Manufacturing of Specialty

Chemicals
by
Krishna Antioxidants Pvt Ltd
Proposed at
Plot No. C-57, Shirala MIDC, Shirala
Taluka, Sangli Dist., Maharashtra State

Detailed Project Report

Krishna Antioxidants Pvt Ltd, 107-108, Raheja Plaza, Shah Industrial Estate, Andheri (W) Mumbai-53
Table of Contents
S.No. Contents Page
1 Introduction 1
2 Promoter’s profile 1
3 Constitution of the Company 2
4 Registration Details 2
5 Unit Registration Details 2
6 Existing business of the Promoters 2
7 Location and its Selection 2
8 Details of Products with Capacities 3
9 Details of Raw Materials with Required Quantity 3
10 Market and its analysis 4
11 Project Cost Details 4
11.1 Land and its development 4
11.2 Building 5
11.3 List of Plant and Machinery 5
11.4 Electrification 6
11.5 Technical know-how 6
11.6 Utilities 6
12 Means of Finance 6
13 Implementation Schedule with time chart 6
14 Financial Analysis 7
15 Extra land requirement in specific cases 7
15.1 For raw Material Storage 7
15.2 Finished products storage method 7
15.3 Statutory requirement 7
16 For expansion project 7

Krishna Antioxidants Pvt Ltd, 107-108, Raheja Plaza, Shah Industrial Estate, Andheri (W) Mumbai-53
Introduction:

Manufacturing of Specialty Chemicals  

This project plan concerns the establishment and operations of an organisation for
manufacturing of Speciality Chemicals meant for domestic market, including the supply for
PSUs like ONGC, BPCL largely obtained in large volumes and supplied over a period of
almost 6 to 8 months.

The history of Krishna Antioxidants can be briefed as follows:

1. The promoters set up a manufacturing facility in Dombivali (East), about 40 kms

away from Mumbai to produce Esters and Anionic surfactants in the year 1976.
2. Manufacturing facility was set up in the year 1988 at Vasai, 30 kms away from
Mumbai to produce surfactants based on Ethylene Oxide and Propylene Oxide.
3. The manufacturing facility at Chiplun, about 300 kms away from Mumbai to produce
wide range of Specialty Chemicals was set up in the year 1991.
4. In the year 2000, export promotion products having global competitiveness was
started.
5. By the year 2012, the revenue from exports exceeded 70% of total business.
6. By the year 2014 One more plant Unit-II was set up at Lote MIDC to cater exports
demand.
7. By the Year 2018 a new Plant Unit-III was setup to manufacture speciality chemicals
in solids.

Promoter’s Profile

An existing company, M/s. Krishna Antioxidants Private Limited, incorporated in 1991 with
Directors, Mr. Krishna Gupta, B.Sc. (Tech), Bombay University, 1961 and Mr. Anil Gupta,
Chartered Accountant 1976 batch, professionally qualified having strong knowledge of the
Specialty Chemicals Market.

Constitution of the Company

M/s. Krishna Antioxidants Private Limited, incorporated in 1991 with Directors, Mr. Krishna
Gupta, and Mr. Anil Gupta is a 100% family owned Private Limited Company having 50%
shares holding by each Directors.

Registration details and Unit Registration details

The Company registered under MSME Udyog Aadhaar has following details:

Aadhaar No. :761145867008

Social Category : General

Type of Organisation : Private Limited Company

Krishna Antioxidants Pvt Ltd, 107-108, Raheja Plaza, Shah Industrial Estate, Andheri (W) Mumbai-53
Existing business of promoters and the details thereof
The company, Krishna Antioxidants Private Limited, (KAPL), will operate within the broad
market for specialty chemicals. Specialty chemicals sector is primarily segmented between
Pour Point Depressants, Cold Flow Improvers, Lubricant Additives, polymers. The company
plans to produce the full range of specialty chemicals for oil field, polymers, antioxidants,
with focus on value addition in terms of efficiency through Research and Development,
environment friendly technology and quality.

New project- to facilitate the additional manufacturing & Storage Capacity

- Location and Selection :
The new project is proposed to setup a new manufacturing facility at Plot C-57, Shirala
MIDC, Shirala Taluka, Sangli Dist., for production of Specialty Chemicals to meet the
market demand for a new product. The plot is admeasuring 11590 sq. m area, is being
acquired from the Shriala MIDC. This plot is about 40Km from Karad and 135 Km from our
existing units at Gane Khadpoli MIDC, Chiplun Taluka, where the company has the
manufacturing activity.

Details of Products with Capacities:

The following products are proposed to be manufactured with Capacities mentioned against it:

S.No Product Name Max Qty UOM

1 Octane Booster 500 MT/M

Details of Raw Materials with Required Quantity

S.No Name of the raw material UOM Quantity
1 Methanol MT/M 300
2 Aniline MT/M 200

The Products proposed to be produced in this project are already in our market segment over
the last few years and has been in production in our Unit No.3 at Plot no. A-1, Gane Khadpoli
MIDC, Chiplun Taluka for the last few years. The market demand has gone up in the last
year and our marketing team has been under pressure to meet them at least a part of it.
Therefore, it has been decided to go for the additional capacity in this project to meet at least
part of the need of the market, since there are limitations to increase the capacity
economically.

Krishna Antioxidants Pvt Ltd, 107-108, Raheja Plaza, Shah Industrial Estate, Andheri (W) Mumbai-53
Project Cost details
Land Development :

The Plot is being procured from MIDC and has natural gradient towards south east region.
Hence Levelling the Plot requires minimal investment as the slope is not steep which could
cost about Rs 50 Lakh.

