ALUMINIUM SULPHATE

CONTENTS
SECTION

PRODUCT CHARACTERISTICS AND SPECIFICATIONS

SECTION

II

PRODUCT APPLICATIONS

SECTION

III

INDIAN MANUFACTURERS

SECTION

IV

IMPORT/EXPORT TRENDS

SECTION

PRICE TRENDS

SECTION

VI

INDIAN DEMAND

SECTION

VII

BROAD OUTLINE OF MANUFACTURING PROCESS

SECTION

VIII

RAW MATERIALS REQUIREMENTS AND AVAILABILITY

SECTION

IX

GLOBAL SCENARIO

SECTION

DISCUSSIONS ON ECONOMIC CAPACITY,

PROJECT COST AND PROFITABILITY PROJECTIONS

SECTION

XI

SWOT ANALYSIS

SECTION

XII

FACTORS INFLUENCING THE POSITION FOR

A NEW INDUSTRY AND RECOMMENDATIONS

SECTION I
PRODUCT CHARACTERISTICS AND SPECIFICATION
1.1.General details
Form

Hydrated form, Al2 (SO4)3 .18H2O is

commonly known as Alum.
Ferric Alum is known as Ferric Aluminium
Sulphate.
It is the Alum with Iron content.

Chemical formula

Theoretically, Alum is Al2 (SO4) 3 18 H2O but

usual commercial form is closer to
Al2 (SO4)3 14 H2O.

Appearance

White crystalline solid, with a sweet taste

Categories and Grades

There are two broad categories of Alum as follows:
Ferric Alum which is generally made from Bauxite and Iron free Alum (non Ferric Alum),
generally made from Alumina.
Commercially, hydrated Aluminium Sulphate is called Alum and is sold under such names as
Filler Alum
Commercial Alum, Paper Makers Alum etc.
Technical grade

Aluminium Sulphate is provided in two forms: a

partially dehydrated solid and an aqueous solution of
this material containing about 27% Al2(SO4)3..

The reagent grade

Al2(SO4)3.18H2O is slightly, odourless, colourless monoclinic

crystals, having a specific gravity of 1.69.
The solid material, `Dry Alum is partially crystalline and may
be discoloured to a brownish-green owing to impurities (chiefly
iron) in the ores from which it is made. The solution form,
`liquid Alum may exhibit a similar discolouration.

1.2.

Specification of Alum
2

Non ferric alum powder

Ferric alum(second quality more in soluble)
Ferric alum slab

1.3.

Al2O3
17%
15-16%
7%

Insoluble form
Nil
4.5%
Nil

Form
powder
Slab 20.kg
Solution of 2 pH

Aluminium Sulphate granulated (ALG)

General Details
ALG is Iron free and is delivered in a granulated form for easy and safe handling. It is
produced by International organisations such as Kemira of Finland.
The granules are free flowing and easy to feed with a screw feeder with a minimum of
dust.
The granules dissolves easily if handled in the right way. There is no risk of clogging.
The granules have a high density. This is an advantage in terms of both freight cost and
storage space.
Specifications of Aluminium Sulphate Granulated
Al2O3 total acc.to Din 19600
Total Fe as Fe2O3
Crystal water
Al2O3 free
Insoluble matter in water

17.2%
0.07%
435
0.5%
0.03%

SECTION II
PRODUCT APPLICATIONS
Application sector

Nature of application

Water Treatment

The major area of use for Alum is in water

treatment and clarification. Its clarifying action
is attributed to Aluminium hydroxide formation
by hydrolysis. This, in turn, carries down all
the colloidal impurities and forms a slimy layer
at the bottom.

Sizing of Paper

The other major areas of use is in sizing of

paper. It reacts with sodium resinate to give
insoluble Aluminium resinate. For sizing of
paper, Alum should be free from Ferric ions or
else the paper will be discoloured. Ferrous
ions do not harm since they form a soluble
colourless resinate which, however, would
represent a loss of resinate . Alum imparts
certain degree of resistance to penetration by
liquids during sizing of paper.

Miscellaneous Applications

Alum is also required in various other

industries like Dyes, Food, Petroleums,
Pharmaceuticals, fire-proofing, tanning etc.

