Project Profile

On

Establishing Soap and Detergent factory

 Table of Content
1. EXECUTIVE SUMMARY................................................................................................................... 4
2. INTRODUCTION ................................................................................................................................ 5
3. BACKGROUND .................................................................................................................................. 6
3.1. Location ........................................................................................................................................ 6
3.2. Population ..................................................................................................................................... 6
3.3. Topography ................................................................................................................................... 6
3.4. Climate .......................................................................................................................................... 7
3.5. Economy ....................................................................................................................................... 7
3.6. Agriculture .................................................................................................................................... 7
3.7. Governance ................................................................................................................................... 8
3.8. Infrastructure ................................................................................................................................. 8
4. POLICY ENVIRONMENT .................................................................................................................. 8
4.1. Overall Economic Policy .............................................................................................................. 8
4.2. Industrial Development Policy...................................................................................................... 9
4.3. Investment Incentives ................................................................................................................. 10
5. PROJECT RATIONAL ...................................................................................................................... 10
5.1. The Administration Commitment ............................................................................................... 10
5.2. Competitive & Comparative Advantages of the Administration ................................................ 11
6. PROJECT OBJECTIVES ................................................................................................................... 12
8. MARKET SITUATION ..................................................................................................................... 14
9. RAW MATERIAL & UTILITIES ...................................................................................................... 17
9.1. Raw & Auxiliary Material .......................................................................................................... 17
9.2. Utilities........................................................................................................................................ 18
10. TECHNOLOGY AND ENGINEERING ........................................................................................ 19
10.1. Technology ............................................................................................................................. 19
10.2. Engineering ............................................................................................................................. 24
11. MANPOWER & TRAINING REQUIREMENT ........................................................................... 25
12. TOTAL INVESTMENT AND OPERATING COST..................................................................... 26
13. ENVIRONMENTAL IMPLICATIONS ......................................................................................... 26
14. ANNEXES ...................................................................................................................................... 28
14.1. Annex 1. Soap Making Equipment ......................................................................................... 28
14.2. Annex 2. Detergent Production Equipment ............................................................................ 32
14.3. Annex 3. Utility Equipment .................................................................................................... 33
1. EXECUTIVE SUMMARY

Now a day the consumption rate of soap & detergent is increasing both in urban as
well as in rural area in the country because of their access to information through the
development of transport and communication infrastructures. As studies indicates
almost a bulk of soap and detergent which consumed locally are imported products
which means there is huge supply and demand gap in the country. Because of this
fact, promoting such project is a prime agenda in GTP. Consequently, this project is
basically designed to substitute imported products of soap and detergent; besides this
all raw materials required producing these products are available in sufficient amount
in the country.

More importantly, the Administration has comparative and competitive advantage in

terms of location, availability of industry related services, industry zone, dry port,
transport & industry hub of the eastern corridors, have high physical transport
network (road, railway, airport, shipping) which create market access locally; and inlet
and outlet of the country through rail, air and vehicle transport. All these facts realize
that investing such project in Dire Dawa Administration should not be an option but
an opportunity.
2. INTRODUCTION

Today soap and detergent are an integral part to our society; they function as cleaning products
by safely and effectively removing dirty, germs and other contaminants, and thus promote a
hygienic lifestyle and thus we find it hard to imagine a time when people were kept sweet-
smelling by the action of perfume rather than soap.

The markets for the products are expected to grow at rates ranging from under 4% to around
4.5%. These are very modest rates considering that the lifestyles not only of urbanites, but even
of well-off rural folks are changing at a very high pace. With regard to raw material, almost all
raw materials are available in sufficient amount locally; however, they lack proper management
starting from where they generate, transport and store until they used for consumption.

This project is a very feasible project in terms of all dimension issues- market, production
simplicity, low investment cost, raw material availability and location. Besides these, the
Administration prepared an industrial zone to provide land for committed the-would be investors
and also there exists sufficient industrial related services for incoming and outgoing materials.
Thus the Administration would advise those investors to invest in seeing the comparative and
competitive advantage of the Administration.
3. BACKGROUND

In the Administration there is only one factory which produces these products and started its
operation recently. This factory produces its product only for local consumption and covers a
small portion of the market demand. The whole area background of the project is stated hereof.

3.1. Location

Dire Dawa Administration is located between 90 27’ N and 9049’ N latitude and 410 38’E and
42019’E longitude. East Hararge Administrative Zone of Oromiya Regional State borders it in
the south and southeast and Shinele Zone of Somali Regional State in the north, east and west.
Dire Dawa Administration is accessible by airplane, train, and vehicles, and is about 515kms
road distance to the east of Addis Ababa and 311kms to the west of Djibouti port. The total area
of the Administration is about 128,802 ha; out of this urban accounts for 2,684 ha (2%) and the
balance 126,118 (98%) is rural.

