0% found this document useful (0 votes)
183 views

Project Modified Guar

1. Guar gum is produced mainly in India, Pakistan, USA, and other countries. India accounts for about 72-75% of global production while Pakistan produces 22-25%. 2. Guar gum has a variety of uses in food, pharmaceuticals, cosmetics, oil well drilling, and other industries due to its thickening and binding properties. It is processed into guar gum powder and derivatives like modified guar gum. 3. Pakistan can capitalize on opportunities in the guar gum market by producing modified guar gum, which is currently imported, to cater to domestic and international demand. This would provide a first mover advantage.

Uploaded by

Ahsum Haleem
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
183 views

Project Modified Guar

1. Guar gum is produced mainly in India, Pakistan, USA, and other countries. India accounts for about 72-75% of global production while Pakistan produces 22-25%. 2. Guar gum has a variety of uses in food, pharmaceuticals, cosmetics, oil well drilling, and other industries due to its thickening and binding properties. It is processed into guar gum powder and derivatives like modified guar gum. 3. Pakistan can capitalize on opportunities in the guar gum market by producing modified guar gum, which is currently imported, to cater to domestic and international demand. This would provide a first mover advantage.

Uploaded by

Ahsum Haleem
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 27

Executive summary

Guar seed is produced in Pakistan, India, USA, South Africa, Malawi, Zaire and Sudan
region mainly. India constitute about 72% -75%, Pakistan 22% to 25% and 2% -3%
goes to rest of the total production. Guar is versatile kind of product with its multifunctional properties due to which many sectors are having benefits of it.
India has well established supply network right from the Guar seed collection passing
through the conversion processes till its end use (farm to fork). They monitor its future
market prices and they ensure that the supply of seed remain smooth throughout the
year due to which prices remain under their control.
Worlds market for guar gum is estimated to be around 150,000 160,000 tons/year,
70-75% of which is produced by India and Pakistan. The USA is the largest consumer of
guar gum with an annual consumption of 45,000 tonnes which represents 25% of world
trade. Germany & Japan consume another 23% between them with the UK, Denmark
and the Netherlands combining take further 22% of world trade. The world guar market
is a mature one and increasing steadily (>2% per year). The area of growth is in Asia
and South America as standards of living increase resulting in the increased
consumption of processed food.
Pakistan is also producing good quality guar and its allied products that cater both
domestic and international market. But supply of the seed is purely based on the
behavior of the stockiest and the rumors prevail to the prices. Pakistani manufacturers
purchase seed in the bulk quantity which has both positive and negative impacts.
Debate does not end here, supply reduces (during the sowing season) than the demand
and stockiest hold guar seed stock, prices of guar seed go up and Pakistani
manufacturer become uncompetitive as compared to the Indian processors while
situation become vise-versa during the harvesting season.
Guar seed is processed into splits and further into powder form. This powder is known
as Guar Gum Powder which is mainly used in Cosmetics, Food, Pharmaceuticals,
Nutraceutical, paper pulp manufacturing, Oil well drilling (Fracturing) and in other
Industrial Sectors.
Since India has genetically modified larger part of the overall growth of seed to get high
viscosity products for non-food sectors i.e. Oil-well drilling and mining sectors. Therefore
Pakistan has an opportunity to keep hold on food sectors of international and domestic
markets but there are guar gum substituents like Xanthan, CMC, Carrageenan, Gum
Rosin, Gum Arabic and Agar are available. Guar gum substituents are strengthening the
product rivalry and thinning the margins of guar gum profit margins. One of the major
weaknesses of guar gum product is its high demand and low supply globally.
So the concept is to open new avenues through the diversifications in its allied products
and the derivatives of guar. One of the most commonly used form of guar derivatives

and prime ingredient of Shampoos, soaps, creams, hair gels, other cosmetics, mud
forming ingredient for oil well drilling and paints is modified guar which is still not being
produced in the Pakistan. This modified guar is imported from Denmark, Brasil, USA
and China etc. while there are few manufacturers of modified guar available
internationally.
Therefore, in order to cater Pakistani and international modified guar market, there is a
good opportunity to have a first mover advantage by setting up its manufacturing facility
in Pakistan.
http://www.nmce.com/files/study/guarseed.pdf
a) Introduction
http://www.guarglobal.com/opportunity/guar-global-markets
http://www.pakchem.com.pk
http://www.guargum.biz/guargum_global_market.html
Guar gum is an emulsifying, binding, thickening, viscosifying and texture providing
agent. Its good inter-molecular binding properties reduce melting rate and crystal
formation in ice-creams, water and ingredient separation in juices, ketchups and
mayonnaise, texture and binding in textile printings, water-gel during drilling mud
formation, strength and smoothness in long extruded noodles, thickening, binding and
texture in soaps, shampoos, hair-gels and in various creams and meat processing to
increase its shelf-life. This binding property increases with the increase in the viscosity
of guar gum powders.
Application of guar gum increased when world started to overcome future energy crises
and oil-well drilling or fracturing was quadrupled. Its good binding property creates good
gelling and creates ease in drilling.

