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Best Business Opportunities in Telangana- Identification and Selection of right Project, Thrust areas for Investment, Industry Startup and Entrepreneurship Projects

Telangana is a state in the Southern region of India. It has an area of 114,840 km2 and is the twelfth largest state in India. Most of it was part of the princely state of Hyderabad, ruled by the Nizam of Hyderabad during the British Raj, joining the Union of India in 1948. Telangana was separated from Andhra Pradesh as a new 29th state of India, with the city of Hyderabad as its capital. Hyderabad will continue to serve as the joint capital city for Andhra Pradesh and Telangana for a period of not more than ten years. Telangana is situated on the Deccan Plateau, in the central stretch of the eastern seaboard of the Indian Peninsula. It covers 114,800 square kilometers (44,300 sq. mi). The region is drained by two major rivers, with about 79% of the Godavari River catchment area and about 69% of the Krishna River catchment area, but most of the land is arid. Telangana region has rich natural resources. About 45 per cent of the forest area in Andhra Pradesh state is in Telangana region while 20 per cent of the country's coal deposits in the country are also found here. Telangana is also rich in limestone deposits that cater to cement factories. Telangana has other mineral resources like bauxite and mica. Perennial rivers Godavari and Krishna enter Andhra Pradesh in Telangana before flowing down through other regions and ending up in the Bay of Bengal. Telangana region is sitting on potential oil and natural gas reserves, according to a report by Director General of Hydrocarbons (DGH). Telangana has a significant amount of Software export in India. While majority of the Industry is concentrated over Hyderabad, the other cities are also becoming significant IT destinations in the state. Hyderabad's IT exports exceeded $7 billion in 2014.There have been extensive investments in digital infrastructure.

 

AGRICULTURE

Rice is the major food crop and staple food of the state. Other important crops are tobacco, mango, cotton and sugar cane. Agriculture has been the chief source of income for the state's economy. Important rivers of India are the Godavari, Krishna flow through the state, providing irrigation. Telangana agriculture department separated from Andhra Pradesh as part of Andhra Pradesh bifurcation It aims promote agricultural trade and to boost up the agricultural production and productivity in the Telangana.

 

TOURISM IN TELANGANA

Telangana State Tourism Development Corporation (TSTDC) is a state government agency which promotes Tourism in Telangana. Telangana has a variety of tourist attractions including historical places, monuments, forts, water falls, forests and temples. Charminar, Golconda Fort, QutbShahi Tombs, Chowmahalla Palace, Falaknuma Palace and Bhongir Fort, are some of the monuments in the state. The Charminar, built in 1591 CE, is a monument and mosque located in Hyderabad, Telangana, India.

 

DEMOGRAPHIC PROFILE

Telangana with a population of 351.9 lakhs (according to the 2011 census) accounts for about 3.6% percent of the total population of India. Out of this, 177.0 lakhs (50.2%) are males and 174.9 lakhs (49.8%) are females. The sex ratio of the state is 988 as against the national figure of 943. The population density in the state is 307 persons/Sq.Km. In 2012-13, the services sector at Rs.  1, 14,046 crores, contributed 58.1% to the GSDP (at constant prices). It is followed by industry sector, contributing 27.9% (Rs. 54,687 crores) and the agriculture sector’s contribution of 14% (Rs. 27,450 crores). The services sector had fastest growth  of  11.31%  followed  by  industry  sector  (10.04%)  and  agriculture  sector  (6.89%) between 2004-05 and 2012-13.

The Telangana government has proposed to add 230 crore plants in the next three years under a flagship programme which envisages boosting of tree cover in the state by nearly 8%.

 

FOOD AND INDUSTRIAL PROCESSING SECTOR

The Telangana government plans to put greater emphasis on value-addition in the farm sector in its industrial policy. The departments of industry and commerce, agriculture and agro marketing would coordinate together to achieve value maximization for farmers. The government is also keen on encouraging e-marketing activities, which involves networking all agriculture mandis in the state so that farmers get access to prevailing prices across important markets and thereby helping them unlock the right value for their produce. The state in collaboration with research institutes in the country would facilitate an ideal adoption of latest practices ranging from seed technology and farm machinery to improve farm productivity. the state government is also considering specific projects such as setting up a pharmaceutical city near Hyderabad and a cotton hub in Warangal district, the largest producer of long-staple cotton. The Telangana government has begun a survey to identify land that can be offered to new industries in the state. The Telangana government is set to announce its new industrial policy under which scheduled castes and scheduled tribe entrepreneurs would be specially encouraged.

