouse gases. Policy makers are focussing on several initiatives to frame their sustainability strategies. Companies can consider six areas

6 points to be considered by companies while framing sustainability strategies ¦ Use of renewable inputs in their production processes ¦ Energy and water management ¦ Efficient processes ¦ Minimising waste through process scrap recycling ¦ Communication and sustainability performance metrics through

scientific reporting ¦ The design of more environment-friendly products and packaging

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which are described below while framing their sustainability policy.

Renewable inputs in production processes It can be profitable to grow a sustainable business of chemical intermediates/substitutes from renewable resources. Sustained and profitable value chains can be created from such resources. Not only are such inputs less costly and readily available, sometimes they can lead to low-cost, safer final products that do not impact our immediate environment. Examples of such renewable resources used as intermediates in the manufacture of cosmetics, soaps, bio-fertilisers, industrial alcohols, biofuels, industrial enzymes, etc are abound. The Ecostand from Millipore is an example of innovation and leadership in sustainable products. It replaces plastic devices used for holding test tubes and vials in laboratories with a natural corn based substitute. Plastics produced from fossil fuels do not degrade. Millipore’s Ecostand uses a novel plastic resin that is not derived from oil but from corn.


Sustainable Development INDUSTRY UPDATE

It is fully biodegradable in active microbial environments such as soil, home compost, industrial compost and seawater.

Energy and water management The second area where most industry leaders are focussing on is in the good usage of scarce resources such as energy and water. The pressure on resources such as water is evident from the noise that pressure groups such as environmentalists, farmers and media make every time a state government diverts water from a public utility for industry usage. The latest case is that of a prominent beverage manufacturer in Andhra Pradesh. Emerging practices and programmes should factor in the provision of green building practices, installation of renewable energy systems, innovations in process equipment design for items such as boilers, air handling systems, variable speed compressors, process engineering improvements and water recycling/reuse initiatives.

Efficient processes Green Chemistry is sustainable chemistry. Processes can be designed to reduce or eliminate the use of hazardous waste. Most chemical processes have involved the use of multiple derivation steps. Can these steps be reduced? Using aluminium chloride in the manufacturing of ibuprofen usually resulted in toxic byproducts like aluminium trichloride hydrate. The new method of using 4-isobutylcetophenone eliminates this harmful effect. Safer synthetic solvents can be used for extraction along with solvent recovery processes. Better in-process monitoring and control can minimise the formation of hazardous compounds. Enzymes, better bioreactors and improved temperature profile controls can create more efficient temperature/ pressure conditions for optimised chemical reactions.

Minimising waste through process scrap recycling Handling waste is one more area that deserves the attention of the chemical industry. Certain companies in the oil, sugar, electronics and power generation sectors have had success in managing waste and reducing the adverse impact of their processes. A lot more need to be explored in the areas of process input recovery and process recycling & reuse. Chromium sulphate is common in leather tanning applications. But it is also a source of carcinogenic chromium IV if it oxidises. It also leaches into groundwater. The Czech chemical engineer Karel Kolomaznik has developed an enzyme-based method that extracts chromium from leather shavings that are usually waste and thrown away by tanneries around

Enzymes, better bioreactors and improved temperature profile controls can create more efficient temperature/pressure conditions for optimised chemical reactions the world. It is estimated that 200 kg of leather waste shavings may contain 3 kg of chromium sulphate. Kolomaznik’s process recovery method now allows for this to be recovered and reused. Hence, increasing process waste recycling is another important area for sustainability programmes. Plastic scrap must be recycled. Organic waste can be composted. Packaging can be redesigned for reuse. Further, solvents can be recovered.

Performance metrics through scientific reporting Measuring, communication and sharing the sustainability objectives/ goals and programmes of a company with various interested people is also

important to sustain the momentum and take the initiative. Leading companies bring out comprehensive and scientific sustainability reports with defined objectives and measurable progress reports & results. Employees are made aware of the programmes and teams put in place for idea generation and tracking.

Designing eco-friendly products and packaging The final proof of industry’s commitment to sustainable development is in the design and use of the products it delivers to thousands of customers around the world. The Elix Advantage water purification system from Millipore that is popular in laboratories including chemical testing laboratories is one such example of this. It applies an innovative EDI technology that does away with expensive chemical resins and regeneration. Compared to conventional distillation, the Elix Advantage utilises up to 200 times less energy and considerable less tap water as feed. The impact on CO2 emission estimated from such savings of scarce water and electricity from a single system per year is only 101 kg compared to 2,210 kg from conventional distillation stills in labs. Well-designed eco-friendly products, backed by scientific expertise and new innovative technologies & process practices will help customers achieve their own sustainability objectives and also improve people’s lives. Rajiv Juneja is Executive General Manager Corporate & Marketing Communication, Millipore India Pvt Ltd. With more than 26 years of experience as and advertising and marketing professional, he oversees the corporate communication & creative development function for Millipore. He is interested in training for knowledge based organisations and mentors young students on their careers. He can be contacted on email: rajiv_juneja@millipore.com

May 2010 | Chemical World

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INDUSTRY UPDATE CDM

Green future

CDM leading the way Since companies involved in a clean development mechanism (CDM) project have an incentive to overstate emission reductions claims, there is a need for independent scrutiny of CDM projects. As a result, a rigorous validation/verification process has been adopted for the CDM project under the Kyoto Protocol. Hence, it is important for the parties involved to get the process right. Courtesy: Reads & Reacts

Venkata Raman Kakaraparthi

F

rom a project developer’s perspective, while the concept of CDM is attractive as it would provide an additional source of revenues for the implementation of projects - it is important that one keeps in mind some of the key points explained below.

Project design document The project design document (PDD) needs to conform to the prescribed United Nations Framework Convention on Climate Change (UNFCCC) format be detailed, transparent and address all sections, which comprise elements such as baseline methodology, starting date & duration of the project activity/crediting period, monitoring methodology & plan, calculation of GHG emissions, environmental impacts and stakeholder comments.

6 things to keep in mind while developing CDM project ¦ Preparing Project design document as per UNFCCC format ¦ Intimating the host country & UNFCC ¦ CDM projects should conform to any one of the approved baseline

methodologies ¦ Projects should demonstrate additionality ¦ Mentioning the starting date and duration of project ¦ Monitoring plan should be in line with the monitoring methodology

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Intimation to host country/UNFCCC For all projects that have a starting date of beyond August 2, 2008, the project developer has to intimate the host country CDM authority (in India, the CDM authority being the National Clean Development Mechanism Authority, under the aegis of the Ministry of Environment & Forests) and the UNFCCC of its intention of developing the project as a CDM project within six months of the start date.

Baseline development All potential CDM projects should conform to any one of the approved baseline methodologies. The applicability of the methodology to the project activity is to be clearly and transparently described in the PDD, and any assumptions/eliminations are to be clearly referenced to documents available on the public domain or which can be verified. Major pitfalls seen are as follows: Insufficient description of the technology: Unnecessary or insufficient information is often supplied on material aspects of a project, leaving ambiguity on core aspects of the project technology or implementation. It is important to provide the details of any advanced/novel technology used, including electricity generation technologies. The level of detail needs to be considered on a caseby-case basis, ensuring that all relevant information having impact on emission reductions and CDM eligibility is presented.


CDM INDUSTRY UPDATE

Insufficient explanation of baseline scenarios: The identification of the relevant and realistic baseline scenarios is not always in line with the methodology. In the analysis of possible baseline scenarios, relevant alternative baseline ones need to be defined and eliminated logically to arrive at the correct baseline scenario. The good practice is that the design document should identify all alternate baseline scenarios; eliminate scenarios which either do not comply with the national regulations or are not feasible with sufficient evidences; substantiate all claims and assumptions with references to recognised information sources; discuss sources and assumptions in a transparent way and; and all default factor in the baseline calculation should be justified. The best practice is to demonstrate conservativeness in sources and assumptions.

Additionality demonstration The Kyoto Protocol/Marrakesh accords demand all projects to demonstrate additionality. In simple terms, the project developer needs to demonstrate, which is not a baseline scenario and that it faces barriers for implementation, surmounted by the additional revenues from CDM. While large-scale projects need to use the additinality tools or the combined ones to demonstrate addtionality, small-scale projects can demonstrate it by employing barrier analysis. One of the important aspects of the additionality demonstration is the decisiveness of CDM revenues for the project activity. CDM guidelines require that any barriers being presented are to be substantiated with evidences sourced from public domain that can be verified. More often, this is not mentioned nor can it be verified. Some of the barriers have a direct impact on the project’s financial viability, and thus the barrier description is not enough to prove that it prevents the implementation of the project. This is most commonly seen in energy efficiency

projects implemented in oil & gas or the chemical process industry. No survey or study is seen to have been conducted to establish common practice analysis. While some of the methodologies are specific in terms of the common practice analysis and region, which should be considered in doing this analysis, most of the methodologies are not specific, leading to mis-interpretations and delays.

Starting date and duration of project The starting date is not clearly mentioned, or CDM consideration is not clear or conclusive. Most often the projects lack traceability of the financials presented to the decision-making documents. If there is a significant gap between the starting date of the project activity and the commencement

The good practice is that the project proponents be clear on the monitoring requirements of the methodology of validation, the gap and how the project has sustained itself for so long needs to be substantiated.

Monitoring plan The monitoring plan of the project design documents is important from the validation & verification aspect, and should be in line with the monitoring methodology to ensure the following: R Collection and archiving of all relevant data necessary for determining project, baseline and leakage emissions R Quality assurance and control procedures R Designation of responsibility for monitoring and reporting R Assurance of a verifiable audit trail of project performance sustaining the claimed emission reductions R Equipment used and calibration

The most common pitfalls seen during validation are that: the monitoring plan does not contain all parameters to be monitored; is not realistic as some of the parameters cannot be monitored either because the instrument cannot be installed or a suitably accurate instrument is not available in the market or is too costly for the project to be implemented; and the most common being that the monitoring plan promises more than what is required and can be monitored. The good practice is that the project proponents be clear on the monitoring requirements of the methodology and clearly state the parameters that will be monitored along with the frequency of monitoring, calibrations, type of measurement (calculated or measured), type of instrument if already implemented, accuracy level and the QA/QC procedures. What is important from the verification perspective is that the project developer implements the monitoring systems as stated in the registered PDD, and monitors the parameters as stated in the monitoring plan. Material mis-statements, transposing errors and calculations errors need to be avoided. All supporting documents for the monitored parameters are to be archived for the required period. All instruments are to be calibrated as per the frequency mentioned in the monitoring plan. Hence, it calls for systems to be in place and be followed meticulously. Venkata Raman Kakaraparthi is Technical Manager - South Asia Climate Change Services, Det Norske Vertas As (DNV), and is based in Bengaluru. A Chemical Engineer, he has eighteen years of industrial experience in technical services, plant operation and administration, prior to joining DNV. In Climate Change Services of DNV, he has a wide experience in validation and verification of projects covering most of the sectoral scopes. He can be contacted on email: venkata.raman.kakaraparthi@dnv.com

May 2010 | Chemical World

67


INDUSTRY UPDATE CDM

Developing CDM projects

Risk mitigation is the key Clean development mechanism (CDM) - as a market instrument - allows industrialised countries to invest in low-emission projects wherever it is most economically viable, and therefore meet their emission reduction commitments, as obligated by the Kyoto Protocol. Emission reductions under the CDM are called certified emission reductions (CERs). While there are various advantages of CDM, developing a CDM project involves a number of challenges. Let’s see what are the risks involved and how best one can mitigate them.

Courtesy: EcoSecurities

Vipul Mathur

F

or a project to qualify as a CDM project, it has to meet certain requirements and follow procedures according to a well-defined structure regulated by the United Nations Framework Convention on Climate Change (UNFCCC). The CDM project cycle starts with the formulation of a project design document, which is a formal outline of the proposed project and expected emission reductions. An approval by the host nation is a prerequisite for the project to be considered as a CDM project. Next, validation is performed by an independent body, which assesses the project against the CDM requirements. If the project

Market uncertainty risk Monitoring + Verification risk

Methodology risk

CDM risk

Operational risk

Approval risk

Validation+ Registration risk

Figure 1: CDM process risk elements

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Chemical World | May 2010

meets the relevant requirements, it is formally registered at the UNFCCC. Monitoring equipment is set up at the site, and different parameters that contribute towards emission reductions are monitored for a fixed ‘crediting period’. At the end of each crediting period, emissions are verified by an independent body and certified by the UNFCCC. The project developer receives the issued CERs, which can then be traded to generate revenue.

Six elements of risk While the CDM project cycle is essentially unambiguous in structure, the challenges are often imposed during the execution of the regulatory requirements. Besides the risks, which are present in a conventional project cycle (for example, planning, construction and operational risks), the CDM project has additional risks specific to the CDM process. However, these can often be mitigated pre-events. Methodology risks: In order to propose a CDM project, a project design document (PDD) has to be prepared as per the guidelines issued by the UNFCCC. To correctly calculate emission reductions, an approved baseline & monitoring methodology has to be selected. If a methodology


CDM INDUSTRY UPDATE

already exists and is applicable to the project, the risks are low. However, if a deviation or revision on an existing methodology is required to make it applicable to the project, considerable time is involved. If the methodology does not exist, one has to propose a new one to the CDM Executive Board for approval. In these cases, there are significant cost and time implications. The timeline for the methodology proposal and approval process shifts the timing of the potential revenue generation, but it is an inevitable route that has to be undertaken. Host nation approval risks: For a project to be registered, a host country approval from the Designated National Authority (DNA) is essential. The DNA issues a letter of approval (LoA), which confirms if the project activity contributes to sustainable development in the country. In this case, risks are frequently generated when the approval process takes longer than the average approval timeline of a DNA, which itself varies from one DNA to another. Validation & registration risks: The project has to be validated by an independent body known as the Designated Operational Entity (DOE). The DOE assesses projects against the UNFCCC criteria and provides a ‘quality check’ to the project’s claimed emission reductions. The risks arise when a DOE detects inconsistencies or mistakes within the documents, and then depending on the nature of the issues, either a corrective action request or a clarification request is required. A modification or rectification of the project documents calls for time delays, and thus impacts the CER delivery. After validation, the DOE submits the project for registration at the CDM Executive Board (EB), where the project is reviewed. At this stage, a project may end up being registered, issued with a request for review, or rejected. Request for reviews put a forward pressure on the timeline for the delivery of CERs. Further, this

Project Design

National Approval

Validation + Registration

Monitoring

Verification + Certification

Trading CERs

Figure 2: Milestones for a CDM project activity

stage also exposes the project to the possibility of being rejected, and therefore resulting in zero CERs. Operational risks: The volume of emission reductions is inherently linked to the performance or operation of the project activity. Conventional risks like the delay in construction or commissioning of the project can influence both the timeline and volume of emissions reduced. Additional volume risks (for CERs) are introduced in circumstances of force majeure (for example, natural phenomenon like drought, etc).

Despite the varied risks involved, CDM as a market instrument for the Kyoto Protocol has definitely proved effective in promoting greener projects Monitoring & verification risks: The monitoring parameters need to be recorded through the equipment as per the plan. The DOE assesses the conditions on site and determines the accuracy of the emission reductions that are reported. The DOE verifies the installation of the monitoring equipment, calibration of the meters, records of monitoring parameters, etc and assesses these against the original project design documents. Since usually there is a significant time gap between the stage of project design and operation of the project, discrepancies often arise between the two. Market uncertainty risks: Once the CERs are obtained, they can be traded in markets like the European Union Emission Trading Scheme (EU

ETS). The CER price is subject to changes in demand and other market drivers like regulatory positions & international policy developments. Further, there is an uncertainty over the demand of emission reductions post-2012 when the first commitment period for the Kyoto Protocol ends. These uncertainties together create a financial risk to the CDM project revenue.

