Project Report on Ratio Analysis of Hdfc Bank Ltd.

TABLE OF CONTENTS:

CONTENTS PAGE

1. Executive Summary 2

2. Introduction

a. Objectives of the study 4

b. Research Methodology 5

c. Scope of the Study 6

d. Limitations 7

3. Company Profile 8

4. Data Analysis and Interpretation 19

5. Findings 45

6. Conclusion 66

7. Reference 68

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EXECUTIVE SUMMARY

The project aims at the study of Ceramic powders and its market growth opportunities. The background talks about various factors that have led us to undertake this study and how and to whom this report will benefit .Objectives talks of types of data the research project will generate and how this data is relevant.

The ceramic industry in India has got huge opportunities but has not been much explored. The United States of America and China are the leading countries in the production of ceramic powders. Realizing the huge potential Carborundum Universal Ltd. has come up with their set of ceramic thermal plasma powders.

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INTRODUCTION

An introduction to the present applications of ceramic powders is followed by a detailed account of the different chemical and physical properties of ceramic powders, and the characteristics of such powders.

Ceramic powder industry is one with a huge scope in future. Ceramic powders can be used in almost all industries using moving metal parts. A coating of ceramic powders on metals increases life span of the metals and reduces wear and tear. It also helps to create a thermal barrier on metal parts.

CUMI is a brand name in electro minerals, abrasives and more .The company is the only one in India producing Ceramic powders. CUMI is trying to expand the niche market in India and also develop its market worldwide .

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OBJECTIVE OF THE STUDY

The main objectives of the study are the following:

To conduct a detailed study on ceramic powders, its properties and other characteristics.

To conduct a market research on Ceramic powders. To conduct a study on supply chain of the company and propose a better

one for global customer. To propose a business model for the company To conduct a study on ceramic plasma thermal spray powders and its future

scope in various fields.

RESEARCH METHODOLOGYPage | 4

RESEARCH DESIGN

The study conducted was descriptive in nature.

SOURCES OF DATA

The data obtained was both primary and secondary, was obtained from various sources like internet, company and reference books.

DATA COLLECTION TECHNIQUES

As there are only limited players globally in this field and this being a niche segment data collection was possible only through the internet and details provided by the company.

The other source of getting information regarding the product was from books on ceramic powder.

SCOPE OF THE STUDY

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The study is conducted on the topic “Ceramic Powders”. It was undertaken to analyze the awareness level market growth of ceramic powders for enhancing the business of the company by providing the company with information collected and proposing strategic steps.

The Ceramic industry is a slow growing one in India with huge opportunities in future. This is a slow growing industry because of the small manufacturing sector and the unawareness of the product and its advantages. Whereas in other countries ceramic powders have a huge market as manufacturing companies concentrate on increasing the quality of their products.

CUMI has been engaged in the production of Ceramic powders for the past 10 years and being the sole producer in India, it has not been able to capture a fare share in the Indian market.

This study tries to propose promotional strategies that would help in serving the company. Therefore such a report is deemed to have some sort of relevance to the company.

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LIMITATIONS

Time and cost were the main limiting factor in the study. Ceramic powder being a less explored product, it was impossible to get

more details about the market and other information. While research other companies and suppliers were reluctant to provide

information regarding this product which affected the effectiveness of the report.

And like any other research the limitation of personal bias of respondents limits the scope of the study.

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COMPANY PROFILE

Corporate Group:

Murugappa Group

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Headquartered in Chennai, the Rs. 15,907 crores (USD 3.14 billion) Murugappa Group is one of India's leading business conglomerates. Market leaders in diverse areas of business including Engineering, Abrasives, Finance, General Insurance, Cycles, Sugar, Farm Inputs, Fertilizers, Plantations, Bio-products and Nutraceuticals, its 29 companies have manufacturing facilities spread across 13 states in India. The organization fosters an environment of professionalism and has a workforce of over 32,000 employees. The Group has forged strong joint venture alliances with leading international companies like DBS Bank, Mitsui Sumitomo, Foskor, Cargill and Groupe Chimique Tunisien has consolidated its status as one of the fastest growing diversified business houses in India.

The business has its origins in 1900, when Dewan Bahadur A M Murugappa Chettiar established a money-lending and banking business in Burma (now Myanmar), which then spread to Malaysia, Sri Lanka, Indonesia and Vietnam. A

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century down the line, it has withstood enormous vicissitudes (including strategically moving its assets back to India and restarting from scratch in the '30s, before the Japanese invasion in World War II) to become one of the country's biggest industrial houses.

Some of the country's best-known brands like BSA and Hercules in bicycles, Parrys Spirulina and Parrys Beta Carotene in nutraceuticals, Parrys Pure in sugar, Carborundum and Ajax in abrasives, Gromor and Paramfos in fertilisers, and many more come from the Murugappa Group. Focussing on its research and development innovations, it has registered 43 international patents.

The group has grown consistently through its decisive and visionary response to changing times. Its pioneering efforts, steadfast commitment to ethical business practices and its dogged pursuit of new areas to extend its business acumen have brought in its wake several prestigious national and international awards. Social commitment has always been the cornerstone of the group's ethos and it has been at the forefront of eco-conservation, public health, and education in the communities where its companies operate. It runs several educational and health care institutions on charitable lines. Besides, the group runs a research and development centre for rural development, the Sri AMM Murugappa Chettiar Research Centre (MCRC), which has been designing simple, cost-effective technologies for local artisans.

The group is also the first business group in Asia to have been awarded the 'IMD Distinguished Family Business Award' by the internationally renowned Management Development Institute located in Lausanne, Switzerland.

Value Chain

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History of CUMI:

1954 -1963 -

Revenue Rs.19 million Incorporated as a joint venture between Carborundum Company, USA,

Universal Grinding Wheel Company, UK and The Murugappa Group, India. Acquired a coated abrasives facility from Ajax Products Pvt. Ltd. Bonded abrasives facility set up at Chennai, India Bauxite mining at Bhatia, Gujarat, India.

1964-1973

Manufacture of super refractories at Chennai, India Revenue Rs.78 million Brown aluminum oxide grains plant at Edapally, India Bauxite calcinations facility at Okha, Gujarat, India

1974-1983

Revenue Rs.337 million Acquisition of Eastern Abrasives Ltd, a coated abrasives manufacturer in

Kolkata, India Second bonded abrasives plant at Hosur, near Bangalore, India. Established MMTCL as a joint venture with Morgan group plc. for ceramic

fibres.

1984-1993

Revenue Rs.1308 million. Expansion of bonded abrasive plant at Hosur with a modern facility for

vitrified grinding wheels.

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Silicon carbide plant at Koratty and Refractories plant at Ranipet, India. Industrial ceramic plant at Hosur, India. Acquisition of 40% interest in Wendt (India) Ltd, a joint venture with Wendt

Gmbh, Germany for super abrasives.

1994-2003

Revenues Rs.3150 million. 12 MW Hydel project at Maniyar, Kerala. Second unit at Edapally for manufacture of brown aluminium oxide grains. Acquired a controlling interest in Sterling Abrasives Ltd., Ahmedabad, India. Acquired a controlling interest in Cutfast Abrasive Tools Ltd. and Cutfast

Polymers Ltd., a Chennai based abrasive manufacturer and subsequent mergers.

Established CUMI America Inc., USA and CUMI Australia Pty. Ltd. Established a 5.5 MW natural gas based thermal power plant in Nallur in

Tamilnadu, India through Southern Energy Development Cooperation Ltd. Acquired Prodorite AntiCorrosives Ltd., a leading player in anti-corrosion

engineering. Cloth processing facility at Maraimalainagar, Tamilnadu.

2004-2010

Revenue Rs.13146 million Automated thin wheel facility at Hosur and Chennai, India. Modern silicon carbide micro grit plant at Koratty. Modern polymer manufacturing facility near Chennai. Establishment of CUMI Middle East and CUMI Canada Inc. Establishment of state of the art coated abrasive plant at Sriperambudur,

Chennai. Acquisition of monolithic refractory facility in Jabalpur, India Acquisition of Volzhsky abrasive works Russia. Acquisition of technical ceramics unit at Aurangabad.