Telangana Government is mulling to set up a 'Pharma City' near the state capital in about 8,000 acres. The City will include industries as well as residential colony, and a power plant with 500 MW capacity will be set up adjacent to the pharma city to provide captive, dedicated and uninterrupted power supply to the industry. The pharma city is expected to accommodate about five lakh employees besides their families in the residential colony touching about twenty lakh over a period. Delegation of Drugs Manufacturers' Association that an international consultancy organisation with expertise in developing in the information technology and pharmaceuticals manufacturing sectors may become backbone of Telangana economy, leaving power production, ports and oil and natural gas to play a pivotal role in driving prosperity in the residuary state. Industrial estates should be contacted to design the pharma city. Telangana's per capita income of Rs 24,409 in 2004-05 has phenomenally grown to a whopping Rs 83,020. While Hyderabad has less number of households using open toilets at 0.9 per cent, Mahabubnagar is at 71.1 per cent. The land-locked state is expected to have nearly Rs 4,000 crore surplus budget, but lingering power deficit may force the new government to spend more on the power purchase. Telangana, spread in 1,14,840 square kilometres, has 66.46 per cent literacy rate with a population of 3.52 crore.

 

ECONOMY OF TELAGANA

The Economy of Telangana is mainly driven by agriculture. Two important rivers of India, the Godavari and Krishna, flow through the state, providing irrigation. Rice, cotton, mango and tobacco are the local crops. Recently, crops used for vegetable oil production such as sunflower and peanuts have gained favour. There are many multi-state irrigation projects in development, including Godavari River Basin Irrigation Projects and NagarjunaSagar Dam, the world's highest masonry dam. Telangana is a mineral-rich state, with coal reserves at SingaerniColleries. The population of Telangana is over 35 million now – much more than 30 million for the whole of Andhra Pradesh, including Telangana, at the time of its formation in 1956. The demands on governance have multiplied over this half a century. Apart from commitment to the development of the region, a smaller state being more easily accessible to the common people can intelligently and speedily grapple with their problems.

 

INDUSTRIAL POLICY FRAMEWORK FOR STATE OF TELANGANA

Industrialization will be the key strategy followed for economic growth and development for Telangana, the 29th state of the country. People of the new state have very high expectations from the Telangana State Government for creating jobs for the youth, promote development of backward areas, maximize growth opportunities by optimum utilization of the available resources, harness the talents and skills of the people etc. The Government of Telangana State realizes that industrial development requires large-scale private sector participation, with the government playing the role of a facilitator and a catalyst. The government is committed to provide a graft-free, hassle-free environment in which the entrepreneurial spirit of local, domestic and international investors will thrive to take up their industrial units in the state of Telangana as the preferred investment destination.

The new Telangana State Industrial Policy will be rooted in certain core values, as follows:

 

                • The Government regulatory framework shall facilitate industrial growth

                • Entrepreneurs will thrive in a peaceful, secure and progressive business regulatory                                        environment

                • Industrial development will lead to massive creation of jobs benefitting local youth

                • Industrialization shall be inclusive and facilitate social equality

 

The new Telangana State Industrial Policy will strive to provide a framework which will not only stabilize and make existing industries more competitive, but also attract and realize new international and national investments in the industrial sector. It is expected that the most significant outcome of this approach will be the production of high quality goods at the most competitive price, which establishes “Made in Telangana-Made in India” as a brand with high global recognition. The Industrial Policy Framework has the following mandate for departments that have any responsibility in the industrialization of the State—Minimum Inspection and Maximum Facilitation.

The Government of Telangana State is determined to create an ecosystem in which the ease of doing business in the state matches and even exceeds the best global standards. Telangana State Government is aware that offering a hassle-free system is considered to be of the highest priority by the industrialists, and accordingly the government will implement a very effective industrial clearance system that will go beyond the traditional single window system.

 

THRUST AREAS AND CORE SECTORS

•             Life Sciences including, bulk drugs, formulations, vaccines, nutraceuticals, biological,   incubation centers, R&D facilities and medical equipment.

•             IT Hardware including bio-medical devices, electronics, cellular communications.

•             Precision engineering, including aviation, aerospace, defence.

•             Food processing and nutrition products including dairy, poultry, meat and fisheries.

•             Automobiles, Transport Vehicles, Auto-components, Tractors and Farm Equipment.

•             Textiles and Apparel, Leather and leather value added products like shoes, purses, bags,         artificial   material infused and coated textiles, paper and paper products.

•             Plastics and Polymers, Chemicals and Petro-chemical, glass and ceramics.

•             FMCG and Domestic Appliances.

•             Engineering and Capital Goods, including castings, foundry and Ferro-alloys and other    metallurgical industries.

•             Waste Management and Green Technologies.

•             Renewable Energy and Solar Parks.

•             Mineral-based and wood-based Industries.

•             Transportation/Logistic Hub/Inland Port/Container Depot.

 

Telangana has emerged as a State that provides that right climate for the growth of IT business and is now one of the most preferred destinations in the Country.

The State of Telangana is poised towards creating a benchmark in Information & Communication Technology (ICT) endowed with a high quality state-of-the-art physical & communication infrastructure of international standards, harnessed human resources, and proactive business friendly policies of the Government.

It is estimated that about 20 lakh acres of land is available in the state that has been identified as unfit for cultivation in Telangana. Based on a detailed survey of these land parcels and identification of those parcels that are fit for industrial use, an industrial land bank for the State of Telangana will be developed.