3.2. Population

The total population of Dire Dawa Administration is estimated to be 341,834 out of which 68%
(233,224) live in urban while the rest 32% (108,610) live in rural areas (CSA, 2007). The
population of the Administration is composed of heterogeneous ethnic groups with diversified
culture.

3.3. Topography

More than three-fourth of the administration land is found in the upper or lower part of
watershed with topography various from steep escarpments forming the watershed, to gently
undulating hills to relatively low lying parts, with the overall altitude region farm 960, to 2450m
above sea level.
3.4. Climate

Dire Dawa Administration is classified as semi-arid. The seasonal rainfall has a bimodal
distribution with peak in April and August. The two seasons are 'Meher' and 'Belg' and they
receive about 80% of the annual rainfall separated by a short dry spell in June. The mean annual
rainfall is 657 mm and mean monthly values varies between 5.7 mm (December) and 119 mm
(April), which indicate poor temporal distribution of rainfall. The mean annual average air
temperature is 25.30C and June is the warmest month of the year while December and January
are the coldest. Dire Dawa enjoy a sunny climate with mean annual daily value of bright
sunshine equal 8 hours.

3.5. Economy

Trade and industry are the predominant sectors of Dire Dawa's economy. The city is
acknowledged to be a center of trade and industry in East Ethiopia. The majority of the people
directly or indirectly derive its livelihood from trade, industry and related activities whereas the
livelihoods of the rural people depend on agriculture.

3.6. Agriculture

In the Administration agriculture is diversified between livestock rearing and crop cultivation.
The medium highland part of the region where the largest sizes of the rural people have settled in
with mixed agriculture has relatively better climate situation. In the region crop production and
livestock rearing are being practiced in an integrated manner. Regarding crop husbandry the
staple cereals, dominantly sorghum and maize cultivation have wider coverage of land area.
Vegetables and perennials crop account the smallest proportion. The dominant type of
agricultural practiced in the area is traditionally developed subsistence agricultural.

The low land part is relatively marginal and ecologically fragile. This area is traditionally known
as “Kola”, which is characterized by dry semi-arid climatic situation. This area comprised about
one-thirds of the administration rural population with livestock rearing as their primary ecologic
activity.
3.7. Governance

Dire Dawa Administration is a chartered city and has two tiers of government structure: the
central administration & Kebele levels; there are 9 urban & 38 rural kebeles. Government
Offices are structured under municipal & government executive organs (Bureaus).

3.8. Infrastructure

The development infrastructures for are the key aspect to support the development of investment
in a country. To figure out the Administration infrastructures: there is a railway line which now
links it to Djibouti and Addis Ababa, the latter not functional now; fortunately currently new
railway network lines in the country have been under construction which was planned to finalize
with in the coming five years. It links the Administration to Djibouti, Addis Ababa and then to
Bedele; and again to the south up to Konoso and to the north to Mekele. Similarly there is also
asphalt road network lines which connect the Administration to Djibouti , Somaliland, and to the
influence areas & regions; all weather road which link to all rural kebeles. Besides these, the
Administration have well organized government & financial institutions, postal service, a
reliable electric power supply, telephone and fiber optics infrastructure, and industry related
services: custom, Quality assurance & shipping and logistic service facilities etc.. There also
relatively good healthy & educational facilities distribution in both town & rural area. Generally,
the Administration has relatively good Infrastructural facilities.

4. POLICY ENVIRONMENT

4.1. Overall Economic Policy

The economic policy of the nation attaches great importance to the liberalization, privatization,
and globalization of the country's manufacturing sector; with a commitment to replace the
significant role of the state with greater domestic and foreign private participation. The long-term
objective of the government's economic policy is to bring about a structural transformation of the
economy in which the relative weights of agriculture, industry, and services change significantly
in favor of the latter two. This will raise appreciably the share of the industrial sector in the
economy in terms of both output and employment.

To realize the objectives, the government has adopted a long-term development strategy known
as Agriculture-Development-Led Industrialization (ADLI). This development strategy envisages
an agricultural-led growth process, in which industry will increasingly play a prominent role. In
conformity with the country's comparative advantage, manufacturing is expected to rely on
labor-intensive technology and utilization of domestically available raw materials. The strategy
of Import Substitution Industrialization (ISI), followed in the previous decades, is being replaced
by a strategy of integration into the world market, supported by a policy stance of tariff
reduction. The aim is to put the manufacturing sector on a competitive basis internationally, so as
to enable the country to enhance its export of manufactures and progressively shift the
composition of its exports from primary agricultural products to manufactured goods.

