Alcohol

Drinking practices vary substantially among different countries and different masses. But both alcoholic beverages are very popular among all ages of people. The alcoholic drinks market is broadly classified into five classes, starting from beers, wines, hard liquors, liqueurs and others. The Indian alcoholic market has been growing rapidly for the last ten years, due to the positive impact of demographic trends and expected changes like rising income levels, changing age profile, changing lifestyles and reduction in beverages prices. Beer and wine are perhaps the oldest and most popular of all alcoholic beverages in the world.

India’s country liquor industry is known for chaotic business, and estimated at Rs 220 billion, with annual volume sales of over 200 million cases. Of course, the India-made foreign liquor (IMFL) sales are pegged at around 150 million cases, and growing at 8 to 10 per cent annually. IMFL and country made liquor account for the bulk of alcoholic consumption. The Indian beer Industry has been witnessing a steady growth rate of 7-9 per cent per year for the last ten years. Per capita beer consumption is still low at 0.7 litre per year. Though the current growth is pitched at 13 per cent, the total beer market is expected to more than double to 23.3 million hectoliters by 2012. Apart from Kingfisher and Foster’s Beer, the other brands in the Indian market are Carling Black Label, Carlsberg, Dansberg, Golden Eagle, Haywards 5000,Premium Lager, Kingfisher Strong, Hi-Five etc. to name a few. India has emerged as one of the fastest growing markets for wine consumption on the global map. The Indian wines are growing annually at the rate of 25 per cent. With a population base of over 1.1 Billion, the consumption of wine is extremely low, indicating vast potential for future growth. Champagne Indage has been the pioneer in making French style wine in India. Grover Vineyards and Sula Vineyards too have made smart strides in a short time span. Recently, companies in the Indian Made Foreign Liquor (IMFL) space like Diageo, United Breweries and Seagrams too have ventured into making wine. Other major’s players in this field are United Spirits Ltd, Mohan Breweries & Distilleries Ltd, Jagatjit Industries Ltd, Empee Distilleries Ltd. Radico Khaitan Ltd. ,Indus Wine .etc. to name a few. The total liquor industry is worth Rs 20 billion. IMFL accounts for only a third of the total liquor consumption in India. Most IMFLs are cheap and priced very low. Whisky accounts for 60 per cent of the liquor sales, while rum, brandy and vodka account for 17 per cent, 18 per cent and 6 per cent respectively.

India presents a huge growth potential for alcoholic beverages sales. The government is planning to do away with the licence requirement for manufacturing potable alcohol. Scrapping the licencing requirement would boost manufacture of beer, wine, whisky, rum, brandy and other alcoholic beverages. Increasing GDP, favourable growth in the demographics with a growing urban middle class, growth of modern retail formats, hopeful rationalization of the taxation rules and ban on local country liquor and rising health consciousness, age preferences will act in favour of the growth of alcoholic beverages in India in the near future.

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Polyvinyl Alcohol

Polyvinyl alcohol is one of the few high molecular weight commercial polymers that is water soluble. It is a dry solid and is also available granular or powdered form. It has a wide range of applications including textiles, emulsions, adhesives, paper, PVC, ferrites, paints, transparency films for garment packing etc. The demand for polyvinyl are expand at faster pace. Japan is the major consumer of polyvinyl alcohol. It is imported substantially in the country and the demand is likely to go up at around 15% per annum. This provides very good scope for new investment.
Plant capacity: 2.0 MT/DayPlant & machinery: Rs. 131 Lacs
Working capital: Rs. 149 LacsT.C.I: Rs. 358 Lacs
Return: 62.67%Break even: 42.18%
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Absolute Alcohol (Ethanol)

Absolute alcohol is basically prepared from rectified spirit and it has application in various sector. It is used as a raw material, reagent and solvent in the chemical and pharmaceutical industries and for the production of power alcohol for which it is partially or completely denatured. The basic raw material used for the manufacturing of absolute alcohol are rectified spirit, toluene or benzene and silica gel. The major unit operation involves in the manufacturing of this is Azeotropic Distillation. The basic manufacturing technology is fully available in India, but there has some problematic matter in the case of availability of raw material. Absolute alcohol, now a days is largely used in homeopathic industry also. There is increasing demand of absolute alcohol. Therefore there is great scope for the new comers who are willing to invest.
Plant capacity: -Plant & machinery: -
Working capital: -T.C.I: -
Return: N/ABreak even: N/A
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Surgical Methylated Spirit (Denatured Alcohol / Surgical Spirit)