The development of industrial and related infrastructure will be the responsibility of the Telangana State Industrial Infrastructure Corporation (TSIIC). The financial base of the TSIIC will be strengthened and it will be made to function as an effective organization. All lands in the State identified as fit for industrial use will be transferred to the TSIIC.

To support industrialization, the Government of Telangana will earmark 10% of water from all existing and new irrigation sources for industrial use. Water pipelines will be laid as a part of infrastructure creation for each industrial park by TSIIC. The Government of Telangana State recognizes that quality power and uninterrupted power supply are keys to the growth of the industrial sector. The State has a clear short-, medium-, and long-term plans to first overcome the power shortage and eventually become a power surplus state. Accordingly, uninterrupted power supply will be arranged in each industrial park. The Telangana State Government will encourage usage of non-conventional energy for industrial purposes.

The Telangana State Government is committed to encourage the process of industrialization by making various kinds of incentives available to the entrepreneurs. The Telangana State Government also assures an entrepreneur-friendly and graft-free regime of disbursing the incentives. The Telangana State Government will consider providing incentives to the entrepreneurs in the following areas-

•             Stamp duty reimbursement

•             Land conversion cost

•             Investment subsidy

•             VAT reimbursement

•             Interest subsidy

•             Clean production measures

•             Reimbursement of infrastructure development costs etc.

A sound industrial policy has to ensure that the state taxation structure is conducive to industrial growth and state financial resource augmentation. Distortions in the tax structure leads to evasion of taxes and clandestine transport of industrial inputs and outputs to neighbouring states, which may have advantageous tax rates. The presence of important national and state highways, coupled with the availability of resources and opportunities, provides a great potential for development of industrial corridors in the state along these roadways.

The Industrial Corridors that will be developed initially will be:

 

1) Hyderabad-Warangal Industrial Corridor

2) Hyderabad-Nagpur Industrial Corridor

3) Hyderabad-Bengaluru Industrial Corridor

The new Industrial Policy brought out by the Government of Telangana promises to revolutionise the way industrial sector has been viewed by successive governments in this country. A day is not far when the new Industrial Policy of Telangana will shine as an exemplar among the best in the world.

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Aluminium Foil (Food Packaging and Pharmaceuticals Foils)

Aluminium plays a major role in the modern world through its innumerable forms of applications- from kitchenware to electric conductors and from railway wagon to Appollo spacecraft. Because of its intrinsic and versatile properties of lightness, strength to weight ratio, corrosion resistance, electrical and thermal conductivity, non toxicity etc., a wide range of uses has opened up for this metal. As a result, it has captured the market at the expense of older materials- copper, lead, zinc and steel among metals and glass, wood and paper among no metals. In fact, next only to steel, aluminium is the most widely used metal in the world today. Aluminium as a packaging material is unmatched owing to its lightweight, hygienic and non-contamination which eventually results in longer shelf-life of end products. The user of foil always wishes to get the largest area where his money and foil is used in packaging as thin as 0?008 mm, when it has a covering area of 32,300 square inches to the pound. When the metal is as thin as this it is not only physically weak but will contain minute perforations very thin foil is a less efficient barrier than is thicker foil free from perforations. The global aluminium foil packaging market size will reach $46.19bn by 2025, with a revenue-based compound annual growth rate (CAGR) of 4.0% over the forecast period, the industry’s growth to the increasing demand for packaging in the food and beverage and pharmaceutical industries. Tobacco, cosmetic, and electronic industries are also set to create growth opportunities for the aluminium market. Aluminium is a recyclable material that can be found in abundance and aluminium foil is strong, lightweight, portable, flexible, and mouldable. Aluminium foil is used in the pharmaceutical industry to package various types of medicine because it offers protection from moisture and sunlight. The increased need for aluminium in the industry comes as a result of increased demand for drug delivery devices and blister packaging. The demand for aluminium packaging to the rising demand for ready-to-eat food products in the food and beverage industry. It says: “Fast-paced lifestyle, ease of ordering through online platforms, and the ability to choose from diverse restaurants are the significant factors that have surged demand for online food delivery, which in turn, is expected to drive the market in near future.” Aluminium is used in the food and beverages industry for packaging solutions which including foil wraps, pouches, blisters, and containers. Foil wraps, in particular, are used by households to wrap food products and have witnessed a surge in demand due to the growing food delivery services in growing economies such as India, China, and Brazil. In pharmaceutical end-use segment, aluminum foil is largely used for packaging drugs in the form of blisters. Pharmaceutical packaging industry also uses foil pouches to pack fluid drugs. Aluminum foil is also used in the form of caps, lids, and closures for plastic containers. Pharmaceutical end user industry segment is expected to be growing at the second fastest CAGR over the forecast period. Aluminum foil blisters are widely used in the pharmaceutical industry for packaging capsules and tablets. Factors, such as the shift toward busy lifestyles and adoption of unhealthy lifestyle have resulted into high prevalence of chronic diseases. In addition, increasing number of health campaigns by various government and non-government organizations has resulted in growth of the pharmaceutical industry boosting the demand for medicines. This factor is projected to drive the product demand in near future.
Plant capacity: Food Packaging Grade Aluminium Foil: 10.0 MT / day Pharmaceutical Grade Aluminium Foil:10.0 MT / dayPlant & machinery: 1413 lakhs
Working capital: -T.C.I: Cost of Project:Rs 2190 lakhs
Return: 28.00%Break even: 62.00%
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Synthetic Soda Ash Production from Limestone and Brine