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Acquisition of 51% holdings Foskor Zirconia (Pty) Ltd. South Africa, worlds

largest manufacturer of Zirconia . World class facility for wear resistence liner tiles, Hosur. Manufacturing facility for Thin Wheels, Uttarkhand. Manufacturing facility for Power Tools at Jigani, Bangalore. Commissioning of a modern 1000 tonne vitrified bonded abrasives plant

and 2000 tonne organic bonded abrasive facility in China. Setting up of a modern facility for manufacture of anticorrosive products at

Serkaddu, India. Establishment of automated silicon carbide grit plant in Cochin SEZ.

Business Line :

Abrasives & Allied Products

An abrasives is a hard, tough and wear resistant substance for grinding and polishing operations. Manufactured through a complex and high technology process, these abrasives are used in metal removal, cutting and finishing operations in almost all industries.

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Coated Abrasives

Bonded Abrasives

Super Abrasives

Allied Products

Electro Minerals

CUMI's electrominerals products group offers sintered aluminum oxide and silicon carbide grains as the major product lines. Upon completion of the acquisition in South Africa, CUMI's product range would get enlarged to include fused zirconia as one more major product line. Apart from these, CUMI also offers fused mullite and other speciality products on a small scale.

Electrominerals are used as basic raw material in the manufacture of abrasives and refractories. They are also used for surface preparation and in tile and paint industries. They are also increasingly being used for silicon wafer slicing in solar cell manufacture, dental care and skin therapy. Silicon carbide is also used as an input in metallurgical industries.

CUMI's range of electrominerals include silicon carbide, brown aluminium oxide and white aluminium oxide. It also manufactures mullite, bubble alumina and certain other specialities in smaller quantities.

The manufacturing process is as follows: Basic inputs are fused using electric arcing. Then the resultant crude is crushed and graded. The key inputs for manufacture of electro minerals include bauxite, alumina, silica sand, raw petroleum coke and electricity.

The key success factors in this industry are cost and quality. Entry barriers are high capital investment, limited market and technology. Availability of alternatives and product differentiation are the main challenges in this business.

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The global market size for electro minerals is estimated at around USD 2.5 billion. The acquisition of Volzhsky Abrasive Works, Russia has positioned CUMI as the second largest producer of silicon carbide in the world. Apart from CUMI, the major players in this industry are Saint Gobain, Treibacher, Washington Mills, Kollo and a few Chinese manufacturers.

In India, CUMI is one of the leading players in aluminium oxide grains. Apart from CUMI, Grindwell Norton, Orient Abrasives and SNAM Abrasives are the others. Imports from China are also a major source of electro minerals for the India Market.

On a consolidated basis, captive sales to the abrasives and refractory units account for about 15 per cent of the output of this business.

The electro minerals business operates several manufacturing facilities which have been certified for process quality and environment protection.

Industrial Ceramics

The Ceramics product group offers products which harness the heat resistance/ containment, wear resistance and insulation properties of ceramics and also corrosion resistance properties of various materials. The product lines are:

Industrial ceramics

Anticorrosion products

Bio-ceramics

Super Refractories

Refractory is a material that will retain its shape and chemical identity when subjected to high temperatures and is used in applications that require extreme resistance to heat, such as furnace linings. Refractory products are basically used

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in industries for heat resistant and containment. CUMI's manufactures Super Refractories (which can be in two forms fired refractories and monolithics) and also Refractory Fibre.

Fired (or shaped) refractories are manufactured both in India and Russia. The manufacturing process, involves mixing, molding, drying and firing. The product varies with the temperature that the refractory is required to withstand which depends on the product being manufactured in the kiln. Therefore the product range is very wide each manufacturer specializes only in specific segments. CUMI's product range is up to 1850 degrees and serves the upper segment of the refractory market. CUMI caters to the sanitary ware, carbon black, iron and steel, power, HT insulators, ceramic tiles, ferrous and non ferrous industries, fertilizer, chemical processing industries and all other industries using kilns.

Monolithics are refractory material in the form of powder. They are like cement mortar and applied in in-situ applications. The manufacturing process involves batching and mixing different raw materials based on unique formulations customized to suit specific applications. This does not require any firing. Monolithics are used, when the refractory material cannot be manufactured in a shape and form due to size and larger area to be covered. Monolithics are used in cement, steel, foundries, carbon black, ferrous, non ferrous and also integrated steel plants.

CUMI is a market leader in the manufacture of super refractory products in India since 1965 with technical know-how from Carborundum Company USA. The other players in the industry are ACE Refractories, Maithan Ceramics, Vesuvius etc. The acquisition of VAW, Russia has given CUMI a foothold in the Russian market for refractories. The acquisition has also given CUMI access to advanced technology.

Murugappa Morgan Thermal Ceramics Ltd., CUMI's joint venture with the Morgan Crucible Company plc., U.K. manufactures ceramic fibre and other insulating products. Ceramic fire is an asbestos free spun or blown alumino-silicate fibre made from blends of high purity alumina and silica. A unique combination of

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physical and refractory properties makes this an outstanding material for use in high temperature applications. The major user industries are petrochemicals, steel, power and furnace building industries.The key success factors in this industry are quality and application engineering support to customers. Technology and its absorption constitute major entry barriers.Key inputs are alumina, silicon carbide, mullite, zirconia and power/fuel.

CUMI in the Past Ten Years (31st March)

Rs. million

  2009 2008 2007 2006 2005 2004 2003 2002 2001 2000

Revenue 

Sales 7151 6606 5268 4242 3565 3142 2843 2834 2857 2571

Other Income (a) 515 847 214 484 156 180 311 97 106 180

Profitability

Profit Before Interest & tax (PBIT)

1133 1541 925 1035 554 445 529 425 471 492

Profit Before Tax (PBT) 861 1372 853 1007 524 402 455 309 358 349

Profit After Tax (PAT) 597 972 587 766 384 317 366 215 232 260

PBIT / Gross Sales (%) 15.8% 23.3% 17.6 24.4 15.5 14.2 18.6 15.0 16.5 19.1

PBT / Sales (%) 12.0% 20.8% 16.2 23.7 14.7 12.8 16.0 10.9 12.5 13.6

Assets Employed

Fixed Assets (b) 3682 3218 2462 1645 1060 865 911 989 972 1013

Investments 1722 1698 897 511 478 452 502 559 373 364

Net Current Assets 2325 1867 1371 1087 935 908 901 917 892 898

Total Assets 7729 6783 4730 3243 2474 2225 2314 2465 2237 2274

Fixed Asset Turnover (times) 1.9 2.1 2.1 2.6 3.4 3.6 3.1 2.9 2.9 2.5

Return on Capital Employed (%)

14.7% 22.7% 19.5 31.9 22.4 20.0 22.9 17.2 21.1 21.6

Funds Employed

Paid up share capital 187 187 187 187 93 93 93 93 93 121

Reserves (c) 3694 3304 2522 2156 1866 1589 1403 1171 1179 1373

Networth 3881 3490 2709 2343 1959 1682 1497 1265 1272 1494

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Loan Funds 3480 3010 1815 723 406 404 658 1016 965 781

Net Deferred Tax Liability 368 283 207 177 139 139 159 185 - -

Total Funds Employed 7729 6783 4730 3243 2474 2225 2314 2465 2237 2274

Debt to Equity Ratio 0.9 0.9 0.7 0.3 0.2 0.2 0.4 0.8 0.8 0.5

Investor Parameters 

Dividend (%) 100% 100% 75 180(d) 100 125(d) 100 75 70 60

EPS ( Rs. 2 Face Value) (e) 6.4 10.4 6.3 8.2(f) 8.2 6.8 7.8 4.6 4.2 4.3

Book value (on Rs. 2 Face Value) (e) 42 37 29.0 25.1 41.9 36.2 32.2 27.2 27.2 24.6

Return on Net Worth (%) 15.4% 27.8% 21.7 32.7 19.6 18.8 24.4 17.0 18.2 17.4

Including profit / (loss) on sale of investments and profit on undertaking Excluding revaluation reserve Excluding revaluation reserve and net of miscellaneous expenditure not written off and

including share capital suspense Dividend for the year 2004 includes a special dividend of 25% and that for the year 2006

includes a special dividend of 120% EPS & Book value up to the year 2004 recomputed based on split face value of Rs. 2

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DATA ANALYSIS

&

INTERPRETATION

PRODUCTPage | 19

CERAMIC POWDERS (plasma thermal spray powders)

INTRODUCTION:

Plasma spray is the most versatile of the thermal spray process. Plasma is capable of spraying all materials that are considered spray able. In plasma spray devices, an arc is formed in between two electrodes in a plasma forming gas, which usually consists of either argon/hydrogen or argon/helium. As the plasma gas is heated by the arc, it expands and is accelerated through a shaped nozzle, creating velocities up to MACH 2. Temperatures in the arc zone approach 36,000°F (20,000°K). Temperatures in the plasma jet are still 18,000°F (10,000°K) several centimeters form the exit of the nozzle.