The other policy that guides the overall development of the nation is the Nation Climate-
Resilient Green Economy (CRGE) Strategy, which was promulgated to protect the country from
the adverse effects of climate change and to build a green economy for sustainable development.
The green economy strategy has bases on four pillars: Agriculture & Forestry, Power, Transport
and industrial sectors, and buildings. Globally there is an incentives that set at international level
for those intervention which brought emission reduction i.e. actions that achieve quantifiable
emissions reductions and traded and funded through the international carbon market. Such
carbon market is about carbon offset, which contribute to sustainable development of the host
country.

4.2. Industrial Development Policy

The industrial development strategy of the country focuses on export manufacturing & import
substitution with priority given to textile and garments, leather and leather products, agro-
processing, and small and micro-enterprises; It has put in place the principles that primarily
focus on the promotion of agricultural-led industrialization, export development, and expansion
of labour intensive industries.

4.3. Investment Incentives

The government actively encourages both domestic and foreign participation in the economy,
through a plethora of investment incentives, which include:
 100% exemption from the payment of import duties and other taxes levied on imports of
capital goods, equipment and spare part up to 15% of the value of capital invested;
 Exemption from the payment of import duties levied on the import of raw material for
production of export- orientated goods;
 Income tax exemption for periods ranging from three to eight years; this is a function of
where the investment is located and also the priority accorded to that particular good;
 All research and development expenses are tax deductible; and
 Remittance from the proceeds of the sale or transfer of shares or assets upon liquidation
of enterprises to domestic investors is exempted from the payment of any tax.

5. PROJECT RATIONAL

5.1. The Administration Commitment

The Administration and the Federal Government have made commendable efforts, through
legislative and procedural reforms, to improve the investment climate of the Administration
and thereby attract more investment. In line with market-oriented economic policy, the
investment climate liberalized. Since 1992, the investment code has been revised three times
to ensure the participation of more local & foreign investments in various sectors of the
economy: Competitive investment incentive packages, adequate guarantees and protections,
transparent laws and streamlined procedures, the restructuring and reforming various
 industry service delivery institution and other important investment elements have been
realized to enhance the development of investment in the country.

5.2. Competitive & Comparative Advantages of the Administration

5.2.1.Location: Dire Dawa Administration is the ideal location for the envisaged factory as
far as proximity to market, raw material, utilities and availability of skilled work
force is concerned. Furthermore, being the outlet and inlet of export and import
products of the country via rail , air and vehicles transport to neighboring regions of
Djibouti and Somaliland and to the central, west, south and north of domestic
market.

5.2.2.Physical infrastructures: The Federal government has chosen the Administration

one of the best industrial corridors in the country in the eastern wing. By virtue of
these, the Administration has got a number of opportunities: Asphalt road, railway
network and international airport infrastructures which connect the administration to
neighboring regions and to all of the domestic markets; international standard
telecommunication infrastructure – fiber optics; dependable electric power supply;
transport facilities – freight, air, rail and marine transport services; dry port services;
postal and other infrastructures. The transport facilities and the infrastructure network
helps the investors to transport bulk raw material or finished products from south,
west and north of the country through rail transport and import & export bulk inputs
and raw material to international market through rail and marine transport services
available in the Administration. In Addition to these, the Administration prepared
well developed industrial zone for providing sufficient land for those investors who
really committed to invest.

5.2.3.Export and import related services: The other important reasons to establish this
industry in this location is the availability of export and import related facilities:
custom service, dry port services, shipping and logistic services, local product
 market-ECX, conformity assessment service, quarantine service, banking and
insurance services and coffee quality inspection services.

5.2.4.Abundant Labor Force Potential: One of the Administration’s most valuable

resources is its people. The Administration has a large pool of trainable manpower
with a strong cultural disposition toward warm hospitality. The number of skilled
workers and technicians is increasing steadily as a result of an increase in the number
of universities, colleges, and vocational and technical training schools in the country
as well as in the Administration; the young age population structure of the
Administration, resulted in having abundant and trainable labor force.

5.2.5.Delineated Industry Zone Area: In order to facilitate the provision of land for
investor, in 1996 EC the Administration delineated & prepared 138 ha. of land for
industry zone with full infrastructural facilities: road, electric and telephone
infrastructures. In addition to this, 1,050 ha of raw land were also delineated for
similar purpose. Therefore, there is no land problem for those who plan to build
industry and thus any investors who request land for industry, the administration will
hand over the required land promptly.

6. PROJECT OBJECTIVES

6.1. General Objectives

The general objectives is to undertake massive investment in the manufacturing sector in bringing
structural transformation of the economy and thereby to achieve the vision of the country i.e. becoming
middle income country by 2025.

