Zinc sulphate, a versatile chemical compound, is used in manufacturing animal feeds, fertilizers, agricultural sprays, textile dyeing, and various industrial processes. With its significance in rural areas and the agriculture sector, the production of zinc sulphate holds promising market potential. This business idea aims to produce 3,900kg of zinc sulphate per month, with an estimated annual revenue of US$374,400 and a net profit margin of 9%, offering a quick payback period of 3 months. The total capital investment required for this project is US$11,622.
Plant Capacity
The proposed plant has a minimum capacity of 46,800 kgs of zinc sulphate per annum, catering to the growing demand for this essential chemical compound.
Production Process
The manufacturing process of zinc sulphate involves leaching zinc ash with dilute sulphuric acid, filtering the leached solution to separate unreacted zinc, treating the filtrate with potassium permanganate and zinc dust to precipitate impurities, and neutralizing excess sulphuric acid with zinc carbonate. The solution goes through multiple stages of filtration, evaporation, crystallization, and drying before the final product, zinc sulphate crystals, is packed and ready for the market.
General Costs (Overheads)
To ensure the business’s financial viability, production costs are assumed for 312 days per year, with depreciation calculated based on a 4-year write-off period at 25% per year for all assets. A production month is assumed to have 26 workdays, optimizing the operational efficiency of the plant.
Sources of Supply of Equipment
While sourcing equipment locally in Kenya is feasible, importing specialized machinery from countries like China or the USA can also enhance production capabilities and efficiency.
Conclusion
Investing in the production of zinc sulphate in Kenya presents a lucrative opportunity to contribute to the agricultural sector, industrial processes, and textile industries. With a well-established market demand and versatile applications, zinc sulphate production not only generates revenue but also plays a crucial role in enhancing agricultural productivity and industrial processes. By leveraging local resources and global sourcing options, entrepreneurs can establish a sustainable business that meets the growing needs of various sectors in Kenya.