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Investment Opportunities in Particle Board From Rice Husk Project

Saturday, April 2, 2016

Rice is a major food crop in many regions of the world. Due to global demand, rice production is expected to grow from year to year. Rice husk (RH) is the outer covering of the rice grain and is obtained during the milling process. RH constitutes 20% of the total rice produced. As a renewable material, the use of RH can eliminate waste disposal and support environmental protection. Rice husk particleboard is one such material which is being considered as a potential substitute for wood and wood-based board products. Particleboard is cheaper, denser and more uniform than conventional wood and plywood and is substituted for them when appearance and strength are less important than cost.

Rice hulls (or rice husks) are the hard protecting coverings of grains of rice. 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. It is used in the construction industry as prefabricated houses or as ceiling materials in monolithic structure. Particleboard is also used in the furniture and wood industries where it is used as a substitute for wooden boards.

There is huge demand of particle board in India and all over world. Particle board market growing very fast. Due to growing deforestation there is bright future of particle board. Any entrepreneur can well venture in this project. 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.

 

Market Survey

The large producers account for 15% of the total production, producing some 38 mnsq. m of plywood and block boards. The ecological considerations had, however, placed the industry in jeopardy owing primarily to the restraints put on the use of timber. Alternate materials from agricultural wastes like stalks of cotton and wheat, rice husk and bagasse are slowly getting into the industry as raw material feeds.  Kitply Industries, Sarda Plywood, Century Plywood, Novapan, National Plywood, Green-ply and JayshreeTea remain the main players in the organized sector of plywoods and particle boards, which has some 60 units. There are several SSI units and other informal sector units contributing around 60% of the total production. The Indian market for particle board and plywood is estimated in value terms, at over Rs37 bn. Of the total market, particle board including medium density fiber board (MDF board) accounts for nearly a quarter of the market.  Nearly 85% of the particle board is supplied by the organized sector. Western India has emerged as the leader in the particle board segment.  ShirdiIndustries (SIL) was setting up a plant for the manufacture of MDF and particle board. The project, which will be India's first and only integrated plant providing complete interior solutions, was being set up at Uttarakhand. It was mainly because of the state government granting the company a status, entitling the company to excise duty, income tax and sales tax exemption besides investment subsidy. The company is also producing pre-laminated board, decorative laminates, floorings, panel door and furniture components from the facility.

Few Indian Major Players are as under:

Archidply Industries Ltd.

Bajaj Eco-Tec Products Ltd.

Bajaj Hindustan Ltd.

Ecoboard Industries Ltd.

Feroke Boards Ltd.

Genus Paper Products Ltd.

Kitply Industries Ltd.

Novopan Industries Ltd.

Nuboard Manufacturing Co. Ltd.

Rushil Decor Ltd.

Shapoorji Pallonji & Co. Ltd.

Shirdi Industries Ltd.

Western India Plywoods Ltd.

 

See more: http://goo.gl/XcBzny

Source: NPCS Team


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