Guar Gum Chain Structure


The chemical structure of guar gum consists of D-mannose monomer units linked to
each other by -(14) linkage, in order to form the main chain with D-galactose
branches joined by -(16) bonds. The exact ratio of Galactose to mannose varies with
the growing season. Guar gum is highly dispersible into cold and hot water and brines
of various types.

Figure: Photo shows the Cyamopsis tetragonoloba seed envelop, the


seeds, the split seed and the grounded seed and different products of guar
gum.

CH OH

OH

O
HO
OH
O
H2C
O
OH

HO
O

O
H

HO

O
HOH2C

Basic chemical structure of guar gum

1.3.2

Guar Gum Derivatives


Guar gum hydrates well in aqueous solutions, but concerns about solution clarity,
alcohol solubility and improved thermal stability led to the development of a

number of chemically modified guar gums. On average three hydroxyl groups are
available for derivatization on D-mannose or D-galactose sugar units in guar
gum. The maximum theoretical degree of substitution (DS) in such molecule is
three. The substitution of hydroxyl groups with ethers such as hydroxylpropyl will
allow side groups extension which may change the solubility and other
characteristics of the guar gum. The molar substitutions (MS) is defined as the
average number of hydroxyl bearing substituents per sugar unit and can exceed
three due to the additional availability of hydroxyl groups.
The most widely known derivatives of guar gum (Table 1.1) include:
CarboxyMethylGuar (CMG), HydroxyPropylGuar (HPG),
CarboxyMethylHydroxy- PropylGuar(CMHPG).
Table 1.1 Guar Gum Application Patterns
Type of Derivative
Structure of
Substituent
Hydroxypropylguar (HPG)

Ionic
Charge

-CH2-CH(OH)CH3

Nonionic

Carboxymethylguar (CMG),

-CH2-COO- Na+

Anionic

Carboxymethylhydroxypropylgu
ar
(CMHPG)

-CH2-COO- Na+

Anionic

-CH2-CH(OH)CH3

Source:
http://etd.lsu.edu/docs/available/etd-06022005225849/unrestricted/Bahamdan_dis.pdf
Blend of Guar Gum to synergize their Properties & their Application:

Sr
.

Product

Form of
gum

Function

FOOD

Ice Cream

Blended
Guar Gum

Thickening, gelling & Emll,


stabilizing agent

Liquid egg

Blended

Improves consistency

Guar Gum
C

Acidified dairy products

Blended
Guar Gum

Improved thickness & aroma


texture

Fat containing whips cream

Blended
Guar Gum

To create pudding and cream


dressing of cakes

Instant corn grits

Guar Gum

Binder

Water ices

Guar Gum

Stabilizer

Bakery fillings

Guar Gum

Freeze thaw & heat stabilizer

Tomato sauces, mayonnaise

Blended
Guar Gum

Thickening agent

Protein low bread

Blended
Guar Gum

Binder

Icing stabilizers

Guar Gum

Stabilizer

Cheese

Blended
Guar Gum

Stabilizer

Salad dressing

Blended
Guar Gum

Stabilizer, thickener

Noodles (like Maggi)

Guar Gum

Binder, thickener, stabilizer

PHARMACEUTICALS

Vitamin B12 prep. Prep. for


treatment of gastrointestinal
ulcers and diarrhea

Treated
Guar Gum

Stability, Synergistic activity


+bismuth salt

Sustained or time release


drugs

Treated
Guar Gum

Binder

Microencapsulation of drugs

Treated
Guar Gum

High resorpitivity

Gastrointestinal disorders

Treated
Guar Gum

Laxative Property

Comp. tablets prep.

Guar Gum

Dry binder

Dietetic compositions

Guar Gum

Malnutrition treatment

Lozenges

Guar Gum

Anti inflammatory drugs

Guar Gum

Suspending agent

Tablet additive & Formation

Blended
Guar Gum

Disintigrent &binder

MEDICINAL

Dietary fibre

PHP Guar
Gum

Protective effect

Mixed in diet

Guar Gum

Reduces Urine sugar ,


cholesterol

Mixed diet

Guar Gum

Antidiabetic agent , effects


bacterial counts in faeces

Dietary fibre

PHP Guar
Gum

Hypocholesterolmic agent

COSMETICS

Shampoo prep./Creams

Cationic
Guar Gum

Thickener agent

Tooth paste perp.