Surgical Methylated Spirit is the special grade spirit, which is the mixture of castor oil, D.E.P. and some other chemicals. It has very good demand in pharmaceutical industries as well as in the hospitals. Average market growth for Surgical Methylated Spirit is 5 % per annum. Any new entrepreneur who will enter in the manufacturing of pharmaceutical grade methylated spirit will be successful.
Plant capacity: 10000 Litres/DayPlant & machinery: Rs. 69 Lakhs
Working capital: Rs. 96 LakhsT.C.I: Rs. 179 Lakhs
Return: 45.19%Break even: 60.81%
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Polyvinyl Alcohol

Polyvinyl alcohol is one of the few high molecular weight commercial polymers that is water soluble. It is a dry solid and is also available granular or powdered form. It has a wide range of applications including textiles, emulsions, adhesives, paper, PVC, ferrites, paints, transparency films for garment packing etc. The demand for polyvinyl are expand at faster pace. Japan is the major consumer of polyvinyl alcohol. It is imported substantially in the country and the demand is likely to go up at around 15% per annum. This provides very good scope for new investment.
Plant capacity: 2.0 MT/DayPlant & machinery: Rs. 132 Lacs
Working capital: Rs. 149 LacsT.C.I: Rs. 353 Lacs
Return: 62.67%Break even: 42.18%
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Geraniol Derivative and Alcohol Extract Of a Pinene

Acrylic terpene (C10) and sesquiterpene (C15) hydrocarbons find little use in composition. They are relatively unstable, some have a slightly aggressive odor due to their strongly unsaturated structure Mycene, ocimene and farnesonen, which are present in many fruits and essential oils, find-limited use in perfumery. The consumer is getting used to the imported fragrances. As the process matures, the market will need to be diversified & indianized. Companies are importing alcohols & oils to overcome the need for the right mix and process technology which does not exist in India. The consumer preferences and products variety are so wide that technology import is unavoidable at this stage. The market is small but growing. It is catching up with the nouveau rich life style. A long term high growth trend can be seen provided the consumer finds the products with in the reach of his pocket.
Plant capacity: 900 kgs/DayPlant & machinery: Rs. 29 Lakhs
Working capital: -T.C.I: Rs 188 Lakhs
Return: 46.00%Break even: 76.00%
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Alcohol Based Fuel Gel

Fuel gel prepared by using basic raw materials like ethyl alcohol, methyl alcohol, sodium stearate, carbopol etc. All the machinery and raw materials are available indigenously. Manufacturing process is almost pollution free. It is generally used in hotels, restaurants and parties. Product has good market demand. There is good scope for export in Bangladesh, Pakistan and Middle East countries. It is found that with the growth of hotels and tourism, demand of fuel gel is increasing around 15% per annum. a new entrepreneur enter in this field will be successful.
Plant capacity: 2 MT/DayPlant & machinery: Rs. 17.00 Lakhs
Working capital: Rs. 73 LakhsT.C.I: Rs. 122.00 Lakhs
Return: 44.00%Break even: 72.00%
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Beer Industry