6.2. Specific Objectives

 To produce toilet, laundry, and body soap;

 To produce detergent powder and;
 To produce glycerin for local and export market
7. Product Description and Application

7.1. Detergent

Detergents are also known as synthetic detergents. They are different from oil-based soaps
though both soaps and detergents are surfactants and used for washing purposes. Synthetic
detergents are gaining importance due to advantage over washing soap. Its demand is always
increasing day by day. There are number of varieties of detergents available in the market
depending upon different percentage of active ingredients and other components. As the process
of manufacture is very simple and involves simply mixing different ingredients, the product is
best suited for its manufacture in small scale.

7.2. Soap

Soaps are compounds formed by the reaction of bases with fats, chemically known as fatty acid
esters. The three most important fatty acid esters: Palmitin, Stearin and Olein. They are found in
lard, tallow, olive oil, cottonseed oil, and other animal and vegetable fats or oils. Soap is usually
made by the reaction of animal fat or vegetable oil with sodium hydroxide. The process of
treating fats with bases or alkalies is called ‘Saponification’. Vegetable oils, with unsaturated
carbon chains, produce soft soaps. Animal fats yield hard soaps. Coconut oils with shorter
carbon chains yield soaps that are more soluble in water. Soaps are salts particularly sodium or
potassium of long chain fatty acids. These carboxylic acids are derived from fatty oils. The
principal active cleaning agent is sodium carboxylate.

7.3. Glycerine

The glycerine is extracted from the soap with lye - a brine solution that is added to the soap at the
saponification stage. Wet soap is soluble in weak brine, but separates out as the electrolyte
concentration increases. Glycerine, on the other hand, is highly soluble in brine. Wet soap thus
has quite a low electrolyte concentration and is about 30% water (which makes it easily
pumpable at 700C). To remove the glycerine, more electrolyte is added, causing the wet soap to
separate into two layers: crude soap and a brine/glycerine mixture known as spent lye, neutral lye
or sweet waters. The soap still contains some salt, which itself functions as an additive, altering
the viscosity and colour of the soap. Once the spent lye has been removed the soap is dried,
chipped, mixed with other additives such as perfumes and preservatives and then plodded
(squeezed together), formed into tablets and packaged for sale. Glycerine is used in the
manufacturing of explosive, dynamite glycerine.

8. MARKET SITUATION

According to the market research conducted by Alsam, the leading soap & detergent producer
company in Ethiopia, currently there is a high demand for detergent and soap products in
Ethiopia while the supply is very low. There is a gap of 94,000 tons between demand and supply.

8.1. Market Potential

A variety of detergent powder and soap are available in the domestic market, there has been
always a tough competition for marketing them. However, with the advancement of the life style,
the demand for synthetic detergent is rapidly increasing and there exists a very good scope for
setting up unit for manufacture of detergent powder and soap.

Soap & detergent are necessity for urban households so much so that its demand is mainly
associated with urbanization. The country’s requirement for soap and detergent has been met
through both domestic production and import. Table -1 shows the supply of the product from
domestic production and imports during 1997-2004. During the period under reference, total
supply averaged at 37,529 tones, of which 14,206 tones constituted domestic production and the
remaining 23,323 tones imports. Thus, domestic production, on the average, accounted for 38
percent of the country's requirement for soap & detergent, indicating much of the demand for the
product (62%) is still met through imports.
Assuming supply was driven by demand, the average annual supply of soap and detergent for the
period under reference, which constitutes domestic production and imports, is considered as the
effective demand for the product for the year 2004. Since the consumption of soap & detergent is
mainly associated with the urban population, the demand for the product is assumed to grow at
the rate of 4% that corresponds to the annual growth rate of the urban population. The present
demand for soap & detergent (i.e., for 2006) is thus estimated at 40,592 tones.

Table 1. SUPPLY OF SOAP & DETERGENT (TONNES)

Year Domestic Import Total Market share

Production Supply Domestic import
1997 12908 20417 33325 0.39 0.61
1998 9787 16471 26258 0.37 0.63
1999 13135 21081 34216 0.37 0.63
2000 17194 21287 38481 0.45 0.55
2001 14766 26811 41577 0.36 0.64
2002 19249 27249 46498 0.41 0.59
2003 11632 27715 39470 0.30 0.70
2004 14975 25557 40532 0.37 0.63
Average 14206 23323 37529 0.38 0.62

Table 2. Country Urban Population & Growth rate

Urban Total Growth

Year Population Growth Average rate

2011 13,093,359 520,584 12,833,067 0.04 (4%)

2010 12,572,775 452,877 12,346,337 0.04 (4%)

2009 12,119,898
Source: CSA, 2007 census
Projected Demand

Assumption for calculating individual soap and detergent consumption:

 The yearly urban population growth is assumed by 4% , taking the year 2011 & 2010 as a
reference year.
 The individual consumption of detergent, laundry soap and bath soap per month and per
year
o 2 detergent of 100gm (1 powder& 1 bar type) per month
o 4 laundry soap of 200gm per month
o 4 bath soap of 150gm per month

