Economic Feasibility & Profitability
- Rising demand of such biomass briquettes due to ever galloping cost of fossil fueI like coal, diesel, petrol, LPG etc. The prices Of Such 'fuels are increased by two times in last 4-5 years. So, Briquettes are the best option against them .
- Renewable source of fuel & energy
- High Profitability__ that too from waste_ In India & in so many other countries, some of the agriculture & forestry waste are very cheaply (at minor rate) available. So when these raw materials get converted into briquettes that will be most profitable.
- Farmers can also encash agro waste after harvesting each crop.
- Excellent growth potential.
- Easy mobility & transportation.
- High potentiality of employment.
- Short gestation and quick payback.
- Ready & Seller's Market. In India, there are many industries available in 50-100 kms area in almost every states. So, because of these Industries, demand of briquettes are quite high every time.
- Conversion of natural resources (wastages into hi-tech energy) and maintenance of ecological balance.
- Minimum working capital.
- Relaxed rules by the government.
- Tax benefits & incentives.
- Savings of valuabIe foreign currency.
- Briquettes are completely friendIy & as it is a natural fuel, oxygen is not required by the Briquettes.
- Day by day, so many plants are installed in different parts of India. Also there is a lots of potentiality & feasibitity of Briquetting Plants in different countries where agriculture & forestry wastes are easily available.
Briquette Market & End Users of Briquette
Briquette can be widely used in many industries as a valuable fuel. Various industries will be as under:
- Gasified System Application
- Any Industrial Thermal Application
Incentive by Government
The Government of India has announced so many incentives to promote Biomass Briquetting Plants. Most important, Government of India has given so many incentives because these plants are non- polluted, completely eco-friendly & very much beneficial for the country.
The major incentives are:-
- Income Tax Exemption:
Goverment of India has given first 5 years complete Income Tax Exemption to the Biomass Briquettes Manufacturers
- 80% Depreciation:
The total value of plant & machinery is allowed to be depreciated in the first year.
- Excise Exemption:
Solid fuel Briquettes are completely exempted from excise duty.
- Sales Tax Exemption:
Several states of India have exempted solid fuel Briquettes from Sales Tax.
- Benefits of Priority Sectors:
Energy being the priority sector of development and considering the cost of project, benefits of SSI & Priority Sector are available.
In addition to above incentives being offered by the Government it has been observed that Government has taken this project on their top most priority considering of more incentives to the entrepreneurs we strongly recommend this project to be installed in your area.
- Subsidy by DIC & KVIC:
Subsidy is provided by DIC (District Industries Centre) & KVIC(Khadi & Village Industries commission}.
For other detaits & information, you have to search, in the offices near to your area.
- .Availability of Loans:
Loans are provided for the Briquetting Plants by the Banks & by Non-Banking Finance Companies.