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Detergent Powder PDF
Detergent Powder PDF
CONTENTS
SECTION I PRODUCT CHARACTERISTICS AND SPECIFICATION
1
SECTION - I
Formulation
Classification
Classified either based on the charge on the organic part of the detergent (like anionic,
cationic or non-ionic) or on the case with which they decompose into smaller units which
would no longer foam (bio degradable or soft detergents and non bio degradable or hard
detergents).
Use pattern
Anionics are the most commonly used detergents for washing and cleaning applications,
while cationic (with germicidical characteristics) and non-ionics (with low foaming
propertion) are mainly used for industrial applications.
The traditional heavy-duty laundry powder contains approximately 15% active surfactant,
often Acid slurry (Linear alkylbenzene sulphonate).
The builder has traditionally been Sodium tripoly phosphate (STPP) at an average level
of 20 to 25%.
SECTION - II
2
PRODUCT APPLICATIONS
SECTION III
3
INDIAN DETERGENT INDUSTRY STATUS
40
35.92 37.72
Soaps
35
Synthetic Detergents
31.79
30
28.13
25
in Lakh tonnes
24.89
21.83
20
19.15
17.35
15 15.75
14.25
12.95
10 11.75 7.51
10.5
9.15 7.89
8 6.21 6.77
5 5.7
4.8 5.23
3.8 4.15 4.5
2.78 3 3.3 3.5
2.57
0
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
Year
3.2.1. Soap
3.2.2. Detergents
4
3.3. Market share of Major players
Nirma
Hindustan
15%
Lever
65%
Godrej Soaps
8%
Colgate
Palmolive
Others
5%
7%
3.3.2. Detergents
Karnataka
Soaps
Unorganised
2% sector 29%
P&G Nirma
Henkel SPIC
10%
29%
2%
HindustanLe
ver
29%
5
3.4. Fabric wash market structure
Bars
40%
Powders
60%
The detergent powder segment caters to three categories, lower, middle and higher end
markets.
6
3.5. Urban , Rural Market share
Rural
60%
Urban
60%
Rural
40%
Urban
40%
Laundry Soaps
Rural
70%
Urban
30%
7
3.6. Characteristics of the Detergent market
More users opt for the convenience of detergent powders over bars.
Powder usage would improve as more users change their washing habit, in favour of
bucket wash.
Studies show that usage of synthetic detergents such as Surf, Ariel and Henko, has
increased, compared to the conventional detergent bars that were produced with
vegetable oils.
Industry majors have been kept busy evolving responses to the challenges of growth in
the detergent industry.
Faced with distinctly sluggish volume growth, Hindustan Lever launched a rural
initiative to enhance the penetration of its products. Procter and Gamble Home Products
took a very different approach of streamlining its distribution network and reducing the
number of stockist, in an effort to cut costs.
HLL also put through de-bottlenecking and cost-cutting measures at Vashisti Detergents,
in which it has a stale.
Henkel SPIC, a relatively recent entrant into the market, waited two years and spent
Rs.60 crores to acquire control over key brands of Shaw Wallace group companies-
Calcutta Chemicals and Detergents India Ltd. The company, which made a rights offer
to fund the acquisition, hopes these brands will give it the critical mass when it comes to
competing with the heavyweights.
In terms of value, the Rs.4,000 crore detergents market is among the largest FMCG
categories in India, next only to edible oils and biscuits.
The Indian market for detergents is among the largest in the world.
8
For players such as Hindustan lever, the recovery in volume growth has been spurred by
a resurgence in rural demand in 1999 first half. According to CMIE statistics, agricultural
output in 1998-99 was higher by 6.8 percent after declining by 5.4 percent the previous
year. This is likely to have left consumers in rural areas with higher disposable incomes.
Higher sales growth has been one reason why the major players have been able to put up
a reasonable show in recent years. But what probably brought about the dramatic
turnaround in financial performance in 1999 is the sharp improvement in profit margins
in the business.
3.10. Outlook
With the industry getting intensely competitive and with most players focussing on the
discount segment, the cost reduction has been an important pre-occupations for the major
players.
The companies have been trying to streamline their distribution systems, trying to bring
down inventories, margins and other wastages in the system. The introduction of IT
based systems, such as Enterprise Resource Planning, for production planning and
control also has the potential for substantial savings.
Apart from trying to squeeze out higher profit margins, players are also continuing their
efforts to pep up sales growth. The rural market, despite the high penetration levels, is
seen as one high growth area.
9
SECTION IV
A number of soaps and detergent units are in the unorganised sector and distributed all
over the country.