Guar Gum

Stabilizer & thickener

Hair setting

Guar Gum

Thickener agent

PETROLEUM WELL
DRILLING

Oil bore

CrossLinked Guar

Stable super elastic

Gum
B

Oil, gas water bores

Guar Gum

For plugging leaks, stabilization


of cross linkage

Rotary drilling

Guar Gum

Indicator of fluid life

Fracturing solution

Guar Gum

Reduce friction & increase


permeatibilty

Oil bore

Guar Gum

Red. Of fluid loss

Drilling

Guar Gum

Thickener

Petroleum wells

Guar Gum

Water barrier gelling agent

Fracturing fluids

Guar Gum

Provides viscosity stability

Well stimulator

Guar Gum

Gelling agent

Drilling mud

Guar Gum

Thickening agent

Fracturing well

Guar Gum

Gelling agent

Drilling fluid

Guar Gum

Good fluid loss prop.

Petroleum well fracturing

Guar Gum

Fast Hydrating , high terminal


viscosity.

Petroleum well blow out

Guar Gum

Thickening agent

PAPER

Additive sizing

Guar Gum

Improves wet strength, increase


dry strength

Paper/paper board

MODIFIED
Guar Gum

Retention aid, imparts dry


strength

Paper making/Make-up
powders/detergents

Cationic
Guar Gum

Improves dry strength

Paper making

Guar Gum

Flocculent &sizing agent

EXPLOSIVES

Explosives gel

Guar Gum

Improved resistance to water &


aging

Blasting agent

Guar Gum

Increases viscosity

Blasting slurry

Guar Gum

Thickening agent

Explosives mixture

Derivative
Guar Gum

Thickening agent

Gel explosives

Guar Gum

Gelling agent

Extrudable primer

Guar Gum

Increases viscosity

Gel explosives

ANFO Guar
Gum

Gelling agent

Slurry explosives

Guar Gum

Thickening agent

Nitroalkane explosives

DERIVATIV
E Guar Gum

Thickening agent

BUILDING

Plaster

Guar Gum

Thickening agent

Concrete

Guar Gum

Water proofing

Foamed cement material

Guar Gum

Foam stabilizer

FIRE FIGHTING

Air drop , forest- fire control

Treated
Guar Gum

Provides viscosity stability

Forest fire fighting

Treated
Guar Gum

Dispersions

Treated

Binder & thickener

10 PHOTOGRAPHY
A

Processing solution

Guar Gum
11 COAL MINING

Treated
Guar Gum

For shock impregnation of coal


seams

In settling fine particles colloidal


flocculent

12 ORE MINING
A

Iron scrap

Modified
Guar Gum

Copper electro refining

Guar Gum

13 TEXTILES
A

Textile print

Treated
Guar Gum

Stabilizer

Fire and shrink proof textiles

Guar Gum

-------------

Polyester printing

Treated
Guar Gum

Thickener

Printing fluid

Treated
Guar Gum

Printing paste thickener

Textile printing

Treated
Guar Gum

THICKENER

14 AGRICULTURE
A

Insecticidal comp.

Guar Gum

Coating for fertilizer

Guar Gum

Prevention of granules

Poultry

Guar Gum

For decreasing cholesterol levels


in chicks

Poultry

Guar Gum

Decreased nitrogen retention ,


fat absorption and metabolizable
energy

Guar Gum

Improves the properties of the

15 SHOE INDUSTRY

substrate through better


fibrillation & reaggregation of the
collagen fibres
16 CERAMICS
A

Ceramics articles

Guar Gum

Plaster for moulded articles

Guar Gum

Electrical insulator

17 ELECTRICALS
A

Cable cores

18 TOBACCO
A

Tobacco products

Guar Gum

Adhesive

Tobacco sheet

Guar Gum

Reduces irritation properties,


Strengthening agent

19 ANALYTICAL
A

Selective resins

Treated
Guar Gum

Analytical resin for separation of


boron

Beads

Treated
Guar Gum

Purification of lectins

Gel filtration

Treated
Guar Gum

Chromatographic separation

20 PAINTS & DISTEMPERS


A

Oil Base Paints

Modified
Guar Gum

Rheology controller, thickener

Water Base Paints

Modified
Guar Gum

Rheology controller, thickener

Distempers

Guar Gum

Binder, thickener

Guar Gum

Clarifier

21 MISCELLANEOUS
A

Production of sodium

carbonate
B

Aluminium reflectors

Guar Gum

In increasing reflecting power

Turbulent flow between pipe


walls

Guar Gum

Reduction of resistance

Galactose binding lectins

Guar Gum

Immunosorbent

Civil disorder control

Guar Gum

Lubricant for concrete surface

Mosquito coil

Guar Gum

Saw dust binder

Flocculation or Water
Treatment

Modified
Guar Gum

Flocculating Agent

Source:
http://guargum.com.au/media/Guargum_Uses_derived_and_modified_Guar_gum.pdf