A general approach The risks outlined above, primarily impact the delivery timeline for CERs and the associated volumes. The likelihood of these risk elements may vary, depending on the project, but the fundamentals of risk mitigation are unvarying. Consistency between design documents and site activity, transparent monitoring of data and diligent adherence to the UNFCCC guidelines are key general principles of CDM risk management. Despite the varied risks involved, CDM as a market instrument for the Kyoto Protocol has definitely proved effective in promoting greener projects and is witnessing a close collaboration between the different stakeholders in implementing environment-friendly projects. Vipul Mathur works in the Implementation Team at EcoSecurities, a leading organisation in the business of sourcing and developing greenhouse gas emission reduction projects. He has also worked on the advisory side of energy & fuel sector, and the policy side of carbon markets. He holds a B Tech in Mechanical Engineering from the Indian Institute of Technology, Delhi. For details, contact Claire Davey Global Marketing Manager, EcoSecurities, on email:claire.davey@ecosecurities.com.

May 2010 | Chemical World

69


INDUSTRY UPDATE Biofuels

Developing biofuel market

The missing links Economic, environmental and energy security concerns resulting from excessive reliance on petroleum are forcing countries worldover to shift to alternatives like biofuels in the form of ethanol and biodiesel. One of the major factors that affect the biofuel sector in India is the need for support mechanism for all stakeholders engaged in its production.

Courtesy: www.carmotor.cz

Dr Alok Adholeya

B

iofuels can be produced from a diverse set of crops, and hence, each country is adopting a strategy that utilises the comparative advantages it hold in the case of such crops. For example, sugarcane and maize are the main feedstock for ethanol in Brazil and the US, respectively, while the production of biodiesel in Malaysia is from palm oil. The Government of India (GoI) has launched National Mission on Biofuels with the aim of achieving a target of 20 per cent blending of biodiesel by 2012. Such a target has, however, not been mandated by law and is merely indicative of government preference at this point. Apart from reducing the dependence on imported fuels, the mission aims to generate several other benefits like employment for the rural poor, regeneration of wastelands, and reduction of emissions

6 factors affecting the biofuel market ¦ Proper policies ¦ Less government role ¦ Variation in price ¦ Lack of support mechanism ¦ R&D initiatives in production ¦ Involvement of public-private partnership

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Chemical World | May 2010

resulting from energy usage that can lead to positive economic & environmental change. A more concrete step in this direction has been the recent announcement of National Biofuel Policy by the Ministry of New and Renewable Energy (MNRE). However, there are six major factors affecting the biofuels market in India:

Policy initiatives Credit facility & crop insurance, logistics support and infrastructure are important for the development of biofuels market in India: Credit facility & crop insurance: The mobilisation of farmers to opt for biodiesel plantations, and cover extensive areas under its cultivation suffers due to lack of proper credit support and other financial arrangements. Due to lack of proper policy formulation, banks are reluctant to extend agricultural credit support to the farmers for jatropha and pongamia plantations. Hence, the government has to take appropriate policy interventions to include the biodiesel plantations under the purview of lending credit support. Just like any other crop, biofuel plantations suffer from crop failure due to various abiotic reasons. Hence, the crop insurance coverage must be extended for energy plantations also. Logistics support: Though the plantations are yet to yield the levels of commercial capacity, operational issues related to storage, warehousing


Biofuels INDUSTRY UPDATE

& long-distance transportation before they are expelled and trans-esterified are to be addressed. Based on the study of various plantation activities around the country, the entire idea of making a plantation activity profitable and sustainable becomes futile if the seed collection costs are too high due to long distances covered for too less a quantity. Infrastructure for market development: For the holistic development of the biofuel sector, necessary infrastructural arrangements would be required to be set up on time. It calls for wilful government investments in creating support for storage facilities, expeller plants of various capacities, trans-esterification plants and other institutional arrangements.

Government intervention for biodiesel production Though the government has made it mandatory for the oil marketing companies to procure biofuels at a predetermined price, more interventions are required for promoting their involvement in the promotion of biofuels. Some of these are: Premium price/subsidy/ concessions: The benefits of biofuels are enormous and are known to everybody. Hence, the government can intervene in the pricing policy and vote for its premium pricing so that all the stakeholders related to it are benefitted and encouraged to promote it. Another method of supporting the promotion of biofuels is through various subsidies, concessions and tax relaxations for biodiesel plantations. Promotion of by-products and value-added products: In the process of biodiesel production, various by-products are obtained, starting from the removal of the capsule for seed extraction, expelling, trans-esterification by glycerol, etc. It should be widely accepted that by proper utilisation of the various by-products, the entire biodiesel production activity could become viable and self sustaining.

Hence, there is a need for promotion of utilisation of biofuel by-products and launch schemes for engaging employment for developing valueadded products through them. Distribution and marketing: It is high time that the distribution and marketing initiatives took proper shape so that the biofuel value chain gets developed in sync with the commercial availability of raw materials. There is a need of mass campaigning and creating awareness about the utilities of biofuels and its contribution in the national development as a whole.

Price fluctuation of crude petroleum The biofuel sector gets adversely affected due to the fluctuation in the global price of crude oil in the international market. The scenario in India is worse because the

Technological intervention is expected to play an important role in shaping the future of the biofuel sector in India country depends on imports for more than 70 per cent of its domestic requirement of petroleum, which is mainly governed by international price. When the crude prices fall below normal, biofuels seem to be competitively expensive, and thus become irrelevant. Hence, necessary government intervention is required to allow minimum support price for biofuel crops so that their production remains unaffected from international price fluctuations, and the biofuel sector becomes self-sustainable with the passage of time.

Support mechanism for stakeholders A holistic approach is needed to integrate all backward and forward linkages in the entire supply chain of biofuels (both ethanol and biodiesel) so that the biofuel,

along with the various value-added products, gets promoted and reaches the common market.

Technology breakthrough in production Technological intervention is expected to play an important role in shaping the future of the biofuel sector in India. There is enormous scope for more research & development endeavours in the evolution of high-yielding varieties and hybrid crops for ethanol & biodiesel plantations. Various research institutions and agricultural universities have a greater role in this regard so that economically beneficial traits of intensive plantation, short duration and stress resistant cultivars are developed. Science and technology can play a vital role in developing mechanisms for better by-product utilisation. Modern engineering and designing aspects would be required for developing customised expeller and trans-esterification units suited for decentralised energy plantations at the community and village levels.

Public-private partnership It is widely known that both the government and private sector face constraints to deal within their approach towards management issues. The same applies for the biofuel sector as well. Hence, the need of the hour is the involvement of a public-private partnership (PPP) model in the development of biofuels in the country. Private and public investments could be made available for the entire supply chain development of biofuels along with the involvement of various government schemes (NREGS, etc). The management strength of the private players could work in synergy with the administrative prowess of public bodies to contribute to the development of the biofuel sector as a whole. Dr Alok Adholeya is Director - Biotech and Bioresources at The Energy and Resources Institute (TERI), New Delhi. Email: aloka@teri.res.in

May 2010 | Chemical World

71


MARKET TRENDS Heating Equipment

Heat exchangers

Driving performance in process industries Heat transfer is at the core dynamics of the chemical industry. With the recent upswing in growth of the manufacturing sector, the demand for high-performance and energy-efficient heat exchangers has gone up. As companies expand and upgrade their manufacturing facilities, the role of heat exchangers in the chemical industry is undergoing transformation. Rachita Jha delves into the ‘heat’ of the matter. Courtesy: APV Heat Exchangers

W

ith the new wave of investments in manufacturing industries, the end-user markets for heat exchangers are changing in India. The scale of industrial activity is on a historical rise as oil & gas, power, construction and chemical industries are pushing production unit towards higher production volumes. With heat transfer being an integral requirement for majority of the process industries, heat transfer equipment that provide performance, energy efficiency and reliability are in high demand from the end user segments. The devices that remain at the core of heat transfer processes are heat exchangers.

US $ billion 60 10 % 50

10 %

11 %

11 %

11 %

9%

8% 6%

30

10 % 10 %

7%

40

6%

20

4%

10

2% 0% 2005(A)

2006(A)

2007(A) 2008(A)

World Market Size

2009(E)

2010(E)

2011(E)

2012(E)

Growth rate

Source: Zero Power Intelligence Co Ltd

Figure 1: Global heat exchanger market

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Chemical World | May 2010

Although dominated by the presence of shell and tube exchangers, the market trends indicate a rapid market expansion of plate and frame exchangers among others over the years. These equipment have evolved in their design and performance, and with new areas of applications & end-user’s needs in the changing economic environment. “Heat exchanger technology has come a long way since the plate heat exchanger made its first appearance over 80 years ago. Today, while many industries face process challenges and environmental issues, they now look up to the latest developments, featuring ease of installation, maintenance and cleaning,” says G S V Subbarao, Senior General Manager - Petrochemical & Refinery, Alfa Laval India.

Advantage Asia Europe represents the largest heat exchangers market in the world. Asia-Pacific represents the fastest growing market for heat exchangers, exhibiting a compounded annual growth rate of 4.8 per cent over the period 2000-2010. The renewed boost in the demand for these equipment has specifically come from various new global projects introduced in the oil & gas industry and stricter emissions regulations


Heating Equipment MARKET TRENDS

for sophisticated shell & tube heat exchangers. The heat exchangers segment suffered a setback following the economic downturn in the manufacturing sector last year. Although the slowdown still prevails in many of the developed countries, Asian countries have been quick to bounce back. “Although many projects in the US were put on hold throughout the downturn, the market for heat exchangers in India has grown even during this, owing to the increase in domestic demand,” avers Manoj Jadhav, Manager - Products, HRS Process Systems.

India: The future manufacturing hub As the economy picks up pace in a number of countries, the end-user sectors for heat exchangers may experience new growth opportunities related to new production capacity & upgradation investments in power, oil & gas and chemical industry projects. Saket Bhatt, General Manager - Marketing, Hindustan Dorr, says, “India is witnessing high investment in the core process plant segments like refineries, oil & gas, power, fertiliser and petrochemicals, thereby in allied chemical plants also. Heat exchangers are an integral part of these process plants, and hence the market for these is proportional to the investment in these industrial sectors.” Companies that offer excellent design skills, quality fabrication and manufacturing capability to capitalise on the demand trends over the next few years will primarily drive the global marketplace for heat exchangers. A recent report states that Indian production costs are estimated to be 30 per cent less than Europe and 10 per cent below other Asian competitors. “India has all the elements to be the next manufacturing hub for heat exchangers for global markets. The skilled labour & technical workforce and low cost of production are always

looked at as advantages. Engineering companies in the current economic scenario are required to have global presence, especially in the emerging markets for heat exchangers,” avers Jadhav.

Back in demand With renewed vigour in industrial activities, investments are flowing back into power, oil & gas and chemical industries among other leading manufacturing segments. “The global demand for heat exchangers is going to increase with the rise in investment in the energy sector. There is an increased acceptance of engineering and manufacturing technology of Indian products globally. South East and Middle East countries are looking towards India for supplies to the

Growth drivers R Renewed investments in oil &

gas, power, chemical industry post-slowdown R

New growth opportunities, especially in the Asia Pacific and Middle-East regions

R

Expansion of production capacity and upgradation of investments in end-application sectors

R

Environmental regulations and energy efficiency requirements

process and power industries,” says Robinson Fernandez, Senior Vice President - Application, GEI Industrial System. Besides chemical, petrochemical, and oil & gas, other key industries that employ heat exchangers are food & beverage, HVAC & refrigeration, power generation, marine & mining, general engineering and pulp & paper. “The major growth driver is the chemical industry followed by similar demands from pharmaceutical, edible oil and food processing sector,” he adds. The main types of heat exchangers include shell & tube, air cooled,

G S V Subbarao Senior General Manager - Petrochemical & Refinery, Alfa Laval India

Heat exchanger technology has come a long way since the plate heat exchanger made its first appearance over 80 years ago. Today, while many industries face process challenges and environmental issues, they now look up to the latest developments, featuring ease of installation, maintenance and cleaning. gasketed plate & frame, all-welded plate and brazed plate. While shell & tube heat exchangers are being replaced by smaller and more efficient plate & welded heat exchangers to meet end-user demand for energy efficiency, environmental concerns will impact the demand for heat exchangers. Maximum recovery of heat remains the major focus area for making heat exchangers energy efficient.

Design and innovation Unable to hike product prices, manufacturers are forced to absorb increased costs of raw materials and engineering investments. “Over the years, all designs of heat exchangers have gone through advancements and enhancements. Domestic markets are also fine-tuning the design aspect, and in the recent times, we have seen the plate exchangers become more advanced. Also, the shell & tube type has incorporated some new design changes to pose as a viable option for the process industries,” informs Jadhav. With maximum applications coming from the energy sector, steam engineering has found the maximum focus in these products. Some of the new designs that are improving the performance of heat exchangers

May 2010 | Chemical World

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MARKET TRENDS Heating Equipment

Manoj Jadhav Manager - Products, HRS Process Systems

The industry is yet to reach a stage of customisation of these equipment for the specific needs of any industry. The generic designs that works for all is what is available currently in the markets. The awareness for identifying the right solution for their needs is yet to gain ground among end-users. include turbulator in air cooled heat exchangers, high-pressure D-type/screw plug header, low-finned tubes, design optimisation software, EM baffle helical baffle exchanger and rod baffle. Informing on the latest design developments in the power sector applications, Fernandez says, “A significant design and technological change driven by the demand is the use of air cooled vacuum steam condenser for thermal power plants. Water conservation is the need of the hour, and with the increased demand of energy & growth in the power industry, air cooled units are a welcome step for the present and future needs. Air cooled heat exchangers can be installed at any plant irrespective of the water source for oil, gas and chemical industry.” Post-slowdown, while manufacturing and energy economy objectives gain a stronghold in the process industries, the demand for high performance and clean technology has gained momentum from the end-users. “A wise and profitable action that the industry should take is to adopt the latest designs and technologies that are not only energy efficient but also recover more process energy. This reduces the cost of primary energy supply, reduces CO2 emissions, and thereby reduces operating costs,” suggests Subbarao.

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With heat transfer as the primary function of heat exchangers, maximising heat recovery and energy efficiency remains the core philosophy of the overall design engineering.

Lean and green engineering Global warming has increased the pressure on process industry to reduce both energy usage and the associated CO2 emissions. Heat exchangers have applications across all industries, especially in the chemical industry. This has prompted manufacturing companies to focus on product designs that comply with environmental and energy efficiency norms.

Advantages of platetype heat exchanger R Simple and compact in size R

Heat transfer efficiency is more

R

Can be easily cleaned

R

No extra space is required for dismantling

R

Capacity can be increased by introducing plates in pairs

R

Leaking plates can be removed in pairs, if necessary without replacement

R

Maintenance is simple

R

Turbulent flow helps reduce deposits, which would interfere with heat transfer

“The awareness of energy efficiency in the industry is growing fast due to the economical reason for reducing operating cost. Air cooled heat exchangers can be designed with special features to save energy by providing automatic control of air flow, enhancing heat transfer for viscous fluids and saving power by using variable frequency drive for units operating with atmospheric air as cooling medium. This way, heat exchangers can be made more energy efficient for application in oil, gas, chemical and power industries,” says Fernandez.

Another important aspect of heat exchangers is their solvent recovery, which helps the processing plant in reducing its effluent volumes. The solvent is recovered though condensation in a heat exchanger. Jadhav says, “Solvent recovery is especially useful in large plants where high volume of solvents is used, which usually exit the plant as effluents. For waste management requirements in the western world, the cost of releasing such high volume of wastewater is more. Thus, many process plants in Europe have now adopted technologies that dry the effluents and significantly reduce the environmental impact of the plant. This has emerged as another field of applications for heat exchangers.” The adoption of such energy saving investments is usually carried out in isolation of monitoring tools to validate the benefits in cost-savings and performance improvements of the process plant. There have been many successful case studies across the world that have validated the economic benefits of energy saving, using an energy efficient heat exchanger. Says Subbarao, “In making investments, it is important that while financial returns are maximised, the

Robinson Fernandez Senior Vice President - Application, GEI Industrial System

The global demand for heat exchangers is going to increase with the rise in investment in the energy sector. There is an increased acceptance of engineering and manufacturing technology of Indian products globally. South East and Middle East countries are looking towards India for supplies to the process and power industries.


