Assignment Details
Our client, an Indian Industrial and Services Conglomerate, is looking to engage with a strategy Consultant to Conduct Feasibility Study for Biochar Manufacturing & Develop Business Plan.
The primary objective of this engagement is to hire an expert consultant to conduct a comprehensive feasibility study for establishing a biochar production business over a period of 6 weeks.
Business plan design - PART1
1. Biochar – Define market structure and potential
a. Define the end use for the byproducts (wood vinegar, bio-oil & syngas), suggest 4-5 end use customer segments for each by-product.
i. Define the market size & expected growth for the byproducts for each segment.
ii.Define price realization for by-products for each segment type.
iii. Define revenue via carbon credits for each segment type.
b. Identify top 5 customers within each segment. Define buyer values – what criteria do they use to buy biochar (product criteria, vendor criteria, terms of purchase)
c. Define the competitive landscape –
i. Indian top 3 - competitor strategy, value chain and footprint, financials
ii.Study top 3 global players - growth strategy, manufacturing, financial performance.
iii. Validate the cost advantage for India – cost/ton in India v/s global peers.
iv. Define the startup landscape and assess innovation & potential disruption.
2. Support in shaping ambition for Biochar manufacturing – target revenues, production volumes.
3. Create the feedstock selection & sourcing model:
a. Identify 3-4 biomass sources and required quantities to meet production targets
b. Define the feedstock sourcing model to ensure continuous availability of biomass.
c. Define margin split across the sourcing value chain covering sourcing, collection,
transportation, and storage – Infra requirements & costs associated with it.
d. Study regulatory compliance & government incentives towards sourcing of biomass.
4. Define technology for Biochar manufacturing:
a. Evaluation of production technologies, - Kon-tiki, Pyrolysis, gasification, torrefaction, etc., including technical & operational requirements, feedstock, capex requirements efficiency etc.
b. Shortlist production technology best suited to client's ambition and requirements.
5. Support in business case design.
a. No. of manufacturing plants, lines, capacity along-with capex projections.
b. Identify possible locations for the plant (3-4)
c. Price and revenue projections by segment for next 5 years.
d. Margin profile including RM sourcing & other direct costs.
e. Define indirect costs covering mfg., manpower, sales & distribution, administrative, etc.
f. Calculate payback, ROI.
PART2
6. Enriched Biochar – Define market structure and potential
a. Assess market size & projected growth for top 5 applications of enriched biochar
b. Define value addition in enrichment process and hence incremental price realization for each application of enriched biochar. c. Identify top 5 customers for each application. Define buyer values – what criteria do they
use to buy biochar (product criteria, vendor criteria, terms of purchase)
d. Define the competitive landscape –
i. Indian top 3 - competitor strategy, value chain and footprint, financials
ii.Study top 3 global players - growth strategy, manufacturing, financial performance.
iii. Define the startup landscape and assess innovation & potential disruption.
7. Enriched biochar – define sourcing model
a. Recommend nutrient/ microbial selection for enrichment by application.
b. Map out the value chain for sourcing of nutrient/ microbe and define sourcing costs.
8. Enriched Biochar manufacturing
a. Investigate suitable production processes and methods for enriching biochar with nutrients, minerals, and other functional materials & suggest suitable options.
b. Analyze regulations relevant to the production and sale of enriched biochar.
c. Shortlist production technology best suited to client's ambition and requirements.
9. Enriched biochar - Build a financial case
a. No. of manufacturing plants, lines, capacity along-with incremental capex required.
b. Incremental price and revenue projections by application for next 5 years.
c. Incremental RM & other direct costs
d. Define additional indirect costs - mfg., manpower, sales & distribution, admin., etc.
e. Calculate payback, ROI.
10. Risk management: Identify the risks associated at different stages (feedstock sourcing, biochar manufacturing, biochar enrichment) & develop mitigation plan.
Post the feasibility assessment, the business plan will be internally assessed, and we may engage the consultant for a subsequent project for execution setup.
This project is for a Duration of 6 Months based in a Hybrid Model and requires Part Time (15hrs/week) Capacity. The project is based in Mumbai (other locations might be considered)
Skills Required
Competencies/ knowledge requirement:
1. Deep expertise of working in the biochar space for 10+ years
2. Deep knowledge on feedstock selection, sourcing models, production techniques/technologies for biochar, enrichment of biochar, applications of the biochar & generation of carbon credits.
3. Good networks with players of biochar space across its value chain.
4. Demonstrated experience of setting up biochar businesses in this space is preferable.
5. Demonstrated experience of creating partnership/ alliances with startups is preferable.
Proposal submission: Interested consultants are invited to submit their proposals including:
1. Background & experiences
2. Approach and methodology for the feasibility study. 3. Detailed timeline and cost estimate
4. References or case studies of similar projects undertaken.
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2 month(s)
8+ years 
Hybrid