b) Background
Global Production of Guar Seed:
Pakistan and India are two major countries produce around 95% - 97% of guar seeds of
whole worlds production. Pakistan produces 23% - 25% approximately of total.
Due to lack of statistical monitoring system of commodities like India do, companies
directly conduct field surveys and generates their reports with the help of farmers
similarly PakChem has been doing such surveys and generating their internal reports
since 1963. PakChem has conducted guar field survey for 2014 2015 and prepared a
production report of 6.5 lakh bags approx. in Pakistan (1 bag=93.31 kgs).
Pakistan and India are the major sources of Straight form of guar gum. Before 2010
guar gum mainly used in food and pharma sectors. After 2010 India & US have made
tremendous efforts in developing a new avenues in Oil drilling sector. On the other hand
energy crises were pushing up shale gas exploration (oil well drilling process) globally.
Due to guars unique and excellent workability, its consumption was quadrupled from
2011 till early 2013 and a gap was occurred between high demand and low supply, this
imbalance made guar gum more expensive guar seed bag of Rs.3500 per 93.31Kg
went up to Rs.9000 per 93.31Kg. Whereas finished guar gum rates in international
market went up to $12000 per MTon from $2000 per M Ton.

Adverse Impact of Substituents on Guar:


Balloon was collapsed when Drilling companies find out other synthetic hydrocolloids
like CMC & Xanthan etc. in combination with guar in order to make their process cost
effective and to minimize a dependency on single product like guar. This step settled
down guar gum prices what would be in in the past.
This step put Pakistani guar industry in new dilemma. Pakistani guar industries were
purely engaged in generating huge revenues by catering oil drilling sector globally and
left food sector unaddressed. This myopic approach was making application of
Pakistani guar uncompetitive in food industries due to high prices and guar gum
becoming unviable for food industries. Most of the companies were shifted to Xanthan
or CMC as an alternate source. Although this was not only a product shift, it was a shift
from organic product to synthetic product. To bring back these companies was another
difficult task.
India has genetically modified larger part of their guar seed, so they are catering food
and Oil drilling sectors simultaneously with lower prices having good margins than
Pakistan. India is now getting benefits due to the good volume of seed is being grown in
India and economies of scale they developed for smooth supply chain of Guar seed till
its final application. This made Indian Guar more cost effective than Pakistani Guar
Growth does not end here; there is another huge market of guar gum which is still
unaddressed. This market consumes modified guar gum powder which is not being
produced in Pakistan. So there is an opportunity to get first mover advantage by setting
up its facility in Pakistan.
d)

Problem statement

There is a huge consumption of modified guar in Cosmetics, Shampoo & soaps, Paints,
textile dyes for reactive and dispersive printings, within the Pakistan and abroad, at this
stage Modified guar is not being produced in Pakistan.
Reason for using Modified Guar instead of Straight guar is due to its good
intermolecular bonding which stabilizes visco-thermal properties and shielding effect
which provide ease in processing during more than 100 C of temperature whereas
straight guar start loseting its properties between 60 - 90 C. Modified guar has also
processing properties under high temperatures 200-250C during deep well
fracturing/drilling.
Companies import modified guar outside from Pakistan at 4 times more prices for the
above applications.
MANUFACTURING FACILITY MODIFIED GUAR
Suggested site: Port Qasim

Inter and Intra city accessibility.


Near to consumers site.
Ease of Sea freight.
Manufacturing Unit for Guar Blending:
Modified guar is produced in two stages are as follow;
Stage1: Conversion of Seed into splits
Guar Gum Manufacturing Process:
Depending upon the requirement of end product various processing techniques are
used. Guar gum is normally undertaken by using process of roasting, differential
attrition, sieving and polishing.
The stage wise process of manufacturing guar gum is as under. It is very important to
select guar split in this process. The split will be screened to clean and then it will be
soaked to prehydrate in a double cone mixer/Washing conveyor. Prehydrating stage is
very important in the process as it derives the rate of hydration of the final product.
The soaked splits, which has reasonably high moisture content, will be passed through
Flacker to take them. The flaked guar split will be predried in duct dryer. The dried guar
flake will be ground to desired particle size in ultrafine grinder followed by drying of the
material in flash dryer. The power will be screened through rotary screens to deliver
required particle size. The oversize will be either recycle to main Ultra-fine or regrind in
separate regrind plant, as per viscosity requirement.
This stage helps to reduce the load at the grinder. The soaked splits are difficult to grind.
Direct grinding generates more heat in the grinder which is not desired in the process as
it results in insoluble or reduced hydration of the product. Through heating, grinding &
polishing process the husk is separated from the endosperm halves and the refined
Guar Gum split are obtained. Through grinding process the refined Guar split are then
treated and converted into powder.
Equipment for guar gum processing plant:
Pneumatic Conveying Systems
For raw split conveying
Flake conveying
Powder conveying
Storage Silo
1. For Raw Splits
2. For Powder
Hydration System
1. By Conveyor
2. By Double Cone Blender

3.

