Generally we recognize the following stages in the development of a new AAC plant project:
Market analysis (product demand, sales prices of AAC, AAC plants in region, etc.);.
Availability of raw materials (suppliers, delivery frequency, quality,prices);.
Governmental policies & restrictions (building, land, machinery, product requirements);
Machinery (suppliers, prices, type of machinery required, automation grade needed);
Land (size, availability, paving, testing, etc.);
Building (suppliers, etc.);
Total financial analysis (estimated turnover, return-of-investment, etc.)
Let us analyze each stages step by step
1 Market Analysis
Our products are the AAC Brick & Block. So before investing, we must figure out where the AAC market is, making it clear that sales prices of AAC, who need AAC, the estimated amount of AAC consuming by one year.
As you know, the AAC Brick & Block is mainly replaced the traditional clay bricks used to make the buildings. We have talked a lot about the two difference between the two in this report. Wherever the clay bricks are used, AAC Bricks can be used. One easy way to get AAC brick buyers is to persuade the clay bricks users to use AAC instead of clay bricks, convincing them by the advantages of AAC against clay bricks.
Also another way to see whether there are some room for the AAC is to look for some mansions or famous buildings constructed by the AAC, which will be convincing examples to our potential buyers.
2 Availability of raw materials
You know, there are five kinds of major materials to make AAC Brick&Block:
Fly ash: 70%; Ston Dust: 20%, sand: 22%, Cement: 8%.
Before investing, figuring out the sources and costs of the raw materials is important.
The follows must be noted:
Where can we get the materials?
who are our suppliers?
What is each cost of every materials, including the purchasing cost and transporting cost?
How much is the total amount of each materials we can get each year? Especially the fly ash, the major material. This will determine the annual capacity of our AAC plant.
What are the qualities of the raw materials? You know, the materials must meet certain standards to be used to make AAC. Different qualities will determine different proportions of different materials.
3 Governmental policies & restrictions (building, land, machinery, product requirements);
AAC products are new type of building materials, which uses industrial waste residue and byproducts in the thermal power plant or iron industrial as its major materials. So the AAC industry is good for the environment and compared to the clay bricks, it can save the resources of invaluable farmland.
As we put it, AAC is good insulation to the thermal and air. When constructing the walls, it can save lots of energy used for cooling or warming the room.
So in many countries, the governments have taken many steps to encourage the development of AAC through legislation, policies, taxes-reduction, the media etc.
Take our Bangladesh for examples.
The restriction for producing and using the clay bricks:
Raise the taxes on the clay brick from 11% to 17%;
Levy land-use taxes on the factory making the clay brick;
Forbid the new clay brick factory and shut down the present clay brick factory slowly.
The policies for encouraging the new type walling materials
No land-use taxes;
No added-value tax;
No corporate income tax for 5 years
No fixed asset investment regulatory tax
4 Machinery
To see how to choose a good AAC plant supplier
5 Land
1) Land Area
A typical AAC plant of 100,000 cub meters of one year takes up the area of 10,000 m2, including the land area of production line and the storage land of raw materials and finished product.
The following table is the land area of different capacity. Take a look.
Other buildings are the office, the staff dormitory and storage of materials and finished product.
Their size will be determined by the land you will get subtract the production line area.
2) Land Location
First of all, choose the land near the resources of raw materials, especially of the fly ash, saving a lot of transport cost.
The place has good transportation condition.
If the proper place is not easily to find, to buy existing old or abandoned factory sites, clay bricks factory is also a good alternatives.
6 Construction of the AAC factory plant
After making decision to purchase the AAC plant and getting the land to build the factory site, next things is to start the construction of the factory.
How to design the blueprint of the factory;
How to estimate the total cost of the civil construction.
7 Total Financial Analysis
The estimated total amount of investing AAC plant before production.
Generally, the total amount of investment cost includes the following items:
The cost of purchasing the factory land.
The cost of purchasing the equipments from the supplier including the freight.
The cost of making the local equipments in your own country.
The cost of installing the AAC equipments
The cost of the civil construction of the factory.
Other cost
The Cost-Benefit Analysis(100,000m³/year)
* Contact me. And let us do the analysis together.
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