Soda ash is the trade name for sodium carbonate, a chemical refined from the mineral trona or sodium-carbonate-bearing brines (both referred to as "natural soda ash") or manufactured from one of several chemical processes (referred to as "synthetic soda ash"). It is an essential raw material in glass, chemicals, detergents, and other important industrial products. In 1998, in terms of production, soda ash was the 11th largest inorganic chemical of all domestic inorganic and organic chemicals, excluding petrochemical feed stocks. Although soda ash represented only 2% of the total $39 billion U.S. nonfuel mineral industry, its use in many diversified products contributed substantially to the gross domestic product of the United States. Because soda ash is used in flat glass for automobile manufacture and building construction, which are important economic sectors of the domestic economy. Sodium carbonate is soluble in water, and can occur naturally in arid regions, especially in mineral deposits (evaporites) formed when seasonal lakes evaporate. Deposits of the mineral natron have been mined from dry lake bottoms in Egypt since ancient times, when natron was used in the preparation of mummies and in the early manufacture of glass. The anhydrous mineral form of sodium carbonate is quite rare and called natrite. Sodium carbonate also erupts from Ol Doinyo Lengai, Tanzania's unique volcano, and it is presumed to have erupted from other volcanoes in the past, but due to these minerals' instability at the earth's surface, are likely to be eroded. Indian Soda Ash industry, which previously depended on imports, has made forays in the overseas market also. Indian exports of soda ash increased from 2.5% of production in FY'00 to 14.9% of production in FY’05 making the trade balance positive (Trade Balance = Export – Import) with reasonable margin. However, with the removal of anti–dumping duty in 2005, the imports rose again and the trade balance became negative during FY’06. Considering 41.9 Million MT of global demand at present, the demand would increase by almost 1 to 1.5 million MT every year. Of this additional demand, around 60% would come from India, China and Middle East countries. Our outlook for world soda ash prices is stable over the medium term. However, crude oil prices are a matter of concern. Increase in crude oil prices would further increase the cost of transportation and cost push price rise may be seen. The demand for the product is widespread and constitutes of several industry groups like glass, metals, textiles, detergents & soaps. The glass industry forms the largest end user industry of dense soda ash with over half of the soda ash production being used in glass production on a global scale. Light soda ash is primarily used for aluminum cleaning, dying and water softening. Light soda ash is also used to make baking soda that finds application in the food, leather tanning, fire extinguisher, metals, chemicals and personal care products industry. This makes soda ash a critical inorganic chemical in the global manufacturing value chain. Given its widespread utilization and demand, the chemical is highly traded on a global scale.
Plant capacity: Synthetic Soda Ash:60.0 MT / day Calcium Chloride :48.0 MT/ dayPlant & machinery: 685 lakhs
Working capital: -T.C.I: Cost of Project:Rs 2093 lakhs
Return: 29.00%Break even: 57.00%
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Solar Panel

Solar panel refers either to a photovoltaic module, a solar thermal energy panel, or to a set of solar photovoltaic (PV) modules electrically connected and mounted on a supporting structure. A PV module is a packaged, connected assembly of solar cells. Solar panels can be used as a component of a larger photovoltaic system to generate and supply electricity in commercial and residential applications. Each module is rated by its DC output power under standard test conditions (STC), and typically ranges from 100 to 320 watts. The efficiency of a module determines the area of a module given the same rated output - an 8% efficient 230 watt module will have twice the area of a 16% efficient 230 watt module. There are a few solar panels available that are exceeding 19% efficiency. A single solar module can produce only a limited amount of power most installations contain multiple modules. A photovoltaic system typically includes a panel or an array of solar modules, an inverter, and sometimes a battery and/or solar tracker and interconnection wiring. India solar power products market is projected to grow at a CAGR of more than 11% to surpass $ 7.6 billion by 2024 on the back of increasingly stringent policy and regulatory framework and rising environmental concerns. The Ministry of New and Renewable Energy has set a target of 100 GW of solar power generation capacity by 2022. To achieve the target, government has taken several initiatives in the form of offering subsidies, financial assistance, incentives to manufacturers, power producers and even customers. The government has also partnered with several nodal agencies at the central and state levels for the installation of off-grid SPV systems. Subsidies are made available to the customers to encourage installation of grid connected rooftop photovoltaics. Additionally, rising per capita income and developments in the photovoltaic technologies are further anticipated to positively influence India solar power products market during forecast period. Few Indian major players are as under Alectrona Energy Pvt. Ltd Alpex Solar Pvt. Ltd. Bright Solar Ltd. Central Electronics Ltd. Devsun Solar Pvt. Ltd
Plant capacity: Solar Panel:83.3 KW / dayPlant & machinery: 162 lakhs
Working capital: -T.C.I: Cost of Project : Rs 804 lakhs
Return: 28.00%Break even: 54.00%
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Groundnut Oil Production and Refining