1.
2.

1.
2.
3.
4.
5.
6.

1.
2.

By Plough Reactor
Grinding Equipment
Flaker
Ultrafine Grinder
Flake Dryer
Flash Dryer:
Dryer Duct
Cyclone
Bag Filter
Hot air generator
Blower
Rotary Valve
Roto Shifter Blenders:
Nauta Mixer
Ribbon Blender
Steam Boiler (Non IBR)
Process Water Tanks

Hydration & Conveying:


Guar splits are screened to clean and then soaked to prehydrate in washing conveyor.
Prehydrating stage is very important in the process as it derives the rate of hydration of
the final product.

Plough Reactor:
For achieving of high density guar gum, plough reactor plays an important role. The
prehydrated guar splits are dumped in to the reactor and reacts with some chemicals in
batch operation of blending.

Flaker
The soaked splits, which has reasonably high moisture content, will be passed through
Flaker to take them.
Some process need only crushing of the material to meet requirement of coarse
material or to feed smaller sized material to another grinder. Two hardened rolls rotate
towards each other.
Duct Dryer
The flaked guar split will be predried in duct dryer.
Flash Dryer
Flash drying is a continuous drying plant used for drying of wet cakes and pastes by
disintegrating it into fine powder and dried by hot air.

The short residence time of one to three seconds requires that the moisture that should
evaporate is truly surface water and that the particles in the feed cake are completely
dispersed in the drying air. Otherwise, the larger particles in the feed material may

require a more extensive drying time than the smaller particles in order to reach the
desired moisture content.
Ultra-Grinder Crushed guar splits can be easily grind in ultrafine grinder. The grinder
can grind the material with generation of as much less amount of heat.
Roto Shifter
This is very efficient equipment for screening of powder product.

Mixers and blenders


High speed Ribbon, Banburry & Hamschel Mixers.
Stage2: Manufacturing Unit for Modification of Guar:
1. Centrifugal pumps:
Washing of guar is carried out by the circulation of Ethanol and Isopropanol etc.
After washing these alcoholic liquid is purified through centrifugal pump
circulation.

2. Ethanol or isopropanol circulation tank


There are various kinds of guar blends and its derivatives are manufactured at the same
unit but before every change over tanks are washed through the same alcohol liquor
which further purified in the purification tanks.
There are two prime house supplies in the following dig. in which chemicals are fed to
get the desired product quality e.g. Trimomium and chloride source chemicals are fed to

produce Hydroxypropyl-Trimomium Chloride Guar which is mainly used in shampoos.


Similarly Carboxy-methyl-Guar is produced by operating only single tank but washing is
common in all respects.

3. Ethanol or isopropanol circulating vessel


Given lines in above diagram are the vessels in which alcohol like ethanol and
isopropanol are transported for the washing and purification purposes through the help
of circulation tanks.
4. Ethanol or isopropanol purification unit
Purification is important because alcohol is an expensive product and due to the high
flammability risk factor it cannot be disposed in a normal manner in which water is
disposed in open drains. During purification chemicals are separated through fine
filtration and are reused.

e)
Literature review (Source to be consulted for information /data /description
with citation of each paragraph)
f)
Research methodology
A. Secondary research for Domestic and International market:
http://www.prnewswire.com/news-releases/guar-gum-market-worth-97-billion-by-2019289178531.html
http://www.marketsandmarkets.com/Market-Reports/guar-gum-market-177796677.html
Guar Gum Market by Grade (Industrial, Food, Pharmacy), Food Grade by Function
(Thickener, Stabilizer, Gelling, Fat Replacer, Coating), Application (Bakery,
Confectionery, Dairy, Meat & Poultry, Beverage, Sauces) & Region - Global Trends
& Forecasts to 2019
By: marketsandmarkets.com
Publishing Date: January 2015
Report Code: FB 3104

http://www.penford.com/companycenter/contact
http://www.marketsandmarkets.com/Market-Reports/hydrocolloid-market-1231.html
Hydrocolloids Market by Type (Gelatin, Xanthan, Carrageenan, Alginate, Agar, Pectin,
Guar, Locust Bean, Arabic, CMC), Source, F&B Application, Function (Thickener,
Stabilizer, Gelling, Fat Replacer, Coating) & Geography - Global Trend & Forecast to
2019
By: marketsandmarkets.com
Publishing Date: October 2014
Report Code: FB 2845

Collect data from local and international customers and/or prospects.