Heating Equipment MARKET TRENDS

opportunities for saving energy and reducing emissions are not missed. The usage of next-generation compact heat exchangers (CHEs) for improved energy efficiency and heat recovery often achieve high level of savings with a better payout rate than more conventional alternatives. In addition to the financial benefits, CHEs offer space saving as an important advantage for upgrading existing plants as well as for new plant designs.”

Stepping stone The easy availability of raw materials has proved to be a major growth driver for the manufacturers of heat exchangers in India. To tap the emerging opportunities from the global demand, the government should build a policy framework to enable rapid progress of manufacturing environment in India. “Government policies should focus on supporting the local industry engaged in manufacturing of heat exchangers. It should aid companies to set up manufacturing for exotic metal products like incolloy, inconel and titanium tubes & plates, which are used in heat exchangers in the chemical industry, and are being presently sourced from the US & European countries. This will ensure competitiveness for Indian heat exchanger manufacturers,” avers Fernandez. Another important area that calls for attention is the need for stronger marketing and information dissemination to build awareness on the benefits of new designs in heat

exchangers, as customers usually take the old path and opt for the conventional exchangers that may not be apt for them. “The industry is yet to reach a stage of customisation of these equipment for the specific needs of any industry. The generic designs that work for all is what is available currently in the markets. The awareness for identifying the right solution for their needs is yet to gain ground among end-users,” opines Jadhav. Service has come a long way since the days of simply responding to calls. The equipment demands justin-time service, which is the need of the hour. “Today, customers expect vendors to be more proactive in order

Advantages of shell and tube heat exchanger R Less expensive as compared to

plate type coolers R

Can be used in systems with higher operating temperatures and pressures

R

Pressure drop across a tube cooler is less

R

Tube leaks are easily located and plugged since pressure test is comparatively easy

R

Using sacrificial anodes protects the whole cooling system against corrosion

R

Tube coolers may be preferred for lubricating oil cooling because of the pressure differential

to prevent malfunction, minimise downtime and ensure long-lasting performance of their equipment. This is why condition-based maintenance has become a priority for equipment suppliers,” avers Subbarao. These remain some of the emerging areas to be tapped.

Future outlook

Courtesy: HRS Process Systems Pvt Ltd

With accelerating pace of infrastructure development, investments in energy sector and rebound of the global

Akhil Sippy Director, TEMA India

Waste water heat recovery systems and cogeneration systems have found new application in various industrial sectors to make the plant more energy efficient. Various process equipment such as waste heat re-boiler, synthesis loop boiler, feed water heater etc are used to recover heat and improve the energy economy of the overall process. manufacturing industry, new-age heat exchangers are sure to witness an upswing in demands. India is going to play a major role as the next manufacturing destination of heat exchangers, powered with the availability of raw materials, skilled workforce, engineering excellence and strategic location to emerging markets. “India is self-sufficient for heat exchanger’s critical applications like, high-pressure power plant equipment, high-pressure process exchangers, air cooled heat exchangers, critical metallurgies exchangers, nuclear power plant exchangers, etc. India has not only developed and established manufacturing expertise, but now designing ability has also been acquired by many manufacturers,” states Bhatt. He further adds, “In fact, the quality and pricing advantage of Indian manufacturing for process plant equipment enables the Indian heat exchanger industry to have a better penetration in Gulf and other leading markets.” As the world awakens to green economy that promises cost benefits as well, India looks forward for its heat exchangers industry to rise above the rest and capture the growth markets.

May 2010 | Chemical World

75


MARKET TRENDS Cooling Equipment

Chillers

Cool solutions for enhanced efficiency Chillers have undergone a sea change in their technological and performance parameters. With new design and technology going through a transformation phase, Rachita Jha finds out new avenues of growth for industrial chillers segment. Courtesy: Daikin

C

hilling requirements in process industry vary depending on type of products manufactured at the production plant. With new design and technological advancements, chillers are today finding new areas of application across many industrial sectors. The equipment primarily functions to remove heat from liquid via a vapour-compression or absorption refrigeration cycle, and continues to play an important role in energy management of the overall chemical process.

Process technology The common types of chillers in industrial application belong to the vapour absorption segment for process cooling as well as air conditioning for industries and complexes. These are useful wherever heat sources are present. “They utilise heat from steam, hot water, liquid/ gaseous fuels, exhaust and/or a combination of these. As chemical industry usually has boilers for its heating needs, steam from these boilers is used for operating the chillers. However, any of these heat sources can also be utilised. By reducing the usage of electricity, they help in improving energy efficiency,” informs Vikas Tripathi, Marketing Manager - Cooling Business, Thermax Ltd. One of the latest trends in the process is the increase in usage of water as refrigerant. “This is a clear shift from the usage of refrigerant gases that cause ozone depletion, and have adverse impact on the environment. Water as refrigerant offers an eco-friendly alternative. Other key features of absorption chillers include step-less

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Chemical World | May 2010

modulation, minimum noise and minimum wear & tear, as there are no internal moving parts. Maintenance is easy and operational costs are substantially less in these when compared to conventional chillers,” adds Tripathi.

New trends As process efficiency and energy conservation begin to drive technological advancements, the cooling technology in industrial chillers is witnessing new features of improvement. “In the process industry, the main cooling equipment is driven by compressor, which is considered as the heart of the system. The latest technology that has entered the market is the reciprocating open type compressors. These can be changed over to highly advanced screw, scroll & centrifugal chillers. Features like stepless modulated capacity control, higher volumetric

Vikas Tripathi Marketing Manager - Cooling Business, Thermax Ltd

Today, the preference across the world is for energy efficient and environmentfriendly cooling solutions. As absorption chillers can be activated by industrial waste heat, exhaust gases and water heated by solar energy, they are readily accepted for green energy configurations.


Cooling Equipment MARKET TRENDS

efficiency, low input power, eco-friendly refrigerants, less moving parts, low repairs and maintenance have made it userfriendly,� says R M Iyengar, Senior General Manager - Technical, Blue Star Ltd. In addition, the programmed microprocessor-based control system is one of the latest innovative technologies in compressors that are readily available now in the highly energy intensive manufacturing process industries, which aid in saving the huge energy cost and manufacturing cost. Another upcoming trend is the usage of advanced secondary coolant systems. With proportionate load flow controls and intermediate thermal storage system, these help protect the process control during power failures and ensure uninterrupted production in the process industry. In addition, automation technologies with the latest electrical & electronic control innovations reduce the frequent start-up & load related technical issues and eliminate breakdowns and loss of production.

Future outlook Industrial and process chillers are predominantly used in all process cooling applications. The future growths for these process equipment would primarily come from industrial growth opportunities available in India and international market. “The key sectors driving this demand include power sector, thermal & nuclear, chemical process, food processing, plastics, pharmaceuticals and many such process-oriented industries,� avers Iyengar. India is already playing a leading role in technological advancements that are improving the efficiency and performance of the chillers. With energy efficiency becoming a major target area for innovations in industrial chillers, the future focus of this industry is more towards green engineering. Another key dominating factor for the growth of chiller is its low product life cycle cost.

R M Iyengar Senior General Manager - Technical, Blue Star Ltd

The new electrical measurement & control instrumentation and VFD drivers, integrated with other ancillary equipment such as process pumps, cooling tower and condenser pumps, etc can be carried out. When used with highly energyefficient motors & controls, these can considerably save energy usage in the industry. Assisted by the advancement in designs and technological features, the shift from conventional methods towards new advanced technologies has just begun.

May 2010 | Chemical World

77


GREEN TECHNOLOGY

Biofuels

Energising growth the green-way

Courtesy: www.matternetwork.com

Energy is critical for the socio-economic development of a country. The energy strategy of a country should aim at efficiency and security for achieving an optimum mix of environment-friendly, primary resources for energy generation. Biofuels are a source of renewable energy that has enormous potential. Geetha Jayaraman analyses the role biofuels plays today, and what it holds for the future.

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n the coming years, fossils fuel will continue to play a dominant role in the energy sector in India. However, these conventional or fossil fuel resources are limited, nonrenewable & polluting, and therefore need to be used prudently. On the other hand, renewable energy resources are indigenous, non-polluting and inexhaustible. Biofuel is one of the renewable energy resources that has a huge potential, and India is constantly working towards utilising its potential to the fullest. Alternative fuels in demand Although biofuels are mainly used to replace or supplement the traditional petroleumbased transportation fuels, they can also be deployed to generate heat and electricity. Being an alternative to fossil fuels, biofuels can be applied to existing vehicles with little or no engine modification. P S Ojha, State Coordinator, Bio-energy Mission Cell, Government of Uttar Pradesh, says, “India is endowed with abundant renewable energy resources. So, one should encourage every segment of biofuel for sustainable dependence of the socio-economic development process on indigenous sources of energy, ie biofuels. Ultimately, it will lead to energy security in our country.” Biofuels are liquid or gaseous fuel produced from biomass resources and used in place of/or

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in addition to diesel. These biomass resources are the biodegradable fraction of products, wastes and residues from agriculture, forestry and related industries as well as the biodegradable fraction of industrial and municipal wastes. Major known sources of biofuels are biodiesel, bio-ethanol and biogas. These are the nearest substitutes of petroleum diesel, petrol and gas/CNG. Bio-diesel is obtained from Jatropha, poongamiya and other TBOs as per the policy of Government of India (GOI). Algaebased bio-diesel production activities are in the initial stage. Points out Ojha, “Biofuels are eco-friendly in nature and less polluting, so we should make efforts to compensate the daily fossil fuel demand through biofuels. The main focus should be to link it with sanitation and environmental cleanliness. As per known resources, the existing bio-mass in the shape of agro waste/dairy waste/horticulture waste/Municipal Solid Waste (MSW) can meet our 40 per cent energy demand through bio-gas/ Compressed Bio-Gas (CBG) on one hand, while it may be a major role player in total sanitation campaign of GOI.” Market scenario In the biodiesel sector, India has taken the initial steps towards commercial production. The work accomplished so far includes developing


GREEN TECHNOLOGY

high-yielding varieties of Jatropha, initiating Jatropha nurseries, setting up pilot-plants for biodiesel manufacture and testing biodiesel in public transport locomotives and buses. Alok Adholeya, Director - Biotechnology and Management of Bioresources Division, The Energy and Resources Institute (TERI), says, “The amount of land available for Jatropha cultivation is estimated at 13.4 million hectare, which could potentially yield 15 million tonne (mt)/year of Jatropha oil. Largescale cultivation of Jatropha must be established before biodiesel production can meet even a 5 per cent blending requirement nationally. Commercial biodiesel plants have not yet been installed in India.” At the same time, there are many diffferent types of biofuels such as ethanol, biodiesel and even aviation fuels. Globally, the predominant biofuel is ethanol, which is used as a liquid transport fuel. ”In 2009, approximately 75 billion ltr of ethanol was produced throughout the world, amounting to roughly 15 per cent of global gasoline demand. Majority of the production and usage is concentrated in two countries, the US and Brazil,” says G S Krishnan, Table 1: Biofuel production projects that are underway in various countries Source Countries Sugar cane Brazil, India, Pakistan Corn/Maize USA, China Germany, France, Spain, UK Wheat Soya USA, Brazil, Argentina Canola/ EU, Russia, Ukraine Rapeseed Sunflower EU, Russia, Ukraine Indonesia, Malaysia, Palm Thailand Callow USA, Brazil, Australia Being tried in India, Myanmar, South Africa, Jatropha Mozambique, East Africa, parts of Asia Waste oil China, USA Pongamia Being tried in India Others China, Africa, Thailand Source: www.mbendi.com

Regional President, Novozymes South Asia Pvt Ltd. As India witnesses an increase in the number of vehicles on its roads, a more comperehensive adoption of biofuels such as ethanol can help the country reduce Greenhouse Gas (GHG) emissions and its growing reliance on foreign oil for its energy needs. In India, ethanol is produced by the fermentation of molasses – a by-product of sugar manufacturing. Adholeya says, “India is the fourth largest ethanol producer after Brazil, the US and China; its average annual ethanol output amounting to 1,900 million ltr with a distillation capacity of 2,900 million ltr per year. For 5 per cent ethanol blend in petrol nationally, the ethanol required would be 810 million ltr in 2011-2012. The current capacity can potentially satisfy this demand.” Advantage biofuels Biofuels have the ability to help India meet its growing energy needs while providing reduced GHG emissions, and the opportunity for economic & job growth through the domestic production of biofuels. A good example of the benefits biofuels provides can be seen in the US. In 2008, biofuels added $ 65 billion to the country’s gross domestic product (GDP) and employs almost half a million people. “Of late, companies have developed solutions tailored to the needs of the market in India, such as providing enzyme solution for cassava to ethanol conversion. And, they plan to continue to deliver solutions that will help enable biofuels industries grow in this area,” says Krishnan. He gives the example of Novozymes, which is used for developing an economically viable solution to convert sugarcane bagasse into ethanol. This work is being carried out in its labs located across the world, as well as with partners such as Praj and CTC. Biofuels offer the following main advantages: Energy security and decreased dependence on oil imports: India

P S Ojha State Co-ordinator, Bio-energy Mission Cell, Government of Uttar Pradesh

India is endowed with abundant renewable energy resources. So, one should encourage every segment of biofuel for sustainable dependence of the socio-economic development process on indigenous sources of energy, ie biofuels. ranks sixth in the world in terms of energy demand, accounting for 3.5 per cent of the world’s commercial energy demand in 2001. But at 479 kg of oil equivalent, the per capita energy consumption is still low, and the energy demand is expected to grow at a rate of 4.8 per cent per annum. India’s domestic production of crude oil currently satisfies only about 25 per cent of this consumption. Adholeya opines, “The volatility of oil prices poses great risks for the world’s economic and political stability, with unusually dramatic effects on energy-importing developing nations. Renewable energy, including biofuels can help diversify energy supply and increase energy security.” Increased employment: The biofuels sector has the potential to serve

Alok Adholeya Director - Biotechnology and Management of Bioresources Division, TERI

The volatility of oil prices poses great risks for the world’s economic and political stability, with unusually dramatic effects on energy-importing developing nations. Renewable energy, including biofuels can help diversify energy supply and increase energy security.

