BIO-BASED ECONOMY
Ethanol from sugarcane molasses for pharmaceutical industry
Market
Final Products | Ethanol |
Required Inputs | Sugarcane molasses |
Competing Products | Low competition Ethanol produced by other technologies |
Potential for Export | High |
Process
Complexity – Type of Process |
Medium – chemical process |
Technology | Fermentation process |
Equipment and Material | Fermentation tank, distillation column and storage tanks |
Human Resources | Manual labor, chemical engineers and quality control engineers |
Business Linkage
Forward Linkage | Pharmaceutical industry |
Local/Regional/Nationwide | Export & local markets (nationwide) |
Backward Linkage | Sugar factories |
Supporting Entities | Equipment and additive suppliers, testing facilities |
Competitive Edge |
Lower cost, could open new markets as it uses bio-based inputs |
Economic Features
Revenue Stream | Sales of ethanol |
CAPEX | 2.4B EGP Note: This CAPEX represents the indicative investment size, however, this investment opportunity can grow in implementation to a larger-sized investment. |
Investment Size | Mega (Above 500M) |
Considerations
Key Challenge | Seasonality of supply and mass production as well as maintaining high-quality, cost of transportation and absence of formal industrial waste collection services |
Advantages | High profit margins and high value-addition |
Potential Pathways to Growth | Production of alcohol-based chemicals (e.g., citric acid), increasing sales and outreach to various customer segments (packaged and branded or white label) |
General Impact
Environmental | Eco-friendly use of industrial waste |
Social | Increases returns on industrial waste and creates job opportunities. |
Impact on Sub-market(s), Cluster(s) and Value Chain(s)
Relevant sub-market | Intermediary to industries (food, pharmaceutical, wood and paper)) |
Lies within the following value chain/cluster(s) |
Sugarcane, municipal and industrial waste |
Impact | Promotes value-addition to sugarcane waste |
Studies
Serial | File name | Download |
1 | UNIDO IGGE_VC Cluster Competitiveness & BOM |