MATERIALS

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Nozzle designs and flexibility of powder injection schemes, along with the ability to generate very high process temperatures, enables plasma spraying to utilize a wide range of coatings. The range goes from low melting point polymers such as nylon, to very high temperature melting materials such as refractory materials including tungsten, tantalum, ceramic oxides, and other refractory materials.

INDUSTRIES

Because plasma-arc spraying is the most versatile of all the thermal spray processes it can be found in the widest range of industries. Plasma spray coatings are used commonly for applications in aerospace, automotive, medical devices, agriculture communication, etc.

Plasma Spray Applications

An example application where plasma spray coatings are commonly found is in jet engines. Jet engines literally contain hundreds of components that are plasma spray coated. A commonly used coating in jet engines is produced with yttria partially stabilized zirconia (YSZ). This coating provides high temperature protection to components that are exposed to combustion gases. The thermal protection allows the component to last longer and run at higher temperatures, which improves the system's overall performance efficiency.

Plasma Spray Process

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The plasma spray process is most commonly used in normal atmospheric conditions and referred as APS. Some plasma spraying is conducted in protective environments using vacuum chambers normally back filled with a protective gas at low pressure, this is referred as VPS or LPPS.

Plasma spraying has the advantage that it can spray very high melting point materials such as refractory metals like tungsten and ceramics like zirconia unlike combustion processes. Plasma sprayed coatings are generally much denser, stronger and cleaner than the other thermal spray processes with the exception of HVOF and detonation processes. Plasma spray coatings probably account for the widest range of thermal spray coatings and applications and makes this process the most versatile.

Zirconium oxide : Key applications are gas turbine hot section components, diesel engine piston crowns and seats.

Diesel engine pistons, valves, cylinder heads and coatings for casting molds and troughs.

Used primarily on turbine combustion liners and airfoils Thermal barrier coatings in rocket and jet engines.

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PLASMA SPRAYING GUN :

9MB Type Machine Mount Plasma GunPlasma gun that is mounted. Requires a power supply, console, heat exchanger.

9MB Type Machine Mount Plasma Gun

Uses Pros Used With

Used to spray tougher materials.

Spray hard materials. Ceramics, tungston carbide.

9MB Type Handheld Plasma GunPlasma gun that is handheld. When changing from one spray material or plasma gas to another, the switchover is fast – nozzles and electrodes are plugin/pullout assemblies.

9MB Type Handheld Plasma Gun

Uses Pros Used With

Used to spray tougher materials.

Spray hard materials. Ceramics, tungston carbide.

3MB Type Plasma Gun3MB type plasma spray gun is designed to spray high-melting point refractory point metals. With a simple change of a nozzle, it can also spray lower melting point metals. It provides dense coatings with excellent bond strength.

3MB Type Plasma Spray Gun

Uses Pros Used With

Provides dense The small and light Mainly high-melting point

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coatings with excellent bond strength.

plasma gun has no moving parts and requires no adjustments. The nozzle is one-piece causing it to be leak proof.

powders.

Types of Plasma spray powders:

Abradables and plastics Metals ,Alloys ,Composites and Blends Carbide powders Ceramic powders

CERAMIC POWDERS

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Oxide Ceramic Powders have become very important thermal spray materials because of their excellent performance of thermal insulation and resistance to high-temperature oxidation, have been doped in these powders to improve the phase structural stability and toughness of the ceramic coatings.Oxide Ceramic coatings produced by plasma spray or high velocity oxygen fuel (HVOF) spray are characterized by high hardness, high bonding strength, resistance to high-temperature oxidation, wear, corrosion and thermal shock as well as good thermal insulation properties. Ceramic Powder has lower heat conductivity and greater thermal shock resistance properties than Alumina, and is, therefore, used mainly for thermal barrier coating.

Ceramic Powder Synonyms:

Ceramic powder, nanoceramic powder, ceramic particles, polishing, lapping, grinding, dispersion, surface treatment, polishing beads, lapping beads, sintered, ceramic beads, oxide powder, carbide powder, boride powder, nitride powder, composite powder.

Some Types Of Ceramic Powder/ Plasma Powder :

Aluminium oxide Chrome oxide Titanium oxide Zirconium oxide Yttrium oxide

Ceramic Powder’s Industrial Applicability:

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The ceramic powder according to the present invention can be applied to a semiconductor-sealing material used in, for instance,

automobiles, portable telephones, personal computers and domestic appliances; multilayer plates on which semiconductors are mounted, further fillers such as putty, sealing agents, various kinds of rubber materials, various kinds of engineering plastics.

In addition, the ceramic powder according to the present invention can likewise be used as, for instance, prepregs for use in, for instance, printed boards produced by impregnating glass woven fabrics, glass nonwoven fabrics and other organic base materials with the ceramic powder of the invention as well as various kinds of engineering plastics, in addition to the foregoing semiconductor-sealing material.

Grinding chamber with Al2O3 coating.

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Ceramic powders used in diesel engine liners, cylinders.

Airplane turbines coated with ceramic powders.

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DETAILS OF CERAMIC POWDERS:

Zirconium Oxide:

Zirconia based ceramics are used in heat insulation applications as thermal barriers to improve efficiency and service life of components in high temperature service. These materials are generally plasma sprayed over an appropriate bond coat. Stabilizers such as magnesia, ceria, calcia and yttria are alloyed with the zirconia to help minimize phase transformation that can cause volume changes within the coating, which can lead to coating spallation and cracking during service. Key applications are gas turbine hot section components, diesel engine piston crowns and seats.

Chemistry: ZrO2 5CaO 0.5Al2O3 0.4SiO2 1.1 other oxidesParticle Size: -90 +30 μm (-170 mesh +30 μm)Morphology: Angular / Blocky, Fused and CrushedSpecifications: Canada Pratt Whitney CPW 212 MTU MTS 1067Pratt Whitney PWA 1312 SNECMA DMR 33.089 (Special Order as Metco 201B-NS-U. S. Military Naval OS10604Recommended for combustion applications. Abrasive wear resistant up to approx. 900ºC (1650ºF). Coatings resist wetting and corrosive effects of molten metal. Applications: diesel engine pistons, valves, cylinder heads and coatings for casting molds and troughs.

Chemistry: ZrO2 5CaO 0.5Al2O3 0.4SiO2 1.1 other oxidesParticle Size: -53 +11 μm (-270 mesh +11 μm)Morphology: Angular / Blocky, Fused and Crushed Specifications: Honeywell Allied Signal FP 5045 XIV, Table 1Rolls-Royce MSRR 9507/18 Rolls-Royce Allison EMS 56720Volvo PM 819-26

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Recommended for combustion applications. Abrasive wear resistant up to approx. 900ºC (1650ºF). Coatings resist wetting and corrosive effects of molten metal. Applications: diesel engine pistons, valves, cylinder heads and coatings for casting molds and troughs.