Table. Individual Monthly and yearly consumption of detergent and soap

Total Required
Monthly Yearly DD per Total Required
No Product Types demand Demand gram/year DD per Kg/year
1 Detergent (Bar & Powder) - 100gm 2 24 2400 2.4
2 Laundry soap (Bar) - 200gm 4 48 9600 9.6
3 Bath soap (Bar) - 150gm 4 48 7200 7.2

Table: Projected Demand of Detergent and Soap

Projected Urban Detergent Laundry Soap Bath soap

Year Population dd/year dd/year dd/year
2009 12,119,898
2010 12,572,775
2011 13,093,359
2012 13,617,093 32,681.02 130,724.10 98,043.07
2013 14,161,777 33,988.27 135,953.06 101,964.80
2014 14,728,248 35,347.80 141,391.18 106,043.39
2015 15,317,378 36,761.71 147,046.83 110,285.12
2016 15,930,073 38,232.18 152,928.70 114,696.53
2017 16,567,276 39,761.46 159,045.85 119,284.39
2018 17,229,967 41,351.92 165,407.69 124,055.76
2019 17,919,166 43,006.00 172,023.99 129,017.99
2020 18,635,933 44,726.24 178,904.95 134,178.71
Source: Own Projection
9. RAW MATERIAL & UTILITIES

9.1. Raw & Auxiliary Material

1. Fat and Oil: All animal and vegetable oils and fats intended for soap-making should be
as free as possible from unsaponifiable matter, of a good colour and appearance, and in a
sweet, fresh condition. The unsaponifiable matter naturally present as cholesterol, or
phytosterol, ranges in the various oils and fats from 0.2 to 2.0 per cent. All oils and fats
contain more or less free acidity; but excess of acidity, though it may be due to the
decomposition of the glyceride, and does not always denote rancidity, is undesirable in
soap-making material. Rancidity of fats and oils is entirely due to oxidation, in addition
to free acid, aldehydes and ketones being formed, and it has been proposed to estimate
rancidity by determining the amount of these latter produced.

Typical qualities raw material most suitable for soap-making which are available in the
country :
 Livestock tallow
 Cotton Seed Oil
 Sesame Oil
 Waste Fats.—Under this classification may be included marrow fat, skin greases,
bone fats, animal grease, melted stuff from hotel and restaurant refuse, and similar
fatty products
2. Alkali (Caustic and Carbonated):

Caustic soda (sodium hydrate):It is available in the market in a liquid form as 90° Tw.
and other degrees of dilution, and also in a solid form in various grades as 60°, 70°, 76-
77°, 77-78°. These degrees represent the percentage of sodium oxide (Na2O) present plus
the 1 per cent. The highest grade, containing as it does more available caustic soda and
less impurities, is much more advantageous in use.
 Carbonate of soda or soda ash: This is pure sodium carbonate containing salt (NaCl).
There is a factory which produces this product in the country.
3. Water.: Water intended for use in soap-making should be as soft as possible. If the water
supply is hard, it should be treated chemically; the softening agents may be lime and soda
ash together, soda ash alone, or caustic soda. There are many excellent plants in vogue
for water softening, which are based on similar principles and merely vary in mechanical
arrangement. The advantages accruing from the softening of hard water intended for
steam-raising are sufficiently established and need not be detailed here.

No Type of Raw & Auxiliary Material

1 Fat and Oil: Animal & Vegetable
2 Alkali (Caustic and carbonate)
3 Sodium silicate and miscellaneous chemicals
4 Soft Water
5 Soap noodles for detergent

9.2. Utilities

Utilities required by the plant consist of electricity for lighting purposes and for running production
equipment and water is required for production, drinking and general purposes. It is obvious that the
Federal government has chosen Dire Dawa Administration as the Eastern industrial corridor of the
country. Owing to these the Federal government in addition to the existing power substation, which
is located at the city, new power substation at Hurso area was established which has the capacity to
supply sufficient electric power to entertain the coming 10 years industrial power demand in the area.

With regard to the water, Dire Dawa is endowed with abundant ground water potential; and the
Administration now has implementing the 2nd phase water supply scheme in consideration of the
future house hold and industrial water demand and thus at municipal level there exists a potential to
supply sufficient water to the industry; besides this if needed any investors can have his own water
supply source by digging well in his investment area. Generally, electricity and water is no longer a
bottleneck for any investors in the Administration.

10. TECHNOLOGY AND ENGINEERING

10.1. Technology

10.1.1. Manufacturing Process Description

a) The Detergent Manufacturing Process

Detergents use a synthetic surfactant in place of the metal fatty acid salts used in soaps. They are
made both in powder and liquid form, and sold as laundry powders, hard surface cleansers, dish
washing liquids, fabric conditioners etc. Most detergents have soap in their mixture of
ingredients, but it usually functions more as a foam depressant than as a surfactant.