Among the alcoholic drinks, Beer is quite common and popular in almost every Country of the World. People of different countries take beer in varying much like a soft drink in European countries it is just a substitute of water. The alcoholic contents and main source stuff also keep varying according to the tests of the major part of population of the particular country although it is a fashion to ask for beer of every origin in every country. Formulations of beer manufacturing are done with the view of availability of the raw materials in that particular part of the World where the brewery is proposed to be established. In most of the parts of the world, barley is universal source of beer extraction. But, beers are manufactured from Chamomile flowers and powdered gingers etc. as well. The manufacturing processes and quality control measure can make the beer nutrition, energy packed and refreshing. Among all the alcoholic drinks beer has become so common. Beer in the Western countries is the important constituent of daily food. The most important characteristic of drink is to keep body warm and certain refreshness throughout the body. Beer is the dilute alcoholic product. Barley is extensively employed for manufacture of malt used in brewing and distilling of beer. If we categorize beer, we find four categories as fallows. 1. Pale Beer Lagers, wheat Beer, Pale ales (Bitter Beer). 2. Dark Beer Dark Lagers, Porter, Stout, Mils ales (Brown ale) 3. Strong Beer Black Beer, Kafir Beer, Iactic Beer. 4. Special Beer etc. All above categories are in General. A particular manufacturer, uses, colour and flavour of his choice. In handy bottles, it is sold in the market. The beer shall be of the following two types Beer, strong Beer. Beer is drunk primarily as a source of liquid and for its pleasant & refreshing taste, non the less, its nutritional properties are of great importance. The calories content of beer is significant but not special high. The calories are provided by the unfermented, residues and alcohol. Alcohol also replace Carbohydrates, fats, proteins, so that there may be a gain in body weight. Beer also contributes to mineral requirement of the body and supplies useful quantities of Vitamin B complex. A special use of beer is for the control of sodium intake in the treatment of disease e.g. congestive hearty failure, high blood pressure and certain kidney and liver ailments. Beer is a popular beverage all over the world. Though an alcoholic beverage beer is not considered a hot drink like rum or whiskey as it contains alcohol ranging from only 8 to 9 percent. It is considered good for health in the sense that being very less in alcoholic content, it is found effective in improving appetite. The market for beer in India was about 65 mn cases of 12 bottles each and is slated to touch 10 mn cases in 200506, a growth of 23% in a year. There is very good demand for beer industry. There is very bright good scope for new investment. Any entrepreneur can enter in this field.
Plant capacity: 10000 Bottles/DayPlant & machinery: 403 Lakhs
Working capital: -T.C.I: Cost of Project : 959 Lakhs
Return: 45.00%Break even: 47.00%
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Medical Alcohol From Date Juice Concentrate

Date is one of the best fruits, which contains fructose as sugar ingredients, which is totally fermentable sugar and can be completely converted to ethyl alcohol by fermentation process. There are few expensive fabricating companies who can design the distillery plants and fabricate the plants. There is very good demand of medical alcohol. There is much more demand of it in India also. It is required about 30000000 litres alcohol needed for Homoeopathic medicine only and again it is required for Allopathic medicine. Few new entrepreneurs can venture into this project.
Plant capacity: 10000 Ltrs./DayPlant & machinery: 815 Lakhs
Working capital: -T.C.I: 1264 Lakhs
Return: 30.00%Break even: 57.00%
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IMFL, INDIAN MADE FOREIGN LIQUOR (WHISKEY, RUM, GIN, VODKA AND BRANDY)

Brandies are produced in batch or continuous distillation systems. The pot still or its variation is universally used in France, where as in the United States both systems are employed. The batch system produces, a more flavourful product, the continuous system a lighter, more delicate flavour. There are two types of brandy one is white and other is brown. White brandy is used for the use by human beings and the brown for other purpose. It is also used as a preservative for anatomical specimens and as a dehydrated agent in microscopic technique. Whiskey is an alcoholic distillate. It has a very little application and consequently almost none is produced. Today, the entire liquor market is estimated to be more than Rs.5,000 crore. This has been growing over the years at an average rate of 12-15% per annum. Whiskey accounted for the largest share in the total IMFL market (about 53%). There is a good scope for new entrants.
Plant capacity: 30000 Bottles/DayPlant & machinery: Rs. 1156 Lakhs
Working capital: -T.C.I: Rs. 2231 Lakhs
Return: 43.00%Break even: 39.00%
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ETHANOL FROM MOLASSES

In the earlier years, alcohol was mainly used for admixture with petrol and for potable purpose. Alcohol production was initially taken up with a view to utilized by-product molasses available from the sugar units. Now-a-days alcohol is used directly in the manufacture of several compounds such as either, ethyl acetate and other esters, acetic acid, acetone, chloral, chloroform etc. It is used in the manufacture of TNT and transparent soaps also. It is also employed for the extraction of essential oils and for the preparation of perfumes, essences and flavours. In India there are about 89 units engaged in the production of ethyl alcohol with an installed capacity of 5.34 lakhs kiloliters per annum. But the production is considerably lower than the demand. A new entrepreneur can well venture in this field.
Plant capacity: 40670 Gallons/DayPlant & machinery: Rs. 124 Crores
Working capital: -T.C.I: Rs.164 Crores
Return: 28.00%Break even: 57.00%
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  • One Lac / Lakh / Lakhs is equivalent to one hundred thousand (100,000)
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  • T.C.I is Total Capital Investment
  • We can modify the project capacity and project cost as per your requirement.
  • We can also prepare project report on any subject as per your requirement.
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