ACNielsen ORG-MARG

Situation Analysis for SME

Sector

Submitted to TERI

By

Belgaum Cluster

ACNielsen ORG-MARG

SUMMARY OF FINDINGS

• There are approximately 135 units in the Foundry cluster spread across different areas in

Belgaum.

➢ ANNUAL TURNOVER

Annual Turnover - 2007-08 (In Crores)

3%72%

17%

8%

Upto 1 crores

1 to 3 crores

3 to 10 crores

Above 10 crores

➢ PRODUCTION:

ACNielsen ORG-MARG

➢ ENERGY REQUIREMENTS

• CUMULATIVE FUEL USAGE

Qty consumed per annum

Number of Units using the fuel

Electricity 3866453 Units 28

HSD 8472 Liters 70

Furnace Oil 29487 Tonnes 83

Firewood 27348 Tonnes 67

Low Ash Wood 7452 Tonnes 49

Chinese Coke 1176 Tonnes 12

LDO 78 Liters 2

Coal 846 Tonnes 2

• USAGE OF ELECTRICITY (IN UNITS CONSUMED PER ANNUM)

ACNielsen ORG-MARG

• USAGE OF HSD (IN LITERS CONSUMED PER ANNUM)

• USAGE OF FURNACE OIL (IN TONNES CONSUMED PER ANNUM)

ACNielsen ORG-MARG

• USAGE OF FIREWOOD (IN TONNES CONSUMED PER ANNUM)

Usage of Firewood (In Tonnes consumed per annum)

13%

38%

32%

10%

6%

1%Upto 200 Tonnes

200 to 300 Tonnes

300 to 500 Tonnes

500 to 1000 Tonnes

1000 to 2000 Tonnes

Above 2000 Tonnes

• USAGE OF LOW ASH WOOD (IN TONNES CONSUMED PER ANNUM)

ACNielsen ORG-MARG

• USAGE OF CHINESE COKE (IN TONNES CONSUMED PER ANNUM)

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➢ RAW MATERIAL REQUIREMENT

• CUMULATIVE RAW MATERIAL USAGE

Qty consumer per annum Number of Units using the raw material

Limestone 882 Tonnes 26

Silicon 26 Tonnes 23

Manganese 10332.0 Tonnes 5

• USAGE OF LIMESTONE (IN TONNES PER ANNUM)

Usage of Limestone (In Tonnes per annum)

4%

23%

58%

15%

Upto 20 Tonnes

20 to 50 Tonnes

50 to 100 Tonnes

Above 100 Tonnes

• USAGE OF SILICON (IN TONNES PER ANNUM)

Usage of Steel (In Tonnes per annum)44%

13%

Upto 1 Tonne

1 to 2 Tonnes

Above 2 Tonnes

ACNielsen ORG-MARG

FIELD OBSERVATIONS

✓ The foundry cluster at Belgaum is an well developed one wherein the association

and its members have provided / planned an good infrastructure in terms of

▪ Asphalt roads in all the main industrial location

▪ Lighting

▪ Plantation of trees along the roadside

▪ Effluent treatment plant

▪ Convention center

▪ Tool room facility

▪ Testing Lab

▪ Modern IT facilities

✓ The entire units are spread across Udyambagh, Machhe Industrial area, Jamboti

Road, Kangrali Road, Dharwa Road

✓ The units are in operation since last 10-15 years, some units are as old as 1985.

✓ All the units are having grid connection -HT, as regards the power situation the

same is available except for some minor interruptions of 45 min to 1 hours, there is

no power back up system in place by majority of the units. Certain units are having

20 KVA power generator.

✓ The Energy cost in the total cost of production is app 15 % compared to the raw

material cost, which is app 60%.

✓ The units are operating in general shift for 10 hours and the process is combination

of manual operation as well as mechanized.

✓ The major equipment is Cupola of various sizes – 18”, 21”, 24”, 27”, 32”, 36”

wherein the output varies from 700 kg / hr to app. 3 tons / hr.. The maximum

usage is 24” Cupola. Besides this the other equipment used are Sand Mullers,

Molding machine as well as electric furnace, short blasting machine. The electric

furnace are largely of 125 as well as 300KVA.

✓ The units are largely manufacturing graded cast iron as well as ductile iron parts –

gear box, motor cases, machine bodies, valves ranging from 25 to 350 mm., pump

casing,jacks etc.

✓ Majority of the units in the cluster are having 40 to 45% of the entire plant area as

moulding area.

ACNielsen ORG-MARG

✓ All the units across the cluster are having skilled manpower to a great extent along

with semi skilled as well as helpers. The skilled manpower are mainly employed for

mould making – molders, core makers, maintenance, Testing.

✓ The quality control checks in terms of hardness testing, mould hardness tester

which the units are having , spectrometer as well as analyzer are being carried out

at the testing facility center in the cluster.