* Adnoc Chemicals,
II, G/F, Reddy Hostel Complex,
Tilak Road, Hyderabad - 500 001.
* Anand Chemicals
7th Cross, PIPDIC Industrial Estate
Sedarapet-605 111
10
* Girijan Cooperative Corporation Ltd.,
Opp. New VUDA Park, East Point Colony,
Visakhapatnam-530 017,
* Hipolin Limited
4th Floor, Madhuban,
Near Madalpur, Ellisbridge, Ahmedabad-380 006
* Jagdish Chemicals
Plot No. 4718, GIDC., Ankleshwar, Bharuch-393 002
* Jocil Ltd.,
(A Subsidiary of The Andhra Sugars Ltd.,)
P.O. Box 216, Arundelpet, Guntur - 522 002 (A.P.)
* Jaya Soaps
89/1-A, Pannithittu Road,
Ponvandu Complex, Kirumampakkam-607 402
11
* Karnataka Soaps and Detergents Limited
(A Government of Karnataka Undertaking)
Regd. Office & Factory:
P.B. No.5531, Bangalore-Pune Highway,
Rajajinagar,Bangalore-560 055.
* Nirma Limited,
Nirma House, Ashram Road,Ahmedabad-380 009.
* Neemtal Products
48, Dhanalaxmi Avenue,
1st Floor, Kashuriba Nagar,
Adyar, Chennai-600 020
12
* Procter & Gamble Hygiene and Health Care Ltd.,
(Formerly Procter and Gamble India Ltd.,)
Tiecicon House,Dr.E Moses Road, Mumbai-400 011.
* Pond'
s (India) Ltd.,
GST Road, Chromepet, Madras 600 044.
* Sun Chemicals
Office 6/1, Manjanakara St.,
Madurai 625 001
* Sadhna Soaps
Sadhna Indl. Estate,
S.V. Road, Oshiwara,
Jogeshwari (W)
Mumbai-400 102
* Sri Chemicals,
A-5, Fishing Harbour,Visakhapatnam - 530 001.
13
* Sree Krishna Chemical Industries
Arya Griha, Vadakkevila P.O.,
Kollam-691 010, Kerala
14
Office : 72, Medavakkam Tank Road,
Kilpauk, Chennai-600 010.
Factory : 63/5, Viraganoor Village,
Madurai 625 009.
15
SECTION - V
IMPORTS/EXPORT DETAILS
Countrywise Imports of Other Washing Prpns & Cleaning Prpns Synthetic Detergents
Australia 5655
Austria 9810
Belgium 57390
Brazil 55
Canada 3900
Chinese Taipei 9430
China P RP 18890
Czech Republic 10
Denmark 1696
France 52764
German F REP 600393
Hong Kong 2129
Indonesia 3840
Ireland 50
Israel 50
Italy 205850
Japan 177206
Korea RP 11825
Malaysia 9305
Mexico 1000
Netherland 136462
Nigeria 204
Norway 11110
Oman 1
Philippines 322
Poland 1250
Singapore 108718
Spain 34351
Sweden 75264
Switzerland 131176
Thailand 4859
Turkey 300
U Arab Emts 2249
UK 284234
USA 181671
Unspecified 100
16
Sample of individual imports of Detergent
Period 2002
Countrywise Exports of Other Washing Prpns & Cleaning Prpns Synthetic Detergents
Angola 1206
Australia 213000
Baharain IS 10000
Bangladesh 103055
Benin 70630
Cameroon 64600
Chad 229100
Chinese Taipei 57600
China P RP 4040
Comoros 10000
Congo P REP 18720
Cyprus 6000
Djibouti 39500
Egypt A RP 10000
Ethiopia 55000
Fiji IS 20000
Gabon 25261
Gambia 8495
German F REP 480
Ghana 101214
Guam 8600
Guniea 19029
Guinea Bisu 9736
17
Haiti 26000
Hong Kong 39100
Indonesia 17405
Iran 300
Kanzakhstan 5000
Kenya 450
Kuwait 52200
Maceoernia 25725
Malagasy RP 71050
Malawi 34000
Malaysia 640702
Maldives 16000
Mali 29500
Malta 10000
Mauritania 38625
Mauritious 251777
Morocco 18004
Mozambique 19200
Namibia 15000
Nepal 238510
Netherland 6000
New Zeland 11800
Nigeria 93900
Oman 269500
Papua N GNA 24000
Philippines 1978302
Reunion 6026
Saudi Arab 13200
Seychelles 15810
Singapore 15000
South Africa 56182
Sri Lanka 129226
Tanzania REP 6000
Thailand 10700
Togo 67000
Trinidad 8000
Uganda 35381
U Arab Emts 686184
Ukraine 1300
USA 145497
Vietnam SOC REP 71100
Yemen Republc 86200
Zambia 2720
18
Sample of individual exports of Detergent
Period 2002
19
SECTION - VI
PRICE DETAILS
Price fluctuation
The selling prices of major detergent brands were hiked (much of it in the mid-priced to
medium segments) by between 9 percent and 25 percent in recent times, in response to
rising production costs. For instance, price increases in the case of brands such as Nirma
Popular and Wheel Green were around 8 percent.
