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Small Scale Foundry Plant

 

1. Product Description: A foundry plant is a plant where metal is melted, and where the molten metal is poured into a mold for producing a certain product.  Examples of cast metal products are automobile engines, agricultural machine parts, water pumps, pipe fittings, weaving machine parts, manhole covers, etc.

 

2. Rationale: Establishing a foundry plant is like planting the seedlings of heavy industry- which is based on metal casting and metal fabrication.  In a region like Amhara, the main purpose of a foundry plant is for producing (casting) spare parts and some components for the machinery and equipment which are in operation in the transport, manufacturing, agriculture and building sectors.

 

3. Market Potential: There is not a single foundry plant in the whole Amhara Region.  However, there are various types of machinery and equipment whose many parts need replacement every year.  Many of the parts can be produced using foundry technology.  The need of the thousands of grain mills, motor vehicles, machinery and equipment of the textile, beer, food, leather and other factories for parts that could be produced locally justifies the establishment of the foundry.

 

IMPORT OF DIFFERENT PRODUCTS OF CAST IRON

Year E.C

Cast Iron Products

(In Tons)

CIF Value

(In Birr)

1990

10,888

59,173,765

1991

7,885

42,129,504

1992

15,909

54,113,974

1993

10,397

60,680,894

1994

12,615

79,073,598

1995

10,589

61,360,292

1996

7,905

48,414,701

1997

4,900

41,319,347

1998

8,507

70,579,071

1999

5,264

55,811,838

Total

94,859

 

Average

9,486

 

Source: Compiled from CSA Import Data of Different Years

4. Source of Raw Material: Import material is ingot iron and this will be imported.

 

5. Production Process & Technology:  The main foundry operations consists of melting, moulding, sand preparation and conditioning, core making, pouring, cooling, surface cleaning, fettling, heat treatment (if necessary).  Coke-fired, air–blast cupola is the commonest and cheapest way to obtain molten iron.  Other meeting systems include electric induction system and channel type or crucible type induction molding furnace.  For small castings automatic flask less side-below moulding system is employed.

 

6. Estimated Cost: Birr 2 million for plant and machinery and Birr 150,000 for buildings. Total investment 2.15 million.

 

7. Benefits to the Region’s Economy: a) transfer of skill and technology to the Region, b) enhances the degree of economic self sufficiency of the Region c) creates linkages between economic sectors d) lays the foundation for heavy industry

 

8. Location:- Combolcha, Bhair Dar or Gondar

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