What is the investment in a briquetting plant?
Many factors are influencing the price of a briquetting plant. Here are some of the most important ones:
Moisture level – Dry (below 14%) or wet (above 15%)?
- If your raw material is wet and you cannot dry it in a natural way (in the sun or leaving it long time to dry) you will have to invest in a dryer, which can be a high investment, especially if you require a high degree of automation.
Type of raw material?
- Some raw materials will have to go through a long process before reaching the final product. Others only require a short process. The following examples show this:
- Consumer briquettes from wet wood: The raw material has to be chipped, milled, dried, handled, briquetted, sawed, packed and palletized.
- Industrial briquettes from dry rice husks: The raw material is dry and downsized and only needs to handled and briquetted.
Region of production?
- Cost levels in the different regions of the world will affect the investment levels as follows:
- Europe and North America: The salary level and other costs in these regions are high and due to this – the companies invest in the best heavy duty equipment with a high degree of automation and a minimum of workers attending the machinery. The productivity is high, as the machinery operates > 6.000 hours per year
- Asia, Africa and other regions: The salary levels are generally low in these regions, compared to Europe – which can allow more workers to operate the machinery. The same degree of automation is therefore not required, which means less and cheaper machinery is often acquired.
The briquetting press is the heart of the briquetting line and no compromise should be taken in terms of quality.
- When compromising on the machinery:
- The duration of the machinery is shortened considerably.
- The quality of the briquette is poor.
- Security issues may arise.
Seasonality: Most agricultural crops are seasonal, unless the climate allows you to harvest crops several times a year.
- In Northern Europe wheat is harvested during a very short period, and the wheat straw is collected within 4-6 weeks in order to ensure that the raw material is dry. The situation is the same with other crops in other markets. In order to obtain a high productivity you will either have to store the raw material for a long period or you will have to invest in more equipment and only produce briquettes 6-8 months per year.
The above examples and figures are estimated figures based on our experience in working in the different countries. As conditions, pricing etc. change all the time we ask you to consider the figures as examples only. In the end you should make your own calculations.
As you can see from the different examples investment are generally higher in Northern Europe, due mainly to the high cost of labor, so most solutions are automatic. The margins are often lower, so the demand for efficiency is higher. Furthermore, safety measures are stricter and the demand for documentation higher. In other regions of the world like Africa and Asia where labor is cheaper many operations can be made manually and consequently the investments can be considerably lower.