List of Prospects in Pakistan Segment Wise:

Cosmetics Grade of Guar gum


A Shampoo prep./Creams

Cationic
Guar Gum

Thickener agent

B Tooth paste perp.

Guar Gum

Stabilizer & thickener

C Hair setting

Guar Gum

Thickener agent

Shampoo, Soaps & Cream Manufacturers:


1. Proctor & Gamble Pakistan
They are extending their Shampoo manufacturing facility in Pakistan at Port Qasim. For
thickening, suspension of shampoo ingredients and for emulsification Modified guar
(Hydroxypropyl-trimomium-Chloride Guar) is one of the ingredients of shampoos, soaps
and creams.

In order to conduct secondary research I approached P&G Pakistan and contacted


(MPD - Manager Process and Raw Materials). I discussed to them in order to localize
the availability of HPTC Guar, they showed their interest and shared the list of shampoo
ingredients on January 2015 which was highly confidential alongwith annual
consumption for Pakistan, Egypt, India, and UAE which is around 2500 3500MT per
month.

Now the price of modified guar is more than four times that of straight guar and
approximate ex-factory (FOB) price is $2500 - $2700 per MT depending upon prevailing
prices of Guar Seed. So, $10,000 - $ 10,800 per MT will be the price of Modified guar
which will become more expensive when they will import it from China, Germany and
Turkey etc. the freight charges and insurance will add on $65 to $90 per MT.
As I have already mentioned it earlier that Guar seed only grown in India and Pakistan.
While the requirement of Modified guar manufacturers is being fulfilled through India
and Pakistan. As a matter of fact that the price of modified guar gum is derived through
the aggregation of profit margins on straight guar gum charged by the suppliers from
India or Pakistan and the profit margins charged by the modified guar producers. An
import duty is another factor which makes it expensive. Thus it makes sense to the end
users of modified guar in Pakistan can purchase it directly from Pakistan.
EXPECTED REVENUES:
Estimated minimum annual revenue from P&G is around $25,000,000 and
PKR2,525,000,000 (exchange rate $1=PKR101 as of 29/04/2015)
2. Samsol
Farhan Arshed
[email protected]
Samsol uses Behentrimomium Chloride and Hydroxymethyl cellulose in their
shampoos, Hydoxypropyl trimomium chloride guar can substitute the both alone.
Localization of ingredients make supply network of companies cost effective and
efficient. Estimated consumption is around 5 MT/annum.
3. Olivia
03002828078 salman sb chemist
[email protected]
They import 40 60 ashland bags of 25 Kg each of Modified (Cationic) guar per annum
which is around 3 MT. Two more variants are in development phase whose launch is in
June 2016, where modified guar to be expected 1.5 MT per annum.
4. Unilever Pakistan
Unilever foods is one of the biggest consumers of food grade guar gum (E-412). Now
modified guar is halfway through its application as far as supplier registration is

concerned to qualify as a first step. Unilever uses Behentrimomium Chloride and


Hydroxymethyl cellulose, Hydoxypropyl trimomium chloride guar can substitute the both
alone. Localization of ingredients make supply network of companies cost effective and
efficient. Modified guar is also used in the manufacturing of soaps, creams and in
cleaners.
5. L'Oreal
L Oreal uses Behentrimomium Chloride and Hydroxymethyl cellulose in their
products manufactured in Pakistan through toll manufacturing facilitators,
Hydoxypropyl trimomium chloride guar & carboxymethyl Guar are the substitutes.
Localization of ingredients make supply network more cost effective and efficient.
L'Oreal consumer products' business is made up of three brands: L'Oreal Paris,
Garnier and Maybelline New York.
These three master brands, each have several differentiated franchises, such as
Excellence, Dermo Expertise, Colour Naturals, Studio Line, Skin Naturals and
Elvive, which cater to diverse beauty and personal care needs.
6. Khudabux Group - Indenting Division
CMHPG------- powder for UAE which is around 20 MT 40 MT per month.
LOCAL & INTERNATIONAL PAINT MANUFACTURERS IN PAKISTAN
PAINTS & DISTEMPERS
A Oil Base Paints

Modified
Guar Gum

Rheology controller, thickener

B Water Base Paints

Modified
Guar Gum

Rheology controller, thickener

C Distempers

Guar Gum

Binder, thickener

Few years back they used to use straight guar gum in the manufacturing of Paints
but due to low thermal-viscous properties they switched over imported modified
cellulose. Modified cellulose provides high viscosity pick up which gives good
strength to the paints during manufacturing and after its final application on the
walls.
Modified guar equal working properties as compared to the Modified celluloses
1.
2.
3.
4.
5.