Cost details for Storage and Repacking of Chemicals:

a) Land and its development

Area requirement for the proposed project is about 6954 sq. m and is part of the
available 11590 sq.m area in A-1 Plot.
b) Building
Built up area comprises of a Manufacturing Shed, Admin Building, Tank Farm Area.
PCC and MCC Room, Transformer Yard and ETP area with road development for
easy access.
c) List of Plant and Machinery
As mentioned in List of machinery below.
d) The Manufacturing activity requires about 3MVA of Electrical Power for which
application is to be submitted to MSEDCL after Plot approval. Further, we have
proposed to install Solar Plant at different Plot to Generate the required Power
through Open Access System as a part of green initiative.
e) Technical know-how
There is no major technical know-how involved in this project. Our experience in the
last 32 years is being utilised for the same. Further a Technical team expertise is being
consulted to suggest and re-design any bottle necks in our existing design.
f) Utilities
Water for process and sanitary purposes would be catered through MIDC Supply.
Further Nitrogen, Air, Steam, Cooling and chilling Process would be facilitated
through erection of Individual Plants.

Building :
The buildings planned in this project are mainly of pre-Engineered Structures, except for
Admin Building, PCC and MCC Rooms. This will plan is expected to reduce the time frame
for construction, which in turn will reduce the cost indirectly. The total cost envisaged for
building of Pre-Fabricated and Civil structures is about Rs.2 Cr

Krishna Antioxidants Pvt Ltd, 107-108, Raheja Plaza, Shah Industrial Estate, Andheri (W) Mumbai-53
List of Plant and Machinery:
Following are the major Plant and Machinery proposed for the Project:

1. Transformer of 3MVA With necessary load breakers

2. PCC and MCC Panels for Power Distribution.
3. Multiple Solid Fuels Fired Boiler of 3Tonnes
4. Chilling Unit of 200 TR
5. Nitrogen Plant of 30M3 capacity
6. Cooling Towers of 500 TR AND 400TR Respectively
7. Tank Farms with Tanks of total capacity of 4000 MT
8. Effluent Treatment Plant for Zero Discharge with RO and Multiple Effect Evaporator.
9. 20 No. Plug Flow Reactors of 1.5 tonne/day capacity
10. Distillation Column of 10MT capacity
11. Other associated equipment’s like Transfer Pumps, Vacuum Pumps, Heat Exchangers.
12. DG set of 3MVA
13. Fire Fighting Systems with 3 lakh litre capacity Water storage.

Electrification:
Electrical Connected load of 3MVA from MSEDCL to meet the requirement of expected
Production.

Technical Know-how:
All indigenously developed know-how and being utilised in the existing production facility at
Plot No. A-1, Gane Khadpoli MIDC, Chiplun.

Utilities:
Steam Boiler, Cooling Towers, Chilling Unit, Nitrogen Plant, ETP etc, as mentioned in Plant
and Machineries list. A compressed air unit is installed to meet the requirement for
Instrumentation in the Plant.

Means of Finance:
The proposed project being a large one and the Total Investment is expected to be
approximately Rs. 20 Cr, the major financing will be done by Term loan from our bankers.

Krishna Antioxidants Pvt Ltd, 107-108, Raheja Plaza, Shah Industrial Estate, Andheri (W) Mumbai-53
Implementation of Schedule with Time chart:

Manufacturing activities in proposed project is expected to start by Mar-2024

As most of the erection jobs are planned to start simultaneously, the total project completion
is expected to complete in 8 to 10 months. In order to be more feasible, the project is
expected to be commissioned at the earliest possible.

Financial Analysis:
Since there is not much required for the land developing and engineering design, the overall
project will not be higher side. Further, the product that is produced has a high sale value and
demand hence the investment cost can be recovered without any hassles.

Extra Land requirement in specific cases:

In the proposed project, the land utilization is planned in a very calculated way to meet the
requirements evenly for the next five years and hence no proposals are being made for extra
land for Raw material and Finished goods storage and explosive area.

Raw Material Storage Method.

Raw Material will be stored in Underground Tanks for solvents and Above Ground Storage
Tanks for other materials

Finished Goods Storage Method.

Finished Goods to be Stored in Above Ground tanks.

Statutory Requirement;
Land allocation by MIDC
DIC Registration.
Environmental Clearance by MoEF
Consent to establishment by MPCB followed by consent to operate
Factory Licence by DISH.
Fire NOC by MIDC Fire Department
BCC by MIDC
PESO Approval and Licence for Storage of Petroleum Products.
Poison Licence from Food and Drug Administration for storage of Methanol.
Calibration Stamping and Approval by Metrological and Weights Department.
Power Sanction and Release by MSEDCL.

Krishna Antioxidants Pvt Ltd, 107-108, Raheja Plaza, Shah Industrial Estate, Andheri (W) Mumbai-53
For expansion projects:
The proposed project is planned after detailed discussion and planning, looking at the
futuristic requirement for the next five years in the current situation. In case the additional
requirement arrives in the future, the organisation will approach MIDC with definitive
proposal, as we have been doing in the past. MIDC has been co-operative to us and hence, we
have been able to grow from one Unit to three Units in the last 32 years.

Krishna Antioxidants Pvt Ltd, 107-108, Raheja Plaza, Shah Industrial Estate, Andheri (W) Mumbai-53