Selling prices of products in the mid price segment, such as Ariel Supersoaker, were
hiked 20 to 25 percent, while that of those in the premium end, such as Surf Excel, Henko
Stain Champion were raised 10 to 12 percent.
20
SECTION -VII
INDIAN DEMAND
ISTMA (Indian Soaps and Toilet Manufacturer Association) has estimated the Indian
detergent bars and powders demand to be in the region of 3.5 million tonnes per annum
Per capita consumption of detergent on all India basis is around 2.5 to 3 Kg, which could
vary between different regions depending upon the prevailing economic and social
conditions.
21
SECTION -VIII
1. General details
Liquid detergents can be manufactured in batches ranging from 5 to 100 kgs. A 5kg
batch can be conveniently prepared in stainless steel vessels or HDPE containers by
manual stirring. The required quantity of acid slurry is weighed in the container and an
equal quantity of water is added. 15% caustic soda solution is gradually added with
stirring till pH is brought to 7 as indicated by colour change, of a narrow range pH paper.
External cooling of the vessel is essential during neutralisation of the acid slurry.
Sodium sulphate is added and diluted by addition of water. Urea is added at this stage
along with perfume and stirring is continued for a further 10 minutes. The liquid
gradually clarifies after being allowed to settle for about 3 to 4 hours, after which the
contents of the vessel are filtered and bottled.
Acid slurry is neutralised with soda ash and mixed in a sigma mixer. The other
ingredients are added in the following sequence with continued mixing.
The mixing is carried out for a further 10 minutes after which the plastic dough obtained
is milled through a triple roller mill and transferred to an extruder. The temperature of
extruder is maintained at 60 deg.C and the extruded bars are cut and stamped. The
stamped cakes are allowed to age under a current of coldair for nearly 8 hours, after
which the cakes/bars are wrapped.
The ingredients are either mechanically mixed or hand mixed as detailed under extruded
cakes/bars. A dough soft enough for tableting is thus obtained. Homogeneity of the
dough is to be ensured at this stage and, if required,mixing should be continued.
Individual portions corresponding to the exact weight of the final tablet are fed to the
mechanically operated tableting machine and stamped. The stamped tablets are
allowed to age for at least 8 hours, after which the tablets are wrapped.
Listed below are some typical formulations based on Acid slurry, which can be readily adopted
for the manufacture of detergents even in manually operated units.
22
Detergent powders (household)
in Wt, %)
Premium grade Popular grade
85% active LAB acid slurry 18 15
Sodium carbonate (soda ash) 35 32
Sodium meta silicate 2 -
Alkaline sodium silicate - 7
Sodium bicarbonate 10 10
Sodium sulphate (anhydrous) 20 25
Sodium tripolyphosphate 10 7
Sodium carboxy methyl cellulose 1.5 1.0
Phthalocyanine blue colour or oil soluble yellow colour 0.1 0.1
Optical whitener 0.3 0.2
Perfume 0.1 0.1
Water 3 2.6
Liquid detergents
in Wt %
Light duty Heavy duty
85% active LAB acid slurry 20 25
Caustic soda Quantity required to bring pH quantity required to bring pH
to 7 to 7
Sodium sulphate 2 2
Urea 10 15
Perfume 0.1 0.1
Water q.s q.s.
Detergent cakes/bars/tablets
in Wt, %
Extruded bars/cakes Mechanically pressed tablets
85% active LAB acid slurry 18 16
Soda ash 15 20
Sodium silicate 10 10
STPP 15 10
Starch(tapioca/maize) 20 15
Talc 10 12
Kaolin 3 -
Paraffin wax 4 -
Opt., whitener 0.3 0.3
Colour 0.05 0.1
Perfume 0.1 0.1
Sodium sulphate - 10.0
Water q.s q.s
23
Historical details
In India, the first detergent powder (spray dried) was produced by Swastik Oil Mills Ltd.,
Bombay, in the year 1957. The composition of the powder at that time was as follows:
STPP : The STPP content was quite high in this formulation. This practice of
using high STPP continued to prevail in the Western Countries until the recent years,
when restrictions were imposed on the use of STPP.