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chemical fertilisers, the need for chemicals G S Krishnan is reduced, which could avoid pollution Regional President, of ground water and rivers. Research has Novozymes South Asia demonstrated that the filter cake is an Pvt Ltd effective fertiliser when compared to urea Of late, companies have & diammonium phosphate (DAP). Improved social well-being: A large developed solutions tailored part of India’s population, mostly in rural to the needs of the market in areas, does not have access to energy India, such as providing enzyme services. The enhanced use of renewables solution for cassava to ethanol (mainly biofuels) in rural areas is closely conversion. And, they plan to linked to poverty reductions because continue to deliver solutions greater approach to energy services can that will help enable biofuels improve access to pumped drinking water, provide source for lighting, reduce industries grow in this area. indoor pollution due to firewood smoke and prevent deforestation. Ojha avers, as a source of substantial employment. “Access to modern decentralised smallIn India, the sugar industry, which is scale energy technologies, particularly the backbone of ethanol production, renewables (including biofuels), is an is the biggest agro-industry. The sugar important element for effective poverty industry is the source of livelihood of 45 alleviation policies.” million farmers and their dependents, Reduced emission of harmful comprising 7.5 per cent of the rural pollutants: Ethanol and biodiesel are population. Another half a million people oxygenated compounds containing no are employed as skilled or semi-skilled sulfur and thus non-polluting. Vikas labourers in sugarcane cultivation. Ojha Singh, Technical Sales, Nova Oleochem says, “The first phase of the National Ltd, says, “Biofuels are biodegradable Biodiesel Mission Demonstration Project and cause less pollution as compared was expected to generate employment to other source of fuels. Since ethanol of 127.6 million person days in plantation and biodiesel contain oxygen, the by 2007. On a sustained basis, the amount of carbon monoxide (CO) and programme is expected to create 36.8 unburnt hydrocarbons in the exhaust million person days in seed collection and is reduced.” 3,680 person years for running the seed Reduction in greenhouse gas collection and oil-extraction centres.” emissions: The net CO2 emission of Increase in nutrients to soil, burning a biofuel like ethanol is zero decrease in soil erosion and land since the CO2 emitted on combustion degradation: In ethanol production from is equal to that absorbed from the sugarcane, the by-products like vinasse atmosphere by photosynthesis during and filter cake contain valuable nutrients. the growth of the plant (sugarcane) to manufacture ethanol. Using these organic fertilisers, instead of used According to Adholeya, “Life cycle analysis shows that ethanol has the lowest CO 2 emission among the major transportation fuels. Biodiesel projects can qualify as CDM projects, and thus bring in additional income through the sale of certified emission reductions.” Courtesy: www.biology.ucsd.com Good fuel properties:

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Table 2: IEA* forecasts MTOE** biofuels consumption with no new government measures 2010 2015 2030 Europe 14.8 18.0 26.6 USA 14.9 19.8 22.8 Brazil 8.3 10.4 20.3 China 0.7 1.5 7.9 India 0.1 0.2 2.4 Total 41.5 54.4 92.4 * International Energy Agency (IEA) ** Million tonne of oil equivalent (MTOE) With additional government measures, consumption could be up to 60 per cent higher Source: www.mbendi.com

Biodiesel has good fuel properties compared to or even better than petroleum diesel. Singh says, “Ethanol blending increases the octane number. It has 10 per cent built-in oxygen content that helps it burn fully. Its cetane number (an indication of its fuel burning efficiency) is 52 for biodiesel from Jatropha oil, which is more than the 42-48 cetane number of most petroleum diesels.” Government initiatives GOI has an ambitious National Biodiesel Mission to meet 20 per cent of the country’s diesel requirements by 2011-2012. The latest addition (in September 2008) is the announcement of the ‘National Biofuel Policy’. According to it, the Central Government has set an indicative target of a minimum 20 per cent ethanol-blended petrol and diesel across the country by 2017. “It has also set up an empowered National Biofuel Coordination Committee, headed by the Prime Minister, and a Biofuel Steering Committee headed by the Cabinet Secretary. The policy has also suggested removing all central taxes on bio-diesel and according declared goods status to biofuels that would ensure a uniform 4 per cent sales tax on the product across states. As per the policy, a certification mechanism would be in place for the blending exercise that would have to conform to Bureau of Indian Standards (BIS) specifications,” points out Adholeya.


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The government has already initiated a biofuel strategy, under which 5 per cent ethanol blending in petrol is mandatory across the country, which would go up to 10 per cent in the next few years. Bio-diesel production will be taken up from non-edible oil seeds in waste, degraded and marginal lands. As per the policy, the focus would be on indigenous production of bio-diesel feedstock, and import of Free Fatty Acid (FFA) based such as oil, palm, etc would not be permitted. Krishnan avers, ”The government’s wish to support the usage of biofuels in the transport sector should institute policies that create demand, build infrastructure and encourage investment in technological development. A critical element to these policies is the need to ensure that they have longevity. If potential investors do not see long-term commitment from the government, they will not be able to justify the investment, and the industry will struggle to reach its

full potential & ability to deliver on its many benefits.” The minimum support price with the provision of periodic revision for biodiesel oil seeds would be announced to provide fair price to the growers. “Minimum Purchase Price (MPP) for the purchase of bio-ethanol by the oil marketing companies would be based on the actual cost of production and import price of bio-ethanol,” points out Singh. In the case of bio-diesel, the MPP would be linked to the prevailing retail diesel price, according to the policy. On a green path of progress India’s crude oil and petroleum product supplies are largely import-dependent. With increase in oil import expenditure by more than six times in the last 25 years due to escalation in global demand and prices, biofuels are likely to be pressed into service. This alternate form of fuel will be critical in reducing the dependence on fossil fuels, achieving

greater energy security, and reducing noxious emissions. The government’s desire to implement an ethanolblending programme and initiatives in the form of mandate for biodiesel are shaping a bright future for the biofuel sector. Due to these mandates, and the rising population & the growing energy demand from the transport sector, biofuels will be assured of a significant market in India. Expanded biofuels production has the potential to create new opportunities for sustaining the rural development in a market-orientated common agricultural sector. Adds Krishnan, “Biofuels can have a promising future in India, and we are encouraged by the interest the Indian Government is taking in biofuels, especailly cellulosic ethanol. Through our partnership with Praj, we see the technological development in this field progressing, and with proper government support, India will reap the benefits of a robust biofuel industry.”

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LEADERS SPEAK

“We expect to see much stiffer competition in India in the coming years” …says Gajanan Nabar, Managing Director, Praxair India Pvt Ltd - a wholly owned subsidiary of Praxair Inc, one of the largest industrial gases company worldwide. He joined Praxair in 2002 and has held various positions in business development, sales & marketing, operations, onsite project management before being appointed in his current position in January 2009. In this e-interview with Rakesh Rao, Nabar gives a 360º view of the industrial gases market and his Praxair India’s growth plans.

Managing growth during slowdown… It was important to keep the organisation focussed despite the difficult market situation. The slowdown had affected the industry in India, and the requirement for industrial gases was also hit. Praxair India challenged this by the following three-pronged approach: • Offset lower demand by cutting costs through improved productivity & operational efficiency. We enhanced our focus on cost containment and demand management through Six Sigma & Lean practices. We worked with our vendors for reduction in costs and were successful in reducing our spend, thereby reflecting a true partnership

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• Continued to stay in close touch with customers during the tough economic times. Kept working with our customers for improving their processes by employing our technologies • Being transparent with employees and other stakeholders, thus keeping them informed and engaged Praxair India team handled the challenge well and ensured a healthy increase in our revenues & operating profits in 2009 due to excellent teamwork and commitment from everyone.

Consolidating Praxair’s position in India… Praxair India is the largest industrial gas company in India, and to maintain the ‘numero uno’ position in such a competitive environment is always a challenge. It was imperative for us to win a few large projects to put us on the high-growth trajectory, and thus consolidate our position in India. We bagged several strategic projects with Indian Oil Corporation Ltd (IOCL), Paradip, Orissa; Steel Authority of India (SAIL), Bhilai; Jindal Steel and Power Ltd and Sona Alloys, and have several more in the pipeline. IOCL’s project at Paradip is of a particular significance, as this is the first time an Indian refiner has opted for a sale-of-gas (SOG) model for its new upcoming refinery. The air separation units at SAIL’s Bhilai plant and Sona Alloys are of strategic importance for our expansion plans, as it shall provide us further access to large industrial markets in Maharashtra, Gujarat, Madhya Pradesh and Chattisgarh.

segments such as chemicals, refineries, solar, glass, healthcare, etc. The demand for industrial gases is expected to grow by over 15 per cent for the next five years fuelled by overall economic growth in India, a shift in customer preferences from SOE (sale-ofequipment) to SOG (sale-of-gas) mode and shift towards advanced technology and better quality product requiring high usage of industrial gases. Various industries are likely to witness growth in the range of 8-10 per cent with steel, renewable energy & healthcare segments leading the pack, which will result in increased requirement of industrial gases. Apart from the increase in requirement of industrial gases due to growing economy, with the development of process efficient industrial gas related application technologies, the intensity of usage of industrial gases is increasing rapidly in India.

Current global industrial gases market and its impact on India… While North America and Europe are still witnessing cautious growth in their markets, Asia and South America have bounced back to a large extent with China, India, Mexico & Brazil showing fast recovery. With the world still recovering from the downturn, and only select geographies doing well, the activities of global industrial gas players are expected to intensify, resulting in increased competition. We expect to see much stiffer competition in India in the coming years.

Market for industrial gases in India…

Emerging trends in the industrial gases industry…

Industrial gases market in India is over $ 1.3 billion including the captive market. Historically, steel and metal segments have been the main consumer of industrial gases, but the customer base is now diversifying with opportunities unfolding in other

Today, almost 50 per cent of the total industrial gas market is still captive. However, customers have now started focussing on their core strengths and have started to outsource the gas requirement (non-core activity) from industrial gas manufacturers. Thus,

Today, almost 50 per cent of the total industrial gas market is still captive. However, customers have now started focussing on their core strengths and have started to outsource the gas requirement (non-core activity) from industrial gas manufacturers. there is a clear shift from SOE to SOG in the Indian industry. Our recent contract for setting up a plant on build, own & operate basis, to cater to gaseous hydrogen and nitrogen requirements for the upcoming refinery of IOCL at Paradip, is a testimony to the afore-mentioned trend. The steel industry will continue to be a dominant growth driver for industrial gases in India. With all industry majors like Tata Steels, JSW Steels, Jindal Steel and Power, Essar Steel, Posco, Mittal Steel, etc looking for expansions in India, large on-site opportunities are in the offing over the next couple of years. Organisations in India are becoming increasingly safety-conscious. In every area of their operations, including requirement of industrial gases, there are options for world-class safe practices to be replicated. With reference to gases, these organisations would like to be associated with industrial gas manufacturers who ensure safety of the products & systems supplied through strong operational discipline, effective SOPs and adherance to the local regulations. Environmental compliances and increasing awareness/concern about pollution & its impact will drive customers towards enhanced usage of industrial gases. Some of these applications of industrial gases help in reduction of fuel consumption, reduction in flue gas, treatment of bio-

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degradable waste, bleaching through usage of ozone, among others.

Factors driving growth of the industry… The industry in India is continuously looking for enhanced productivity & improved quality. Industrial gas manufacturers, from their vast list of application technologies, provide solutions to the industry to meet its above requirements. Most of these solutions are linked to the usage of industrial gases, thereby helping the growth of industrial gases industry. For example, cryogenic nitrogen system offerings for pharmaceutical industry can achieve faster sustained cooling rates and more precise temperature control than mechanical or other cooling media. This technology has become popular in the pharmaceutical industry in India, and currently over 400 TPD of liquid nitrogen is being consumed by the industry.

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Capex plans of Praxair in India… Praxair has invested over $ 500 million in India to cater to the country’s growing industry needs and has evolved as India’s largest industrial and medical gases supplier, serving various industry segments such as steel, refineries, petrochemicals, glass, automobile, shipbuilding, healthcare, among others. Praxair will further invest about $ 500 million in next three years for meeting its expansion plans.

Growth strategy for Praxair India… Our growth strategy focusses on aligning with the industry majors in those specific industry segments where we operate. We will continue to consolidate in steel segment, build on success in refining segment, increase focus on sunrise sectors like renewable energy & healthcare, and continue to

work with customers to shift them from SOE mode to SOG mode in expanding the market. We will be geographically expanding in West & Central India with our upcoming large on-site projects in these regions, and will be consolidating our presence in the Southern and Eastern regions. We will continue to support our customers through the latest application technologies, and thereby help them improve their productivity and quality. Praxair India is poised to grow at over 20 per cent year-on-year for the next five years. We need to grow the organisation’s competencies and resource it to create a competitive advantage. In order to capitalise on the emerging trends in the industry and to maintain our leading position, we have been continuously building our talent pool and investing in training and development, even during tough times.


FACILITY VISIT

WACKER Chemie’s Burghausen plant

An integrated path to success The chemical industry is second only to the electronics sector in inspiring other industries to create new products and production processes, thereby making a vital contribution to global progress and sustainable development. Companies like WACKER Chemie AG, have adopted sustainable methods to enhance their production and business. WACKER’s Burghausen plant in Germany is a good example of how one can balance economic aspects with an environmental & social responsibility. In his recent visit, Rakesh Rao finds out how the company has lived up to its own expectations.

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he Munich-based WACKER Chemie’s portfolio includes silicones, polymers, biotech products, fine chemicals and polysilicon for the photovoltaic & semiconductor industry. Most of these products are based on inorganic starting materials. Silicon-based and ethylene-related products comprise 80 per cent and 20 per cent, respectively, of WACKER’s sales. Its customers come from consumer goods, food, pharmaceutical, textile, solar, electrical/ electronic and basic chemical material sectors, as well as medical technology, biotechnology and mechanical engineering. The company has five business divisions - WACKER Polymers, WACKER Fine Chemicals, WACKER Silicones, WACKER Polysilicon and Siltronic. It has 15,618 employees and generated sales of Euro 3.72 billion in 2009. The production structure of the company is globally oriented like its sales and service network. It has a total of 26 production sites, which are spread in three continents - Europe, America and Asia.

Sustainable production Sustainable management has been central to production and business processes of WACKER for many years. This has helped the company reduce risks, enhance its existing activities, and tap into new fields. WACKER co-ordinates its processes with the help of an integrated management system (IMS). The system regulates workflows and responsibilities, taking equal account of productivity, quality, environment and health & safety. It is based on legal provisions, as well as national and international standards. Says Dr Klaus Blum, Vice President - Chemical Services, Burghausen Site, Wacker Chemie AG, “About half of all IMS regulations govern processes for plant, workplace & product safety, environmental protection, and occupational health & safety. In this regard, WACKER goes beyond legislative requirements.”

Burghausen plant The Burghausen plant, founded in 1914, is not only WACKER’s most important production site, but also the largest chemical site in the

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Dr Klaus Blum Vice President - Chemical Services, Burghausen Site

About half of all IMS regulations govern processes for plant, workplace & product safety, environmental protection, and occupational health & safety. In this regard, WACKER goes beyond legislative requirements German state of Bavaria. Close to 10,000 employees work in about 130 production facilities on the 2.3 sq km site. The spectrum of manufactured products ranges from polysilicon and hyperpure silicon wafers through silicones, silanes & silicas, to dispersions & redispersible powders, solid and surface-coating resins or fine chemicals. Klaus Millrath, Vice President - Site Communications, Burghausen Site, says, “All of WACKER’s divisions have production facilities in Burghausen. Apart from the parent company, the premise is also home to the wholly-owned subsidiaries Siltronic AG and Alzwerke GmbH. Vinnolit GmbH & Co KG, a former WACKER joint venture, and LCP Technology GmbH also have facilities on the site.” Since 1998, the plant has been certified ISO 9001 and ISO 14001 in the context of its IMS for quality, environment, safety and health. It is also compliant with the Occupational Health and Risk Management system (OHRIS). Millrath informs, “All production and service units work closely in a technologically and

economically integrated system, each observing the same standards of safety, health and environmental protection.”

Integrated production WACKER’s integrated production system, which is primarily based on silicon and ethylene as starting materials, has many advantages, both economically and ecologically. In this way, the materials used and any production intermediates can be combined, processed and recycled repeatedly. In normal cases, by-products are immediately processed further and used in other production areas. Dr Blum says, “At Burghausen, for example, thanks to this integrated approach, it takes just four starting materials – silicon, methanol, hydrogen and salt (sodium chloride) – to manufacture over 3,000 silicone products, as well as pyrogenic silica and polysilicon. And, with its integrated ethylene production system, WACKER generates organic intermediates, polymer dispersions and dispersible polymer powders from ethylene.” Burghausen’s hydrogen chloride loop also illustrates sustainable integrated production. Hydrogen chloride is an essential auxiliary in the manufacture of chlorine-containing intermediates. Its production requires a good deal of energy, and is therefore expensive. This is why hydrogen chloride is recovered as a by-product when the chlorine-containing intermediates are converted to the desired chlorine-free end products (for example, hyperpure silicon or pyrogenic silica). As a result of integrated production process, the company is able to minimise waste by feeding by-products back into the production loop. Further, WACKER endeavours to avoid waste throughout the product’s entire life cycle.

Production and logistics The chlorine production unit at Burghausen site

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Just as WACKER has grown significantly over the

recent years, so has its production at the Burghausen. And, to support this growth, the company has developed good logistics network for the plant. Dr Blum says, “Even today, we transport most of the freight containers leaving WACKER’s German sites via rail – in a reliable and environmentfriendly manner. In Burghausen, we operate almost 100 per cent container shipments by rail.” Almost 9,00,000 tonne products leave the Burghausen plant every year. A logistics centre with a container terminal and a direct train connection helps bundle loading processes and storage areas and consolidate transportation. Since April 2003, a direct train runs between Burghausen and the seaports Bremerhaven & Hamburg on a daily basis.

