Market Research on Sugar Industries in North Karnataka

Sreekanth M Management Trainee Gmmco

Scope
Perform market research on Sugar industry pertaining to North Karnataka Identify potential industries in Sugar sector operating in North Karnataka region Understand the requirement and application of our product and services in Sugar industries Obtaining current production capacities and future expansion plans
GLOBAL

Need and Beneficiaries

Need
To understand the application of our equipments in sugar industry To gain adequate knowledge about the industry

Benefits
Helps the sales engineer to understand the target market appropriately Generates customer database

GLOBAL

Milestones
Understanding the application of Caterpillar Equipments in Sugar industries Collecting data about the Sugar industries Meet all the industries and create a contact point

Collect information pertaining to capacity, expansion plans, current machine fleet of all the industries
GLOBAL

Key Deliverables

Key Deliverables and Project Start Date

Market Intelligence of Sugar industries Sound corporate touch point across the Sugar industry. Increase sales of BCP products
Project Start Date: December 06th 2011 Project Mentor- Mr. Naveen Shetty G Project TeamMr. Pramod H Mr. Krishna Hudedamani
GLOBAL

Sugar industry in India

Second largest producer of sugar in the world 348,187,900 MTs of sugarcane was produced during the year 2010-2011 516 sugar mills operational currently, with annual crushing capacity of 22,480 MTs Sugar Industry is highly seasonal, with seasonal length of 20 32 months. Every 1000 kg of sugarcane can produce 99.6kg of sugar
GLOBAL

Sugar production in India and karnataka

GLOBAL

Sugar industry in Karnataka

Third largest producer of sugar in India.

3,75,97,000 tons of sugarcane was produced this year, there are

57 established factories. 34 in Private Sector 21 in Cooperative Sector 2 in Public Sector 60% of factories in North Karnataka

GLOBAL

GLOBAL

Sugar Manufacturing Process

Planting and harvesting Preparation and processing Juice extraction process Purification Crystallization Centrifugaling Drying and packaging
GLOBAL

GLOBAL

GLOBAL

GLOBAL

Current vs. Expanded

16000 14000 12000 10000 8000 6000 4000 2000 0 1 3 5 7 9 11 13 15 17 19 21 23 25 27 100 90

Current tons of

EXPANDED CURRENT

sugarcane crushing per day against proposed tons of sugarcane crushing per day

80
70

Current capacity of Co-gen against Proposed capacity of co-gen

60 50

CURRENT EXPANDED

40
30 20 10 0 1 3 5 7 9 11 13 15 17 19 21 23 25 27

GLOBAL

Current Machine utilization in North Karnataka

18 16 14 12 10 8 6 4 2 0

17

12

BACKHOE LOADERS

DOZERS
OTHERS

GLOBAL

RENTAL VS OWNED MACHINES

RENTAL OWNED

GLOBAL

CAT MACHINES USED IN SUGAR INDUSTRY

BACK HOE LOADERS
TRACK TYPE TRACTORS (CHAIN DOZERS) WHEEL LOADERS

DG SETS

GLOBAL

BACK HOE LOADERS

Dozing the bagasse off the production site (suitable 2500 5000 Tcd Sugar plants) Loading bagasse and coal into conveyer belts Re-Handling of Ash Handle Civil works
GLOBAL

Track Type Tractors

Dozing the bagasse off the production site
(In factories where sugar cane tons crushing per day is more than 5000 tons)

Dozing the bagassee, coal handling and ash rehandling (in factories with 2500 to 10000 TCD of cane crushing) Wheel loaders with a dozer attachment will be ideal for dozing
GLOBAL

Observation from the study

Sugar production is highly seasonal varying from 20 32 weeks Sugarcane contains 12% of juice, with 83% recovery By products of sugar production are Bagasse and filter mud's Cane top and leaves Furnace ash Backhoe loaders can be effectively deployed to handle coal, furnace ash, filter muds and occasionally bagasse Wheel loaders and dozers can be used to handle bagasse

GLOBAL

Voice of the Customer

Versatile machine with four wheel drive Robust machine capable of withstanding the extreme conditions Initial investment should be affordable Maintenance cost should be minimal Fuel consumption should be less As requirement is seasonal rental machines are ideal
GLOBAL

RECOMMENDATIONS
Aggressively market 424B and D5k to Sugar Industries Join hands with sugar association and co operative societies Arrange customers meet with the aid of sugar associations Perform on site demos at customer meets Design brochures, technical specs and product showcase videos exclusively for sugar industry
GLOBAL

OPPOURTUNITIES
Similar strategies can be employed in states Tamil Nadu Maharastra Andra Pradesh where sugar is produced extensively Rental services will be very successful due to seasonal requirement of the business

GLOBAL

Thank you

GLOBAL