Groundnut is an important oilseed crop in Nigeria and one third of these seeds is processed for edible oil. Groundnut oil is the main natural edible oil consumed without additives in the middle Mediterranean region. Groundnut oil is one of the most stable vegetable oils in relation to oxidation. The oxidative stability of oils may be influenced by many factors, such as light, metal ions, oxygen, temperature, and enzymes. Groundnut oil is composed of ?80% of unsaturated fatty acids, with oleic acid comprising an average of ?50% and linoleic acid 30% of the total fatty acid composition. Groundnut oil is a vegetable oil derived from groundnuts. It is also called peanut oil. The oil has a strong peanut flavor and aroma. It is often used in American, Chinese, South Asian and Southeast Asian cuisine, both for general cooking, and in the case of roasted oil, for added flavor. Nigeria is the largest groundnut producer in Africa. This year, the production is expected to total around 3 million metric tons, making it the 3rd largest producer in the world, after China and India. During the 1960s, Nigeria was also the largest groundnut exporter in the world, but currently, most of its groundnut production is meant for domestic consumption. Prices in the Nigerian groundnut market are expected to rise this year due to increased domestic and international demand. Groundnuts in Nigeria are mainly produced in the Northern states: Adamawa, Niger, Taraba, Kaduna, Benue, and Kano. During the 1960s and 1970s, when Nigeria discovered the profitability of producing and exporting groundnuts, these states were filled with ‘groundnut pyramids.’ These pyramids were made of bags filled with groundnuts, which were waiting to be exported. Over time, Nigeria shifted its focus from agriculture to oil and the groundnut industry became less important. The groundnut pyramids disappeared. Over the recent year, however, groundnuts have once again become an interesting product for Nigerian farmers, due to the increased demand for groundnut oil and groundnut butter
Plant capacity: Groundnut Oil (1 Ltr Bottle each):20,000 Packs / day Groundnut Cake (25 Kgs each):1,140 Packs / dayPlant & machinery: 190 lakhs
Working capital: -T.C.I: Cost of Project: Rs 1760 lakhs
Return: 35.00%Break even: 44.00%
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Particle Board from Wheat/Rice Straw

Agricultural waste or residue is made up of organic compounds from organic sources such as rice straw, wheat straw, oil palm empty fruit bunch, sugar cane bagasse, coconut shell, and others. Straw, the stalks of grasses, particularly of such cereal grasses as wheat, oats, rye, barley, and buckwheat.Rice straw and wheat straw are agricultural side products and can be collected after harvest of the main product, paddy rice/rough rice orwheat grain. Rice straw and wheat straw are a lignocellulosic biomass. Relative to other agricultural by-products, it contains a high amount of inorganic components and ash. Rice straw is a low cost biomass. Construction industry is one of the fastest growing sectors in India. Rapid construction activity and growing demand of houses has lead to the short fall of traditional building materials. Bricks, Cement, sand, and wood are now becoming scares materials. Demand of good quality of building materials to replace the traditional materials and the need for cost effective and durable materials for the low cost housing has necessitated the researchers to develop variety of new and innovative building materials. Construction materials of special requirements for the houses in different geographical region to overcome the risk of natural hazard and for protection from sever climatic conditions has also emphasised the need for development of lightweight, insulating, cost effective, durable and environment friendly building materials. The particle board market reached a value of US$ 19.3 Billion in 2018, growing at a CAGR of 6.1% during 2011-2018. Particle boards are mostly used in places such as recording studios and concert venues due to their excellent sound-absorbing properties. These are also used for making household furniture such as kitchen cabinets, bookcases, doors, windows, and covering the walls and floor. Moreover, particle boards can be painted, wallpapered and laminated which adds to the aesthetic quality of the surroundings. Owing to these factors, the market is expected to reach a value of US$ 25 Billion by 2024. Few Indian major players are as under Amazon Wood Pvt. Ltd. Asian Pre-Lam Inds. Pvt. Ltd. Associate Decor Ltd. Bajaj Eco-Tec Products Ltd. Best Board Ltd.
Plant capacity: Particle Board (Size 6x3x0.471'): 5,000,000.0 Sq.Mtrs. / AnnumPlant & machinery: 335 lakhs
Working capital: -T.C.I: Cost of Project : Rs 930 lakhs
Return: 28.00%Break even: 57.00%
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Disposable Face Masks

