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High Profit Margin
The Project enjoys high profit margin due to low cost of
raw materials and energy efficient novel process
which saves substantial energy as compared to any other
manufacturer. Cash Break-even is estimated at very low plant
utilization.
High Growth Potential
The
Industry has potential for tremendous growth rate as it is
working in the energy conservation field.
It is also becoming imperative day by day to cut fuel
costs to save money.
Limited competition:
M/s. Hyderabad Industries Ltd., Ballabgarh, Faridabad (a
Birla Group co.) is the only other manufacturer in India of high
grade Calcium Silicate Insulation.
They have sourced this technology & plant from
M/s. Cape Insulations, U.K. in the 1980’s.
Potential of product export:
There are only a few (about 16) manufacturers around the
world and India is the only manufacturer in South-East Asia.
There is a great demand for CSI around the world and
considering exchange rate of Rupee against foreign currencies
and export incentives, cheap labour & other costs, our
prices will be competitive against international supplies.
The additional advantage by way of saving in freight
gives the firm an edge over overseas suppliers, especially in
neighbouring countries, the ASEAN countries and the Middle-East.
We have recently started exporting materials through M/s.
ACC, Refractories Division at Nagpur.
We are now executing trial order of M/s. PROMAT, Germany for
5' X 40' container load of Calcium Silicate Insulation.
Potential of Project Export:
We
have toured Malaysia extensively and found that there exists a
large requirement for CSI.
Malaysia also offers water, power & fuel at a very
competitive price and a plant manufacturing CSI can be setup
there to serve ASIAN markets.
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