BioDiesel

Mission

Indian Scene

Design Drawings

eBook

Marketing

Storage / Handling

Standard

Tax Credit

Future Scene

Methanol

Lab test

Convert Plant

Small Plants

Lectures
BioDiesel Project Report

BioDiesel Process

Used Cooking Oil

Palm Stearin

Animal Tallow

Rice Bran Oil

Enzyme Process
Contact Me

My Resume

Satish Lele
lelebiodzl@gmail.com
BioDiesel Marketing

The break even price for Palm Stearine flucuates in the range of +/-10% depending on season. (Break even price is calculated for different plant capacities in the project reports).

  1. It is upto 10% higher compared to break even price, in summer months as demand of Palm Stearine for manufacture of Biodiesel is high due to higher atmospheric temperature.

  2. It is upto 10% lower compared to break even price, in winter months as demand of Palm Stearine for manufacture of Biodiesel is low due to lower atmospheric temperature.

5 to 6 Biodiesel plants having capacity of 100,000 liters per day each, are coming up in next few months. Emami is expanding its plant while a US based company wants to set up a 300,000 liters per day plant in India. This will lead to acute shortage of raw material and will lead to a price war.

Base price of Biodiesel for the procurement period October 2024 to January 2025 shall be Rs. 91.20 per Liter & for procurement period February 2025 to September 2025 the base price shall be Rs. 100.12 per Litre (excl GST & Transportation), actual price on which the monthly Purchase Order shall be placed will be declared 3 days before the beginning of the procurement period and subsequently every month, which will be capped in the range of +/-10% of the base price published in the EOI.
Additional Premium shall be on paid on base rate of Winter Grade Biodiesel. The premium amount shall be declared at the earliest on Management approval.
Tenders for Procurement of BioDiesel issued by Oil Marketing Companies:
July 2022 October 2022 January 2023 February 2023 March 2023 May 2023 June 2023 August 2023 September 2023 November 2023 April 2024 October 2024 (Latest)

Expressions of Interest:
July 2022 October 2022 September 2023 November 2023 April 2024 October 2024 (Latest)

to see General Conditions in all the tender

General Conditions in all the tenders - as a PDF document

    Oil marketing companies buy Biodiesel at Depots mentioned in the latest Tender. Their conditions are

  1. Minimum supply should be 100 Kiloliters per quarter at any depot.

  2. It should be as per IS Stanadard, IS 15607 : 2022. (If you use Palm Stearin or Animal Tallow as raw material, it will be challenging to achive properties like, Cloud Point, Pour Point and Cold Filter Plug Point. If you use Acid Oil as raw material, it will be challenging to achive property like Sulphur content).

  3. It should be delivered to their depots.

To produce BioDiesel as per Indian Stanadard, IS 15607 : 2022 (or European Standard), you need to install Ultrasonic or Shock Wave generator. Also you need to use Centrifugal Separators for better separation. These two equipments are expensive. Installing these is not viable for plants having capacity less than 30,000 liters per day. However US Standard ASTM D-6751, can be achived without these two costly equipments.

Another hazard for small plants is, control of Methanol Storage. If not controlled properly, it may find its way to illicit liquor and deaths of poor people.

to see ups and downs of BioDiesel Purchase Prices in Past

  1. Oil Marketing Companies had offered a base price of BioDiesel, (produced from raw material other than UCO as raw material) at Rs. 106 per liter, in first Expression of Interest, in July 2022.
    Due to high price of BioDiesel, prices of Palm Stearin and Animal Tallow (only raw materials available in India), shot up beyond Rs. 95 per kilogram. It benefited the parties producing and trading raw materials, and BioDiesel Manufacturers could not afford the price. The raw material price fluctates based on base price offered by OMCs.

  2. In March 2023, price of BioDiesel was reduced to 86.67 per liter.

  3. Base price of Biodiesel for the procurement period July to September 2023 was Rs.88.82 per Litre, but actual price on which the monthly Purchase Order to be placed were to be declared 7 days before the beginning of the procurement period and subsequently every month, which were to be capped in the range of +/-2.5% of the base price published in the EOI.

  4. No base price or quantity was specified in August 2023 Tender. It was to be fixed by OMCs and declared in the notice inviting quantity bids to successful empaneled bidders.

  5. In September 2023, price of Biodiesel was reduced to 81.33 per liter.

  6. No base price or quantity was specified in Tender released in November 2023. It was to be fixed by OMCs and declared in the notice inviting quantity bids to successful empaneled bidders.

  7. Base price of Biodiesel for the procurement period April 2024 to September 2024 shall be Rs. 81.33 per Liter, actual price on which the monthly PO shall be placed will be declared 3 days before the beginning of the procurement period and subsequently every month, which will be capped in the range of +/-10% of the base price published in the EOI.

    8. GST to be charged at 5% (or as applicable in future).

    However BioDiesel is a favoured fuel by companies using Diesel for

    • Stone Crusher
    • Bulldozer, Excavators
    • Diesel Electricity Generating Sets (DG Sets)
    Current Trend is to use Biodiesel, as Fuel for these 3 applications. The advantages are

    • Procurement of BioDiesel in Tanker Loads, or in Barrels from manufacturers is very easy, as compared to buying Diesel from Petroleum Oil Marketing Companies.

    • BioDiesel is injected in Stone Crusher, Bulldozer, Excavators and DG Sets at higher pressure. Hence its viscosity is not a problem at that pressure.

    • Stone Crusher and DG Set is a stationary engine. Bulldozer, Excavators are local vehicles. Hence, any problem can be attended at site.

    • BioDiesel is not adulterated with Kerosine, MTO or Naphtha.

    • You do not need to visit Petrol Pumps for supply of Diesel and Beg for supply of Diesel Oil.

    • BioDiesel manufacturers are more co-operative than Oil companies.

      • To see likely suppliers of BioDiesel
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