A surgical mask, also known as a procedure mask, medical mask or simply as a face mask, is intended to be worn by health professionals during surgery and during nursing to catch the bacteria shed in liquid droplets and aerosols from the wearer's mouth and nose. They are not designed to protect the wearer from inhaling airborne bacteria or virus particles and are less effective than respirators, such as N95 or FFP masks, which provide better protection due to their material, shape and tight seal. Surgical masks are designed to keep operating rooms sterile, preventing germs from the mouth and nose of a wearer from contaminating a patient during surgery. Although they have seen a rise in popularity among consumers during outbreaks such as the coronavirus, surgical masks are not designed to filter out viruses, which are smaller than germs. The global market for surgical mask can be segmented on the basis of the following parameters: product, distribution channel, and region. On the basis product, the global surgical mask can be segmented into anti-fog surgical mask, basic surgical mask, fluid/splash resistant surgical mask, N95 mask, and others. Amongst these, the market for basic surgical mask has flown in from multiple healthcare facilities. The key distribution channels for surgical masks are drug stores, hospitals and clinics, and online stores. The effectiveness of surgical face mask in blocking the transmission of SARS is 68%. Therefore, it is widely used by medical workers as part of droplet transmission precaution when caring for patients with respiratory infections. Hence, increase in use of surgical face masks is projected to fuel the growth of the global surgical face masks market. Furthermore, vulnerable populations, such as older adults with chronic conditions, are at high risk of infectious diseases, including COVID-19. Hence, the use of face mask to prevent infections by the geriatric population is anticipated to drive the global market. The world is currently experiencing the pandemic of an infectious disease called COVID-19. This infection leads to multiple organ failure, acute & severe respiratory disorders, pneumonia, and even death in severe cases. Hence, surge in number of people with coronavirus infections is anticipated to drive the global surgical face masks market. According to the World Health Organization, globally, 823,626 confirmed and 72,736 new cases of COVID-19. Additionally, in the context of the novel coronavirus (2019-nCoV) outbreak, the World Health Organization recommends the use of masks in home and health care settings. This in turn increases demand for surgical marks. Hence, rise in demand for surgical masks is likely boost the growth of the global market. The use of face mask is vital to control infectious diseases, especially in circumventing droplet transmission. Few Indian major players are as under 3M India Ltd. Good Health Insurance T P A Ltd. Kimberly-Clark India Pvt. Ltd. Mediklin Healthcare Ltd. Surgeine Healthcare (India) Pvt. Ltd.
Plant capacity: Surgical Face Masks (each Pkts 25 Pcs.): 1,694 Pkts / day N95 Face Masks (each Pkts 5 Pcs.): 8,467 Pkts / dayPlant & machinery: 688 lakhs
Working capital: -T.C.I: Cost of Project: Rs 1400 lakhs
Return: 27.00%Break even: 58.00%
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Baby & Adult Diaper and Sanitary Pads

Modern disposable baby diapers and incontinence products have a layered construction, which allows the transfer and distribution of urine to an absorbent core structure where it is locked in. Basic layers are an outer shell of breathable polyethylene film or a nonwoven and film composite which prevents wetness and soil transfer, an inner absorbent layer of a mixture of air-laid paper and superabsorbent polymers for wetness, and a layer nearest the skin of nonwoven material with a distribution layer directly beneath which transfers wetness to the absorbent layer. Thus, due to this property, the diapers are gaining huge consumption amongst the baby as well as adult population. Further, it is anticipated that the Baby Diaper market is expected to reach around INR 200 Billion by 2022, growing at a double digit CAGR over the forecasted period 2017-2022. Other common features of disposable diapers include one or more pairs of either adhesive or Velcro tapes to keep the diaper securely fastened. Some diapers have tapes which are refastenable to allow adjusting of fit or reapplication after inspection. Elasticized fabric single and double gussets around the leg and waist areas aid in fitting and in containing urine or stool which has not been absorbed. This is due to lack of awareness and economic inability for adopting better precautions like use of good sanitary napkins during menstruation period. Usually different varieties of sanitary napkins are found available in the market but they are very expensive and are not affordable for rural & under-privileged women and girls. In India, the technology for sanitary napkins available by processing of raw cotton spinning and weaving to napkins. On small scale, the processed cotton is purchased which is spinned and woven. Previously, in Japan, absorbent cotton was used for the purpose. But the use of absorbent cotton limited bodily movement considerably. P&G’s Pampers dominates the overall diaper industry, followed by Huggies and Mamy Poko. P&G’s lack of innovation and focus on higher margins amid aggressive strategies adopted by its competitors to increase their market share is expected to decrease brand’s market share in future. Japanese firm Unicharm, which sells Mamy Poko diapers, overtook Kimberly Clark in baby diaper segment nearly two years ago. In baby diaper segment, Pampers, Mamy Poko and Huggies constitute more than 85% of the market by value whereas in adult diaper segment, Nobel Hygiene and Actifit dominate the industry heavily. This facilitates the development of new technologies and ensures a high quality product. Few Indian major players are as under Carewell Hygiene Products Ltd. Centron Industrial Alliance Ltd. Diapers India Ltd. Godrej Hygiene Products Ltd. Gufic Biosciences Ltd.
Plant capacity: Baby Diapers (4 Pcs.): 84,000 Pkts./ day Adult Diapers (4 Pcs.):18,000 Pkts./ day Sanitary Pads (8 Pcs.): 48,000 Pkts./ dayPlant & machinery: 2167 lakhs
Working capital: -T.C.I: Cost of Project : Rs 4596 lakhs
Return: 31.00%Break even: 42.00%
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Baby & Adult Diaper and Sanitary Pads