Detergent powder manufacture Procedures:

Step 1 - Slurry making

The solid and liquid raw ingredients (Table 2) are dropped into a large tank known as a slurry
mixer. As the ingredients are added the mixture heats up as a result of two exothermic reactions:
the hydration of sodium tripolyphosphate and the reaction between caustic soda and linear
alkylbenzenesulphonic acid. The mixture is then further heated to 850C and stirred until it forms
a homogeneous slurry.

Step 2 - Spray drying

The slurry is deaerated in a vacuum chamber and then separated by an atomiser into finely
divided droplets. These are sprayed into a column of air at 425oC, where they dry
instantaneously. The resultant powder is known as ’base powder’, and its exact treatment from
this point on depends on the product being made.

Step 3 - Post dosing

Other ingredients are now added, and the air blown through the mixture in a fluidiser to mix
them into a homogeneous powder. Typical ingredients are listed in Table 3.

b) Liquid detergent manufacture

Step 1 - Soap premix manufacture

Liquid detergent contains soap as well as synthetic surfactants. This is usually made first as a
premix, then other ingredients are blended into it. This step simply consists of neutralizing fatty
acids (rather than fats themselves) with either caustic soda (NaOH) or potassium hydroxide.

Step 2 - Ingredient mixing

All ingredients except enzymes are added and mixed at high temperature. The ingredients used
in liquid detergent manufacture are typically sodium tripolyphosphate, caustic soda, sulphonic
acid, perfume and water. The functions of these ingredients has been covered above.

Step 3 - Enzyme addition

The mixture is cooled and milled, and the enzymes added in powder form.

Solids detergent
Ingredient Function
Sodium tripolyphsophate (STP) Water softener, pH buffer (to reduce alkalinity).
Sodium sulphate Bulking and free-flowing agent
Soap noodles Causes rapid foam collapse during rinsing
Zeolite Water softener (absorbs Ca2+ and Mg2+) in
contries where STP is not used; granulating agent
 for concentrated detergents.
Sodium carboxymethyl cellulose Increases the negative charge on cellulosic fibres
such as cotton and rayon, causing them to repel
dirt particles (which are positively charged).
Liquids detergent
Ingredient Function
Linear alkylbenzene sulphonic acid Surfactant - the main active ingredient
(LAS)
Caustic soda solution Neutralises the LAS.
Coconut diethanolamide or a fatty Nonionic detergent and foam former.
alcohol ethoxylate
Fluorescer Absorbs UV light and emits blue light, causing
ageing cotton to appear white rather than yellow.
Water Dissolves the various ingredients, causing them to
mix better.

Table 3 - Typical post dosing ingredients

Ingredient
Soda ash (anhydrous Na2CO3
Bleach (usually sodium perborate Bleaches stains without damaging colour-fast dyes.
.NaBO3)
Bleach activator
(e.g.tetraacetylethylenediamine)
Enzymes(e.g. alkaline protease)
Colour and perfume
Function
Keeps the pH at 9.0-9.5. This ensures optimum detergent
function. Also forms insoluble carbonates with Ca and
Mg, so acts as a water softener.
Sodium perborate breaks down at high temperatures to
release H2O2, which functions this way.
Catalyses sodium perborate breakdown at low
temperatures.
Alkaline protease breaks down proteins in the alkaline
conditions created by soda ash, helping to remove stains.
Create a more asthetically pleasing product.

c) Soap Production Process

Soaps are the product of the reaction between a fat and sodium hydroxide. Soap is produced
industrially in four basic steps. This article lists different steps because in the industrial processes
described each of these is done over several process steps, but in principle it could be done in the
three steps outlined here.

Step 1 - Saponification

A mixture of tallow (animal fat) and coconut oil is mixed with sodium hydroxide and heated.
The soap produced is the salt of a long chain carboxylic acid.

Step 2 - Glycerine removal

Glycerine is more valuable than soap, so most of it is removed. Some is left in the soap to help
make it soft and smooth. Soap is not very soluble in salt water, whereas lycerine is, so salt is
added to the wet soap causing it to separate out into soap and glycerine in saltwater.

Step 3 - Soap purification

Any remaining sodium hydroxide is neutralized with a weak acid such as citric acid and two
thirds of the remaining water removed.