Chemistry: ZrO2 24MgOParticle Size: -53 +11 μm (-270 mesh +11 μm)Morphology: Angular / Blocky, Fused and CrushedRecommended for combustion applications. Abrasive wear resistant up to approx. 900ºC (1650ºF). Coatings resist wetting and corrosive effects of molten metal. Applications: diesel engine pistons, valves, cylinder heads and coatings for casting molds and troughs.

Chemistry: ZrO2 24MgOParticle Size: -90 +11 μm (-170 mesh +11 μm)Morphology: Spheroidal, HOSP™Specifications: Jet Avion JA 1346 Pratt Whitney PWA 1333Rolls-Royce MSRR 9507/21Recommended for combustion applications. Abrasive wear resistant up to approx. 900ºC (1650ºF). Coatings resist wetting and corrosive effects of molten metal. Applications: diesel engine pistons, valves, cylinder heads and coatings for casting moldsand troughs.

Chemistry: ZrO2 25CeO2 2.5Y2O3Particle Size: -90 +16 μm (-170 mesh +16 μm)Morphology: Spheroidal, HOSP™Ideally suited for severe thermal barrier applications and offers greater high temperature corrosion resistance against sodium, sulfur and chlorine contaminants compared to 8% yttria zirconia coatings.

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Chemistry: ZrO2 18TiO2 10Y2O3

Particle Size: -75 +5 μm (-200 mesh +5 μm) Morphology: Spheroidal, Spray DriedCoatings exhibit excellent scuff resistance, high temperature hardness, excellent thermal shock properties and resistance to sulfidation, chlorinization and sodium hot corrosion.

Chemistry: ZrO2 8Y2O3Particle Size: -75 +45 μm (-200 +325 mesh)Morphology: Spheroidal, HOSP™Specifications: GE A50TF204, Class B Honeywell Allied Signal 91547-EMS 52564, App. ALight Helicopter LHM 3314, Type 1 Rolls-Royce MSRR 9507/46Rolls-Royce Allison EMS 56722 Rolls-Royce Allison EPS 10479SNECMA DMR 33.098 Volvo PM 819-55Williams WIMS 652Powders are spheroidal with excellent flowability, chemical homogeneity, structural stability and high purity. Coatings have excellent thermal shock and insulating features. Primarily used as a thermal barrier coating for turbine combustion liners and airfoils.

Chemistry: ZrO2 8Y2O3Particle Size: -125 +45 μmMorphology: Spheroidal, HOSP™Specifications: GE A50A558, Class C GE A50TF278, Class APowders are spheroidal with excellent flowability, chemical homogeneity, structural stability and high purity. Coatings have excellent thermal shock and insulating features. Used primarily on turbine combustion liners and airfoils.

Chemistry: ZrO2 8Y2O3

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Particle Size: -125 +11 μm (-120 mesh +11 μm)Morphology: Spheroidal, HOSP™Specifications: GE A50TF278, Class B (sized to drawing 10042376)Honeywell Allied Signal EMS 57750 Type I, Class 1Honeywell M3966, Type II Honeywell M3978Pratt Whitney PWA 1375 U. S. Military Kelly AFB 97P1271Volvo PM 819-20Very high purity product. Powders are spheroidal with excellent flowability, chemical homogeneity, structural stability. Coating shave excellent thermal shock and insulating features. Used primarily on turbine combustion liners and airfoils.

Chemistry: ZrO2 8Y2O3Particle Size: -125 +11 μm (-120 mesh +11 μm) Morphology: Spheroidal, HOSPSpecifications: GE A50TF278-50-S-4, Class B Honeywell Allied Signal EMS 57750, Type I, Class 1Pratt Whitney PWA 1375 Siemens/Westinghouse 83336AB Sec. 5.3.1Turbine Airfoil Coating and Repair MS101.1Similar to Metco204NS, with good, rather than exceptional purity. Spheroidal with excellent flowability, chemical homogeneity, structural stability. Coatings have excellent thermal shock and insulating features. Used primarily on turbine combustion linersand airfoils.

Chemistry: ZrO2 8Y2O3Particle Size: -106 + 11 μm (-140 mesh + 11 μm)Morphology: Spheroidal, HOSPSpecifications: Alstom HTCT 650564 (exception to 125μ requirement allowed)GE A50A557 GE A50TF278, Class CHoneywell M3978

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Powders are spheroidal with excellent flowability, chemical homogeneity, structural stability and high purity. Coatings have excellent thermal shock and insulating features. Used primarily on turbine combustion liners and airfoils.

Chemistry: ZrO2 8Y2O3Particle Size: -106 + 16 μm (-140 mesh + 16 μm)Morphology: Spheroidal, HOSPSpecifications: Alstom HMHD 658042 Alstom HMHD 658043Powder with reduced fines. Powder particles are spheroidal with excellent flowability, chemical homogeneity, structural stabilityand high purity. Coatings have excellent thermal shock and insulating features. Used primarily on turbine combustion linersand airfoils.

Chemistry: ZrO2 8Y2O3Particle Size: -45 +11 μm (-325 mesh +11 μm)Morphology: Angular / Blocky, Fused and CrushedAMDRY 6643 is a stabilized Yttria Zirconia. The Zirconia is not flame stabilized. Coatings can be used at temperatures up to approximately 1350 °C (2460 °F), depending on operating conditions.

Chemistry: ZrO2 20Y2O3Particle Size: -106 +16 μm (-140 mesh +16 μm)Morphology: Spheroidal, Spray Dried

A flame stabilized yttria zirconia, designed to produce coatings that are stable at high temperatures. Recommended for resistance to erosion at temperatures above 845ºC (1550ºF). Applications: thermal barrier coatings in rocket and jet engines.

Aluminum oxide:

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Alumina is a wear resistant metal oxide ceramic that is chemically inert and stable at high temperatures. Key functions are for abrasive, sliding and erosive wear in applications where impact is not an issue. Typically applied by plasma spraying, this material has been used in many applications. Medium to coarse grades can be used as a cutting medium such as knife edge seals in turbine applications. High purity grades (white alumina) exhibit excellent dielectric characteristics. Blends with small to moderate amounts of titanium oxide increase overall coating toughness.

Chemistry: Al2O3 99.5+Particle Size: -31 +3.9 μmMorphology: Angular / Blocky, Fused and CrushedHas the highest dielectric strength of all aluminum oxide coatings. Excellent refractory properties.

Chemistry: Al2O3 99.5+Particle Size: -45 +5 μm (-325 mesh +5 μm)Morphology: Angular / Blocky, Fused and CrushedCoatings provide good resistance against abrasion, sliding wear, friction and oxidation at service temperatures up to approximately 800 °C (1470 °F) and exhibit high dielectric strength, suitable for electrical insulation. Should not be used where impact or shock loading occurs.

Chemistry: Al2O3 98+Particle Size: -45 +15 μm (-325 mesh +15 μm)Morphology: Angular / Blocky, Fused and CrushedSpecifications: Canada Pratt Whitney CPW 210 Pratt Whitney PWA 1310Rolls-Royce MSRR 9507/9 Rolls-Royce Allison EMS 56758SNECMA DMR 33.080 Williams CWIMS 765Dense coatings which resist wear by fibers and threads and also resist erosion in high temperatures ranging from 840 - 1650ºC (1550 - 3000ºF).

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Chemistry: Al2O3 3TiO2Particle Size: -22 +5 μmMorphology: Angular / Blocky, Fused and CrushedSpecifications: GE A50TF87, Class C Volvo PM 819-00Good resistance to abrasive wear, sliding wear, friction and oxidation up to approx. 1100ºC (2040ºF). Coatings are particularly suitable for applications in the textile or synthetic fiber manufacturing industries, where surface resistance is required on partsused for the guiding and handling of thread. Can be used in many environments including most acids and alkalis.

Chemistry: Al2O3 3TiO2Particle Size: -22 +5 μmMorphology: Angular / Blocky, Fused and CrushedCoatings provide resistance to abrasive wear, sliding wear and oxidation for service temperatures up to approximately 1100 ºC(2040 ºF). Can be used in acidic or alkaline environments. Recommended for guiding or handling of thread in textile andsynthetic fiber production.

