Carbon Black Industry Shifts
Q1. Could you start by giving us a brief overview of your professional background, particularly focusing on your expertise in the industry?
I started my career in the Chlor-Alkali industry in 1982. Stayed with Chlor alkali for about five years and thereafter moved to the then Hi-Tech Carbon, Renukoot - UP, as process engineer during the project stage. It was part of the Aditya Birla Group under the umbrella of Indian Rayon and Industries Limited. Plant commissioned in July'1988.
In 1997, project work began on the Chennai plant's capacity expansion. Moved to Chennai after elevation as Head of Production in 1997. 1st commissioned during July 1998, 2nd production stream came in 2004 and 3rd stream in 2007. I was thoroughly involved in project work. Besides other competencies, process automations were my area of expertise. Experienced vertical start of all the expansions.
In 2011, elevated as Manufacturing Head and moved to Patalganga, Maharashtra, near Mumbai. Many improvement initiatives have been taken to improve the plant's yield, reliability, and efficiency.
Became Unit Head of Birla Carbon, Renukoot plant in 2017, and moved to Uttar Pradesh.
Superannuated in 2021 and thereafter moved to Birla Opus Paints as Technical Consultant.
Q2. What major structural changes are shaping the global carbon black market today, particularly across tire, rubber, and specialty applications?
Structural changes are basically towards a vertical organization from a horizontal one. Now, at the global level, there is one lead each for HR, Sales, Technology, F&C, Manufacturing, etc. The entire business is divided on a zonal basis.
Q3. What new opportunities are emerging for carbon black in EV-related components such as batteries, conductive plastics, or advanced materials?
Great opportunity knocking for conductive carbon. Battery uses are on the increase. It is increasingly used in EVs.
Q4. How are digital technologies and advanced process control improving efficiency and reliability in carbon black plants?
Plant efficiencies are improving day by day with advanced process control (APC). Plant reliability is on the increase with the help of advanced technologies. The Cpk product quality index also improves with APC and ERC.
Q5. How are producers balancing the need for cost efficiency with the pressure to reduce emissions and improve sustainability performance?
Both are linked. When process efficiency improves, it helps reduce emissions and improves sustainability. More carbon will convert into a product, and less will go to the emission side.
Q6. How is competition evolving among global carbon black producers as tire manufacturers consolidate and demand more specialized materials?
It is entirely technology and design-driven. Carbon Black quality standards are going to be more stringent. Whatever was accepted yesterday is abandoned today. High-temperature zirconia reactors are helping increase the surface area and structure of blacks.
Q7. If you were an investor looking at companies within the space, what critical question would you pose to their senior management?
What is the roadmap and timeline for converting plants to a positive profit? What are the survey findings for raw material sourcing, conversion cost, sales forecast of the product, selling price, etc.?
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