SECTION III
INDIAN MANUFACTURERS
There are number of Alum manufacturers in the country in the small scale sector.
The manufacturers include the following.
*

Sree Drona Chalam Chemicals (P) Ltd.,

40-329-A7,II Floor, Gandhinagar,
Kurnool-518001

The Coastal Chemicals Ltd.,

Door No.7-20-8,
37-A, Kirlampudi Layout,
Visakhapatnam - 530 017. (A.P.)
Factory :
Mindi (Via) Gajuwaka,
Visakhapatnam - 530 042.

Bengal Chemicals & Pharmaceuticals Ltd.

(A Govt. of India Enterprise)
Panihati B.T. Road,
24-Pgs(N)-743 176
Factories : 1. 168,Maniktala Main Road,
Calcutta-700 054

Ambica Chemical Industries

Plot No. 7414, GIDC,
Ankleshwar, Bharuch-393 002

Kalpana Chemicals
E/186, First Floor,
B.G. Tower, O/s. Delhi Gate
Ahmedabad-380 004

National Industries
Plot No. 155/C/A-3,
GIDC., Ankleshwar, Dist. Bharuch-393 002

Shivam Alums & Chemicals

PlotNo. 7603, B/H, Karmatur Chokdi, GIDC.,
Ankleshwar-393 002, Dist. Bharuch

Mercers Chemical Industries

MAG-Pharma Industries
231, Samuel Street, Masjid Bunder (W), Mumbai-400 003.

Tinco Chemicals
Patel Society,Vallabh Baug Lane,
Opp. Indian Overseas Bank,
Ghatkopar (E), Mumbai - 400 077.

Vivira Chemicals Pvt. Ltd.,

205, Princess Street,
Mumbai-400 002

Guljag Industries Ltd.

Nahata Bhavan
Chopasni Road
Jodhpur-342 003

Ayes Dyes & Chemicals,

No.1,1st Cross,Off. Vanagaram Road,
Opposite to T.T.G. Inds,
Ayanambakkam, Madras-602 102.

Kumar Chemical Corporation

A-4/4, SIPCOT Indl. Complex,
Cuddalore-5

Metroblue Industries
P.B. No.5, 1, Quarry Road,
Evergreen Nagar, Thirupparam Kundram,
Madurai-625 005

Pondicherry Chemicals
B-188, PIPDIC Industrial Estate
Mettupalayam-605 009

Quality Fluorides (P) Ltd.

108/1, Sedarapet Via,
Auroville, Pondicherry-605 111

Bansal Chemical Industries

8-D, Singar Nagar-226 005

Around 2,50,000 tonnes per annum

Indian Installed capacity

SECTION IV
IMPORT/EXPORT DETAILS
4.1.

Imports

4.1.1.

Present import level

4.1.2.

Countrywise Imports

Around 40 tonnes per annum

Period April 2001 to March 2002

Country

Quantity in Kgs

Janpan
Singapore
UK
USA

13200
3888
20000
150

4.2.

Exports

4.2.1.

Present Export level

4.2.2.

Countrywise Exports

8500 tonnes per annum

Period April 2001 to March 2002

Country

Quantity in Kgs

Bangladesh
Chinese Taipei
Colombia
France
Kenya
Malagasy RP
Malaysia
Mauritious
Nepal
New Zealand
Oman
Philippines
Slovenia
South Africa
Spain
Sri Lanka
Sudan
Tanzania REP

2000
50000
200000
326000
1314500
135000
450
118000
395510
84000
43000
4000
26000
52650
22000
2938226
315000
1466000
7

Uganda
U Arab Emts
USA
Zimbabwe

43000
727100
146000
64000

4.2.3. Sample of individual exports details of Aluminium Sulphate

Period 2002
Name of the Exporters

Value in Rs.

Country

Date

Port

Vivira Chemicals P.Ltd.,

Quantity in
tonnes
25

147469

Dubai

Mumbai

MK Aromatics Ltd.,

150

656078

Victoria

Adheshwara Exports
P.Ltd.

150

480675

Colombo

01.05.2002 to
31.05.2002
16.05.2002 to
31.05.2002
11.07.2002 to
31.07.2002

Chennai
Chennai

SECTION V
PRICE TRENDS
5.1.