Chemistry: Al2O3 3TiO2Particle Size: -38 +16 μm (-400 mesh +16 μm)Morphology: Angular / Blocky, Fused and CrushedCoatings provide resistance to abrasive wear, sliding wear and oxidation for service temperatures up to approximately 1100 ºC(2040 ºF). Can be used in acidic or alkaline environments. Recommended for guiding or handling of thread in textile and synthetic fiber production. Formerly provided as PEM 10-231.

Chemistry: Al2O3 3TiO2Particle Size: -45 +11 μm (-325 mesh +11 μm)Morphology: Angular / Blocky, Fused and CrushedSpecifications: Boeing BMS 10-67, Type III GE A50TF87

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MTU MTS 1059 Rolls-Royce MSRR 9507/36SNECMA DMR 33.020 Volvo PM 819-11

Chemistry: Al2O3 3TiO2Particle Size: -45 +5 μm (-325 mesh +5 μm)Morphology: Angular / Blocky, Fused and CrushedCoatings provide resistance to abrasive wear, sliding wear and oxidation for service temperatures up to approximately 1100 ºC (2040 ºF). Can be used in acidic or alkaline environments. Recommended for guiding or handling of thread in textile and synthetic fiber production.

Chemistry: Al2O3 3TiO2Particle Size: -75 +30 μm (-200 mesh +30 μm)Morphology: Angular / Blocky, Fused and CrushedSpecifications: Canada Pratt Whitney CPW 281 CFM International CP 6009GE A50A565 GE A50TF87, Class BMTU MTS 1061 Pratt Whitney PWA 1311-1Rolls-Royce MSRR 9507/50 SNECMA DMR 33.013Volvo PM 819-12 Williams WIMS 650Good resistance to abrasive wear, sliding wear, friction and oxidation up to approx. 1100ºC (2040ºF). Coatings are particularly suitable for applications in the textile or synthetic fiber manufacturing industries, where surface resistance is required on parts used for the guiding and handling of thread. Can be used in many environments including most acids and alkalis.

Chemistry: Al2O3 3TiO2Particle Size: -90 +5 μm (-170 mesh +5 μm)Morphology: Angular / Blocky, Fused and CrushedCoatings provide resistance to abrasive wear, sliding wear and oxidation for service temperatures up to approximately 1100 ºC(2040 ºF). Can be used in acidic or alkaline environments. Recommended for guiding or handling of thread in textile and synthetic fiber production.

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Chemistry: Al2O3 3TiO2Particle Size: -90 +5 μm (-170 mesh +5 μm)Morphology: Angular / Blocky, Fused and CrushedCoatings provide resistance to abrasive wear, sliding wear and oxidation for service temperatures up to approximately 1100 ºC(2040 ºF). Can be used in acidic or alkaline environments. Recommended for guiding or handling of thread in textile andsynthetic fiber production.

Chemistry: Al2O3 13TiO2Particle Size: -22 +5 μmMorphology: Angular/Blocky, Fused and CrushedProduces dense coatings with a smooth as-sprayed surface finish. Good abrasive wear resistance with fair resistance tochemical attack. Recommended for hydraulic parts, plungers, shaft sleeves, mechanical seals or textile machine parts.

Chemistry: Al2O3 13TiO2Particle Size: -30 +5 μm (-400 mesh +5 μm)Morphology: Angular / Blocky, Fused and CrushedRecommended for abrasive wear, sliding wear and oxidation resistance for service temperatures up to approximately 1100 ºC(2040 ºF). Coating applications include thread production in textile and synthetic fiber manufacturing. Can be used in acidic and alkaline environments. Somewhat lower hardness and corrosion resistance than coatings of Al2O3 3TiO2.

Chemistry: Al2O3 13TiO2Particle Size: -45 +22 μm (-325 mesh +22 μm)Morphology: Angular / Blocky, Fused and CrushedRecommended for abrasive wear, sliding wear and oxidation resistance for service temperatures up to approximately 1100 ºC(2040 ºF). Coating applications include thread production in textile and synthetic fiber manufacturing. Can be used in

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acidic and alkaline environments. Somewhat lower hardness and corrosion resistance than coatings of Al2O3 3TiO2.

Chemistry: Al2O3 40TiO2Particle Size: -45 +5 μm (-325 mesh +5 μmMorphology: Spheroidal, Spray DriedGood abrasive wear resistance and erosion resistance below 550ºC (1020ºF). Lower wear resistance; better grindability than coatings containing less titania. Polished coatings are used in chemical industry because of their low degree of wetability fordilute solutions of common acids. Used for thread guides to resist abrasive fibers.

Chemistry: Al2O3 40TiO2Particle Size: -45 +22 μm (-325 mesh +22 μm)Morphology: Angular/blocky, Fused and CrushedProduces coatings with good friction characteristics that are appropriate for hard, bearing surfaces. Hardness of coatings permits good grindability. Ground and polished coatings have low degree of wettability and may be used to resist dilute solutions of common acids. Applications include pump components, shaft sleeves, mechanical seals, thread guides and textile machinery components.

Chrome Oxide:

Chromium oxide is the most chemically inert and wear resistant of all the oxides, and can be used at service temperatures below 540 °C (1000 °F). Applications such as in the laser engraved printing rolls, pump seals and textile manufacturing components are typical. Excellent coatings are achieved using by the plasma

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process. Additions of titanium oxide and silicon dioxide results in improved cohesive strength, better toughness and abrasive wear resistance. These coatings exhibit higher thermal conductivity than zirconia based ceramics but higher micro and macro hardness and wear resistance.

Chemistry: Cr2O3Particle Size: -15 +5 μmMorphology: Blocky, Chemically SmoothedDense, corrosion resistant coatings used on pump seal areas, grounds, rolls and wear rings. Recommended for resistance towear by abrasive grains, hard surfaces, particle erosion and cavitation. Coatings are insoluble in acids, alkalis and alcohol. Applications include anilox rolls, pump seal lands and seats, ground rolls subject to sliding and abrasive wear and wear rings.

Chemistry: Cr2O3Particle Size: -106 +11 μm (-140 mesh +11 μm)Morphology: Angular / Blocky, Sintered and CrushedSpecifications: Pratt Whitney PWA 1325 Rolls-Royce MSRR 9507/53Dense, corrosion resistant coatings used on pump seal areas, grounds, rolls and wear rings. Recommended for resistance to wear by abrasive grains, hard surfaces, particle erosion and cavitation. Coatings are insoluble in acids, alkalis and alcohol.

Chemistry: Cr2O3 2TiO2Particle Size: -125 +11 μmMorphology: Angular / Blocky, Fused and CrushedProduces dense, corrosion resistant coatings with higher toughness than pure chrome oxide materials. Used on pump seal areas, grounds, rolls and wear rings. Recommended for resistance to wear by abrasive grains, hard surfaces, particle erosion and cavitation. Coatings are insoluble in acids, alkalis and alcohol.

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Chemistry: Cr2O3 5SiO2 3TiO2

Particle Size: -45 +5 μm (-325 mesh +5 μm)Morphology: Angular / Blocky, Fused and Crushed Coatings exhibit high wear and corrosion resistance, and are tough with high resistance to mechanical shock compared to other ceramics. Good friction characteristics.

Titanium Oxide :

Titanium oxide and its alloys produce coatings that are generally tougher, but with lower hardness, than coatings of alumina. Applications for titanium oxide based coatings are sliding wear resistance where lubricity is needed. Coatings should not be used at services temperatures that exceed 540 °C (1000 °F) to avoid potential cracking as a result of phase transformation. Higher concentrations of chromium oxide or alumina will increase the wear resistance of titanium oxide. Air plasma spray produces higher quality, denser coatings that can be ground to smoother finishes than those produced using combustion powder spray.

Chemistry: TiO2 99%Particle Size: -88 +7.8 μm (-170 mesh + 7.8 μm)Morphology: Angular / Blocky, Fused and CrushedModerate abrasive wear resistance. Lower hardness than alumina / titania coatings. Soluble in alkalis and sulphuric acid, but resistant to attack in many other environments. Slightly conductive; static electricity does not build up on the coating surface.