Reliance Paints Pakistan (1 MT per month)


Berger Paints Pakistan (1.5 MT per month)
Nippon Paints Pakistan (1.5 MT per month)
Hudson Paints Pakistan (1.5 MT per month)
Reliable Paints Pakistan - Osaka Paints (1 MT/ month)

6. Hi- Tone Paints Pakistan (1-1.5 MT/ month)


7. Diamond Paints (They are not interested)
8. Nelson Paints (They are not interested)
TEXTILES
A Textile print

Treated
Guar Gum

Stabilizer

B Fire and shrink proof textiles

Guar Gum

-------------

C Polyester printing

Treated
Guar Gum

Thickener

D Printing fluid

Treated
Guar Gum

Printing paste thickener

E Textile printing

Treated
Guar Gum

THICKENER

TEXTILE PRINTING COMPANIES:


There is a huge contribution of textile companies in the GDP of Pakistan most of them
are export based companies. Textile dying and printing companies use modified
cellulose to develop good thickening and binding properties during printing. Modified
cellulose is used 3-5 MT per month according to the production volume. So on average
there is 30 - 50 MTs monthly consumption of modified guar belong to Textile industry.
Below few of them are being listed for the reference;
1. BABAR INTERNATIONAL (PVT) LTD.
Address: Sargodha Road, Faisalabad
2. HAROON TEXTILE MILLS LIMITED
Address: A-26,S.I.T.E., KARACHI. PAKISTAN
3. NINA INDUSTRIES (PVT) LTD.
Address: 29-A, S.I.T.E., Manghopir Road, Karachi, Pakistan.
4. AL-KARAM TEXTILE MILLS (PVT) LTD.
Address: HT-11 Industrial Area Landhi
Karachi-22, Pakistan
5. STAR TEXTILE MILLS LTD.
Address: Plot No. A-41 Fakhrudin Valika Road S.I.T.E. Karachi-75700
6. HUSSEIN INDUSTRIES LIMITED

Address: HT-8, Landhi Industrial Area, Landhi, Karachi, Pakistan.


7. ABDULLAH TEXTILE MILLS (PVT) LTD
RC 1/1-A, NISHTER ROAD. BABA-E-URDU ROAD,GPO BOX 791,KARACHI.
8. TATA TEXTILE MILLS LTD
Address: 8, 8TH, FLOOR , TEXTILE PLAZA M.A JINNAH ROAD KARACHI.
9. M/s Junaid Textile Industires.
Plot/c-164 Site Karachi.
10. Gwadar Textile Mills
A-50 Block 4-a Journalists' Society Gulshan-e-iqbal Karachi Sindh.
11. Shafiqsons
18/39 Session Court Road Lower Mall Lahore Punjab 54000
12. Eidos Enterprises
Suit # 506 s.s Chamber Estate Avn. s.i.t.e Karachi
13. Siddiqsons
D-53 Tex. Ave Site Karachi Sindh 75700
Textile ProcessingTarpaulinFunctional FabricTextiles & Leather Products

INTERNATIONAL PROSPECTS:
AZELIS GLOBAL LOCATIONS (http://www.azelis.com/en/)
Azelis is a leading global speciality chemicals (including modified guar gum for
hair and skin care cosmetics) distributor. They provide a diverse range of
products and innovative services to more than 20,000 customers. Our in-depth
local knowledge is supported by an international structure and value-added
services including high levels of technical support and tailored solutions.
DENMARK
FINLAND
FRANCE