Step 4 – Finishing

Additives such as preservatives, colour and perfume are added and mixed in with the soap and it
is shaped into bars for sale. Detergents are similar in structure and function to soap, and for most
uses they are more efficient than soap and so are more commonly used. In addition to the actual
’detergent’ molecule, detergents usually incorporate a variety of other ingredients that act as
water softeners, free-flowing agents etc.

d) Auxiliary Manufacturing Processes (Glycerine recovery)

As has already been stated, glycerine is more valuable than the soap itself, and so as much of it
as possible is extracted from the soap. This is done in a three step process.
Step 1 - Soap removal

The spent lye contains a small quantity of dissolved soap which must be removed before the
evaporation process. This is done by treating the spent lye with ferrous chloride. However, if any
hydroxide ions remain the ferrous ions react with them instead, so these are first removed with
hydrochloric acid. The ferrous chloride is then added. This reacts with the soap to form an
insoluble ferrous soap. This precipitate is filtered out and then any excess ferrous chloride
removed with caustic. This is filtered out, leaving a soap-free lye solution.

Step 2 - Salt removal

Water is removed from the lye in a vacuum evaporator, causing the salt to crystallise out as the
solution becomes supersaturated. This is removed in a centrifuge, dissolved in hot water and
stored for use as fresh lye. When the glycerine content of the solution reaches 80 - 85% it is
pumped to the crude settling tank where more salt separates out.

Step 3 - Glycerine purification

A small amount of caustic soda is added to the crude glycerine and the solution then distilled
under vacuum in a heated still. Two fractions are taken off - one of pure glycerine and one of
glycerine and water. The glycerine thus extracted is bleached with carbon black then transferred
to drums for sale, while the water/glycerine fraction is mixed with the incoming spent lye and
repeats the treatment cycle.

e) Soap & Detergent Quality

T. F. M or total fatty matter is a measure for identifying the amount of fatty matter present in
soaps. TFM of a sample of soap can be determined as follows. A known weight of the soap is
dissolved in water and the solution is treated with dilute sulphuric acid. The soap decomposes to
sodium suplphate and fatty acids. The fatty acids so formed can be estimated. From this TFM
can be calculated.

Detergents are graded on the basis of their active matter, and poly phosphate content. Detergents
can be used in hard water, but removal from fabrics requires a to lot of rincing. Detergents can be
used in cold and hot water as well as acidic and alkaline conditions.

10.2. Engineering

The detail equipment list for making soap and detergent are attached on annexes.

Table. Cost Summary of Soap & Detergent Making Equipment

No Material Type
Soap Making Equipment
1 Bleaching Equipment
2 Raw Material Preparation Equipment
3 Saponification Equipment
4 Drying Equipment
5 Finishing Equipment
6 Packaging Equipment
Sub Total
Detergent Powder Making Equipment
1 Bar Detergent Making Equipment
2 Powder Detergent Making Equipment
Sub Total
Total

10.2.1. Land, Building and Civil Works Cost

 No Required Required Cost Total Cost
Area per m2
1 Land Lease for 70 years 1,000 9.78 684,600
2 Building & Civil Works
2.1 Production Hall 250m2 6000 1,500,000
2.2 Store for Raw Material 100m2 6000 600,000
2.3 Store for Finished Products 100m2 6000 600,000
2.4 Office: 7 (3m2x4m2) 6000 504,000
 Manager & Secretary = 84m2
 Account & Cost Section
 Man power Administration
 Sales Section
 Planning
 Designing, Fashion &
Quality Control Section
Sub -total 3,888,600
Contingency (5%) 194,430
Total Cost 4,083,030

11. MANPOWER & TRAINING REQUIREMENT

Table. Required Man Power & Labor Cost

No Position Qty
A Administrative Section
1 Plant manager 1
2 Secretary 1
3 Planning & Programming service 1
 No Position Qty
4 Personnel 2
B Accounting & Cost Section
Accountant 1
Cost Accountant 1
Clerk 1
C Sales Section
Sales Man 1
Clerk 1
D Quality control Section
Chemist 1
E Production
Supervisor 1
Skilled Workers
Laborer

12. TOTAL INVESTMENT AND OPERATING COST

Table. Total Investment & Operating Cost

No Cost Summary Total Cost

A Initial Investment Cost
1 Equipment and Machinery Cost 100,000,000
2 Land, Building & Civil works Cost 4,083,030
Total 104,083,030

13. ENVIRONMENTAL IMPLICATIONS

Soap & detergent are designed as a product to be used once then flushed down the drain, so as
expected the environmental implications of their manufacture are not nearly so great as many
other chemical processes. There are two main areas of concern: the safe transport and
containment of the raw materials, and the minimization of losses during manufacture.
14. ANNEXES

14.1. Annex 1. Soap Making Equipment

1. Bleaching Equipment: used for treatment of crude fats and oils, which lighten the color
so lighter shaded soaps can be made.