In India, the STPP content in the premium products was gradually reduced due to
economic reasons and now it has come down to 20%.
Soda Ash : Also, for a number of years, the premium detergent powders in
India did not contain Soda ash. In recent years, use of about 10% Soda ash has been
observed in the premium powders.
Silicate : The silicate level has gone up consequent to the reduction in STPP
content.
The average formulation of a present day premium spray dried detergent powder
LABS 20%
STPP 20%
Alkaline Silicate(100%) 15%
Soda ash 10%
CMC 1%
Optical brightener 0.2%
Perfume 0.2%
Sodium sulphate 25%
Water 10%
24
The average formulation of Hand mixed powder
The hand-mixed powder came into vogue only about 2 decades ago. The quality of this
powder has remained unchanged during this period. The general composition of hand-
mixed powder, which is mostly yellow coloured is as follows:
The recent trend in India is to use a mixed active system in detergent powders for better
performance at a lower cost.
For example, in a dry mixed powder, instead of using 12% LABS, a mixture of 8%
LABS and 2% AOS can be used. Similarly, in premium spray dried powders, the
performance can be improved by using a mixture of 14% LABS and 3% AOS in the
place of 20% LABS.
The liquid detergent products in India are mostly of the dish washing type. Basically,
they consist of a solution of sodium alkyl benzene sulphonate in water, using urea as
solubilising agent.
There are a few special liquid detergents in the Indian market, which are recommended
for woollen, silk and other fire expensive garments. The detergent active used in such
formulations has to be of the rigid type.
S Toyoda of Lion Fat & Oil Co., Japan had worked on the suitability of various detergent
actives for washing woolen and acrylic fibre. This observations are reproduced below:
Wool Acrylic
The most suitable detergent active for wool and acrylic is AOS. A liquid detergent based
on AOS is already in the Indian market.
25
Concentrated detergents
During the past two years, a new trend has been seen in the Indian market. It is the
introduction of very expensive detergent powders. These are highly concentrated
powders containing more than 25% detergent actives and more than 25% STPP. Some
powders contain a bleach along with a low temperature bleach activator. Most of them
contain enzymes. These are heavy powders manufactured by agglomeration technology.
Source of technology
Frigmaires Engineers
PO Box 16353, 8, Janata Industrial Estate
Senapati Bapat Marg
Opp Phoenix Mill, Lower Parel (W)
Mumbai-400 013
26
SECTION IX
Utilities
27
Sodium bicarbonate Birla VXL Ltd., Jamnagar
DCW Ltd, Mumbai
Tata Chemicals Ltd., Jamnagar
Sodium tripoly phosphate Albright and Wilson Chemicals Co. Ltd., Mumbai
Hindustan Lever Ltd., West Bengal
Trisodium phosphate
Albright and Wilson Chemicals Co. Ltd., Mumbai
AVA Chemicals Pvt. Ltd., Mumbai
28
SECTION X
GLOBAL SCENARIO
US detergent Scenario
Dial
7%
29
3. Personal care market share in US
Kao
2%
Unilever
33%
Colgate
Palmolive
13%
2 Japan Scenario
Lion
30%
Kao
40%
Unilever
10%
30
SECTION - XI
Installed capacity
Detergent : 600 tonnes per annum
Cakes : 300 tonnes per annum
1. Land
Subtotal 3.03
2. Building
Subtotal 15.93
3.5 Octroi, excise duty, sales tax, etc.at 12% 1.91
3.6 Packaging and insurance charges (2%) 0.32
3.7 Transportation charges (2%) 0.32
3.8 Machinery stores and spares (2%) 0.32
3.9 Foundation charges (2%) 0.32
3.10 Installation charges (2%) 0.32
Total cost of plant and Machinery 19.44
31
4. Technical know-how fees Rs.2.50 lakhs
32
11.I. Financial Statements
Rs.in lakhs
A Variable Cost
33
SECTION XII
SWOT ANALYSIS
34
SECTION XIII
The Indian soaps and detergent industry, backed by a countrywide retail network of
retailers, numbering nearly seven million, can grow significantly given further
reductions in excise tariffs. These duties should be further reduced in order to stimulate
demand.
In India, the most important criterion in formulation of detergent is the cost. The
consumer relates the performance to the price of the product.
The market is heavily skewed towards lower price products, as the entire Indian fabic
wash market and indeed the carbolics and the popular brands account for about 40% each
of the total market.
Detergent industry represents good investment opportunity in the small and medium
sector.
35