Period:

November, 2002

Basic price

Rs.5000 per tonne

Taxes and duties

Extra at actuals

SECTION VI
INDIAN DEMAND
The assessment of demand for Alum is made for the following sector
Ferric alum is an important chemical used in the paper industry and in water treatment.
Paper industry
The most important use of Alum is in the paper industry for sizing of papers.
The paper industry uses Aluminium Sulphate for the clarification of process water, pH
control of pulp slurries, setting of dyes and precipitating colloidal clay and dissolved
resin into the size on the fibres of the paper (setting of size).
A paper mill consumes Ferric and non Ferric Alum at the rate of around 4 kgs/100 kgs of
finished paper.
Water treatment
The next important outlet is in water and sewage treatment as a coagulant: Reaction of
Alum with alkali in the water produces an Aluminium hydrate floc which drags down
various impurities and aids in removing bacteria and in controlling the taste of water.
Alum sold to municipalities for these uses is required to be basic to a slight excess of
Al2O3.
The Alum used for this applications is usually in the solution form. Frequently it is
acidic containing a slight excess of Sulphuric acid for potable and waste water treatment
processes.
Miscellaneous applications
In addition to this, Alum also finds application in textile units, soaps. cosmetics, fire
extinguishers etc.
Demand

The estimated demand of Aluminium sulphate in the country is around 1,50,000 tonnes
per annum.
The estimated growth rate in demand is 6 to 7% per annum.

10

SECTION VII
BROAD OUTLINE OF MANUFACTURING PROCESS
Production of Aluminium sulphate in India starts from bauxite.
Bauxite from Jamnagar (Gujarat) which contains high percentage of Alumina and low
Iron content continues to be the best source for the manufacture of this heavy chemical.
Technology and process
There is batch process as well as continuous process for the manufacture of Alum. The
batch process is adopted in the country.
Bauxite ore containing preferably less than 3% Iron is transported to the plant site and
crushed to a size of 50 to 75 mm. The crushed ore is further powdered by using a
pulveriser.
It is often seen that finer the size of bauxite, quicker would be the reaction rate. Usually
ground bauxite of size 100 to 140 mesh is used in the process. It is essential that the
Ferric oxide content shall be less than 3% in the ore, to obtain a satisfactory product
containing less than 0.1% Iron.
Prepared Ore is subjected to reaction with Sulphuric acid in open lead lined digesters at a
temperature of around 105 deg.C.
The desired strength of Sulphuric acid in open lead lined digesters is 52 deg. Be.
total reaction time is around 12 to 16 hrs.

The

The reacted solution is taken to a settling tank. After settling ,the sludge is removed and
discarded. The clear solution is concentrated in open pan evaporators.
The concentrated solution is poured into large wooden vats, where it solidifies. This
block is broken down into smaller pieces and sold. Where powdered form is required, it
is subjected to pulverisation.

11

Source of technology
*

Centre for Technology Transfer,

524, Bhanu Vilas,
Sai Section, Ambernath - 421 501.

Shriram Projects & Engineering Services,

Upper Ground Floor,
Pragati Tower,
26,Rajendra Place,
New Delhi-110 008

Major plant and machinery suppliers

Name of the equipment

Name of the suppliers

Boilers

Cethar Vessels Ltd.,

No.4, Dindigul High Road,
Trichy

Reactors

Firetech Boilers Pvt. Ltd.

No.211, 2nd Cross,
38th Main, B.T.M. Layout
2nd Stage, Bangalore-68
Chemitherm Plants & Systems P. Ltd.,
30, Anandha Street
Alwarpet, Chennai-600 018

Centrifuge

Texel Fabricators Pvt. Ltd.,

335, Sidco Industrial Estate,
Ambattur, Chennai-600 098, Tamil Nadu
Hydrabad Met Chem. Pvt. Ltd.,
34, C.I.E., Phase II,
Gandhinagar, Opp. IDPL Colony
Hyderabad-500 037

Mixer

Spark Engineers Pvt. Ltd.,

5/332, State Bank Colony II
Salem-636 004
ACE Pack Machines
23, V.N. Industrial Estate
Bharathi Colony,Near Athiparasakthi Temple
Peelamedu, Coimbatore-641 004
Drycon Systems
F-14, IInd Main Road,
Anna Nagar East
Chennai-600 102

