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| India Infoline Sector Reports | Thu, 04-Dec-2003 16:32:45 IST (GMT+5:30) | |
| Organic chemicals | ||
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Aniline This product is widely used in dyestuff and rubber chemicals, and also in drugs, isocynates, photographic materials and specialty chemicals. Manufacturing process Aniline is produced using nitrobenzene. Nitrobenzene is produced by continuos mixing of benzene and mixed acid in the required proportion. The mixture is nitrated continuously and maintained in plant parameters to avoid formation of higher products. About 1.04 ton of sulphuric acid. Almost 0.60 ton of benzene and 0.4 ton of nitric acid are required to produce 1 ton of nitrobenzene. Two processes obtain the formation of aniline from nitrobenzene Sumitomo process Aniline is produced by the catalytic hydrogenation of nitrobenzene in vapor stage. Hydrogen gas is mixed with nitrobenzene over catalysts such as tungsten to obtain aniline. Du Pont method Hydrogenation of nitrobenzene takes place-using catalysts in liquid phase. Aniline is boiled off from the system, condensed and distilled to produce pure aniline. In both the processes 0.875 ton of benzene, 0.72 ton of nitric acid, 0.08 ton of hydrogen and 0.02 ton of sulphuric acid are required to produce 1 ton of aniline. Markets This is used in the manufacture of dyestuff and rubber chemicals. Rubber chemicals contribute 48% whereas dyestuff contributes 35% of the total demand. Drugs and pharma contribute to the demand by nearly 4-5%. It finds its usage in the manufacture of analgesics and vitamin B2. It also finds its usage in sulpha drugs but the demand from this sector is declining. Other uses#include photographic material, anti-corrosives and specialty chemicals. The demand is skewed geographically as the industry is concentrated in Andhra Pradesh and Gujarat. Demand and supply Raw material constitutes nearly 65-70% of the total costs of producing aniline. The main input - benzene contributes 50% of the total cost of production. Capital costs are very high, while the costs for acquiring the technology are not. Outlook Both the consumer industries are not doing well. The rubber chemicals sector is in the downswing while the dyes industry is facing a host of environmental problems internationally and within the country as well. The decline is expected to continue as the over capacity causes demand supply imbalance. Exports are a major thrust area if the profitability is expected to be maintained. The total production capacity is expected to be around 0.10mn ton while the consumption will be to the tune of only 0.43mn ton.
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