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Project Proposal, Investment Consulting Firm in
Ethiopia.

Feasibility Study for Sodium

Sulphide Manufacturing Project
Proposal Business Plan in
Ethiopia Pdf.
by Suleman Mossa

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Sodium Sulphide Manufacturing Business Plan in Ethiopia Pdf.

Project Proposal on Sodium Sulphide Manufacturing

Business Plan in Ethiopia Pdf.

This pro le envisages the establishment of a plant for the production of Sodium
Sulphide with a capacity of 1,000 tons per annum. Sodium sulphide is an industrial raw
material used in pulp and paper, leather, textile industries and as a reducing agent in the
manufacture of amino acids and preparation of many dyes and rubber chemicals.

Since there are no local producers of sodium sulphide the demand for the product is
entirely met through import. The present (2021) demand for the product is estimated at
700 tons per annum.

The demand is projected to reach 1,240 tons and 1,997 tons by the year 2025 and year
2030, respectively.

Major raw materials required are sodium sulphate and coal, which have to be imported.

The total investment cost of the project including working capital is estimated at Birr
16.11 million. From the total investment cost the highest share (Birr 12.70 million or
78.82%) is accounted by xed investment followed by initial working capital (Birr 1.83
million or 11.41%) and pre operation cost (Birr 1.57 million or 9.77%). From the total
investment cost Birr 4.20 or 26.06% is required in foreign currency.

The project is nancially viable with an internal rate of return (IRR) of 23.98% and a net
present value (NPV) of Birr 11.75 million, discounted at 10%.

The plant will create employment opportunities for 29 persons. The establishment of
such factory will have a foreign exchange saving effect to the country by substituting
the current imports. The project will also create forward linkage with the manufacturing
sector and generates income for the city administration in terms of tax revenue and
payroll tax.

PRODUCT DESCRIPTION AND APPLICATION

Sodium Sulphide is the chemical compound with the formula Na2S, or more commonly
its hydrate Na2S·9H2O. Both are colorless water-soluble salts that give strongly
alkaline solutions.

Sodium sulphide  is primarily used in  pulp and paper industry  in the  kraft process. It is
widely used in the leather industry for removing hairs from hides and skins as a
depilatory.

The product also nds extensive use or application in the textile industry as well as in
the synthesis of sulphur dies as a bleaching, as a desulfurising  and  as a dechlorinating
agent and reduction of amino compounds. Sodium Sulphide  is also used in the
lithography and engraving manufacture of sulphur black dies. It is consumed as a
reducing agent in the manufacture of amino compounds, and it enters into the
preparation of many dyes.

It is also used in the production of rubber chemicals, sulfur dyes and other chemical
compounds.

It is used in other applications including ore otation, oil recovery, food preservative,
making dyes, and detergent.

PLANT CAPACITY AND PRODUCTION PROGRAM

1.  Plant Capacity

The proposed annual production capacity of the envisaged project is 1,000 tons
considering the market study and period required for implementation and full capacity
attainment. This capacity is determined assuming 300 working days per annum, three
shifts per day of 8hrs each.

2.  Production Program

The production program is indicated in Table 3.3. At the initial stage of the production
period, the plant requires some years to penetrate the market  and develop technical
skill. Therefore, in the rst and second year of production, the capacity utilization rate
will be 70% and 90%, respectively. In the third year and then-after, full capacity
production shall be attained.

PRODUCTION PROCESS

The sodium sulphate and coal  in the ratio of 2:1  are mixed together thoroughly and
pulverized properly. The mixture is transferred to a reverberate furnace. At about 1000
oc, sodium sulfate is reduced to sodium sulphide and carbon monoxide, which again
reacts with the remaining molecule of sodium sulphate to give sodium sulphide and
carbon dioxide.

The reaction product is  then  transferred into cooling bogies. After cooling it is crushed
in a jaw crusher and then transferred to leaching tanks containing hot water. After
leaching the clear liquid is run into evaporators. The concentrate is crystallized to get
yellowish brown crystals of sodium sulphide.

Plant Machinery and Equipment

The total cost of machinery is estimated at Birr 5,600,000, of which Birr 4,200,000 is in
foreign currency. The list of machinery and equipment is indicated in Table 5.1.

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Standard Project Report – Map of National Bank of Ethiopia

A Standard project report for new business ventures is quite important in getting the
project itself off the ground. Therefore the project Feasibility Study report should be
prepared as per National Bank Standards.