Chemistry: TiO2 99%Particle Size: -45 +5 μm (-325 mesh +5 μm)Morphology: Angular / Blocky, Fused and Crushed

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Moderate abrasive wear resistance. Lower hardness than alumina / titania coatings. Soluble in alkalis and sulphuric acid, but resistant to attack in many other environments. Slightly conductive; static electricity does not build up on the coating surface.

Chemistry: TiO2 99%Particle Size: -106 +38 μm (-140 +400 mesh)Morphology: Angular / Blocky, Fused and CrushedModerate abrasive wear resistance. Lower hardness than alumina / titania coatings. Soluble in alkalis and sulphuric acid, but resistant to attack in many other environments. Slightly conductive; static electricity does not build up on the coating surface.

Chemistry: TiO2 45Cr2O3Particle Size: -125 +7.8 μm (-120 mesh + 7.8 μm)Morphology: Blend Produces hard coatings with excellent resistance to abrasion, wear, heat and corrosion. Applications: dry cell battery core mandrels and drum doctor blades.

Alumina:

Alumina Formula: Al2O3

Alumina (Al2O3) Typical Physical Properties Available:

Sintered pieces, targets, tumbling media, colloidal dispersion, and numerous powder granulations as small as nanoparticles

Alumina (Al2O3) Typical Applications:

a) Refractories, abrasives, cement, slag adjusters, traditional & advanced ceramics (lamp components, mechanical and pump seals, nozzles, semiconductor equipment components, nuclear insulation, magnetic

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recording media, IC packages, & tool bits), aluminum chemicals, flame retardants, fillers, welding fluxes, adsorbents, adhesives, coatings, and detergent zeolites.

b) Alumina is an excellent thermal and electrical insulator. Additionally, it is extremely resistant to wear and corrosion.

c) Ceramic injection molding.

Aluminium Titanate:

Aluminum Titanate Powder Description:

1) Made by reacting QAl2O3 and TiO2 for 12 hours at 1300 deg. C.

2) Aluminum titanate is a ceramic material consisting of a mixture of alumina (Al2O3) and titania (TiO2) forming solid solution with stoichiometric proportion of the components: Al2O3*TiO2 or Al2TiO5.

3) The distinctive property of Aluminum Titanate ceramics is their high thermal shock resistance, which is a result of very low coefficient of thermal expansion.

Aluminum Titanate Powder Typical Physical Properties Available:

1) Granulations from 150 microns and finer

2) Nanoparticles

Aluminum Titanate Powder Typical Physical Constants:

Molecular Weight (g/mol.): 181.8281

Color :white to brownish

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Stable From (deg. C): 1260 to 1865

Aluminum Titanate Powder Typical Applications:

Engineered ceramic parts for automobiles, (catalytic converters, and diesel engine components)

Aluminum Titanium Oxide

Aluminum Titanium Oxide Description:

A highly reactive powder with low thermal expansion, low thermal conductivity, and high thermal shock resistance

Aluminum Titanium Oxide Typical Chemical Properties Available:

Typical Chemistry: Al2O3= 53%, TiO2= 41%, and MgO= 3%. Purities available from 99% (industrial grade) to a typical 99.5% to a 99.99% (high purity grade)

Aluminum Titanium Oxide Typical Physical Properties Available:

Sintered pieces, targets, granules, and minus 100 mesh powder

Aluminum Titanium Oxide Nominal Physical Constants:

Molecular Weight: 181.86

Stable (°C):1260- 1865

Specific Surface Area (m2/g): 2.3

Refractive Index: 1.7

Aluminum Titanium Oxide Typical Applications:

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Non-ferrous metallurgy, crucibles, nozzles, tubes, thermocouples, portliner in autos, master moulds in the glass industry, plasma and flame spraying, coatings (thermal, corrosion and wear protection).

Market Opportunities

The electrical, thermal, mechanical and chemical properties of plasma sprayed ceramic coatings enable them to reduce part costs, increase product performance and lifetimes, and lower maintenance cycle times in a number of applications.

In the electronics industry, ceramic oxides are used to manufacture resistors, capacitors, hybrid circuits and sensors. Their low value for electrical conductivity and high dielectric strength make them popular for applications requiring electrical insulation.

In the semiconductor industry, various types of discrete packages are used to make electrical contact, dissipate heat and protect the semiconductor device. The thermal conductivity of the insulating materials is important for a high power device. Thermal dissipation is also crucial for the electrical efficiency and life of the package, with the thermal dissipation being directly proportional to the thickness of the material. In these applications, a dielectric coating can be plasma sprayed to a thickness that is unobtainable with traditional tape cast and dry pressed ceramics. Replacing the ceramic substrate with a plasma sprayed dielectric coating can provide a more cost-effective, less labor-intensive package with fewer pieces and less material handling.

Plasma sprayed ceramic oxides are also used in a broad range of semiconductor processing and equipment applications, where they enhance surface properties and serve as target materials, dielectric coatings, and chemical-, thermal- and erosion-resistant linings on products such as semiconductor sputtering targets, shield kits and a host of other components.

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In physical vapor deposition (PVD) applications, the coatings are used to reduce particle generation in process chambers during thin film deposition. The coatings provide a highly textured surface that increases the mechanical bond between the coating surface and the depositing thin film, and leads to an increase in the process chamber lifetime, and extended chamber service time.

Over the past several years, wafer manufacturers (often called “fabs”) have achieved tremendous cost savings with thermal-sprayed coatings. Their success has sparked an interest in expanding the use of the coatings in several other areas, including the manufacture of electrostatic chucks (ESCs), where the coatings’ dielectric constant, electrical resistivity and dielectric strength can be beneficial. The coatings are used on the lower electrode that controls the charge separation between the wafer and chuck. The dielectric constant is high enough that the applied voltage required to sustain the needed clamping pressure does not result in dielectric breakdown. ESCs used for etching, implantation, PVD and chemical vapor deposition (CVD) are candidates.

Interest in plasma spraying will undoubtedly continue to grow as an increasing number of applications experience success with this new technology.

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FINDINGS

Ceramic powder shipment % in world -2003 data

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SOME OTHER APPLICATIONS OF CERAMIC POWDERS IN DETAIL :

Component Coating Material Used

Thickness of Coating

Applications

Corona Rollers Alumina Oxide 1000 microns Heat, Wear & Die Electric Insulation

for corona treaters.

Cylindrical Rod Alumna - Titania 250 microns Pump Abrasive Medium In Ready Mix Concrete Trucks

Fiber Passing Roller

Alumna Titania Oxide

250 microns

Smooth hard surface, improved

frictional coefficient for yarn fiber sliding.

Plate Cylinder / Impression Cylinder

Alumina - Titania / Chromium Carbide

150 microns Printing Industry

250 microns

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Pump Plunger Alumina - Titania

Sliding wear resistance in

corrosive media

Reciprocating Spindle

Alumina – Titania

200 microns

Sliding Wear & Corrosion

resistance in granite

industry.

Screw Shaft Alumina - Titania

250 microns To convey high viscous

fluid in Petro-chemical

Industries

Rieter Godet Roller

Alumina Titania 250 microns Fibre Sliding Wear

Resistance

Wire Passing Pulley

Alumina

300 microns

Wire Guides In Wire

Drawing Industry

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SUPPLY CHAIN AND LOGISTICS:

The company at present has 12 customers in the country and is producing Ceramic powders of about 4-5 tonnes annually.

Packing of ceramic powders are usually done in about 25kg packs or as specified by the customer .

Before the company used to pack in specially designed model as for easy usage in Ceramic spray guns .

Transportation is usually done by large trucks through road .

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Business model :

Business type :

Ceramic powers

A fine powder synthesized from various natural gases and solids through reactant processes. Used as a strengthening agent in both armor plating and shield generators, as well as constituting an important part of many other composite materials.

