Top Banner

Click here to load reader

Company Overview Industry Overview Manufacturing Facilities Industry Overview - Domestic The Chemical industry is one of the leading industries in India. Textile industry is the largest

Jan 14, 2020

ReportDownload

Documents

others

  • Company Overview

    Industry Overview

    Manufacturing Facilities

    Financials

  • ► Bodal Chemicals, formerly known as J K Pharma was incorporated in 1989. Company

    changed its name to BODAL CHEMICALS PRIVATE LTD. in 1994

    ► Manufacturer of over 25 varieties of Dye Intermediates and around 150 variants in

    Dyestuff which are principally used as raw materials in Textile, Leather, Paper & other

    Dye consuming industries. In the basic chemical division, around 7 variants are

    manufactured.

    ► Company was promoted by Mr. Suresh Patel, veteran in Dyes and Chemical Industry.

    Company Overview

    ► Company was promoted by Mr. Suresh Patel, veteran in Dyes and Chemical Industry.

    The company acquired Dintex Dye Chem Limited and as result of reverse merger the

    company got listed on BSE and NSE and changed its name to Bodal Chemicals

    Limited.

    ► Out of total production more than 40% is being exported to various countries (USA,

    UK, Germany, Spain, Turkey, China, Indonesia, Taiwan, Korea, Greece, Egypt,

    Portugal, Hong Kong, Italy, Bangladesh, Pakistan, etc.) and has approvals from many

    global players in the field of Chemicals & Dyestuff.

  • Presence across the globe

  • Bodal Chemical Limited

    Basic Chemicals Division

    (10%)

    Dye Intermediate Division

    (45%)

    Dyestuff Division

    (45%)

    Installed capacity 190,000 mt/year

    Installed capacity 30,000 mt/year

    Installed Capacity 17,000 mt/year

  • Production Units – Capacity MT/YEAR

    UNITS LOCATIONS Basic Chemicals 1,70,000 MT/Year

    Dye Intermediates 30,000 MT/YEAR

    Dyestuff 17,000 MT/YEAR

    UNIT I AHMEDABAD

    UNIT II AHMEDABAD _____

    UNIT III AHMEDABAD _____ _____

    UNIT IV AHMEDABAD _____ _____

    UNIT V ANKLESHWAR _____ _____

    UNIT VI PANOLI(closed) _____ _____

    UNIT VII Vadodara

    UNIT VIII Vadodara _____ _____

  • Company Overview

    Industry Overview

    Manufacturing Facilities

    Financials

  • Industry Overview - Domestic ► The Chemical industry is one of the leading industries in India. Textile industry is the

    largest consumer of dyestuffs at nearly 70 per cent.

    ► From being importers and distributors in the 1950’s, India has now emerged as a very

    strong player in dyestuffs and dyes intermediates, particularly reactive, acid, vat and

    direct dyes.

    ► The total investment in Indian Chemical Sector is approx. USD 60 billion, employment

    generated is about 1 million, accounts for 13-14% of total exports and 8-9% of total

    imports of the country.

    ► There are about 50 units in the organized sector and about 900 units in the small scale

    sector.

    ► Just like Agrochemicals, per capita consumption of dyes too is very low (400 gms) as

    compared to developed countries like USA (15 kgs).

    ► However, India is a major exporter of dyes, mostly due to restriction of production of

    some of the dyes and intermediates in the developed countries due to pollution

    emissions.

  • Industry Overview- Global

    ► India is 12th largest in the world and 3rd largest in Asia in terms of volumes.

    ► China, Korea, India, Japan and Taiwan are the major players. However in terms of

    market share, European countries have remained the largest producers because they

    have concentrated on specialty products.

    ► About 7 large players have hold over 50 % Market share. DyeStar, a joint venture

    between Hoechst AG and Bayer AG, is the largest producer of dyestuffs with a 15%

    market share, followed by BASF with 12 %, Ciba Specialty (now Huntsman) at 11%

    and Clariant AG at 7 %. About 2000 unorganized players contribute the rest.

    ► Nearly 80 per cent of the dyes is utilized by the textile industry, the balance by paints,

    printing inks, rubber & leather.

  • Production shares of major chemicals FY13 (India) ► Chemicals can be broken down into the following categories.

    (Source : Department of chemicals, GOI)

  • Industry Overview

    ► Before 1970 the Dyestuffs and Dye Intermediates Industry was present mainly in

    Europe, America and Japan.

    ► In 1975 large Italian company named ACNA was forced to closed down due to pollution

    issues.