Table. Bleaching Equipment

No Material Type
1 Fats & Oils Melting Tanks
2 Fats & Oils Pumps
3 Air Bleaching Tanks
4 Vacuum Batch Bleaching Vessels
5 Bleacher Vacuum Systems
6 Bleaching Earth Dosing Systems
7 Bleached Oil Storage Tanks
Sub Total

2. Raw Material Preparation Equipment: Used for Melting, filtering and blending fats
and oils, to obtain the desired soap characteristics. Dissolving, filtering and storing solid
caustic soda, to obtain the correct alkalinity for saponification. Dissolving and storing salt
liquor, for settling, to improving the quality of crude soap. Dissolving water glass to
make silicate, for filling laundry soaps to reduce cost.

Table. The Raw Materials Preparation Equipment

No Material Type

Fat & Oils Melting Tanks

Fat & Oils Screen Filters
Fat & Oils Pumps
Fats & Oils Blending Tanks
Caustic Soda Dissolving Tanks
Caustic Liquor Holding Tanks
Caustic Liquor Screen Filters
Caustic Liquor Pumps
Salt Dissolving Tanks
Salt Solution Holding Tanks
Salt Solution Screen Filters
Salt Solution Pumps
Silicate Dissolving Towers
Silicate Solution Holding Tanks
Silicate Solution Injection Pumps
Silicate Solution Injection Valves
Sub Total

3. Saponification Equipment: is used for the reaction of fats and oils, with diluted caustic
soda, to create the first stage of hot liquid soap. This may be by large or small batch, or
by a continuous system.

Table. Saponification Equipment

No Material Type
Saponification kettle
Soap crutchers
Continuous saponification jet
Continuous saponification pump
Conitinuous saponification turbo
mixer
Lye settling thank
Lye separation and rotating disc
columns
Sub Total
 4. Drying Equipment: is used for solidifying of liquid soap to a solid form, by either
drum drying for modest outputs, or vacuum spray drying, for larger outputs. A drying
plant can deliver either laundry bar soap or toilet soap pellets, which are called soap
noodles.

Table. Drying Equipment

No Material Type
Soap Holding Tanks
Soap Transfer Pumps
Flash Evaporators
Neat Soap Filter Pumps
Neat Soap Filters
Constant Level Vessels
Adjustable Speed Soap Pumps
Shell & Tube Heat Exchangers
Soap Recirculation Systems
Atomiser Vacuum Chambers
Simplex, Duplex & Triplex Plodders
Laundry Bar Printers & Cutters
Hot Drum Dryers
Soap Chilling Rolls
Cyclone Powder Separators
Barometric Towers
Vacuum Boosters
Barometric Condensers
Sub Total

5. Finishing Equipment: This equipment is used to convert soap noodles into finished
product. This usually means adding perfume, colour and special ingredients. The
 ingredients are mechanically refined into the soap noodles, then extruded and stamped
into toilet soap tablets.

Table. Finishing Equipment

No Material Type
1 Mixers
2 Simplex Plodders
3 Duplex Vacuum Plodders
4 Triplex Vacuum Plodders
5 Twin Screw Plodders
6 Refiners
7 Three Roll Mills
8 Electric Water Chillers
9 Elevating Conveyors
10 High Speed Billet Cutters
11 Single Blade Cutters
12 Chain Type Cutters
13 Bar Soap Roller Printers
14 Hotel Bar Roller Printers
15 Billet Feed Conveyors
16 Automatic Soap Stampers
17 Semi – Auto Stampers
18 Manual Stampers
19 Soap Moulds & Dies
20 Soap Die Refrigerators
21 Marble Injection Units
22 Perfume Injection Units
22 Perfume Injection Units

6. Packaging Equipment: is used for enveloping of an individual product with a protective

wrapper, then bulk packing, for safe storage and shipment.

Table. Packaging Equipment

No Material Type
1 Manual Pleat Wrapper
2 Automatic Pillow Packer
3 Automatic Flow Wrapper
4 Automatic Paper Wrapper
Sub Total

14.2. Annex 2. Detergent Production Equipment

Detergent Bars manufacturing Equipment: Detergent bar machinery makes solid washing
blocks which are used for hand washing clothes in cold water, where there are high
concentrations of minerals in the water.

Table. Detergent Bars manufacturing Equipment

No Material Type
1 Detergent Bar Mixers
2 Detergent Bar Roll Mills
3 Detergent Bar Plodders
4 Detergent Bar Cutters
5 Detergent Bar Stampers
Sub Total

Table. Dense Detergent Powders manufacturing Equipment

No Material Type
1 Batch Weighers
2 Screw Conveyors
3 Production Platforms
4 Batch Mixers
5 Mixed Powder Hoppers
6 Bagging and Sachet Equipment
Sub Total
14.3. Annex 3. Utility Equipment

Soap and Detergent factories require equipment to provide the utility services which the
production machinery needs to operate.

Table. Utility Equipment

No Utility equipment
1 Steam Boilers
2 Water Cooling Towers
3 Air Compressors
4 Vacuum Pumps
5 Generating Sets
6 Vehicles
Sub Total