ITALY
JAPAN
LATVIA

GERMANY
GREECE
HONG KONG

LUXEMBOURG
NETHERLANDS
NORWAY

RUSSIA
SERBIA
SLOVAK
REPUBLIC
SPAIN
SWEDEN
SWITZERLAND

HUNGARY
INDIA

POLAND
PORTUGAL

TURKEY
UKRAINE

AUSTRALIA
AUSTRIA
BELGIUM
BULGARIA
CANADA
CHINA

CROATIA
CZECH REPUBLIC

IRELAND

ROMANIA

UNITED KINGDOM

CHINA:
GUANGRAO LIUHE CHEMICALS CORP., LTD. (http://chinaguargum.com/)
(Modified Guar Gum Distributor)
Address :
EAST OF GUANGRUI ROAD(SHICUN),GUANGRAO ECONOMIC
DEVELOPMENT ZONE
Ji-Ning Wonder Trading Co.,LTD
Economc Development Zone,JiNing City,ShanDong Province,China
INDONESIA:
PT. TIGAKA DISTRINDO TIGAKA (http://www.pttdp.com/)
IRAN
SEPIDAN DRILLING COMPANY SERVICES (http://www.sepidan-co.com/)
They supply mud to oil well drilling companies. High thermo-viscous guar gum is
also used in the formation of mud for deep wells.
JAPAN
Morishita Jintan Co.,Ltd (http://www.jintanworld.com/english/index.html)
THAILAND
DAIKA (Thai) Inc.
Modified & straight Guar gum distributor in Thai market.
GERMANY
NEUPERT INGREDIENT GmBH
Modified and straight guar gum distributor in Germany since 1920. 100 -120
MT/month.
GLOBE-CHEMICALS
Modified and straight guar gum distributor in Germany having 60-80 MT/month.
KSA
M.A.Al Azzaz Est.
Al Khobar 31952, Saudi Arabia
Modified Guar for carpet printing 20-30 MT/month
Some of the above mentioned companies are purchasing straight form of Guar
gum from PakCkem and modified guar application seems halfway through. This
is enough quantity to set-up modified guar manufacturing facility in Pakistan.

MARKET PENETRATION STRATEGY PHASE 1:


At initial stage just to execute a business we may outsource modification part to
Chinese modified guar gum manufacturer like Xpertick Shanghai Intl
(http://www.xpertick.com/). This will give support to develop and practicality of
this market. Meanwhile plant commissioning, plant startup and production pilot
trials will be done in parallel.
B. Primary research for Domestic and International market.: Quantitative and
qualitative data analysis and its outcomes. It will be done through a questionnaire via email and telephonic conversation. Physical survey will be done where needed.
Procedure:
1. Initially, we ship the straight guar to modified Guar transformers and then get back to
the Pakistan for FMCG, Paints and other above mentioned producers located in
Pakistan.
2. In second step, we ship this modified guar to our existing distributors present in
Japan, China, Middle East, New Zealand, Denmark, Taiwan, Malaysia, Indonesia etc.
3. We need to penetrate into Modified guar market by utilizing third party's
manufacturing facility.
3. Finally we will go for our own manufacturing unit for modified guar and identify the
plant location nearest to the giant FMCGs, Paints and Cosmetic manufacturers having
import benefits from Pakistan for Straight guar and export tariffs differences.
Sample size for international market is as follows;
Initially I will interview to our distributors who are in Japan, Malaysia, Middle-East and in
China. This size may extend to other countries also which will be purely subjected to
secondary research.
Distributor in Japan:
They sell 1500 MT per annum food grade material in Japan and they have inquiries
from carpet, dispersive printing and cosmetic manufacturers.
Distributors in China:
1. GUANGRAO LIUHE CHEMICALS CORP., LTD
2. Xpertik China
Distributor in Auckland:
1. Davis Trading

Distributor in Indonesia:
1. PT. Tegaka Distrindo Perkasa
Distributor in Germany:
1. ACT Germany
Distributor in France:
1. Alliance Gum Industries
Distributor in Thailand:
1. Daika (Thai) Inc.
Distributor in Turkey:
1. Azelis Turkey
Distributor in Saudi Arabia
1. Al-Azzaz
Distributor in Malaysia
1. Nita Impex Sdn. Bhd.
2. JGG Indutsries - Perlis, Malaysia
Oil and Gas Sector for High visco-thermal applications:
1. Schlumberger
2. Halliburton
They import 10 to 20 MT per month depending upon their requirement. And fulfill the
requirements of Pakistan Oil-well Drilling companies in Pakistan.
Sample size for domestic market is as follows;
I will interview to those customers who are individually importing this material directly.
1. Proctor & Gamble Pakistan
2. Samsol
3. Olivia
4. Unilever Pakistan
5. L Oreal
6. Reliance Paints Pakistan
7. Berger Paints Pakistan
8. Nippon Paints Pakistan

9. Hudson Paints Pakistan


10. Reliable Paints Pakistan - Osaka Paints
11. Hi- Tone Paints Pakistan
12. Schlumberger Pakistan
13. Halliburton
In above mentioned companies I got feedback merely from few of above companies
from local and international companies.
For Inferential statistics, t-test will be performed to strengthen the project research.
g)

Problem Statement/ Hypothesis/ Assumption for study

h)

Results with statistical evaluations (Bar/ Pie charts)

i)

Recommendation

j)

Areas of further research

With the reference of Table 1.1 Guar Gum Application Patterns, there is a huge potential
where marketing efforts may enhance modified guar application in several dimensions.
Few industries are given below;
1. Ceramics and Plaster of Paris manufacturers
2. Paper Industry
3. Disinfectants and cleaners Industries
4. Ply wood coating manufacturers
5. Glue manufacturers
6. Shoe Polish manufacturers
By Ahsum Haleem
B.E. Polymers
MBA in Corporate Management (Marketing)
M. Sc in Petroleum Technology
[email protected]

You might also like