Energy conservation Efficient use of energy plays a key role in keeping companies competitive in the global market, while contributing to climate protection. WACKER has taken various steps in ensuring energy efficiency at all its production facilities. Many chemical reactions generate heat, which can be used in other production processes. WACKER has been using this energy source at its Burghausen and Nünchritz plants for years. “In this way, less primary energy (usually natural gas) is used, which results in significantly low emission of carbon dioxide, a greenhouse gas,” says Dr Blum.

Investing in future Recently, additional polycrystalline-silicon production facilities came on stream at Burghausen site. The facility’s full nominal capacity of 10,000 metric tonne a year will be reached before the end of Q2 2010. Overall, WACKER is investing around Euro 500 million in this expansion stage, thereby creating around 200 new jobs. Going forward, as WACKER plans to scale new heights, Burghausen plant, along with other facilities, is likely to play a major role in the growth of the company.


CORROSION CONTROL

Inorganic-organic hybrid nanocomposites

A shift in coating performance

Courtesy: Coating and Equipments

Prof A S Khanna and Gunjan Gupta

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echnology of inorganic-organic hybrid materials is one of the emerging ones for the development of waterborne coatings. The combination of inorganic and organic components in a single system results in excellent properties, like processability, flexibility, toughness and durability due to organic moiety whereas inorganic moiety provides better abrasion resistance, hardness, chemical resistance, weatherability and UV-resistance. The use of hybrid inorganic-organic materials as anticorrosion coatings has the potential to replace the solvent borne system and chromium-containing materials, which are not environment-friendly. Addition of nano materials such as ZnO, TiO2, etc in hybrid materials provides additional beneficial properties, which are required for several high-performance applications. There are several examples of the existence of inorganic-organic nanocomposites in nature, such as mollusk shell, teeth tissues in vertebrates and coccoliths. Maya blue is a good example of an old remarkable manmade hybrid material. Maya blue is a robust pigment, not only resisting biodegradation, but also showing unprecedented stability when exposed to acids, alkalis and

Inorganic-organic hybrids are one of the latest developments in high-performance coatings with excellent corrosion resistance, mechanical and UV properties. One of the most common ways to synthesise these coatings is the sol-gel route. Further improvement in their properties can be achieved by dispersion/grafting of nanoadditives, which are called nanocomposites. They have much superior properties than simple inorganic-organic hybrids.

organic solvents. It is a hybrid inorganic-organic material with molecules of the natural blue indigo encapsulated within the channels of a clay mineral known as palygorskite. It is a manmade material that combines the colour of the organic pigment and the resistance of the inorganic host, a synergic material, with properties and performance well beyond those of a simple mixture of its components. Inorganic-organic hybrid nanocomposites materials represent to design new smart materials, coatings and innovative materials for industrial applications. The coating market is undergoing substantial changes due to environmental regulations, where cost-effective nanoparticle-modified coatings can represent competitive products.

Method of synthesis Many hybrid materials being used till date are synthesised and processed using conventional soft chemistry based routes developed in the 80s. These processes are based on: the copolymerisation of functional organosilanes, macromonomers, and metal alkoxides; the encapsulation of organic components within sol-gel derived silica or metallic oxides; and the organic functionalisation of nanofillers, nanoclays or other compounds

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with lamellar structures, etc. The chemical strategies such as self-assembly, nanobuilding block approaches, hybrid metal organic frameworks (MOF), integrative synthesis, coupled processes, bio-inspired strategies, etc are the main routes for synthesis. Inorganic-organic hybrid coatings have recently shown new and promising properties. Applications may be found in the area of protective coatings, for example corrosionresistant, scratch- and wear-resistant, anti-fouling, automotive clear coats, hard coats for plastics, anti-graffiti and hydrophobic coatings combined with high photostability and in the area of materials with improved barrier properties as well. Inorganic-organic hybrid coatings were prepared by hydrolysis and condensation of 3-glycidoxyprop yltrimethoxy silane (GPTMS) and methyltrimethoxy silane (MTMS) via sol-gel route. In GPTMS organic unit is epoxy ring whereas silicon atom acts as inorganic moiety. MTMS has silicon atom that gives the properties of inorganic moiety. It forms silanol groups, which subsequently changes to silica network by adding crosslinking agent hexamethoxymethylmelamin e (HMMM). On addition of grafted alumina, nanoparticles enhance the overall performance of the coating. Result shows that by adding grafted nanoparticles to sol-gel coating enhances corrosion resistance, and mechanical properties & UV properties.

Applications Inorganic-organic hybrid nanocomposites are considered as innovative advanced materials, and promising applications are expected in many fields such as protective coatings, energy storage, membranes, catalysis, etc. The following hybrid materials and systems are coming out of the labs and entering into our daily life on a constant basis: R High-temperature coatings: Zinc-based sol-gel nanocomposites inorganic paints are used as

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corrosion-resistant primers and high-temperature coatings for steel & aluminium R Automotive coatings: An interesting and highly productive application of inorganic-organic hybrid materials is in automotive coatings. Hybrid coatings not only provide colouration but also scratch-resistance and protection from environmental factors such as UV and chemical attack. New applications of hybrid nano-clay materials are nowadays envisaged by automotive industrials for next commercialisation: PP/clays for bodywork with anti-scratch properties (Dow Plastics/Magma); acetal/clays for ceiling lights (Showa Denko); PP/clays for door

Hybrid inorganicorganic nanocomposites will play a major role in the development of high performance coatings panes, consoles and interior decoration (Ford, Volvo) due to aesthetics, recyclable and lightness properties, nylon/clays for bumpers with enhanced mechanical and lightness properties (Toyota), nylon/clays for fuel reservoir with air tightness properties (Ube America) R Coatings based on bioinspired approaches: A known example of super hydrophobic or super hydrophilic coatings is inspired by the microstructure of lily leaves. It combines controlled surface roughness of an inorganic (glass, metals) or organic substrate in the micron-scale with hybrid layers obtained by polycondensation of hydrophobic organo-silanes yields transparent coatings with exalted hydrophobic behaviour (exhibiting wetting angles much greater than 120μm)

Conclusion The industrial coatings market is undergoing substantial changes due to VOC control and environmental regulations where cost-effective nanoparticle-modified inorganicorganic hybrid waterborne coatings, can represent competitive products. It is possible to practically tailor-make any molecular species and design new functional hybrid materials with enhanced properties. Hybrid inorganic-organic nanocomposites will play a major role in the development of high performance coatings. Our research at IIT Bombay has resulted in the development of several new coatings using this technology, which can replace conventional solventborne coatings, replace Cr (VI) based primers, and create hydrophobic and highly hard coatings with excellent UV blocking properties.

References R

S S Pathak, A S Khanna & T J M Sinha, ‘HMMM cured corrosion resistance per cent waterborne ormosil coating for aluminium alloy’, Progress in Organic Coatings 60 (2007) 211–218 R B Jha & A S Khanna ‘High performance nano-alumina grafted waterborne coating’, MTech Thesis, IIT Bombay, 2008

Prof A S Khanna is with the Corrosion Science & Engineering Dept of IITBombay. In his 26 years of experience, he has published more than 150 papers and written a book on corrosion. Prof Khanna is a Fellow of Humbodt Foundation, Bonn and Royal Norwegian Society for Science & Technology. He has been the past Chairman of NACE - Asia Pacific Region and at present is the Chairman of SSPC India Chapter. Email: khanna@met.iitb.ac.in Gunjan Gupta is pursuing her PhD under the supervision of Prof A S Khanna and Dr Nick Birbilis (Monash University).


MANAGEMENT MANTRAS

Strategic management thinking

Making enterprises future-ready

Courtesy: www.finworthmortgageblog.com

Suresh Lulla

T

he world markets have opened up in the 21st century like never before. No single country’s market is immune to risk exposure or fierce competition. A stable business environment or laid-back leadership is a thing of the past. Today, organisations are forced to go through a paradigm shift in the way they lead their enterprises to stay on top of business developments and continue to grow successfully. Not too long ago, an innovative product in the market meant years of successful profits before another one came along as an equal or superior alternative. Today, sustained success needs constant innovation to keep the pole position and continued growth of the bottom line. A sophisticated understanding and execution of product innovation are evident in the way premium brands have launched shampoo and personal care sachets & mini-tubes to woo less affluent market segments, creating new consumers for products that would otherwise have been an unthinkable luxury. Innovation, therefore, is critical in building sustainable organisations that can flex to changing market trends and scenarios, stay

Thanks to the rapid changes in industry and market trends, the employment market is filled with opportunities that can enable the top talent to move up the corporate ladder. Increasingly, the customer too has a plethora of options to choose from. Given this backdrop, it requires an organisation to be nimble and creative in how it strategically puts into play constantly evolving systems, processes, technologies, products and organisational innovations that help it take on these challenges.

abreast of the competitor landscape and be nimble & intelligent enough to accurately read future business & market opportunities. In this context, the concept of innovation includes both organisational and technological innovations to succeed in the future.

Strategic innovation Merely having smart ideas and several patents will not spell success for an organisation or help it sustain itself in these changing times. It is the ability to link innovations to the organisation’s strategy and business that will create sustainable organisations. Institutionalising strategic innovations is another step to foster an environment that will spread the culture of innovation within. Generation of ideas is only the beginning. Organisations should invest in and take risks in creating ideas that offer value to see the light of day. Having a long-term vision, big-picture thinking, the ability to anticipate customer needs, changing lifestyles and market conditions, aid the innovation strategy that an organisation should have. This will help in being flexible, move ahead of the pack and create pathways of sustained success for itself.

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MANAGEMENT MANTRAS

Towards sustainable growth

understand that this is Creating opportunities for making organisations sustainable can be attained through: a constant and dynamic R Providing stretch assignments to top talent to challenge process tend them out of their zone of comfort to be more R Creating opportunities for mobility within the organisation successful. to work in different areas and help cross-fertilisation of For an expertise, best practices and ideas organisational R Establishing R&D centres and making viable research innovation findings known & available to all divisions that can adopt to thrive, it new techniques, ideas, processes, etc needs to be R Creating a framework to encourage and facilitate a flexible embraced by all attitude within the organisation that is open to change levels of people R Raising the bar on the level of corporate citizenship within the achieved organisation. R Making the leadership accountable for fostering change The manner in which R Enabling clear communication of the management’s innovations intent to support creativity are measured R Improving sensitivity and response time to changes and rewarded brought about by market conditions cannot be R Creating a standard to measure sustainable initiatives by based on just virtue of their impact on business, clients, organisation the number and stakeholders of ideas that R Tying innovation to business needs, market opportunities come through and a culture of implementation suggestions R Having clear guidelines, processes, etc to encourage f r o m innovation employees. Innovation, Organisational innovation essentially, needs to create value to It all starts with how an organisation the growth of the enterprise, to the defines, nurtures, invests in, and employees, customers and stakeholders; promotes creative techniques, processes it is even better if it benefits the entire and practices within the enterprise, industry. to provide opportunities for creative Dynamic organisations base their thinking. The caveat being that any innovations on core values. Innovation such effort should, necessarily, focus is not an end in itself, but a continuous on creating value. Organisations that process within the organisation. An example of how innovation failed on this aspect comes from the now-bankrupt Enron, whose innovative virtual room ‘eThink’ won prestige and praise for promoting open communication. Such creativity seems to have also extended to its accounting practices, resulting in one of the biggest bankruptcies in the corporate US. For innovation to have long-term benefit, it needs to stand up to scrutiny against the core values of the organisation. Often, a management mandate to ‘think out of the box’ is erroneously Courtesy: www.wordpress.com

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thought to bring about a culture of innovation. This will only lead to a clutter of ideas that take away too much time to sift through and evaluate each one of them. What companies really need are dynamic leaders with vision, creativity, passion and the ability to take calculated risks in radical ideas. This is what will result in people within the organisation taking that ‘leap of faith’, being as passionate and creative about various processes, practices, products and services that create value for all stakeholders. Some successful best practices in modern-day corporations are listed below: The Aditya Birla Group provides a good example of the innovative people, processes and practices it has applied to retain some of its top talent. This out-of-the-box thinking has made it successful in retaining its high-potential talent by providing them global career opportunities as well as avenues for lateral movement within the organisation. It has been successful in providing geographic and functional mobility. This has resulted in retaining top talent and employees buying in to the fact that successful careers do not always need to necessarily have a vertical path, but can also be more of a zig-zag curve. This has helped it provide broad areas of exposure and keep the learning curve steep by pulling people out of their comfort zones. As a result, it is not only able to leverage synergies brought in by people with diverse backgrounds and experiences, but also to empower them to question the status quo and keep it constantly evolving organically. This has led to the Group winning the award for Best Employer of 2007. This is certainly a new concept in the country where everyone wants vertical growth in quick progression. There are many such examples of strategic and innovative strategies that have caught the imagination of clients, customers, employees and shareholders, and also succeeded in making organisations sustainable.


MANAGEMENT MANTRAS

Technological innovation: Successful best practices Today, technological innovation needs to go hand in hand with organisational innovation for sustained success. Technological innovations in the recent past have demonstrated the ability to have an organisation-wide impact, while still others have resulted in a complete change in lifestyle across continents. Nokia, the mobile manufacturing major has constantly retained its position as a market leader through its many technological innovations. In India, Nepal and China, it has made enormous efforts to understand the market demography and has come out with iconic touch-screen phones to help the millions of literacychallenged customers to stay connected. This has resulted in its ability to penetrate interior markets in these developing countries. By realising the special needs & incorporating other technological innovations, and by having moistureresistant screens & regional-language

interface for its Asian users, Nokia has become a sustainable organisation in its operations in the region. This is a telling example of technological innovation that has resulted in a lifestyle change for people on a massive scale. Within an organisation too, technological innovations that help organisations retain their sustainability are those that are not restricted to a particular division or process, but enable the benefits to spill over enterprise-wide. Technological innovations should aid organisations to increase productivity, improve quality, streamline processes, bring about quality improvement, increase customer base, free up-time and make an organisation more profitable. Sharing the benefits of technological innovation helps share knowledge base, and has a ripple effect on the enterprise.

Conclusion We see business and technological innovations in many fields & industries

such as healthcare, insurance, banking & finance, entertainment, retail and manufacturing. Operating in interesting times, where the only constant is changing market trends, means that companies have to employ equally interesting strategies to success. Organisational and technological innovations can be an ideal roadmap to help organisations stay ahead of the game and be better prepared to address business needs & market environments. Suresh Lulla is the Managing Director of Qimpro Consultants Pvt Ltd, Founder of the BestPrax Club, and Chairman of the IMC Quality Awards Committee. In 2005, he was awarded the distinguished Alumnus Award by the Indian Institute of Technology, Bombay, in recognition of his outstanding achievements in quality management consultancy. Email: consultancy@qimpro.com

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EVENTS CALENDAR

National

Pune

Ahmedabad

Ludhiana

Indore

Maharashtra

Gujarat

Punjab

Madhya Pradesh

Chennai Tamil Nadu

Nov 19-22, 2010

Dec 17-20, 2010

January 2011

February 18-21, 2011

March 4-6, 2011

India’s premier industrial trade fair on products and technologies from machine tools, fluid power, instrumentation & control, electrical & electronics, material handling, plastics, rubber, packaging, chemical, CAD/CAM, auto components, and general engineering.