Modern disposable baby diapers and incontinence products have a layered construction, which allows the transfer and distribution of urine to an absorbent core structure where it is locked in. Basic layers are an outer shell of breathable polyethylene film or a nonwoven and film composite which prevents wetness and soil transfer, an inner absorbent layer of a mixture of air-laid paper and superabsorbent polymers for wetness, and a layer nearest the skin of nonwoven material with a distribution layer directly beneath which transfers wetness to the absorbent layer. Thus, due to this property, the diapers are gaining huge consumption amongst the baby as well as adult population. Further, it is anticipated that the Baby Diaper market is expected to reach around INR 200 Billion by 2022, growing at a double digit CAGR over the forecasted period 2017-2022. Other common features of disposable diapers include one or more pairs of either adhesive or Velcro tapes to keep the diaper securely fastened. Some diapers have tapes which are refastenable to allow adjusting of fit or reapplication after inspection. Elasticized fabric single and double gussets around the leg and waist areas aid in fitting and in containing urine or stool which has not been absorbed. This is due to lack of awareness and economic inability for adopting better precautions like use of good sanitary napkins during menstruation period. Usually different varieties of sanitary napkins are found available in the market but they are very expensive and are not affordable for rural & under-privileged women and girls. In India, the technology for sanitary napkins available by processing of raw cotton spinning and weaving to napkins. On small scale, the processed cotton is purchased which is spinned and woven. Previously, in Japan, absorbent cotton was used for the purpose. But the use of absorbent cotton limited bodily movement considerably. P&G’s Pampers dominates the overall diaper industry, followed by Huggies and Mamy Poko. P&G’s lack of innovation and focus on higher margins amid aggressive strategies adopted by its competitors to increase their market share is expected to decrease brand’s market share in future. Japanese firm Unicharm, which sells Mamy Poko diapers, overtook Kimberly Clark in baby diaper segment nearly two years ago. In baby diaper segment, Pampers, Mamy Poko and Huggies constitute more than 85% of the market by value whereas in adult diaper segment, Nobel Hygiene and Actifit dominate the industry heavily. This facilitates the development of new technologies and ensures a high quality product. Few Indian major players are as under Carewell Hygiene Products Ltd. Centron Industrial Alliance Ltd. Diapers India Ltd. Godrej Hygiene Products Ltd. Gufic Biosciences Ltd.
Plant capacity: Baby Diapers (4 Pcs.): 84,000 Pkts./ day Adult Diapers (4 Pcs.):18,000 Pkts./ day Sanitary Pads (8 Pcs.): 48,000 Pkts./ dayPlant & machinery: 2167 lakhs
Working capital: -T.C.I: Cost of Project : Rs 4596 lakhs
Return: 31.00%Break even: 42.00%
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Hand Sanitizer

Hand sanitizers that do not contain alcohol usually contain benzalkonium chloride instead. They kill bacteria by disrupting their membranes, but we still don’t know how effective they are against certain types of viruses. The US Centre for Disease Control and Prevention say this type of hand sanitizer is less reliable for tackling Covid-19 than those which are alcohol-based. Hand sanitizer is a liquid or gel generally used to decrease infectious agents on the hands. Alcohol-based hand sanitizer kills many types of viruses by dissolving their fat membranes. It kills bacteria by disrupting its cell membrane. The product also usually contains hydrogen peroxide which kills bacterial spores. While older hand sanitizers were known to dry your hands, newer ones contain gelling agents which dramatically reduce skin dryness. Most of these hand sanitizers contain a combination of isopropyl alcohol (rubbing alcohol) and ethanol. The percentage of alcohol present in hand sanitizer is key to its efficacy – those with less than 60 per cent alcohol will be less effective at killing microorganisms, and will just reduce their growth. India hand sanitizer market is projected to surpass $ 43 million by 2025. Growth of hand sanitizer market in India can be attributed to rising awareness about healthy lifestyle & wellness, shifting consumer preference towards convenient hygiene products and rising disposable income. Moreover, the strong marketing activities by leading brands, in addition to huge endorsements, are some other drivers of hand sanitizer market in India. Moreover, the COVID-19 outbreak has boosted demand for sanitizers like never before across the diverse end user segments. The rising healthcare investments for providing a high-end and safer medical environment for healthcare professionals by preventing hospital-acquired infections (HAIs) have augmented the demand for hand sanitizers in the medical sector. Furthermore, as a result of the COVID-19 pandemic in the country, the demand of hand sanitizers has increased exponentially since the start of 2020. Growth of hand sanitizer market in India can be attributed to rising awareness about healthy lifestyle & wellness, shifting consumer preference towards convenient hygiene products and rising disposable income. Moreover, the strong marketing activities by leading brands, in addition to huge endorsements, are some other drivers of hand sanitizer market in India. Moreover, the COVID-19 outbreak has boosted demand for sanitizers like never before across the diverse end user segments. Hand Sanitizer Market size is projected to cross $2 billion by 2025, growing at a CAGR of 7.8% during the forecast period 2020-2025. Hand Sanitizer is an antiseptic disinfectant available in the form of a liquid, gel, foam and many others. It is said to be more effective than soaps due to its ability to eliminate most microorganisms. Public awareness campaigns by global health authorities such as the WHO (World Health Organization) also play a significant role in promoting the use of hand sanitizers. Increasing consumer awareness about hygiene coupled with such government initiatives are driving the hand sanitizer market. According to findings, there is a preference for using hand sanitizer by 77.0% of the population covered in a survey, while 23.0% claim to not to use the product. The 77.0% population in the favor of using hand sanitizer is comprised of 37.5% male users and 62.5% of female users. Moreover, key manufacturers are adding to their product line in order to increase their market share with increasing awareness. Few Indian major players are as under 3M India Ltd. Apollo Home Healthcare (India) Ltd. Colgate-Palmolive (India) Ltd. Dabur India Ltd. Godrej Hygiene Care Pvt. Ltd. [Merged] Himalaya Drug Co. Pvt. Ltd.
Plant capacity: Hand Sanitizer (50 ml size Bolltes):10,000 Bottles/dayPlant & machinery: Rs 16 lakhs
Working capital: -T.C.I: Cost of Project :Rs 156 lakhs
Return: 31.00%Break even: 62.00%
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Surgical & N95 Masks