The project report covers all the aspects of business; from analyzing the market,
con rming availability of various necessities such as plant & machinery, raw materials to
forecasting the nancial requirements. The project also provides sectoral information,
brief on Government policies and international scenario, which have some bearing on
the project itself.

The scope of the report includes assessing market potential and investment decision
making. in a very planned manner by formulating detailed manufacturing techniques
and forecasting nancial aspects by estimating the cost of raw material, formulating the
cash ow statement, projecting the balance sheet etc.

A SWOT analysis is often carried out in the initial reports. This helps to identify the
strengths, weaknesses, opportunities and threats of the business or a project.

The project so formulated considering the below-mentioned aspects and submitting

to any bank for availing credit facility for establishment of the project. The bank will
then examine the project for its technical feasibility, nancial viability and
bankability.

Need Customized Feasibility Study or Business Plan for Bank Loan?

Ask for FREE project related details with our consultant/industry expert.

Our realistic project reports for bank Loan accompanied by a detailed nancial plan can
make all the difference to get the funding you need.

Our consulting rm can prepare successful and standard project reports for
commercial agriculture, agro-processing, manufacturing and service enterprises as
per National Bank Standards.

Al lProject Feasibility Studies| Business Plans will be prepared by experienced certi ed

consultants and the market research and analysis are supported by computerized data
bank.

Our Service Packages Are:–

Haqiqa Business Solution helps entrepreneurs all over the world to start and grow businesses successfully
and pro tably. We provide you with business ideas and smart solutions that help you to build a pro table
business empire. We have plenty of resources that will assist you in your entrepreneurship journey.

Auditing Financial Statements

Preparation of Successful Business Plans | Feasibility Study, Project
Pro les for Manufacturing Plant, Commercial Agriculture. Agro
Processing and Service Enterprises.
 Preparation of  Project Proposals for NGOs,
Market Research Study, which will make it easier for your to start and run
your business pro tably. 
Technical  and Commercial Counseling for setting up new industrial
project and Most Pro table Small Scale Business.

PROJECT REPORT TABLE INDEX.

Each ‘Haqiqa Business Solution’ MARKET OVERVIEW CUM DETAILED TECHNO

ECONOMIC FEASIBILITY REPORT (Complete Report) tentatively covers.

01  Executive Summary

02  Product Description and Application
03  Market Study   

Present Demand and Supply

Export & Import Statistics Data
Projected Demand
Names and Addresses of Existing Units (Present Manufactures) 
Pricing and Distribution

01  Technical Study

Plant Capacity and Production Program

Availability and Source of Raw and Auxiliary materials
Material Requirement and Cost
Electri cation, Electric Load and Water
Location and Site

01  Technology and Engineering

TECHNOLOGY
Production Process
Machinery and Equipment
ENGINEERING             
Construction Process
Civil Engineering Cost
Plant Layout

01  Human Resource and Training Requirement

Human Resource.
Training Requirement

01  Economic and Social Bene t and Justi cation

Pro t Generation
Import Substitution and Foreign Exchange Saving
Employment and Income Generation
Environmental Impact

Financial Analysis details as under:

01  Underlying Assumption

02  Initial Investment Cost
03  Production Cost
04  Sources of Finance
05  Financial Evaluation:
Break-Even Analysis and pro tability analysis
Simple Rate of Return
Internal Rate of Return/IRR and Net Present Value/NPV
Sensitivity Analysis

Annexure-Financial Statements will be for 5 to 10 Years:

Annexure:: Net Working Capital

Annexure:: Projected Cash Flow
Annexure:: Discounted Cash Flow
Annexure:: Projected Income Statement
Annexure:: Projected Balance Sheet
Annexure:: Loan Amortization Schedule
Annexure:: Project Implementation Schedule

_______________________________________________________________________________________________________________

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Project Proposal on the Production of Industrial Adhesivein Ethiopia Pdf

Get In Touch//

Suleman Mossa General Manager     

Mobile = +251 944-22-82-55 

WhatApp, Telegram, imo and Messanger Contact = +251 944-22-82-55 

Piazza, Kelifa Business Center Of ce No.507 Addis Ababa, Ethiopia

E-mail:   haqiqa2000@gmail.com

Website ፡   www.ethiopianauditor.wordpress.com

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