For details contact:

Engineering Expo Infomedia 18 Ltd, Ruby House, 1st Floor, J K Sawant Marg, Dadar (W), Mumbai 400 028. Tel: 022-3003 4649, Fax: 022-3003 4499, Email: shamal@infomedia18.in

Process Industry Forum A conference on automation and enterprise solutions in process and batch industries; July 14-17, 2010; at Hyderabad For details contact: ARC Advisory Group 20, Annaswamy Mudaliar Road Sivan Chetty Garden Post, Bengaluru 560 042 Tel: 080-2554 7116, Fax: 080-2554 7116 Email: prakasha@ARCweb.com Web: www.arcweb.com

Asia Coat+Ink Show The exhibition will showcase the latest innovations & products for coating industry, and will provide an international platform to all suppliers of pigments, resins, oils, chemicals, machinery & equipment and manufacturers of inks & coating to explore new business opportunity; September 30October 03, 2010; at the Bombay Exhibition Centre, Mumbai For details contact: Koelnmesse YA Tradefair B-501/502 Kemp Plaza, Mind Space Chincholi Bunder Off Link Road, Malad (West) Mumbai 400064 Tel: 022-4210 7866, Fax: 022-4003 4433 Email: s.rajawat@koelnmesse-india.com Website: www.asiacoatandink.com

India Chem 2010 The 6th edition of this international exhibition will have on display a

wide range of products, services & technologies concerning chemicals, petrochemicals, pharmaceuticals, process plant machinery and control & automation system; October 28-30, 2010; at Bombay Exhibition Centre, Mumbai For details contact: Manoj Mehta, assistant director Trade Fair Secretariat Federation of Indian Chambers of Commerce and Industry (FICCI) Federation House, Tansen Marg New Delhi 110 001 Tel: 011-2373 8760, Fax: 011-2335 9734 Email: manojmehta@ficci.com Website: www.indiachem.in

Indian Petrochem Conference 2010 Annual petrochemicals conference providing an exclusive forum for interaction between the global petrochemical fraternity; November 1819, 2010, Renaissance Hotel, Mumbai For details contact: Elite Conferences Pvt Ltd 606, Bhagyalaxmi Kennedy Bridge Mumbai 400 004 Tel: 022-2385 1430 Fax: 022-2385 1431 Email: info@eliteconferences.com

IPVS 2010 Industrial trade fair for pumps, valves and systems; December 09 –11, 2010; at Chennai Trade & Convention Centre, Chennai

For details contact: Orbit Tours & Trade Fairs 201, Navyug Industrial Estate T J Road, Sewri (W) Mumbai 400 015 Tel: 022-2410 2801 Fax: 022-2410 2805 Email: info@pumpsandsystemsindia.com

Everything About Water Expo 2010 An international exhibition and conference on water & wastewater management; January 06-08, 2011; at Bombay Exhibition Centre, Mumbai For details contact: Aarti Chopra EA Water Pvt Ltd A1/152, IGNOU Road, Neb Sarai New Delhi 110 030 Tel: 011-4310 0500 Fax: 011-4310 0599 Email: aarti@ewgroup.in

Chemtech World Expo 2011 International exhibition & conference on process plant, equipment & services for environment management, biotechnology, oil & gas and chemicals; February 23-26, 2011; at Bombay Exhibition Centre, Mumbai For details contact: Chemtech Foundation 26, Maker Chambers VI Nariman Point, Mumbai 400 021 Tel: 022-287 4758 Fax: 022-287 0525 Email: info@chemtechwe.com

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EVENTS CALENDAR

International ACHEMASIA 2010 An international exhibition & conference on chemical engineering and biotechnology; June 01-04, 2010; at China National Convention Center, Beijing, China For details contact: Dechema Theodor-Heuss-Allee 25 D-60486 Frankfurt am Main Germany Tel: +49 (069) 7564 0 Fax: +49 (069) 7564 201 Email: internetinfo@dechema.de Website: www.dechema.de

EXPOCHEMISTRY 2010 An exhibition for chemical engineering; June 16-18, 2010; at St Petersburg, Russia For details contact: Farexpo 8 Gagarina Ave. Peterburgsky SCC St Petersburg, Russia Tel: +7 (812) 118 35 37 Fax: +7 (812) 118 35 37 Email: expo@orticon.com Website: www.farexpo.ru

International crop science exhibition & trade meet The event will focus on various business opportunities in the global agrochemical industry; June 21-22, 2010; at Istanbul, Turkey For details contact: Aparna Deshpande assistant executive director Pesticides Manufacturers & Formulators Association of India D/516 Crystal Plaza Andheri Link Road Andheri (W), Mumbai 400 053 Tel: 022-2673 4845/46 Fax: 022-2673 4847 Email: adeshpande@pmfai.org

New International Expo Centre, Shanghai, China For details contact: China National Chemical Information Center (CNCIC) No.53, Xiaoguanjie Anwai, Beijing, 100029 China Tel: +86 10 64444114 Fax: +86 10 64415052 Email: market@cncic.gov.cn

Chemical Industry 2010 An international exhibition of chemical industry; September 27 – October 02, 2010; at International Fair Plovdiv, Bulgaria For details contact: International Fair Plovdiv 37, Tzar Boris III - Obedinitel Blv 4003, Plovdiv Bulgaria Tel: +359 (0) 32 903 600 Fax: +359 (0) 32 902 432 Email: fairinfo@fair.bg

CIL Indonesia 2010 An exhibition showcasing new trends in chemical & process engineering, instrumentation and laboratory equipment; December 01-04, 2010; at Jakarta International Expo, Indonesia For details contact: Allworld Exhibitions 12th Floor, Westminster Tower 3 Albert Embankment, London The UK Tel: +44 (0) 20 7840 2100 Fax: +44 (0) 20 7840 2111 Email: info@oesallworld.com

InformexUSA 2011 An expo that provides a meeting point for buyers and sellers of high-value chemicals; February 07-10, 2011; Charlotte Convention Center, Charlotte, The US

Pumps & Valves 2010 An exhibition on pumps, control valves and seals in the process industry; October 13-15, 2010; at Antwerp, Belgium For details contact: Fairtec Autolei 337 2160 Wommelgem / Antwerp Belgium Tel: +32 (0)3 354 08 80 Fax: +32 (0) 354 08 10 Email: info@fairtec.com

DYE+CHEM Asia International Expo 2010 An exclusive international exhibition on all kinds of dyes and fine & specialty chemicals for the South & South-East Asian industry; November 10-13, 2010; at Singapore Expo, Singapore

ICIF China 2010 An international chemical industry fair; September 21-23, 2010; at Shanghai

74, Satya Niketan, Ground Floor New Delhi - 110 021 Tel: 011-2410 5201-4 Fax: 011-2410 5205 Email: cems@cemsindia.com

For details contact: CEMS India Pvt Ltd

For details contact: United Business Media Industrieweg 54, PO Box 200 3600 AE Maarssen The Netherlands Tel: +31 34 65 59 444 Fax: +44 (0) 20 7921 8059 Email: jblack@cmpinformation.com

CIPPE 2011 An exhibition for petroleum & petrochemical technology and equipment; March 22-24, 2011, New China International Exhibition Center, Beijing, China For details contact: ITE Group Plc 105 Salusbury Road London, NW6 6RG The UK Tel: +44 (0) 20 7596 5000 Fax: +44 (0) 20 7596 5111 Email: enquiry@ite-exhibitions.com

The information published in this section is as per the details furnished by the respective organiser. In any case, it does not represent the views of Chemical World

May 2010 | Chemical World

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PRODUCT UPDATE

Monoblock water-ring vacuum pumps Joyam Engineers & Consultants offers monoblock water-ring vacuum pumps. These are compact, easy to install & assemble, mobile and simple design with smooth operation. These pumps are connected to the motor shaft. The pumps develop maximum vacuum of 680 mm of hg when the sealing water temperature is around 30°C (755 mm of hg barometric pressure & suction temperature of 30°C). These pumps, which operate at low water consumption, are suitable for laboratory usage, priming purposes, pilot plants, etc. Simple in construction with trouble-free operation, these pumps are available in capacities ranging from 14 to 123 m3/hr. Joyam Engineers & Consultants Ahmedabad - Gujarat Tel: 079-2656 9533, Fax: 079-2642 3061 Email: joyam@wilnetonline.com

Temperature/RH/CO2 meter Auro Electronics offers temperature/RH/CO2 meter from Spectrum Technologies, Inc. This instrument monitors indoor air quality and CO2 levels in greenhouses. Handheld meter measures and displays temperature, relative humidity (RH), and CO2 simultaneously. Specifications include: CO2: 0-2,000 ppm, accuracy: ±5 per cent; temperature: -10-60ºC, accuracy: ±0.9ºF (±0.9ºC); and RH: 0-99.9 per cent, accuracy: ±3 per cent. Auro Electronics (India) Pvt Ltd Ambala Cantt - Haryana Tel: 0171-263 0970, Fax: 0171-263 0970 Email: auroindia@gmail.com

Rust preventives Ashok Industry offers Corobit-410, a water-soluble rust preventive, used for protection of ferrous parts and components from rust and corrosion for periods ranging from one week to six months. This can be diluted from two parts to 40 parts with water depending on the protection period required. It does not harm rubber, polymers or painted surfaces and the film/coating need not be removed or is easily removable with water if so desired. Corboit-410 is available in 5, 30 and 205 ltr packing. Ashok Industry Mumbai - Maharashtra Tel: 022-6150 4150, Fax: 022-6150 4151 Email: sales@ashokindustry.com

PP chemical processing pumps Taha Pumps & Valves offers PCX series horizontal centrifugal type chemical process pumps in BPO design. These pumps are useful in handling corrosive chemicals, acids, effluents, inks, dyes, solvents, etc, in various industries ranging from chemical, petrochemical, steel plants, power plants to pharmaceutical industries. These pumps are offered in standard construction of polypropylene, optionally in PVDF also for highly corrosive liquids and temperature up to 110oC. The versatile features of these pumps include: wide models available from 1 to 10 hp in different capacities, wide range of sealing combinations of mechanical seal and gland packing. These pumps are designed and manufactured with latest technology to give better performance, reliability and lower power consumption. Taha Pumps & Valves Surendranagar - Gujarat Tel: 02752-240 233 Fax: 02752-240 908 Email: tahapv@yahoo.co.in

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PRODUCT UPDATE

High-shear fluid processor TTL Technologies offers 速 Microfluidizer range of highshear fluid processors, the LV1 low volume benchtop. Operating with the same fixed-geometry interaction chamber technology of larger volume machines, the LV1 brings superior capabilities for uniform particle size reduction and cell disruption to samples as small as 1 ml. The LV1 generates incredible levels of shear, up to 12.25 million/sec. This increased shear enables biotechnology customers, for example, to achieve extremely high cell rupture rates for challenging applications in a fraction of the time than can be achieved using other technologies. Results achieved on the LV1 are scalable through lab, clinical trial and pilot/production volumes. Producing pressure of up to 2,069 bar (30,000 psi) with low power consumption, the LV1 is a highly efficient processor with a small footprint and spectacularly quiet operation. TTL Technologies Pvt Ltd Bengaluru - Karnataka Tel: 080-2525 1859, Fax: 080-2529 1285 Email: analyticaldirect@ttlindia.com

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PRODUCT UPDATE

Seatless & glandless valve A B Panchal & Company offers seatless and glandless valve (pinch valve), a modified version of laboratory pinch cock. The fluid passing through the valve does not come in contact with either the body covering or any other metal parts of the valve, except the sleeve. Hence, the body and other metal parts are safe from the corrosive action of the fluid. The flow through the valve is straight and full as that of a pipeline, when the valve is fully open. Further, the collar of the sleeve eliminates gasket. The valve is simple hand wheel-operated of rising wheel type. Therefore, the operation of the valve is simple as other wheel-operated valves. The stoppage in-between allows the desired throttling. Thus, the valve offers positive control over flowing media. Pinch valve finds application in handling corrosive slurry, abrasive media, liquid with solid suspensions, etc, which are difficult to handle with seat valve. The flange of the pinch valve can be supplied in accordance to BS, DIN, ASA & IS dimensions. A B Panchal & Company Ahmedabad - Gujarat Tel: 079-2562 0629, Fax: 079-2562 1027 Email: sales@abpcovalves.com

Bag filter system Filter Concept offers bag filter system designed for optimum filtration performance. This system is useful for filtering large volumes of high viscosity liquids. Bag filter is constructed of filter housing, filter bags, internal cage to support bags, positive sealing arrangement & choice of end connections. With the internal supports, bags will not burst due to high differential pressure build up during operation. Unfiltered fluid enters the housing and is distributed evenly around the filter bags. Filtration takes place from inside to outside. Solids are collected on the inside of filter bag for easy removal. The filtered fluid then exits through the outlet pipe. Features include: high flow rates; low pressure drop; high dirt holding capacity; positive sealing arrangement to avoid bypassing; suitable for PP collar, rigid ring & snap band bags; easy to operate & low maintenance; low downtime; and flow rate up to 2,000 m3/hr. Applications are in pharmaceuticals, petroleum derivatives, water treatment, coolants, paints & inks, food & beverages, bore well water, dairy, dyes & intermediates, RO prefiltration, processing chemicals, etc. Filter Concept Inc Ahmedabad - Gujarat Tel: 079-2754 0069/1602, Fax: 079-2754 0801 Email: support@filter-concept.com

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PRODUCT UPDATE

Industrial water filters Gopani Product Systems offers innovative industrial water filters from Orival, USA. These are automatic, self-cleaning, line-pressure powered OR water filters for HVAC and mining. These line pressure powdered filters are available in sizes from 2” to 20” and have fine screens down to 10 µm in a variety of constructions, including standard stainless steel mesh, multi-layered sintered stainless steel and wedge wire. Single units can handle flow rates of up to 8,100 gpm and they can be installed in parallel to handle larger flow rates. The OR filters are categorised into three series - I, P, and B. I series consists of inline models having concentric inlet & outlet and are mainly used in side stream installations. P series, on the other hand, has a range of online models in which inlet and outlet are in parallel sequence. They are applicable on full flow applications. B series is a bypass model, which is the same as online one but with automatic bypass integral to unit. These are commonly utilised in full flow applications where a constant flow of water is critical. Gopani Product Systems Ahmedabad - Gujarat Tel: 079-2644 1972, Fax: 079-2644 2601 Email: gopani.pr@gmail.com

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PRODUCT UPDATE

High-vacuum oil-seal rotary pumps Joyam Engineers & Consultants offers high-vacuum oil-seal rotary pumps. These are oil-immersed rotary vane type pumps. The inbuilt non-return valve prevents the back flow of air. Manufactured from graded material, all moving parts are precisely machined, ground and assembled with close tolerances. This results in increased efficiency and long troublefree operation. These pumps develop maximum vacuum of 0.05 mm of hg in single-stage and 0.005 mm of hg in doublestage. Pumps operate at 500 rpm with the help of ‘V’ belt. These pumps are widely used in solvent extraction & recovery, sugar, oil refineries, distilleries, food processing, chemical, pharmaceutical, fertiliser, paper, textile, tube light & general lighting, printing etc. These pumps are suitable for various processes like vacuum filtration, distillation, vacuum crystallisation, vacuum impregnation, vacuum metallurgy, thin film coating, vacuum drying, dehydration, evaporation, deodourisation, de-gassing, moisture extraction, vacuum condensation, conveying, venting, etc. They have simple & rugged construction, trouble-free operation and low maintenance. Capacity ranges from 3 m3/hr (50 ltr/min) to 600 m3/hr (10,000 ltr/min). Joyam Engineers & Consultants Ahmedabad - Gujarat Tel: 079-2656 9533, Fax: 079-2642 3061 Email: joyam@wilnetonline.com

Digital colour mark sensor Lubi Electronics offers LX-100 series digital colour mark sensor. This can detect any marking because it is equipped with red, green and blue LED light emitting element. To expand the functionality, the sensor comes with dual mode: Mark Mode (ultra high-speed response) and Colour Mode (high-precision mark colour discrimination) to suit any application. This sensor comes with MODE NAVI technology for enhancing features and easy to use. Other special features include: four-digit digital display, simple teaching, external teaching, 12-bit A/D converter, D-code, key lock, timer, NPN or PNP outputs, IP67 protection, etc. All these come in the size of W57 x D24 x H38 mm body. It can be used effectively in many applications/industries. Lubi Electronics Ahmedabad - Gujarat Tel: 079-2220 5471-76, Fax: 079-2220 0660 Email: info@lubielectronics.com

