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Brief history of the
Promoter:
Shri. S. A. Alagarsamy, Son of Late. Sornam
Alagarsamy Naidu, aged 63 years is the Chief Promoter of
“Dr. M.G.R. Jatropha Bio-Diesel Project”. He who
has dedicated his entire life for the purpose of
“Bio-Diesel Project”. He has done research in 1978-79 on
Jojoba and met Dr. M.S. Swaminathan. Since Jojoba is a
desert shrub, he has chosen Jatropha as an alternative
bio-fuel crop. Born in a traditional family of
agriculture and his father Late. S. Alagarsamy Naidu was
doing whole-sale business of kerosene during the
pre-independence period and he was a massive cultivator
of chilies and pulses.
Reasoning for
the promotion of this project:
33 Million hectares of wasteland have been allotted to
tree plantation in India. Jatropha can grow well on
wastelands with little inputs. The plantation yields
upto 5 tones/hectare oil seeds possible under optimum
conditions. If the potential is fully realized India’s
current diesel annual requirement of 40 Million tones
can be easily met. It is surprising that 5 tones of
oilseeds can produce 2 tones of bio-diesel which can be
used in automobiles, other agro industrially useful
bi-products.
Jatropha
Curcas plants grow on poor degraded soils and are able
to ensure a reasonable production of seeds with very
little inputs. It is not grazed by animals. It is highly
pest and disease resistant.
Time taken for
net yield is 3 - 5 years based on soil and rainfall
conditions. Yields vary from 0.5 to 12 tones per year
based on soil and rainfall conditions. An average seed
production of about 5 tones per hectare can be converted
into bio-diesel by a process call transesterification. A
yield of 0.75 to 2 tones of Bio-diesel could be expected
per hectare per year from the 5th year onwards.
Bio-diesel
from Jatropha are similar to the Bio-diesel produced
from rape seed oil which could be used in any
automobile. Brand which has been approved for its use by
the manufacturers without any modification to use engine
or accessories.
Jatropha Bio-diesel
is better for automobiles - Why ?
1. Higher
octane number indicates potential for higher engine
performance.
2. Better fuel
consumption compared to petrol-diesel.
3. Superior
lubricating properties.
4. Higher
flash point for safer storage.
5. No sulphur
or aromatic substances.
6. Higher
oxygen content ( upto 10% )
Bio-diesel reduces
emission of particulate matter by 40%, unburned
hydrocarbons by 68%, carbon monoxide by 44%, sulphates
by 100%, Poly cyclic aromatic hydrocarbons by 80%,
carcinogenic nitrated by 90% on an average bio-diesel
complements the working of the catalyst and can help a
current Euro - I motor car to attain Euro - II
standards.
Jatropha Plantation
gives Bi-products / other benefits.
1. Protein
seed cake that can be potentially used as animal and
fish feeds.
2. Organic
matter that can be used as organic fertilizer
particularly in remote areas.
3. Other
Industrial and pharmaceutical uses from the leaf and
seed extracts.
4. Restoration
of degraded land over a period of time.
5. Rural
employment generation
6. Located
production and availability of quality fuel.
What are the
constraints ?
a. High cost
of production
b.
Modifications are required for certain automobiles.
c.
Solidification clogging of the system at low
temperature. This problem occurs only when the
temperatures go below 00C.
World
Scenario:
Considerable plantations
of Jatropha had been undertaken by Zimbabwe, Nicaragua
and Nepal. In Zimbabwe four million plants in 2000
hectares, Nicaragua 1 million in 1000 hectares, Nepal
40,000 plants in 22.5 hectares. German auto industry has
developed kits to convert all categories of cars for the
use of International Development and Embassy of Great
Britain extended latter financial support.
In
Tamilnadu land resources are available for Jatropha
plantation for production of Bio-diesel such as:
a. Net cropped
area
: 54,67,395 hectares
b. Net
irrigated
area
: 29,59,362 hectares
c. Net rain
fed cropped
area
: 25,08,033 hectares
d. Government
Lands
: 1,25,000 hectares
e. Private
waste
lands
: 10,00,000 hectares
Jatropha will be a
suitable crop for waste land where water resource is
available at minimum and even in low fertile soil - As
such (d) & (e) can be very well brought under Jatropha
cultivation.
Cost of
Cultivation:
Cultivation expenses are
approximately Rs.18,900/- acre in the year of
establishment.
The annual expenses may be
Rs.2,500/- annum therefore.
The gross income is around
Rs.15,000/-
The net return is
Rs.10,000/- after deducting the annual harvesting and
maintenance charges.
Income level is maintained
for another ten years.
Therefore the yield
increases to 4500 kgs per acre and enhances the profit
proportionately
MARKETING:
To minimize
market risks is by strong price swings through vertical
integration of agricultural products, processing and
marketing. There will be a contractual arrangement
across the stages of product development and
distribution. In case of Jatropha Curcas there can be
decentralized productions of seeds by farmers who in
turn supply the seeds to a processing firm at a
predetermined price. Processing firm will also supply
the rooted cuttings and other technical advice in
cultivation of Jatropha.
Processing
firm produces curcas oil which is subjected to further
products namely bio-diesel, soap and bio-manure. Supply
of these products are invested to be sold through whole
sales/retailers. The firm may supply glycerine produced
from curcas oil, to soap manufacturing units. Oil cake
would be sold through retailers of fertilizer shops or
directly to farmers. This is also to be sold to
livestock feed manufactures as input raw material. Joint
products of bio-diesel soap and bio-manure will be
viable venture.
FINANCIAL
REQUIREMENT FOR PROCESS UNIT
It is proposed
to install process machinery for extracting from
Jatropha oil seeds and also refining the same to
manufacture bio-diesel. The bi-products of this
processing would be generated in the process will be
directly sold to the other processors. The oil cake
produced from remains of the oil refining will be
directly used as bio-fertilizer units and feed marketing
units. Thus the utility products of the oil refining and
oil extracts would be fully utilized.
The sale proceeds of other bi-products are
conservatively shown in the outer income in the
projected profitability statement.
The working capital requirement has been calculated for
the 2nd year of operation even though the actual
products of seeds are expected only during 3rd year from
the cultivation. The first year would be utilized for
importing the machinery from artisan. The same will be
commissioned during the second year of operation. The
required seeds for products during second year would be
procured from the market. As such the cash generation
from the project is reinvested for production of oil/
bio diesel as well as agricultural cultivation.
CONCLUSION
The projected figures in
the projected balance sheet and profitability estimates
clearly shows that the project is economically viable
and technically feasible.
It is
expected that the waste lands are fully utilized all
over India in the next 15 years of Jatropha Cultivation
in the advent of depletion of fossil fuel, Jatropha
bio-diesel would be supply encouraging and is the order
of the day. The country shall make use of the wonderful
plantation for commercial exploitation. |