✓ The equipments as well as fuel is procured locally whereas the raw material is

sourced from outside Belgaum –Pig iron /scrap

✓ There are 3 types of grade, which are largely being manufactured in the cluster.

▪ 15 – pig iron 130 kg/ scrap 120kg

▪ 20 – pig iron 100 kg / scrap 150 kg

▪ 25 – pig iron 80 kg / scrap 170 kg.

Pig Iron / Scrap + other metals – Silicon, Magnesia, Limestone

Cupola – Melting at 1440 deg

Mixing /Molding – Sand Muller (150to 300 kg ) ,core making

Pouring Short Blasting Felting – Hand grinders – angular, straight, pencil

Painting & Packing

ACNielsen ORG-MARG

Lime stone & scrap

Raw materials

ACNielsen ORG-MARG

Low ash coke

Cupola

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Sand Muller

Sand mixing machine

ACNielsen ORG-MARG

Moulding

Final product

ACNielsen ORG-MARG

SERVICE PROVIDER

Raw Material

✓ Sesa Industries Ltd 20,Edc Complex,Sesa Ghor

Patto, Panaji, 403001

ph: 0832 2437700

✓ Kirloskar Ferrous Industries Ltd

Laxmanrao Kirloskar Rd., Khadki Pune – 411003

Tel : 020-25810341

✓ Kudremukh Iron & Steel Company Ltd

Baikampady Indl Area,

Panambur,

Mangalore

✓ Tata Metallik

Samraipur,

Gokulpur

Kharagpur - 721301

✓ Sand as well as Bentonite for mold making is procured from local traders

Equipment

✓ Rajesh Industries

Panchal Estate

Nr SBI, Bapu Nagar

Ahmedabad – 380024

Ph: 079 – 2741290

✓ Laxmi Engineering

Udyambagh

Belgaum

Mr. Suresh Devgekar

Ph: 2441444

ACNielsen ORG-MARG

✓ Vikas Machinary

Udyambagh

Belgaum

Mr. Patil

Vinayak Traders, Khann pur road, Udhyam bagh, Belgaum

Gargi Metalurgical Udhyam bagh, Belgaum.

Ajay Metech Chem, Udhyam bagh, Belgaum

Mangesh Agency, Belgaum. (Mr. Raji Ghewani, (M)- 9880489687

Manikbag engineers, Belgaum (0831-2441287)

Supriya Traders (Distt. Of Kirloskar Ferrous ind.)

Plot no- 112, Sy. No. 346/1B, Udyambag, Belgaum

2440608 (Mr.Ashok Sadalage)

Association

The Belgaum Chamber of Commerce & Industries 673, Raviwar peth, Belgaum-590001

0831-2460101 ( Mr. G.M.Rawoot)

Belgaum Foundry Cluster Survey no.346/10, Plot no.-112, Udyambag, Belgaum-590008

0831-2423392/2441915 ( Mr. Manoj Kulkarni)

ACNielsen ORG-MARG

BANKERS

✓ All the units are having some or the other bakers

Banks

Bank of Maharashtra Kriloskar road, Belgaum 0831-2429654

Belgaum Insustrial Co.op. Bank Khade bazar, Belgaum-02 0831-2462894

Canara bank Bichu Building, Khade Bazar, Belgaum-02 0831-2420080

Corporation Bank Nehru Nagar, Belgaum-10 0831-2474053

HDFC Bank 4830/28A, Opp Dist. Hospital, Ambedkar road, Belgaum-02 0831-2404411

ICICI Bank Ltd 102, M.M. Chambers, Deshmukh road,Tilakwadi, Belgaum-06 0831-2402840

Vysya Bank Ltd Amarcon Building, 2893/A, Khade bazar,Belgaum-6 0831-2462152

UTI Bank Congress Road, Tilakwadi, Belgaum-6 0831-2463915

Union Bank of India 1934/A, Kadolkar, Belgaum-2 0831-2460306

UCO Bank 2891/92, Diddannavar chambers Khade bazar, Belgaum-1 2420047

The Federal Bank Ltd Tilakwadi khanapur road, Belgaum-06 2495439

The Belgaum Industrial Co. Op. Bank Nr. Prakash Talikes, SPM, Belgaum-1 2489315

Syndicate Bank 1560, Maruthi, Belgaum-01 2405052

State bank of India Khanapur road, Hindwadi, Belgaum-11 2427225

Oriental Bank of Commerce 3235/1B, Club road, Belgaum-1 2400922

Karnataka State Financial Corporation Hotel Sanman Delux compound coll road, Belgaum-1 2426369

The Belgaum Industrial Co. op. Credit Society ltd Plot no-103, Udyambag, Belgaum-590008 2440542