What is a activated bleaching earth from bentonite project report?
An activated bleaching earth from bentonite project report is a detailed project report (DPR) for a plant that treats bentonite clay with sulphuric acid. The product is an adsorbent for refining edible and mineral oils. The report sets out the process, machinery, raw materials, effluent treatment, project cost, finance, five-year projections, DSCR and break-even.
Promoters use it to size the plant and raise a term loan; banks and investors use it to judge whether the plant can repay.
Also known as: acid activated bleaching earth project report, activated clay plant DPR, bleaching earth business plan, project report on activated bleaching earth.
Activated bleaching earth plant cost in India
Our sample report models a 17 metric tonnes per day (MT per day) plant working 300 days a year, or 5,100 MT a year at full capacity. It starts at 60% utilisation, reaches 80% in Year 5 and sells at ₹26,200 per MT before GST.
| Land and site development | 68.41 |
|---|---|
| Building and civil works | 153.26 |
| Plant and machinery | 303.66 |
| Other fixed assets | 36.83 |
| Contingencies | 22.85 |
| Preliminary and pre-operative | 14.63 |
| Working capital margin | 28.64 |
| Total | 628.28 |
| Promoter's contribution (25%) | 157.07 |
|---|---|
| Term loan from bank (75%) | 471.21 |
| Cash credit limit (separate) | 85.92 |
| Total project cost | 628.28 |
DSCR, the debt service coverage ratio, shows how many times the plant's cash covers loan instalments. In the sample it never falls below 1.92, which comes in Year 2 when full principal repayments begin.
Term loan at 10.5% with a 6-month moratorium and 54 monthly instalments. All figures are illustrative.
Activated bleaching earth manufacturing process
The common route in India is wet acid activation: the clay is reacted with sulphuric acid as a slurry, then washed and dried. Raw bentonite has some natural bleaching power; acid treatment raises its surface area and activity sharply.
- Clay sorting and crushing
Bentonite from the mine is sorted to remove grit and off-colour clay, then crushed in a jaw crusher and disintegrator.
- Slurry making
The crushed clay is stirred with water in agitated tanks until it forms a smooth slurry without lumps.
- Acid activation
Sulphuric acid is added and the slurry is held near boiling, around 90–100°C, for a few hours in rubber or brick lined reactors heated by steam.
- Washing and filtration
The activated clay is washed and pressed in filter presses to remove dissolved salts and leftover acid to the target acidity.
- Drying
The filter cake goes through a flash dryer fed by a hot air generator and leaves at the moisture level refiners ask for.
- Milling and classification
A pulveriser with an air classifier grinds the dry clay to a fine, even powder that filters well at the refinery.
- Testing and packing
Each batch is tested for bleaching power on a standard oil, plus acidity and moisture, and packed in HDPE bags.
Temperatures and times are indicative. Acid dose and reaction time are fixed for each clay through laboratory trials.
Which process route and grade should the plant make?
The route you choose decides the grade you can sell, the machines you buy and the size of your effluent plant. Settle it before you ask for machinery quotations.
| Wet slurry activation with washing | Clay is reacted as a slurry, then washed and filtered. Gives the most active grades for edible oil refiners. Needs filter presses, steam and a full effluent plant |
|---|---|
| Low-acid activation without washing | A smaller acid dose is mixed into the clay, which is then dried and milled without a wash. Cheaper to run and produces little wash water, but the grade is less active |
| Natural or dried bentonite | Clay is only dried and ground. No acid plant is needed, but activity is low, so it suits less demanding uses |
| What the sample models | The wet slurry route, with filter presses, a flash dryer and an effluent treatment plant |
Plan for trials first: two clays from the same district can need very different acid doses. Activation trials on your own clay are the basis for the yield and acid figures in a credible report.
Raw materials for activated bleaching earth
Bentonite is the largest raw material cost in the sample, followed by sulphuric acid. Raw materials come to about 29% of sales in Year 3. India's main bentonite districts are Kachchh and Bhavnagar in Gujarat and Barmer in Rajasthan, so freight from the mine often decides where a plant is built.
| Raw material | Share of cost | Year 3 (₹ lakh) |
|---|---|---|
| Raw bentonite clay | 56% | 151.84 |
| Sulphuric acid | 38% | 103.03 |
| Hydrated lime for effluent neutralisation | 6% | 16.27 |
| Total | 100% | 271.14 |
Sulphuric acid prices move with the fertiliser and metals cycle, so the report should test a price rise against DSCR.