Competitors:

Sulzer Metco inc H.C. Starck, Inc. - West Chester, OH Drache USA, Inc. - Gibsonville, NC CERAC INC. - Milwaukee, WI Alfa Chemical Corp. - Kings Point, NY

Current details :

Production of ceramic of about 4 tones Supplies only in India Packing according to customer needs.

Business Proposal :

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Get into business tie-ups with some of the major producers and suppliers of

plasma spray powders and ceramic powders, thus develop a better distribution channel worldwide. As , CUMI has its units worldwide it would be easier to develop a better distribution channel and supply ceramic powders to the leading ceramic powder manufacturers of the world at a competitive price than other companies and thus acquiring more sales .

Get into business tie-ups with some of the leading suppliers and manufacturers of plasma spray machines such as plasma spray guns and thereby opening new channels of sale and indirectly obtaining new customers and increasing the sales .

Get into business focusing on the major applicants of ceramic powders like diesel engine manufacturers, turbine engine manufacturers, textile industry equipment manufacturers, paper industry equipment manufacturers ,and develop a proper marketing strategy so that the companies are aware of the advantages of the ceramic powders and their applications. For this CUMI must attain all the necessary approvals and certifications so as to gain the trust of the companies.

Major Plasma spray equipment manufacturers:

Nantong Zhenhuan Trade Co., Ltd. Plasma powders and systems incorporated . Sulzer metco Inc Metalizing Equipment Company (MEC) Pvt. Ltd. MSSA interweld Co Thermal Spray Depot Pars Plasma Coating TMS metalizing systems ltd Bolt’s metalizing Inc

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Major Plasma spray powder manufacturers :

MarkeTech International - Port Townsend, WA All-Chemie, Ltd. - Mount Pleasant, SC H.C. Starck, Inc. - West Chester, OH Drache USA, Inc. - Gibsonville, NC CERAC INC. - Milwaukee, WI Alfa Chemical Corp. - Kings Point, NY Surepure Chemetals, Inc. - Florham Park, NJ Sulzer metco inc Zibo Tiancheng Glaze Co.ltd

Global presence of CUMI:

Canada USA Brazil Argentina Norway UK Netherlands Belgium France Spain Germany Switzerland Poland Austria Italy Romania Greece Turkey

Egypt Nigeria Kenya South Africa UAE Russia China Bangladesh India Sri Lanka Malaysia Singapore Japan South Korea Taiwan Australia New Zealand

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INDUSTRY CHOOSEN : DIESEL ENGINE MANUFACTURING INDUSTRY

DIESEL ENGINE :

A diesel engine (also known as a compression-ignition engine) is an internal combustion engine that uses the heat of compression to initiate ignition to burn the fuel, which is injected into the combustion chamber. This is in contrast to spark-ignition engines such as a petrol engine (gasoline engine) or gas engine (using a gaseous fuel as opposed to gasoline), which uses a spark plug to ignite an air-fuel mixture. The engine was developed by Rudolf Diesel in 1893.The diesel engine has the highest thermal efficiency of any regular internal or external combustion engine due to its very high compression ratio. Low-speed Diesel engines (as used in ships and other applications where overall engine weight is relatively unimportant) often have a thermal efficiency which exceeds 50 percent.Diesel engines are manufactured in two stroke and four stroke versions. They were originally used as a more efficient replacement for stationary steam engines. Since the 1910s they have been used in submarines and ships. Use in locomotives, large trucks and electric generating plants followed later. In the 1930s, they slowly began to be used in a few automobiles. Since the 1970s, the use of diesel engines in larger on-road and off-road vehicles in the USA increased. As of 2007, about 50 percent of all new car sales in Europe are diesel.Diesel Engines also known as (also known as compression-ignition engines) is an internal combustion engine that uses the heat of compression to initiate ignition to burn the fuel, which is injected into the combustion chamber. This is in contrast to spark-ignition engines such as a petrol engine (gasoline engine) or gas engine (using a gaseous fuel as opposed to gasoline), which uses a spark plug to ignite an air-fuel mixture. The engine was developed by Rudolf Diesel in 1893.

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The diesel engine has the highest thermal efficiency of any regular internal or external combustion engine due to its very high compression ratio. Low-speed Diesel engines (as used in ships and other applications where overall engine weight is relatively unimportant) often have a thermal efficiency which exceeds 50 percent. Diesel engines are manufactured in two stroke and four stroke versions. They were originally used as a more efficient replacement for stationary steam engines. Since the 1910s they have been used in submarines and ships. Use in locomotives, large trucks and electric generating plants followed later. In the 1930s, they slowly began to be used in a few automobiles. Since the 1970s, the use of diesel engines in larger on-road and off-road vehicles in the USA increased. As of 2007, about 50 percent of all new car sales in Europe are diesel.The world's largest diesel engine is currently a Wärtsilä Sulzer RT96-C Common Rail marine diesel of about 108,920 hp (81,220 kW) @ 102 rpm output.

Diesel Engine Manufactures:Machines In China there are about 99396 suppliers of machines driven by diesel engines whereas India has 1038 suppliers. Following them is Germany with 77, Australia with 84, Thailand with 69, Turkey with 194, Pakistan with 37 and Belgium with 91.

Transportation:

Category:

Truck Engine (1636)

Motorcycles (6523)

Boat Engine (1394)

Aircraft (1)

Dump Truck (12058)

ATV (9086)

Tractor Truck (6399)

Cargo Truck (3689)

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Tanker Truck (3501)

Garbage Truck (1931)

Watering Cart (1796)

Other Trucks (1593)

Supplier Location:

China (Mainland) (54535)

India (81)

Germany (17)

Australia (25)

Thailand (132)

Turkey (64)

Pakistan (23)

Belgium (14)

Major advantages

Diesel engines have several advantages over other internal combustion engines:

They burn less fuel than a petrol engine performing the same work, due to the engine's higher temperature of combustion and greater expansion ratio. Gasoline engines are typically 30 percent efficient while diesel engines can convert over 45 percent of the fuel energy into mechanical energy.

They have no high-tension electrical ignition system to attend to, resulting in high reliability and easy adaptation to damp environments. The absence of coils, spark plug wires, etc., also eliminates a source of radio frequency emissions which can interfere with navigation and communication equipment, which is especially important in marine and aircraft applications.

They can deliver much more of their rated power on a continuous basis than a petrol engine.

The life of a diesel engine is generally about twice as long as that of a petrol engine due to the increased strength of parts used. Diesel fuel has better lubrication properties than petrol as well.

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Diesel fuel is considered safer than petrol in many applications. Although diesel fuel will burn in open air using a wick, it will not explode and does not release a large amount of flammable vapor. The low vapor pressure of diesel is especially advantageous in marine applications, where the accumulation of explosive fuel-air mixtures is a particular hazard. For the same reason, diesel engines are immune to vapor lock.

For any given partial load the fuel efficiency (mass burned per energy produced) of a diesel engine remains nearly constant, as opposed to petrol and turbine engines which use proportionally more fuel with partial power outputs.

They generate less waste heat in cooling and exhaust. Diesel engines can accept super- or turbo-charging pressure without any

natural limit, constrained only by the strength of engine components. This is unlike petrol engines, which inevitably suffer detonation at higher pressure.

The carbon monoxide content of the exhaust is minimal, therefore diesel engines are used in underground mines.

Biodiesel is an easily synthesized, non-petroleum-based fuel (through transesterification) which can run directly in many diesel engines, while gasoline engines either need adaptation to run synthetic fuels or else use them as an additive to gasoline (e.g., ethanol added to gasohol).

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Global demand to grow 3% annually through 2012

World diesel engine demand is forecast to expand over three percent per year through 2012 to about $160 billion. This represents a considerable deceleration from the impressive growth posted during the 2002-2007 period, reflecting an expected slowdown in motor vehicle and off-highway equipment production. Additionally, projected declines in metal prices are set to lower diesel engine production costs, moderating growth in the market. Despite the slower growth rate, substantial increases in demand are being predicted for every segment of the world diesel engine market.