12

Dryers

The Anup Engineering Ltd.,

Behind 66 KV Electric Sub Station
Odhav Road, Ahmedabad-382 415
ATRE Thermal Products Pvt. Ltd.,
Pushpa Heights, 1st Floor,
Bibwewadi Corner, Pune-411 037

Pulveriser

ACE Pack Machines

23, V.N. Industrial Estate
Bharathi Colony,Near Athiparasakthi Temple
Peelamedu, Coimbatore-641 004
Frigmaires Engineers
PO Box 16353, 8, Janata Industrial Estate
Senapati Bapat Marg
Opp Phoenix Mill, Lower Parel (W)
Mumbai-400 013

13

SECTION VIII
RAW MATERIAL REQUIREMENTS AND AVAILABILITY
Raw material requirement
Basis: 10 tonnes per day of Alum
Bauxite containing 60% (Al2O3) and
Ferric oxide(Fe2O3) less than 3%
Sulphuric acid 98% concentration

4.0 tonnes

Water at 30 deg.C inclusive of cleaning water

60,000 litres

Fuel
Air at 30 Psig pressure
Flaked glue
Black ash (Barium sulphide)
Power

480 litres
20 M3 per hour
2000 gms per tonne
90 kgs per tonne
249240 units

5.5 tonnes

Raw material availability

Name of the raw material

Name of the supplier

Sulphuric acid

There are more than one hundred units producing

Sulphuric acid in the country, at various capacity
levels.
The total installed capacity for Sulphuric acid in
the country is around 6.5 million tonnes per
annum.
Tanfac Industries Ltd.,
14, SIPCOT Indl Complex
Kudikadu, Cuddalore

Adheswara Chemicals Pvt. Ltd.,

82, Panapakkam Village,UthukottaiTaluk,
Chengai MGR Dist.
Bauxite

Indigenously available from Mines in Rajasthan

14

SECTION IX
GLOBAL SCENARIO
Aluminium sulphate hydrate is commonly marketed in the technical or commercial grade
The commercial grade is dissoluble both as Alum or granular solid containing 17 to
17.5% Al2O3 and as a solution containing 7.5 to 8.5% Al2O3.
In the USA, it is usually produced by reacting bauxite or clay with sulphuric acid.
Bauxite is more expensive than clay. The clay, generally kaolin, is roasted to remove
organic materials and to break down its crystalline structure, there by increasing the
alumina values available for extraction.
Roasting is an energy intensive process. In addition, both clays and bauxite vary
considerably with respect to the undesirable impurites of Iron and potassium.
Thus, the choice of the raw material, roasted clay or bauxite, is governed by the overall
economics of producing a satisfactory product.
The optimum conditions for roasting the clay and the optimum strength of the sulphuric
acid depend upon the particular source of the bauxite or clay. Finely ground baxuite or
roasted clay is digested in sulphuric acid near the boiling point of the solution
(100 to 120 deg.C) The clay or bauxite to acid ratio is adjusted to produce, either acidic
or basic alum. Solids are removed by sedimentation. If necessary, the solution can be
treated to remove iron.
The iron free grade is produced by using pure Alumina trihydrate in place of bauxite or
clay. Excess iron may lead to staining and discolouration of the product containing the
aluminium sulphate.

15

Important Global manufacturers

*

Laporte Chemicals Australia

20-22 McPherson St.,
Banks Meadow, NSW 2019
Post Box 18, Botany, MSW 2019

Kemira Pigments Asia Pacific Pte. Ltd.,

10, Anson Road,
International Plaza,
No.33-06A, Singapore-079 903.

Kali-Chemie AG
Hans-Boeckler-Allee 20
D-3000 Hannover 1

Cosmocel, S.A
Via Matamoros 1501, Apdo. No.1, Suc.A,
San Nicolas De Los Garza,
Nuevo Leon 66480, Mexico.

16

SECTION X
DISCUSSIONS ON ECONOMIC CAPACITY, PROJECT COST AND
PROFITABILITY PROJECTION
Economic capacity

3000 tonnes per annum

Project cost

Rs.134 lakhs

Assessment of project cost

1.
Land
S.No.

Description

1.1

Cost of land of one acre at Rs.5.5 lakh per acre

1.2

Cost of levelling, laying internal roads/fencing and

Compound wall
Subtotal

2.