Machinery for an activated bleaching earth plant
The acid-proof lined activation reactors are the costliest item in the sample, followed by the flash dryer. Everything that touches hot acid needs rubber, brick or FRP lining, which is why this plant costs more than a plain clay grinding unit of the same output.
| Machine | What it does | Sample cost (₹ lakh) |
|---|---|---|
| Jaw crusher and clay disintegrator | Breaks mine lumps for slurry | 21.26 |
| Slurry preparation tanks with agitators | Mix clay and water | 24.29 |
| Acid-proof lined activation reactors | Heat the slurry with acid | 66.80 |
| Steam boiler | Heats the reactors | 18.22 |
| Filter presses and washing system | Wash out salts and acid | 39.47 |
| Flash dryer with hot air generator | Dries the filter cake | 45.55 |
| Pulveriser with air classifier | Grinds to the set fineness | 36.44 |
| Effluent treatment plant | Neutralises acidic wash water | 30.37 |
| Bag filling and stitching machine | Packs in HDPE bags | 21.26 |
| Total plant and machinery | 303.66 | |
Costs are the sample report's estimates for a 17 MT per day plant. Get current quotations before you finalise.
Utilities and manpower for the plant
Fuel for the boiler and dryer is a bigger running cost than acid. In the sample, power and fuel come to ₹111.16 lakh in Year 3, against ₹103.03 lakh for sulphuric acid.
| Power and fuel | About 11.9% of sales in the sample, for the boiler, flash dryer, pulveriser and pumps |
|---|---|
| Steam | From an on-site boiler to heat the activation reactors |
| Water | For slurry making and washing; recycling treated water from the effluent plant cuts intake |
| Manpower | 30 people in the sample: 5 in management and supervision, 10 skilled operators and 15 semi-skilled and unskilled workers |
| Wage bill | ₹56.40 lakh in Year 1, rising 5% a year |
| Building | ₹153.26 lakh in the sample for the process shed, clay yard, acid storage, stores and office |
Licences and standards for a bleaching earth plant
| Business registration | Udyam (MSME) registration and GST registration |
|---|---|
| Pollution board consent | Consent to establish and consent to operate from the State Pollution Control Board, which assigns the category under the Red, Orange, Green, White and Blue system. Confirm the category for an acid activation plant with the board before buying land |
| Raw material supply | Bentonite is a minor mineral, so its mining is regulated by the state. Buy from leases with valid permits, and check whether your state needs a registration to store or process it |
| Product standard | IS 1965:1972 specifies bleaching earths of Indian origin for bleaching vegetable oils |
| Spent earth | IS 12039:2022 covers spent bleaching earth, which refiners may ask about when they plan disposal or resale |
| Factory and fire | Factory licence where the workforce threshold applies, and fire safety NOC where required; rules vary by state |
Checked October 2026. Requirements vary by state, so confirm with the local authorities before applying.
Who buys activated bleaching earth?
Edible oil refining drives demand. Refiners add the earth to oil in the bleaching stage, typically at a small percentage of oil weight, to take out colour pigments, soap traces and metals before deodorising.
Demand runs through the year because refineries work continuously, and refiners of palm, soybean, sunflower and rice bran oil all use it.
- Edible oil refineries and solvent extraction plants with refining sections
- Vanaspati and bakery fat makers
- Transformer oil and lubricant reclaimers
- Mineral oil and paraffin wax refiners
- Biodiesel producers cleaning used cooking oil
- Chemical traders supplying smaller refiners
How a new plant wins orders: refiners test bleaching result, oil left in the spent earth and filtration speed in their own laboratory. Keep batch records and retain samples, because one off-grade lot can lose an approved supplier status.
Mistakes that weaken an activated bleaching earth from bentonite project report
- Assuming one tonne of clay gives one tonne of product
Acid dissolves part of the clay and washing removes it, so dry output is less than clay input. Yield must come from trials, not a guess.
- Pricing every tonne at the top grade
Highly active grades sell for more, but a new plant sells some lower-grade output while it tunes the process. Use a realistic grade mix.
- Under-sizing the effluent plant
Washing produces large volumes of acidic water. If the effluent plant and lime cost are too small, consent is delayed and running cost is understated.
- Ignoring the refinery approval period
Buyers test samples and run trial lots before regular orders. Sales should ramp up slowly, and working capital should cover the gap.
- Leaving out dryer fuel
Drying wet filter cake uses a lot of heat. In the sample, power and fuel cost more than acid, so a low fuel figure inflates profit.
How NPCS helps you plan a bleaching earth plant
- Clay and route selectionCompare process routes and grades against your bentonite source and target buyers.
- Machinery and suppliersSpecify lined reactors, filter presses, dryer and effluent plant, and collect quotations.
- Bank-ready project reportProjections, DSCR, working capital and sensitivity to acid and fuel prices in your lender's format.
- Layout and approvalsPlant layout, acid storage, effluent plan and the approvals list for your state.
NPCS's client list includes 2 assignments for activated bleaching earth from bentonite and 25 in industrial minerals. The NPCS project team, led by founder Ajay Kumar Gupta, has prepared project reports since 1994.