A surgical mask, also known as a procedure mask, medical mask or simply as a face mask, is intended to be worn by health professionals during surgery and during nursing to catch the bacteria shed in liquid droplets and aerosols from the wearer's mouth and nose. They are not designed to protect the wearer from inhaling airborne bacteria or virus particles and are less effective than respirators, such as N95 or FFP masks, which provide better protection due to their material, shape and tight seal. Surgical masks are designed to keep operating rooms sterile, preventing germs from the mouth and nose of a wearer from contaminating a patient during surgery. Although they have seen a rise in popularity among consumers during outbreaks such as the coronavirus, surgical masks are not designed to filter out viruses, which are smaller than germs. The India surgical mask market is driven by various factors, such as increase in elderly population, increase in adoption of surgical mask in the general population, and surge in prevalence of contagious and chronic diseases such as tuberculosis and asthma. Furthermore, rise in the number of medical device manufacturing companies is also anticipated to supplement the growth of the surgical masks industry. The world is currently experiencing the pandemic of an infectious disease called COVID-19. This infection leads to multiple organ failure, acute & severe respiratory disorders, pneumonia, and even death in severe cases. Hence, surge in number of people with coronavirus infections is anticipated to drive the global surgical face masks market. According to the World Health Organization, globally, 823,626 confirmed and 72,736 new cases of COVID-19 were recorded as of April 1, 2020. The effectiveness of surgical face mask in blocking the transmission of SARS is 68%. Therefore, it is widely used by medical workers as part of droplet transmission precaution when caring for patients with respiratory infections. Hence, increase in use of surgical face masks is projected to fuel the growth of the global surgical face masks market. Furthermore, vulnerable populations, such as older adults with chronic conditions, are at high risk of infectious diseases, including COVID-19. Hence, the use of face mask to prevent infections by the geriatric population is anticipated to drive the global market. Additionally, in the context of the novel coronavirus (2019-nCoV) outbreak, the World Health Organization recommends the use of masks in home and health care settings. This in turn increases demand for surgical marks. Hence, rise in demand for surgical masks is likely boost the growth of the global market. The use of face mask is vital to control infectious diseases, especially in circumventing droplet transmission. The India surgical mask market accounted for $58 million in 2017, and is projected to reach $95 million by 2025, registering a CAGR of 6.1% from 2018 to 2025. Surgical masks are made of natural fiber, such as cotton or disposable linen or synthetic materials, such as polypropylene. They are made of different layers including a hydrophobic outer layer, a middle filtering layer, and an inner hydrophilic layer to absorb the fluid and moisture. They are used as a barrier to avoid cross contamination by microorganisms and are used during surgical procedures. The surgical mask is used by surgeons during procedures and other medical professionals while interacting with the patients to avoid cross contamination of microorganisms. Thus, due to demand it is best to invest in this project. Few Indian major players are as under 3M India Ltd. Good Health Insurance T P A Ltd. Kimberly-Clark India Pvt. Ltd. Mediklin Healthcare Ltd. Surgeine Healthcare (India) Pvt. Ltd.
Plant capacity: 3-Layer Surgical Face Masks (each Pkts = 25 Pcs.) :380 Pkts / day N95 Face Masks (each Pkts = 5 Pcs.): 1,900 Pkts / dayPlant & machinery: Rs 166 lakhs
Working capital: -T.C.I: Cost of Project: Rs 266 lakhs
Return: 25.00%Break even: 66.00%
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  • One Lac / Lakh / Lakhs is equivalent to one hundred thousand (100,000)
  • One Crore is equivalent to ten million (10,000,000)
  • T.C.I is Total Capital Investment
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  • Caution: The project's cost, capacity and return are subject to change without any notice. Future projects may have different values of project cost, capacity or return.

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