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PRODUCT UPDATE

Fluoropolymer-lined valves, pipes & fittings Supremo Line & Control offers fluoropolymer FEP, PFA, PTFElined SGI/WCB/SS pipes, valves & fittings using DuPont’s technical know-how and raw material for appropriate application of the resin for successful results with international quality for chemical industry. Important features include: low co-efficient of friction, chemical inertness, non-toxic approved by international food & drugs regulatory authorities, noninflammable, self-sealant, good weathering resistance, zero water absorption, etc. Supremo Line & Control Ahmedabad - Gujarat Tel: 079-2220 5282, Fax: 079-2220 5181 Email: supremoproduct@gmail.com

Rotary gear pumps Dev Engineers offers DGP-SS series positive displacement stainless steel rotary gear pump with investment cast CF 8M casing. It covers 316 gears & shaft and Teflon-coated dry running sintered PTFE coated bush bearings. These pumps are available in nine sizes from ¼” to 2½” with 12 capacity of ranges. These pumps are ideal for handling corrosive, hygienic abrasive viscous liquid for loading/unloading transfer and pressurising application. Dev Engineers Ahmedabad - Gujarat Tel: 079-2640 3839, Fax: 079-2640 3839 Email: devpumps@dataone.in

Flame arrester Pressure & Flow Control Industries offers Pre’con Free Vent flame arrester. This is designed to protect the tank by preventing the flame propagation and explosion in the tank. The flame arrester element dissipates the heat of flame below the ignition point of the vapour. Pre’con Free Vent allows free venting and protects from fire hazards. It prevents flame transmission by absorbing and dissipating the heat using crimped ribbon corrugated spiral wound flame bank. Pressure & Flow Control Industries Vadodara - Gujarat Tel: 0265-264 3838, Fax: 0265-264 5727 Email: info@preconvalves.com

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PRODUCT UPDATE

Rapid auto roll door Spanker International offers Rollflex rapid auto roll doors. These doors come in size up to 6,000 (H) x 6,000 (W) with strong aluminium extruded door structure, clear matt anodised for corrosion protection. Inline safety beam reverses door immediately if the beam is disturbed. Pneumatic safety strip is available as option for auto reverse of bottom bar. It has opening speed of 1.5 m/sec with single phase, 230 V AC (10 A) power input and 0.9 m/sec with three-phase 415 V AC (10 A) power input. It has dedicated controller to accept all modern activation control and safety features. The door panel is manufactured from polyester reinforced fire retardant PVC, coated with UV absorbers including a clear PVC safety vision panel. A variety of panel design options are available. PVC panels are interchangeable and individual panel can be replaced if required. Vertical brushes are provided for optimum sealing of the panel. Bottom rubber seals the gap on the floor to meet floor irregularities. Spanker International Ahmedabad - Gujarat Tel: 02717-251 581, Fax: 02717-251 580 Email: sales@spanker.in

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PRODUCT UPDATE

iron. Heavy-duty bearings are used for providing support to the alloy steel hardened and ground crankshaft at both ends. The lubrication of power end parts and bearings are done by splash lubrication system from reservoir oil in the crankcase. The SS hardened and ground plunger offers corrosion and abrasion resistance and gives longer life. Heavy-duty MS cylinder and distributor body with gunmetal working parts is specially designed for high-pressure working. The SS check/non-return valves and pressure relief valve with brass pressure release cock are used for trouble-free operation. The shaft sealing is made of graphite asbestos gland packing and tightened by gunmetal gland nut. These pumps are suitable for hydrostatic pressure testing up to 10,000 psi (705 kg/cm2). It is also used for pressure or hydrostatic testing of boilers, welded vessels, pressure vessels, gas cylinders, valves, cocks, castings, pipes, tubes/hoses, pipelines, barrels/drums, concrete/cement walls, etc. Dev Engineers Ahmedabad - Gujarat Tel: 079-2640 3839 Email: devpumps@dataone.in

Digital DC stepper drives

Hydraulic couplings

Streamline Controls offers Digistep, indigenously developed digital DC stepper drives to suit variety of motion control applications. These intelligent PWM drives operate on inherently reliable microcontroller technology with industry proven power module. Digistep drives are available with maximum 12 A/phase and are guaranteed against short circuit at outputs. These drives are available for unipolar as well as bipolar DC stepper motors and are modular & compact in size. They also facilitate three digital inputs, two digital outputs, one optional high-speed input for close loop application, and RS 485 serial port for interface with external control system.

Dixon Asia Pacific offers H-series hydraulic couplings. These are fully compliant with the parameters outlined in ISO 7241 series B. A wide variety of body and seal materials are available to maximise compatibility in various applications. Large diameter heavyduty knurled sleeves are designed to resist brinelling and maximise performance under impulse conditions. Wide selections of thread configurations are available to ensure compatibility in a variety of installations.

Streamline Controls Pvt Ltd Ahmedabad - Gujarat Tel: 079-3291 0812, Fax: 079-2741 1463 Email: mktg@streamlinecontrols.com

Dixon Asia Pacific Pvt Ltd Mumbai - Maharashtra Tel: 022-4093 1555, Fax: 022-2685 4748 Email: salesindia@dixonvalve.com.au

Motorised hydraulic test pumps Dev Engineers offers motorised hydraulic test pumps. These are reciprocating-type single-plunger pumps. The crankcase is sturdy in design, completely sealed and made from graded cast

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The information published in this section is as per the details furnished by the respective manufacturer/ distributor. In any case, it does not represent the views of Chemical World


 







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AC drives ............................................................... Air chiller .............................................................. Air pollution control equipment............................. Air receiver ............................................................ Aluma coat............................................................ Aluminium oxide ceramic composite...................... Anaesthetic rotameters .......................................... Analytical instruments............................................ Analytical solutions for aflatoxins & dioxins............ Analytical solutions for RoHS ................................. Automatic condensate transfer pump .................... B2B magazines ...................................................... Bag filter system .................................................... Ball check valve...................................................... Ball valve ............................................................... Ball valves - Teflon-lined......................................... Batching system .................................................... Bellow seal valve.................................................... Bellows & dip-pipes ............................................... Bend ..................................................................... Biofuels ................................................................. Blowers ................................................................. First Fold Here Boilers ................................................................... Burners.................................................................. Bush...................................................................... Butterfly valve ........................................................ Butterfly valves - Teflon-lined ................................. Calibration sources ................................................ Caustic soda .......................................................... Centrifuges ............................................................ Ceramic adhesive cement....................................... Ceramic electrical heater parts ............................... Characterisation of consumer/industrial products ... Check valves - Teflon-lined ..................................... Chemical process pumps ....................................... Chemical pumps.................................................... Chlorine & bromine-based products....................... Colour measuring instruments ............................... Columns & chemistries .......................................... Computed tomography ......................................... Condensers............................................................ Conductivity meters ............................................... Cone screw mixer .................................................. Conical screw dryers .............................................. Consumer products ............................................... Controllers............................................................. Cooking soda ........................................................ Cooling tower ....................................................... Dairy equipment .................................................... Dampers................................................................ DAP....................................................................... Detection & diagnosis solutions ............................. Second Fold Here Diaphragm valve.................................................... Digital colour mark sensor ..................................... Digital DC stepper drives........................................ Digital panel meter ................................................ Disc check valve..................................................... Drawer magnet ..................................................... Drum-type magnetic separator .............................. Ducts..................................................................... Electronic balance.................................................. End cap................................................................. Environmental safety solutions............................... EPC services ........................................................... Exhausters ............................................................. Exhibition .............................................................. Expansion bellows ................................................. Express services...................................................... Failure analysis of components .............................. FEP/PFA/PVDF-lined valves ...................................... Fertilisers ............................................................... Filter cock .............................................................. Finishing machines ................................................ Fire tube-type package IBR steam boiler................. Fittings ..................................................................

                                                                          

Flame arrester........................................................ Flame-proof pH meter ........................................... Float trap .............................................................. Flow indicator........................................................ Flowmeters............................................................ Fluoropolymer-lined valves ..................................... Fluoropolymer-lined valves, pipes & fittings............ Foot valve .............................................................. Gas detectors ........................................................ Gaskets.................................................................. Gear pumps .......................................................... GMP heat exchangers ............................................ GMP reactors......................................................... Grinding media ..................................................... Gypsum................................................................. Headers ................................................................. Hearing instruments .............................................. Heat exchangers .................................................... Heat exchangers & plants ..................................... Heavy metals ......................................................... High vacuum oil-seal rotary pumps........................ High-intensity roller-type magnetic separator ......... High-shear fluid processor ..................................... Hot air & water generator...................................... HPLC ..................................................................... HRC fuse bodies .................................................... Hydraulic couplings ............................................... Hydrogenator/autoclaves ....................................... Impeller ................................................................. Indicators .............................................................. Industrial ceramics ................................................. Industrial hygiene audit ......................................... Industrial inkjet printers ......................................... Industrial water filters ............................................ Informatics ............................................................ Injection moulding machine .................................. Inline magnetic separator ...................................... Instrumentation products ...................................... IT solutions & consulting service ............................ Lab conductivity meter .......................................... Lab spray dryer ...................................................... Launders................................................................ Lined ball valves..................................................... Lined valves ........................................................... Lined valves & pipe fittings .................................... Liquid filling system ............................................... Long-neck pipe end ............................................... LV motors.............................................................. Magnet drive pumps ............................................. Magnetic drum pulley............................................ Marine air conditioning system .............................. Measurement products.......................................... Mechanical vacuum boosters ................................. Mechanical vibratory feeder ................................... Metal detector ...................................................... Micro milling beads ............................................... Moisture analyser .................................................. Molecular imaging system ..................................... Monoblock pumps ................................................ Monoblock water-ring vacuum pumps................... Motorised hydraulic test pumps............................. Motors .................................................................. Multi-desk vibrating screening machine ................. Multi-fuel fired IBR steam boiler............................. Non-metallic pumps .............................................. Non-return valve.................................................... Nuclear medicine................................................... Online check weigher ............................................ Over band-type magnetic separator ....................... Pallet scale............................................................. Paperless recorder.................................................. Patient care solutions............................................. Peristaltic pumps ................................................... PFA-lined products................................................. pH electrodes ........................................................

Send your inquiries at: Tel: +91-22-3003 4684 Fax: +91-22-3003 4499 Email: b2b@infomedia18.in

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05 / 2010

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Address: Company Name: Designation: Name: 3. Your line of business 1. Your company’s business function is (one only)  Wholesalers  Manufacturer  Distributor  Agent  Other, please specify ______________ 2. Your role in your company’s buying process can best be described as:  I buy  I identify potential suppliers  I approve purchases  I negotiate contracts  I select suppliers.

Please complete the following & get a quick effective response from suppliers:                                

Phosphoric acid ........................................... Pipes ........................................................... Piping systems ............................................. PLCs ............................................................ Plug valve .................................................... Pole ring...................................................... Pollution monitoring machines .................... Polypropylene process pumps ...................... Portal........................................................... Potentiometer.............................................. PP chemical processing pumps .................... Pressure & flow control instruments............. Pressure measurement products .................. Process automation solution ........................ Process controllers ....................................... Process heat exchangers .............................. Process reactors ........................................... PTFE ............................................................ PTFE-lined products ..................................... PTFE-lined valves & pipe fittings ................... Pumps ......................................................... PVC pipe ..................................................... PVDF pumps................................................ Rapid auto roll door .................................... Reactors ...................................................... Re-crystallised alumina tubes ....................... Reducer ....................................................... Refurbished systems .................................... Rods............................................................ Root blower systems.................................... Rotameters .................................................. Rotary gear pumps ......................................

                               

Rotary sliding vane pumps ........................... Rotary vacuum dryers .................................. Rotocone dryers........................................... Rust preventives........................................... Salt.............................................................. Sampling valves - Teflon-lined ...................... Scoop.......................................................... Seatless & glandless valve ............................ Self-priming mud pump .............................. Self-priming sewage pump .......................... Sensors........................................................ Sheet........................................................... Showel ........................................................ Silicone carbide heat exchangers.................. Slipon flange ............................................... Soda ash ..................................................... Spade.......................................................... Spherical paddle chopper dryers .................. Spool pipe ................................................... Spray dryer project ...................................... Stacks.......................................................... Steam boilers............................................... Strainers - Teflon-lined ................................. Sulphuric acid.............................................. Surgical C-arms and navigation system ........ Suspension magnet ..................................... Tank weighing system.................................. Technical ceramic......................................... Tee .............................................................. Teflon-lined valves & pipe fittings................. Temperature controller................................. Temperature measuring system....................

                               

Temperature/RH/CO2 meter ......................... Thermic fluid heater .................................... Thermodynamic trap ................................... Transmitters ................................................. Trap magnet ................................................ Tri-lobe roots blowers .................................. Tubes........................................................... Turnkey projects........................................... Twin-lobe roots blowers............................... Ultra-deep temperature freezer.................... Ultrasonic flow meter .................................. UPLC ........................................................... Urology systems .......................................... Vacuum pumps & compressors.................... Vacuum system ........................................... Valves.......................................................... Variable area flowmeters ............................. Vertical glandless pumps ............................. Vertical non-IBR oil-fired steam boiler .......... Vibration motor........................................... Viscometer .................................................. Washer........................................................ Water purifier .............................................. Water wall membrane panel IBR steam boiler ..... Water/brine/hydraulic oil/chilling plant ......... Wear metal trend analysis............................ Weigh bridge .............................................. Weigh scales................................................ Wireless instruments.................................... X-ray inspection system................................ Y-type strainer.............................................. Zirconia polycrystal ceramic .........................

Ruby House, ‘A’ Wing, J.K. Sawant Marg, Dadar (W), Mumbai 400 028, INDIA.

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 ABB Limited...........................................................

 LAN Marketing Pvt Ltd...........................................

 Acme Air Equipment Co Pvt Ltd.............................

 Lester & Dynamiks (India).......................................

 Alfa Laval India Ltd ................................................

 MoneyControl.com ................................................

 Ani Engineers ........................................................

 Pressure & Flow Control Industries .........................

 Balkrishna Boilers Pvt Ltd .......................................

 Procon Technologies Pvt Ltd...................................

First Fold Here  Chemical Process Piping Pvt Ltd. ............................

 Raj Process Eqpts & Systems(P) Ltd.........................

 Chilton Refrigeration..............................................

 Ravel Hiteks Pvt Ltd................................................

 CM Flowmeters India Pvt Ltd .................................

 Schmidt Bretten (I) Lvt Ltd .....................................

 Dev Engineers........................................................

 Shiva Analyticals (India) Limited .............................

 DHL Express (India) Pvt Ltd.....................................

 Shreenath Techno Plast ..........................................

 Digital Instruments Corporation .............................

 Siemens Ltd...........................................................

 Dipesh Engineering Works .....................................

 Smart Logistics ......................................................

 Dip-Flon Engineering Co. .......................................

 Sri Vishnu Pumps Mfg Co ......................................

Second Fold Here  Emerson Process Management (India)....................

 Supremo Line & Control ........................................

 Everest Blowers......................................................

 Taha Pumps & Valves .............................................

 Hi Tech Applicator .................................................

 Tata Chemicals Pvt Ltd ...........................................

 HRS Process Systems Pvt Ltd ..................................

 Tecnimont Icb Pvt Ltd ............................................

 Jay Instruments & Systems Pvt Ltd .........................

 Thermax Ltd ..........................................................

 Jaykrishna Magnetics Pvt Ltd..................................

 United Phosphorus Ltd ..........................................

 Jyoti Ceramic Industries Pvt Ltd ..............................

 Waters (India) Private Limited.................................









Tel.: +91-22-3003 4640 Fax.: +91-22-3003 4499 Email: b2b@infomedia18.in

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Please tick against the box of product(s) you are interested in: Mention specific product/service you need, Complete all the details on this form. Tear the form & mail it to us. (It is a prepaid mail)

 Koelnmesse Ya Trade Fair Pvt Ltd............................