The Asia/Pacific region is now the world’s largest market for diesel engines, surpassing Western Europe. Rising demand for diesel engines in China, India, and South Korea drove growth in the regional market. The Asia/Pacific share of the world diesel engine market is forecast to exceed one-third by 2012. Imports of diesel engines are expected to surge from 2007 to 2012, as regional manufacturers are unable to keep up with demand. In 2012, only Japan is forecast to post a substantial diesel engine trade surplus. Although the regional light vehicle segment is projected to expand at the fastest annual rate, the largest absolute gains will occur in the heavy truck and bus segment. China alone is forecast to account for almost 18 percent of new demand, from 2007 to 2012. North American market to outpace Western Europe, driven by motor vehicle uses.

The diesel engine market in Western Europe is projected to decelerate through 2012, as the production of motor vehicles and machinery weakens. In North America, the US is expected to account for the vast majority of new diesel engine demand through 2012. Growth in the North American market will be driven by the motor vehicle segment, which is set to benefit from the increasing use of diesel engines in light vehicle production. In Eastern Europe and Latin America, demand for diesel engines is forecast to grow about 4.0 percent per year from 2007 to 2012. Nonetheless, each of these two regions will still account for less than six percent of total diesel engine demand. Stationary market segment to

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grow the fastest Growth rates in the various diesel engine markets are expected to be fairly uniform through 2012, ranging from about two to four percent. The stationary segment is expected to expand at the fastest annual rate, while the motor vehicle segment is forecast to claim most new demand.

Diesel engine’s future growth :

In the midst of an economic downturn, looking toward the future gives us hope. A recent report from Freedonia group on the global diesel engine and related products looks bullish for growth on diesel technology. It forecasts that the demand for diesel engines and related products will rise 6.2 percent annually to $19.5 billion in 2013. Demand for diesel engines and related parts in the motor vehicle market as a whole is projected to advance 8.5 percent annually to $10.7 billion in 2013. In the non-motor vehicle segment of the diesel engine market, demand for engines and related parts is forecast to rise 3.7 percent annually to $8.8 billion in 2013. Study authors relate the gains in on and off-road sectors due to pent-up demand for replacing older equipment and desire to take advantage of new cleaner more efficient technology.

Diesel Engine Manufacturers :

The following listings are some of the leading manufacturing companies in the world.

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China YUCHAL International owns 76% of diesel engine manufacturing in

the world Caterpillar Cummins Detroit Diesel Perkins Perkins Remanufactured John Deere Yanmar

Major Diesel engine manufacturing countries :

China Germany Basil Russia India

Sales Data :

Sales of Diesel engine world wide :

Current market value for Diesel engine globally : 136 Billion dollars

Expected Diesel engine total value by 2012 =160 Billion dollars

Expected Market growth rate for Diesel engine in Upcoming years:

6.2 percent annually to $19.5 billion

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99%

1%

SalesExpected Business for diesel engine Expected % Value for Ceramic Coating

Expected money value for ceramic coating by 2012 : 1% of 160 billion dollars = 1.6 billion dollars

Expected Market growth rate for Diesel engine in Upcoming years :

6.2 percent annually to $19.5 billion

Expected Market growth rate for ceramic coatings : 0.195 billion dollars.

Estimated profit :

Diesel engine companies: An estimated profit of about 0.195 billion dollars approximately for ceramic powder providers. So CUMI must target to achieve a significant part in this profit.

SWOT ANALYSIS:

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STRATEGIC ISSUES :

STRATEGY:

Business Model 1:

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THREAT

Global competitors like Sulzer Metco Inc., H.C. Starck Inc., Pars Plasma Coating.

Absence of an effective strategic planning

Substitutes. For example, electro plating and other thermal powders.

STRENGTH:

Part of a well known and prestigious Murugappa group.

CUMI has its units all over the world ,so this makes a better distribution channel

The company has good resources. Powders used for producing

Ceramic powders are also produced within the company.

Company has its monopoly of Ceramic powders in India.

Large production capacity.

OPPORTUNITY

Indian market solely open for the company

Large number of industries, applicants of ceramic powders.

Slow but gradual growth in demand of the product.

WEAKNESS:

CUMI never explored the market of Ceramic powders globally.

In the last 10-20 years the company never tried to make an expansion in this field.

Lack of approvals and other certifications for Ceramic powders to getting into business with global customers like Rolls Royce.

People are unaware of the product, its uses and applications.

This business model suggests CUMI’S tie-ups with other global powder manufacturing companies like H.C.Starck and Suzler Metco.

Key Partners:

MarkeTech International

All-Chemie, Ltd.

H.C. Starck, Inc.

Drache USA, Inc.

CERAC INC. - Alfa Chemical

Corp. Surepure

Chemetals, Inc.

Sulzer Metco I Zibo

Tiancheng Glaze

Key activities &Key resources:

Powders manufactured in the units of CUMI mixed proportionally for the desired ceramic powders.

Advanced technical expertise.

Value propositions:

Provide the ceramic powders at a much lower cost and better quality, creating value for the company’s products.

Channels:

Transportation channels like ship, road will be used as per the need of the customer.

Customer Relation & Customer Segments:

Packing as specified by the customer, delivery time by the fastest.

Cost Structure :An agreed upon percentage of the profit would be shared among the companies.Revenue Streams :

Increased number of global customers as a result of shared sales channels. Better penetration into global market.

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HC Stark

Technical Expertise

CUMI

Joint cooperation

Shared Sales channels

Business Model 2:

This business model suggests CUMI to focus on Ceramic powder industry and its expansion world over by focusing on specific industries like Diesel engine manufactures and manufacturing the ceramic plasma powders, then outsourcing the sales and marketing functions to an international trader of repute. The options of looking at other small manufacturers of plasma powders as trading partners also should be kept open. The production planning, production and packaging are the value addition done in house. The strengths and competencies of the trader is brought in to expand CUMI’s market reach due to lack of sales resources.

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Through international traders

Packing & branding

CUMI

Razor and Blades business model:

The bait and hook business model (also referred to as the “razor and blades business model” or the tied products business model”) was introduced in the early 20th century.

This involves offering a basic product at a very low cost, often at a loss (the “Bait”), then charging compensatory recurring amounts for refills or associated products or services (the “hook”).

Some of the major competitors like H. C. Starck and Sulzer Metco provide Plasma thermal spraying machines to their customers as their bait and thereby increasing the sale of their powders which is their Hook. Utilizing their resources, CUMI could provide spraying machines at a compatible cost and thereby increase the sales of their ceramic powders.

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Network Effect business model:

In economics and business, a network effect is the effect that one user of a good or service has on the value of that product to other users.

If CUMI could supply their ceramic powders to a few reputed firms initially, and thereby create a brand image and value for their product, it will automatically attract other customers around the globe.

For example, China YUCHAL International owns 76% of diesel engine manufacturing in the world. If this company implements the usage of ceramic plasma powders in their diesel engine manufacturing units and does business with CUMI, it will lead other diesel engine manufacturers to follow. This would result in increased global usage of ceramic powders.

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CONCLUSION

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The project study attempts to make an analysis of the market growth of the Ceramic powder industry and to propose strategic steps for Carborundum Universal Ltd. to increase the sales of their Ceramic powders.

At present Ceramic powder industry in India has not acquired acceptance due to the presence of various substitutes such as other thermal spray powders and electroplating. Despite CUMI being the only company producing ceramic powders for the last 10 years in India, the company has not been able to tape the market successfully.

This study shows that CUMI could increase their figures by aligning themselves with global leaders in the industry like H.C Starck and Sulzer Metco. This would give CUMI the advantage of increased sales channels and technical assistance. But CUMI must keep in mind the various factors like quality, approvals and certifications. Another strategic proposal would be to focus business with specific industries like paper industry, diesel engine manufacturing industry, textile industry etc.

To conclude CUMI must try to put more emphasis on effective utilization of their resources, certifications and approvals required to do business with leading companies like Rolls-Royce. CUMI must also focus on proper marketing strategy for their product.

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REFERENCES:

Online Database –

www.cumi-murugappa.com www.alibaba.com www.hcstarck.com www.predmaterials.com www.ceramics-directory.com www.quickmba.com www.sulzermetco.com

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