What's inside the activated bleaching earth from bentonite sample report
- Introduction
- Uses and applications
- Market potential
- Manufacturing process
- Raw materials
- Plant and machinery
- Land, building and utilities
- Manpower
- Licences and approvals
- Project cost and means of finance
- Working capital
- Projected profitability
- Cash flow statement
- Projected balance sheet
- Depreciation
- Term loan repayment
- Debt service coverage
- Break-even analysis
- Financial ratios
- Key assumptions
- Conclusion
- Monthly loan repayment schedule
18 pages, five-year projections, illustrative figures.
Open sample reportFree sample or a report for your project?
| What you get | Free sample | NPCS report for your project |
|---|---|---|
| Capacity and location | Typical unit | Your capacity, site and state |
| Figures | Illustrative | Built on current prices and quotations |
| Machinery suppliers and quotations | No | Yes |
| Market survey for your region | No | Yes |
| Bank or scheme format (PMEGP, term loan) | No | Yes |
| Use for a loan application | No | Yes |
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Activated Bleaching Earth from Bentonite project report: frequently asked questions
What is the cost of an activated bleaching earth plant in India?
Our sample report models a 17 MT per day plant at ₹628 lakh, including land, building, machinery and working capital margin. As indicative ranges, a small 3–5 MT per day unit may need ₹1.5–3 crore, and a 40–50 MT per day plant ₹12–18 crore. Your report works out the cost for your capacity, grade and site.
How is activated bleaching earth made from bentonite?
Bentonite is crushed and made into a slurry, then heated with sulphuric acid in acid-proof reactors. The acid opens up the clay structure and raises its surface area. The activated clay is washed, filtered, dried, milled to a fine powder and tested for bleaching power before packing. The acidic wash water is neutralised with lime.
Which bentonite is used for bleaching earth?
Calcium-rich bentonite is preferred because it responds well to acid activation. India's main bentonite districts are Kachchh and Bhavnagar in Gujarat and Barmer in Rajasthan. Clay from each mine behaves differently, so a plant should run laboratory activation trials on its chosen clay before fixing acid dose, reaction time and expected yield.
Is an activated bleaching earth business profitable?
In our illustrative sample, a 17 MT per day plant earns a 29% return on investment in Year 3. It breaks even at about 31% of capacity and pays back in about 3 years. Real profit depends on clay quality, acid price, fuel cost for drying, the grade you sell and how quickly refiners approve your product.
Is there a BIS standard for bleaching earth?
Yes. IS 1965:1972 is the Indian Standard specification for bleaching earths of Indian origin used for bleaching vegetable oils. Separately, IS 12039:2022 covers spent bleaching earth, the used material refineries discharge. Many refiners also set their own limits for bleaching efficiency, oil retention, moisture and particle size, so check buyer specifications early.
Who buys activated bleaching earth?
Edible oil refineries are the largest buyers, using it in the bleaching stage before deodorising. Vanaspati and bakery fat makers, transformer oil reclaimers, lubricant and wax refiners and biodiesel producers also buy it. Most buyers test samples in their own laboratory and place a trial order before agreeing a regular supply contract.
Is the sample report free and can I use it for a loan?
The sample is free to view and download. It is an illustrative report that shows the format and depth of an NPCS report. Its figures are representative and not based on a real project, so it should not be submitted to a bank. For a loan, NPCS prepares a report for your own capacity, location and lender.
Sources and references
- IS 1965:1972 Specification for bleaching earths of Indian origin used for bleaching vegetable oilsBureau of Indian Standards, checked Oct 2026
- IS 12039:2022 Spent bleaching earth, specificationBureau of Indian Standards, checked Oct 2026
- Indian Minerals Yearbook 2022: Bentonite (advance release)Indian Bureau of Mines, Ministry of Mines, checked Oct 2026
- Revised categorisation of industries (Red, Orange, Green, White, Blue)Maharashtra Pollution Control Board, checked Oct 2026
The NPCS project team, led by Ajay Kumar Gupta
This page and its sample report are prepared and reviewed by the NPCS project team, which has written techno-economic feasibility studies and detailed project reports since 1994.
Ajay Kumar Gupta founded Niir Project Consultancy Services (NPCS) and leads the organisation. With 40 years of experience in MSME project consulting, he has built the team that has delivered more than 28,000 project reports for clients worldwide, helping entrepreneurs plan and finance profitable manufacturing businesses.
- Published
- Last updated
- Next review
- Oct 2027
- Reviewed by
- NPCS project team
This page is reviewed every 12 months, or sooner when scheme limits, GST rates, BIS rules or pollution categories change. The sample report is illustrative: its figures are generated from industry-typical ratios for a unit of this size, checked so every statement balances, and are not taken from any client project.