Biodiesel fuel business plan

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Biodiesel fuel business plan

Poltavanaftoproduct to ensure stable and planned production and sales. Because we plan to rent land and cultivate rape, cooperative agreement with neighboring agricultural enterprises is essential. They are suppliers of labor force, additional raw materials and equipment.

This cooperative would provide joint cultivation, harvesting of rape, production of vegetable oils. Creation of distribution network requires a reliable and strong partner, so biodiesel fuel business plan plan to start strategic cooperation with Poltavanaftoproduct, the biggest fuel trader in the region.

The reasoning is the following: We want underline, however, that we are not limited only by this option of cooperation: Use of biodiesel in Germany increased from 10 million liters per year in to million liters in with prices at petrol stations around 1.

Production starts with cultivation and harvesting of rape-seed, processing it into rape-oil with rape meal as a by-product, and ends with the final production of biodiesel from oil see the chapter on the Technology.

The explanation for such a long technological cycle is a necessity to ensure the supply stability of the raw material, the rape-seed, to produce final product biodiesel of premium quality. In this business plan biodiesel will be produced from rape-oil, but equipment could be utilized also for processing other vegetable or waste cooking fats.

Biodiesel is a clear liquid, without unpleasant odor or handling characteristics, of virtually the same viscosity as mineral fossil diesel oil. For this reason, it may be used in a standard diesel engine without additional modifications.

It may also be blended with petrodiesel to improve quality of latter. Lubricity results of biodiesel and petroleum diesel using industry test methods indicate that there is a marked improvement in lubricity when biodiesel is added to conventional diesel fuel. Even biodiesel levels below 1 percent can provide up to a 30 percent increase in lubricity.

Biodiesel will soften and degrade natural rubber compounds over time, so users must replace them with elastomers in order to use pure biodiesel in the engine. Biodiesel is the only alternative fuel that runs in any conventional, unmodified diesel engine.

It can be stored exactly like petroleum diesel. Biodiesel can be used alone or mixed in any ratio with petroleum diesel. The use of biodiesel can extend the life of diesel engines because it is more lubricating than petroleum diesel fuel, while fuel consumption, auto ignition, power output, and engine torque are relatively unaffected.

Biodiesel is a proven fuel with over 20 years of use in Europe and 30 million successful US road miles. Biodiesel is the only alternative fuel to meet all environmental and human health requirements for energy sources. To ensure stability of supply, we are planning to cultivate them on 5, ha of rented fields.

biodiesel fuel business plan

Cost allocation for this stage of business plan is presented in the Appendix part. The average yield from winter oil-seed rape in Ukraine is around 3 tons of seed per hectare during a day growing season. Final output, therefore is 1 ton of biodiesel per hectare. The main difference is that the energy is renewable and come from the eco-friendly crop itself.

Because biodiesel is a valuable fuel for in-city transportation companies, direct mail to these and other companies would be effective tool in promotion.

Ecology, energy, technology related seminars are effective in finding regional representatives, partners, suppliers and buyers of our product. Total budget for all these programs is shown in the Profit and Loss Statements, among the Advertising and Miscellaneous expenses.

Rape-seed is a commodity product which sells on agricultural exchanges, to producers of rape-oil and exporters. We plan to contact directly all these customers, because they are not so numerous and can ensure reliable business relationships. Rape meal has two markets: We prefer the latter option, because it would save a great deal of administrative and transport expenses, plus it would open the opportunity to use rape meal as a payment for rent, leasing of equipment, rape-seed we plan also to buy rape-seed for further processing.

Rape-oil sales are omitted from the business plan due to high uncertainty factors. However, our plant will be able to provide this type of product and it remains a real option for us to sell rape-oil.

Because biodiesel is highly liquid product, this goal can be implemented with right choice of distributors and suppliers see also: We plan to decrease gradually the sales of rape-seed and increase the sales of biodiesel instead.

Nevertheless, it will still remain important so as to ensure cash stability during the year between possible interruptions in biodiesel production cycles due to technological, organizational reasons, etc. The milestone schedule indicates our emphasis on planning the implementation.Biodiesel Business Plan: Developing an Action Plan In order to write a successful biodiesel business plan, Growthink's business plan consultants suggest that you factor in several important trends in the biodiesel industry and broader economy and geopolitical environment.

Clean Fuel of Future (CFF) is a producer of renewable and environment friendly fuel, the biodiesel, delivered from vegetable oils. The company is located in the eastern part of Ukraine, in the Poltava region, and it is intended to provide full technological cycle of production: cultivation of oil seed (rape), processing them into oil and final.

ESW-RPI Biofuel/Biodiesel Business Plan Presentation. RPI Business Plan Competition Spring Presentation by Ray Parker on 27 December Tweet. Comments (0) •Biodiesel - Fuel made from vegetable oils or greases that burns like diesel. •Biofuel - Ethanol made from organic. Biodiesel is an alternative fuel for diesel engines that is receiving great attention around the world.

biodiesel fuel business plan

Although it attracts the most attention because it is renewable, it can be used. a business plan on bio diesel.

under the guidance of: dasgupta submitted by: aman singhania deepak dhiman karan arora jigaysa gautam siddarth singhal sandeep kumar piyush agarwal sahil agarwal nishant jha raja vasishta.

Calvin College Business. Business Plan. 2 Table of Contents Biodiesel is a growing buzz word in the energy market. Discussion about the current state of team has experience in the fuel processing industry, crucial to .

Biodiesel Business Plan