Building
Description

2.1
2.2

Factory building of area 400 sq.m. at Rs.3200/sq.m.

Non-factory building of area 40 sq.m.at Rs.4500/sq.m.
Subtotal

Cost
Rs.in lakhs
12.8
1.8
14.60

Cost of Plant & Machinery

S.No.

Description

3.1
3.2
3.3
3.4

Cost of basic plant and machinery

Instrumentation and control
Pipelines and valves
Structurals for erection
Subtotal
Octroi, excise duty, sales tax, etc.at 12%
Packaging and insurance charges (2%)
Transportation charges (2%)
Machinery stores and spares (2%)
Foundation charges (2%)
Installation charges (2%)
Total cost of plant and Machinery

3.5
3.6
3.7
3.8
3.9
3.10

0.55
6.05

S.No.

3.

Cost
Rs.in lakhs
5.5

17

Cost
Rs.in lakhs
44
3.3
4.4
2.2
53.9
6.47
1.08
1.08
1.08
1.08
1.08
65.77

4.

Technical know-how fees

5.

Miscellaneous fixed assets

Rs.2.2 lakhs

S.No.

Description

5.1.
5.2.
5.3.
5.4.
5.5.
5.6.
5.7.

Electrification
Steam boiler and auxillaries
Water storage tank, borewell etc.
Fuel storage tank
Laboratory equipment
Office machinery & equipment
Material handling equipment, packaging machinery,
Weigh balance, etc.
Diesel generator
Effluent treatment
Total

5.8.
5.9.

6.

Cost
Rs.in lakhs
2.7
2.7
1.4
1.4
1.4
1.4
1.4
5
2.5
19.9

Preliminary & Pre-operative expenses:

S.No.

Description

6.1.
6.2.
6.2.1
6.2.2
6.2.3
6.2.4
6.2.5
6.2.6
6.2.7

Preliminary expenses
Pre-operative expenses:Establishment
Rent rates and taxes
Travelling expenses
Interest and commitment charges on borrowings
Insurance during construction period
Other preoperative expenses and deposits
Interest on deferred payment
Total

Cost
Rs.in lakhs
1.65
1.5
1.5
1.5
7.0
1.75
14.9

7.

Provision for contingency

Rs.7.24 lakhs

8.

Working capital margin

Rs.2.31 lakhs

9.

Total project cost

Rs.134

10.

Means of Finance

Promoter'
s contribution
Term loan from financing institutions
Total project cost

Rs.54 lakhs
Rs.80 lakhs
Rs.134 lakhs

18

11.

Financial statements (Rs. in lakhs)

A
Variable cost
Raw material and utilities
Spares and maintenance
Selling expenses
Total Variabel cost
B.
Fixed Cost
Salaries and wages
Interest on term loan and working capital loan
Depreciation
Administrative expenses
Total fixed cost
C.
Total cost of production(A + B)
D.
Selling price per kg. in Rupees
E.
Annual sales turnover
F
.Net profit before tax (E-C)
G.
Breakeven point in %

71.8
4.0
7.5
83.3.
7.2
16
8
4.5
35.7
119
5
150
.31
54%

SECTION XI
19

SWOT ANALYSIS

Strength

Large availability of Bauxite in the country

Weakness

Competitive conditions

Opportunity

No production of Granulated Alum in the country

Threat

High credit period required for the sale of the

product

SECTION XII
20

FACTORS INFLUENCING THE POSITION FOR A NEW INDUSTRY AND

RECOMMENDATIONS
Aluminium sulphate remains as an important product, finding vital applications in water
treatment and in the paper industry.
The demand for the product has been steadily going up, requiring additional capacity
creation.
Though the demand for the product is vibrant, it is also found that a number of units have
become sick in recent times.
The reason is the severe competitive conditions in the market and high credit period
required for the sale of the product.
At the same time, major units like Dharamsi Morarji Chemical Co. Ltd., have been
operating satisfactorily for the last several decades. This, obviously implies that strong
working capital strength are required for operating successfully in the market.
It is seen that granulated alum is not presently produced in India. The project proposal for
granulated alum can be considered, which would provide good export opportunity.

21