OPPORTUNITIES IN DRY
BULK LOGISTICS IN INDIA
B. Velan
Managing Director
Scorpio Engineering Pvt Ltd India
ENVIRONMENTAL DISASTER OR COMMERCIAL
OPPORTUNITY?
28 States and
7 Union
Territories
States of India 28
1.Andhra
Pradesh
2.Arunachal
Pradesh
3.Assam
4.Bihar
5.Chhattisgarh
6.Goa
7.Gujarat
8.Haryana
9.Himachal
Pradesh
10.Jammu and
Kashmir
11.Jharkhand
12.Karnataka
13.Kerala
14.Madhya
Pradesh
Union Territories of India 7
A.Andaman and Nicobar Islands
B.Chandigarh
C.Dadra and Nagar Haveli
D.Daman and Diu
E.Lakshadweep
F.National Capital Territory of Delhi
G.Puducherry
15.Maharashtra
16.Manipur
17.Meghalaya
18.Mizoram
19.Nagaland
20.Orissa
21.Punjab
22.Rajasthan
23.Sikkim
24.Tamil Nadu
25.Tripura
26.Uttar Pradesh
27.Uttarakbhand
28.West Bengal
MAJOR ROADS
NETWORK
670000 KM excl rural
roads of 2000000 KM
65% of freight moves
on roads
North-South
3200km
East-West
3000km
3.3m sq km area
7th largest
country
Total navigable length
14200km ( will increase
with desilting)
Developed to date:
5 national waterways,
4500km
63000 ROUTE
KM NETWORK
3RD LARGEST
IN THE
WORLD
(114000
TRACK KM)
bottom discharge alumina rail
wagon
7500km
coastline
180 minor
ports
13 major
ports
INDIA PORTS
• 13 Major Ports, mainly Government owned
• 180+ Minor Ports, open to private investment
and public-private partnership
• Total of USD 10 billion to be spent on Ports
and Terminals by 2020
• Projects for interlinking rivers and developing
Inland Waterways
TYPICAL PRODUCTION
LEVELS
• Sugar
20 million tonnes per year
– equal to production in entire Europe
• Cement
300 million tonnes
– equal to production in entire Europe
•
•
•
•
Soda Ash
3 million tonnes
Grain
86 million tonnes
Rice
120 million tonnes
Alumina
2 million tonnes
TOTAL NUMBER OF 50KG BAGS: 10 BILLION/YR
27 MILLION /DAY
THE DISTRIBUTION
SCENE
•
•
•
•
27 million 50kg bags per day
Potentially 67500 linered 20ft containers per day
Potentially 33000 silo trucks (40T) per day
Potentially 675 river barges per day (2000 dwt)
IS THIS NOT A CASE FOR A SPECIALIZED DRY BULK
LOGISTICS COMPANY IN INDIA?
Kassbohrer Germany
Types of Road Bulk Trucks
Convair
Australia
ACC
Cement
India
FILLING OF CONTAINER
Silo outle t
1. BE LT THR OWER
Granules
Courtesy
Caretex
Denmark
Silo outle t
2. AU GER
Powder
Silo outlet
Telescope pipe
3. PN EUMAT IC
CONV YEI NG
Hig h pressure blower
or compressor
Ro tary valve
Filter unit
NICO R IN TERNATIONAL 1121-1
Courtesy Interbulk Group UK
Silos for dry bulk materials in
Indian manufacturing plantsthese are few and far between as
of now- the potential is
exponential. The silo to silo
concept should become the norm.
22
23
26
POSSIBLE BUSINESS
MODEL
• Own all assets: silo trucks, barges, bulk trucks,
isocontainers. Provide one stop solution
• Outsource and manage
• Lease silos and silo loading/unloading,
bagging equipment to customers. Use
modular concept- silo parks
• Take long term contracts on per tonne basis of
materials supplied
FUNDING
• Capital is not a constraint
• VCs and Investment funds are plenty waiting
to invest in India and Indian
infrastructure/logistics ( highest logistics costs
in India compared to all other comparable
countries)
• Long term approach and investment as a
focussed business area
THANK YOU FOR YOUR
PATIENCE
for further information and facts please mail velan@scorpioengg.com