    ► That was the turning point of the slow and gradual shift from Europe, US and Japan to

    India mainly Gujarat and Maharashtra.

    ► Availability of basic chemicals and final consumer (textile) were the main parameters

    for the shift. The government's promotion of GIDC and cheap labor added to the

    growth between 1980 and 1990.growth between 1980 and 1990.

    ► Environmental laws has been enforced in 1974 (The Water Act) and in 1977 (The

    Water CESS Act) by Central Pollution Control Board.

  • Industry Overview

    ► 1975 to 1980 : Industry started in India in Gujarat and Maharashtra.

    ► 1980 to 1990 : Industry took growth. Environmental laws were in force.

    ► 1990 to 2000 : Growth continued till 1995. In 1995-96 Gujarat High court has closed

    down many units in Gujarat because of Pollution. At that time common effluent

    treatment concept was introduced. Then growth stopped in India. This was the starting

    point for China in this Industry.

    ► 2000 to 2010 : No significant growth in India. But China grew till 2010. In India

    environment laws significantly changed in Sept 2007 where by permission for new

    capacity become very difficult and environmental issues became stringent forcapacity become very difficult and environmental issues became stringent for

    existing facilities / capacities.

    ► Since 2010 In India no capacity expansion. Environmental observance started in

    China from 2012, and this industry started facing pollution related issues very seriously

    and many units closed down.

  • Industry Overview

    (Source : A BRIEF REPORT ON CHEMICAL AND PETROCHEMICAL INDUSTRY IN INDIA

    October 2013, Corporate Catalyst India ; Planning Commission report, 2012-17)

  • Industry Overview – upcoming 10 years

  • India’s Growing Chemical Exports

    (Source : A BRIEF REPORT ON CHEMICAL AND PETROCHEMICAL INDUSTRY IN INDIA

    October 2013, Corporate Catalyst India)

  • Company Overview

    Industry Overview

    Manufacturing Facilities

    Financials

  • Basic Chemical Division

    Product Name Application

    Sulphuric Acid

    Fertilizers, alum, explosives, iron & steel industry for pickling,

    rechargeable batteries, extraction of precious metals, dyes

    intermediaries, detergents, pharma, rayon fibers, organic

    synthesis

    Oleum 23% & 65% Industrial Detergents, Dye Intermediaries, Pigments, Liq 502,

    Explosives, Soaps and Detergents

    Sulphur Trioxide Soaps and Detergents and Dye IntermediariesSulphur Trioxide Soaps and Detergents and Dye Intermediaries

    Chlorosulphonic Acid

    Sulphating, Sulphonating, Chlosulphonating, Dye

    Intermediates, Pigments, Resins, Pharmaceuticals and

    Synthetic Detergents

    Key Highlights

    • Centrally Located

    • 50% in house consumption

    • Captive Power Plant & Steam Generation

    • Economical compared to China

    • Latest upgraded production facilities

  • Dye Intermediates Division

    Key Highlights

    ► Largest manufacturer of Dye Intermediaries in India with 25 years of experience.

    ► High entry barriers due to tough process to acquire new permission and heavy capital

    expenditure (initially).

    ► Very competitive to Chinese suppliers in terms of pricing.

    ► Easy raw material availability in Gujarat.

    ► As per present Environmental laws in India, new production facilities or expansion in

    near future is possible only for current players. Bodal is the only player with effluentnear future is possible only for current players. Bodal is the only player with effluent

    disposal permission of 10 lac litres per day.

    ► Dye Intermediates products - expansions or higher supply will not be there from China.

    ► Bodal consumes 40% of Dye Intermediates In-house.

    ► Bodal is in a position to sell outside or consume in house depending upon the market

    dynamics.

  • Dyestuff Division

    Key Products Consumer Industry

    Reactive Dyes Textiles

    Acid Dyes Leather and Textiles

    Direct Dyes Paper and Textiles

    Key Highlights

    • Manufacturing 150 products

    • Large capacity for standardizing, storage and packaging & distribution• Large capacity for standardizing, storage and packaging & distribution

    • In house Ice plant with 300 MT/day capacity

    • In house ETP plant with 1 million liters / day

    • Selling under own brand name across 35 countries

    • Contract manufacturing for leading MNCs

    • Technical expertise, pre registered products in REACH for Europe, GOTS

    certification

    • Ample scope for Increasing Production with existing Infrastructure.

  • Bodal Chemicals - Strengths

    ► Most Integrated Ind