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 AB Diachem Systems Pvt Ltd ..................................

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ADVERTISER INQUIRY FORM


POSTAGE WILL BE PAID BY ADDRESSEE

Business Reply Inland BR Permit No. 555 Bhavani Shankar Post Office, Mumbai 400 028.

NO POSTAGE STAMP NECESSARY IF POSTED IN INDIA

Special Projects

INFOMEDIA 18 LIMITED Ruby House, ‘A’ Wing, J.K. Sawant Marg, Dadar (W), Mumbai 400 028, INDIA.

Please complete the following & get a quick effective response from suppliers: 1. Your company’s business function is (one only)  Wholesalers  Manufacturer  Distributor  Agent  Other, please specify ______________ 2. Your role in your company’s buying process can best be described as:  I buy  I identify potential suppliers  I approve purchases  I negotiate contracts  I select suppliers. 3. Your line of business Name: Designation: Company Name: Address:

Fax:

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05 / 2010


PRODUCT INDEX Product

Pg No

AC drives .................................................. 24a Air chiller ........................................................ 51 Air pollution control equipment....................... 19 Air receiver ...................................................... 19 Aluma coat..................................................... BIC Aluminium oxide ceramic composite............... BIC Anaesthetic rotameters .................................. 105 Analytical instruments...................................... 41 Analytical solutions for aflatoxins & dioxins ..............99 Analytical solutions for RoHS ........................... 99 Automatic condensate transfer pump............. FIC B2B magazines ........................ 92, 94, 96, 98 Bag filter system ............................................ 100 Ball check valve.................................................. 3 Ball valve .....................................................3, 84 Ball valves - Teflon-lined .................................... 5 Batching system................................................. 8 Bellow seal valve............................................. FIC Bellows & dip-pipes ........................................... 5 Bend................................................................ 84 Biofuels............................................................ 37 Blowers......................................................17, 62 Boilers............................................................ 104 Burners .......................................................... 104 Bush .................................................................. 3 Butterfly valve ..............................................3, 84 Butterfly valves - Teflon-lined ............................. 5 Calibration sources .................................... 13 Caustic soda .................................................... 37 Centrifuges ...................................................... 91 Ceramic adhesive cement................................ BIC Ceramic electrical heater parts ........................ BIC Characterisation of consumer/industrial products................ 99 Check valves - Teflon-lined................................. 5 Chemical process pumps ............................... 102 Chemical pumps ............................................ 101 Chlorine & bromine-based products................. 37 Colour measuring instruments ........................... 8 Columns & chemistries..................................... 41 Computed tomography ................................... 23 Condensers ...................................................... 19 Conductivity meters ......................................... 13 Cone screw mixer ............................................ 19 Conical screw dryers .......................................... 1 Consumer products ......................................... 37 Controllers ....................................................... 13 Cooking soda................................................... 37 Cooling tower.................................................. 51 Dairy equipment ........................................ 19 Dampers .......................................................... 19 DAP ................................................................. 37 Detection & diagnosis solutions ....................... 23 Diaphragm valve ..........................................3, 84 Digital colour mark sensor ............................. 102 Digital DC stepper drives................................ 106 Digital panel meter .......................................... 49 Disc check valve .............................................. FIC Drawer magnet.............................................. 100 Drum-type magnetic separator ...................... 100 Ducts ............................................................... 63 Electronic balance ........................................ 8 End cap ........................................................... 84 Environmental safety solutions......................... 99 EPC services ................................................... 24b Exhausters........................................................ 62 Exhibition........................................................... 4 Expansion bellows ............................................. 7 Express services................................................ BC Failure analysis of components................. 99 FEP/PFA/PVDF-lined valves .................................. 3 Fertilisers.......................................................... 37 Filter cock ........................................................ 84 Finishing machines......................................... 100 Fire tube-type package IBR steam boiler .................104 Fittings ....................................................3, 7, 63 Flame arrester ................................................ 104 Flame-proof pH meter ..................................... 13 Float trap........................................................ FIC Flow indicator.................................................. 84 Flowmeters .................................................... FGF Fluoropolymer-lined valves ................................. 7 Fluoropolymer-lined valves, pipes & fittings .................104

Product

Pg No

Foot valve ........................................................ 84 Gas detectors ............................................. 20 Gaskets .............................................................. 3 Gear pumps.............................................81, 103 GMP heat exchangers ........................................ 1 GMP reactors..................................................... 1 Grinding media............................................... BIC Gypsum ........................................................... 37 Headers ...................................................... 63 Hearing instruments ........................................ 23 Heat exchangers ..................................11, 19, 31 Heat exchangers & plants ............................... 77 Heavy metals ................................................... 99 High vacuum oil-seal rotary pumps................ 102 High-intensity roller-type magnetic separator...............100 High-shear fluid processor ............................... 99 Hot air & water generator ............................. 104 HPLC................................................................ 41 HRC fuse bodies ............................................. BIC Hydraulic couplings........................................ 106 Hydrogenator/autoclaves.................................... 1 Impeller ...................................................... 84 Indicators......................................................... 13 Industrial ceramics .......................................... BIC Industrial hygiene audit ................................... 99 Industrial inkjet printers ..................................... 8 Industrial water filters .................................... 101 Informatics ...................................................... 41 Injection moulding machine ............................ 15 Inline magnetic separator .............................. 100 Instrumentation products .............................. FGF IT solutions & consulting service ...................... 23 Lab conductivity meter.............................. 13 Lab spray dryer .................................................. 8 Launders .......................................................... 63 Lined ball valves................................................. 7 Lined valves ....................................................... 7 Lined valves & pipe fittings ................................ 5 Liquid filling system ........................................... 8 Long-neck pipe end ......................................... 84 LV motors...................................................... 24a Magnet drive pumps ............................... 102 Magnetic drum pulley.................................... 100 Marine air conditioning system........................ 51 Measurement products .................................. FGF Mechanical vacuum boosters ........................... 62 Mechanical vibratory feeder ........................... 100 Metal detector .................................................. 8 Micro milling beads ........................................ BIC Moisture analyser............................................... 8 Molecular imaging system ............................... 23 Monoblock pumps.................................101, 102 Monoblock water-ring vacuum pumps ................ 97 Motorised hydraulic test pumps..................... 106 Motors........................................................... 102 Multi-desk vibrating screening machine ......... 100 Multi-fuel fired IBR steam boiler .................... 104 Non-metallic pumps................................. 101 Non-return valve ..........................................5, 84 Nuclear medicine ............................................. 23 Online check weigher .................................. 8 Over band-type magnetic separator............... 100 Pallet scale ................................................... 8 Paperless recorder............................................ 49 Patient care solutions....................................... 23 Peristaltic pumps................................................ 2 PFA-lined products............................................. 7 pH electrodes .................................................. 13 Phosphoric acid ............................................... 37 Pipes............................................................3, 63 Piping systems ................................................... 7 PLCs............................................................... 24a Plug valve .......................................................... 3 Pole ring .......................................................... 84 Pollution monitoring machines ........................ 20 Polypropylene process pumps ........................ 101 Portal................................................................. 6 Potentiometer .................................................. 13 PP chemical processing pumps ........................ 97 Pressure & flow control instruments .............. 101 Pressure measurement products .................... FGF

Product

Pg No

Process automation solution .......................... FGF Process controllers ........................................... 49 Process heat exchangers .................................... 1 Process reactors ................................................. 1 PTFE................................................................... 3 PTFE-lined products ........................................... 7 PTFE-lined valves & pipe fittings......................... 5 Pumps .............................................81, 101, 102 PVC pipe.......................................................... 15 PVDF pumps .................................................. 101 Rapid auto roll door ................................ 105 Reactors........................................................... 19 Re-crystallised alumina tubes .......................... BIC Reducer ........................................................... 84 Refurbished systems......................................... 23 Rods .................................................................. 3 Root blower systems........................................ 17 Rotameters .................................................... 105 Rotary gear pumps ..........................81, 101, 104 Rotary sliding vane pumps............................. 102 Rotary vacuum dryers ........................................ 1 Rotocone dryers................................................. 1 Rust preventives............................................... 97 Salt ............................................................. 37 Sampling valves - Teflon-lined............................ 5 Scoop .............................................................. 84 Seatless & glandless valve .............................. 100 Self-priming mud pump ................................ 101 Self-priming sewage pump ............................ 101 Sensors .......................................................... FGF Sheet ................................................................. 3 Showel ............................................................ 84 Silicone carbide heat exchangers........................ 1 Slipon flange ................................................... 84 Soda ash.......................................................... 37 Spade .............................................................. 84 Spherical paddle chopper dryers ........................ 1 Spool pipe ......................................................... 7 Spray dryer project........................................... 19 Stacks .............................................................. 63 Steam boilers................................................. 104 Strainers - Teflon-lined....................................... 5 Sulphuric acid .................................................. 37 Surgical C-arms and navigation system ............ 23 Suspension magnet ....................................... 100 Tank weighing system ................................. 8 Technical ceramic............................................ BIC Tee .................................................................. 84 Teflon-lined valves & pipe fittings ...................... 5 Temperature controller .................................... 49 Temperature measuring system...................... FGF Temperature/RH/CO2 meter ............................. 97 Thermic fluid heater....................................... 104 Thermodynamic trap....................................... FIC Transmitters ............................................. 13, FGF Trap magnet.................................................. 100 Tri-lobe roots blowers ...................................... 62 Tubes................................................................. 3 Turnkey projects ................................................ 1 Twin-lobe roots blowers .................................. 62 Ultra-deep temperature freezer ................ 51 Ultrasonic flow meter ...................................... 49 UPLC................................................................ 41 Urology systems............................................... 23 Vacuum pumps & compressors............... 105 Vacuum system ............................................... 17 Valves ............................................. 3, 7, 84, 102 Variable area flowmeters ............................... 105 Vertical glandless pumps ............................... 101 Vertical non-IBR oil-fired steam boiler ............ 104 Vibration motor ............................................. 100 Viscometer......................................................... 8 Washer........................................................ 84 Water purifier .................................................. 37 Water wall membrane panel IBR steam boiler ...............104 Water/brine/hydraulic oil/chilling plant ............. 51 Wear metal trend analysis................................ 99 Weigh bridge..................................................... 8 Weigh scales...................................................... 8 Wireless instruments ...................................... FGF X-ray inspection system............................... 8 Y-type strainer............................................ 84 Zirconia polycrystal ceramic .....................BIC

BC - Back Cover, BIC - Back Inside Cover, FIC - Front Inside Cover, FGF - Front Gate Fold May 2010 | Chemical World

111


ADVERTISERS’ LIST

Advertisers’ Name & Contact Details

Pg No

AB Diachem Systems Pvt Ltd 15 T: +91-11-25155456 E: ajayanand@bol.net.in W: www.anandbros.co ABB Limited 24A T: +91-80-22949560 E: amit.a.sharma@in.abb.com W: www.abb.co.in Acme Air Equipment Co Pvt Ltd 62 T: +91-79-25831985 E: info@airequipments.com W: www.acmeairequipments.com Alfa Laval India Ltd 31 E: india.info@alfalaval.com W: www.alfalaval.com Ani Engineers 81 T: +91-2752-241479 E: anivarya@sancharnet.in W: www.anivaryapumps.com Balkrishna Boilers Pvt Ltd 104 T: +91-79-25894701 E: info@balkrishn.com W: www.balkrishn.com Chemical Process Piping Pvt Ltd.63 T: +91-22-67230600 E: sales@cppiping.com W: www.cppiping.com Chilton Refrigeration 51 T: +91-484-2544571 E: chilton@sify.com W: www.chiltonindia.com CM Flowmeters India Pvt Ltd 105 T: +91-33-24421456 E: cmflowmeters@vsnl.net W: www.cmflowmeters.com Dev Engineers 101 T: +91-79-26403839 E: info@devpumps.com W: www.devpumps.com DHL Express (India) Pvt Ltd BC T: +91-22-66789186 E: girish.meghnani@dhl.com W: www.dhl.com Digital Instruments Corporation 13 T: +91-79-22202762 E: dic@digitalinstruments.net W: www.digitalinstruments.net Dipesh Engineering Works 1 T: +91-22-26743719 E: sales@dipeshengg.net Dip-Flon Engineering Co. 7 T: +91-79-25624003 E: dipflon@satyam.net.in W: www.dipflon.com

Advertisers’ Name & Contact Details

Pg No

Emerson Process Management (India) FGF T: +91-22-66620566 E: info@emersonprocess.com W: www.rosemount.com Everest Blowers 17 T: +91-11-45457777 E: amit@everestblowers.com W: www.everestblowers.com Hi Tech Applicator 5 T: +91-79-25833040 E: hitech@ptfeindia.com W: www.ptfeindia.com HRS Process Systems Pvt Ltd 11 T: +91-20-25663581/82 E: cthe@hrsasia.co.in W: www.hrsasia.co.in Jay Instruments & Systems Pvt Ltd 8 T: +91-22-2352620 E: sales@jayinst.com W: www.jayinst.com Jaykrishna Magnetics Pvt Ltd 100 T: +91-79-22870071 E: info@jkmagnetics.com W: www.jkmagnetics.com Jyoti Ceramic Industries Pvt Ltd BIC T: +91-253-2350120/338 E: info@jyoticeramic.com W: www.jyoticeramic.com Koelnmesse Ya Trade Fair Pvt Ltd. 4 T: +91-22-42107807 E: s.rajawat@koelnmesse-india.com W: www.aisacoatandink.com LAN Marketing Pvt Ltd 103 T: +91-22-27893645 E: jai@lanengg.com W: www.maag.com Lester & Dynamiks (India) 91 T: +91-250-2454735 E: lester_n_dynamiks@vsnl.com W: www.lesteranddynamiks.com MoneyControl.com 6 W: www.moneycontrol.com Pressure & Flow Control Industries 101 T: +91-265-2643838 E: info@preconvalves.com W: www.preconvalves.com Procon Technologies Pvt Ltd 49 T: +91-79-27492566 E: info@procon.co.in W: www.procon.co.in Raj Process Eqpts & Systems(P) Ltd 19 T: +91-20-40710010 E: rajindustries@vsnl.net W: www.rajprocessequipment.com

Advertisers’ Name & Contact Details

Pg No

Ravel Hiteks Pvt Ltd 2 T: +91-44-24961004 E: techical@ravelhiteks.com W: www.ravelhiteks.com Schmidt Bretten (I) Lvt Ltd 77 T: +91-20-24338642 E: schmidt@vsnl.net W: www.apischmidt-bretten.de Shiva Analyticals (India) Limited 99 T: +91-80-27971322 E: gupta@shivatec-india.com W: www.shivatec-india.com Shreenath Techno Plast 84 T: +91-79-22200198 E: sales@parthvalves.com W: www.parthvalves.com Siemens Ltd 23 T: +91-22-24987000 W: www.siemens.com/answers Smart Logistics 92, 94, 96, 98 T: +91-22-30034651 E: b2b@infomedia18.in W: www.eshop.infomedia18.in Sri Vishnu Pumps Mfg Co 105 T: +91-22-28458372 E: vishnupump@rediffmail.com W: www.minivacpumps.com Supremo Line & Control 3 T: +91-79-22205282 E: supremoproduct@gmail.com W: www.supremoproduct.com Taha Pumps & Valves 102 T: +91-2752-240233 E: tahapv@yahoo.co.in W: www.tahapumps.com Tata Chemicals Pvt Ltd 37 T: +91-22-66658282 E: chintan.joshi@tatachemicals.com W: www.tatachemicals.com Tecnimont Icb Pvt Ltd 24B T: +91-22-66945555 E: info@ticb.com W: www.ticb.com Thermax Ltd FIC T: +91-20-66128807 E: c&hservices@thermaxindia.com W: www.thermaxindia.com United Phosphorus Ltd 20 T: +91-22-24930681 E: singhrv@unipos.com W: www.uniphos-she.com Waters (India) Private Limited 41 T: +91-80-28371900 - 04 E: waters_india@waters.com W: www.waters.com Our consistent advertisers

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