SUMMER TRAINING PROJECT

REPORT
Undertaken at
Oriental Carbon & Chemical Ltd.
Noida
Submitted in Partial Fulfillment of the Requirement for the
Award of the Degree of

Master of Business Administration

By
Adnan Alam
18MBA02

Under the Supervision of

Mr. Rajneesh Kumar Dhiman
DGM (Technical Sales)

CENTRE FOR MANAGEMENT STUDIES

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 Jamia Millia Islamia, New Delhi – 110025

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 DECLARATION

I, Adnan Alam, a bonafide student of MBA (Full Time) Programme at the Centre
for Management Studies, Jamia Millia Islamia, New Delhi, hereby declare that
I have undergone the Summer Training at Oriental Carbon & Chemical Limited
Noida, under the supervision of Mr. Rajneesh Kumar Dhiman, DGM
(Technical Sales), on and from 10th June 2019 to 2nd August 2019.

I also declare that the present project report is based on the above summer
training and is my original work. The content of this project report has not been
submitted to any other university or institute either in part or in full for the award
of any degree, diploma or fellowship.

Further I assign the right to the university, subject to the permission from the
organization concerned, use the information and contents of this project to
develop cases, caselets, case leads and papers for publications and/or for use in
teaching.

Adnan Alam
18MBA002
Place: New Delhi
Date:…………….

ACKNOWLEDGMENT
I express my sense of profound gratitude to the management of “Oriental
Carbon & Chemical Limited, Noida”. For giving me this opportunity to

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complete my summer internship in their esteemed organization. My sincere
thanks to Mr. Syed Adeel Ahmad (GM – HR, OCCL), for permitting me to
pursue this project.
I would like to express my gratitude to Mr. Rajneesh Kumar Dhiman
(DGM – Technical Sales, OCCL) for providing his valuable time, guidelines,
suggestions and support throughout my entire project work.
I am extremely grateful to my mentor Dr. Rahela Farooqui (Professor,
JMI), without her guidance and wisdom completion of this project would not have
been possible.
I am also thankful of our Director Dr. Ameerul Hasan Ansari and other
faculty members and professors for their support and guidance.
Lastly, I am indebted to the friends and will-wishers who have extended
their support to me during the project.

Adnan Alam
18MBA002

CERTIFICATE
This is to certify that Adnan Alam has completed his Summer Training Project
under my direct supervision. He underwent the summer training from 10 th June
2019 to 2nd August 2019, during which he was assigned the task of finding out
the Market Potential of Powder Insoluble Sulphur and Master Batches of
Insoluble Sulphur/Sulphur in Indian Rubber Industry, which he has successfully
completed and the same is presented in the form of Project Report.

It is further certified that the project report submitted by Adnan Alam reflects his
original work and based on the work assigned to him for the Summer Training
and the Project Report has not been submitted elsewhere for award of any
degree, diploma or fellowship.

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 Rajneesh Kumar Dhiman
DGM (Technical Sales)

INDEX
Declaration 2
Acknowledgement 3
Certificate 4
Chapter – 1
Introduction
7
Industry Profile 8
Chapter - 2
Company Profile 10
Company Timeline 10
Vision & Mission 12
Products 13
Market Share 17
Past Performance 18
Financial Summary 20
Future Prospect 22
Opportunities, Threat and Risks 23
Organizational Structure 25
Staffing Pattern 26
Recent Initiatives 28
Chapter - 3
Work Experience 32
Export Documentation Process 33
Pre Shipment Document 34
Post Shipment Document 40

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 Creation of Post Shipment Document Using SAP 50
Chapter - 4
Research Work 57
Research Methodology 59
Data Collection 60
Limitations 61
Chapter - 5
Data Analysis and Findings 62
Conclusions 65
Questionnaire 66

CHAPTER – 1

INTRODUCTION

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 Introduction

Marketing research is a part of marketing management, so before entering

into marketing research we should understand what Marketing is all about.

Marketing has been defined by AMA (American Marketing Association) as

“an organizational function and a set of process for creating, communicating, and
delivering value to customers and for managing customer relationships in ways
that benefit the organization and its stakeholders.”

All decision in modern business organization revolve around information

related with marketing decision making situations, which are characterized by
Market Research.

AMA definition of marketing research – “Marketing research is the function

that links the consumer, customer and public to the marketer through information
– information used to identify and define marketing opportunities and problems;
generate, refine and evaluate marketing actions; monitor marketing performance;
and improve the understanding of marketing processes.”

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 In this well-paced changing business scenario and uncertain atmosphere
of automobile industry, it is a very big challenge to companies like OCCL to
maintain old customers and a way bigger challenge to find and retain new
customers. This research was conducted to find out the future prospect and
potential of new launched products of OCCL named DIAMIX S-80 and DIAMIX
IS-65. It was also included to know how many of Indian consumers can switch to
pre-dispersed form of Insoluble Sulphur from Powder form of Sulphur.

Industry Profile

Insoluble sulphur is the amorphous polymeric form of sulphur with the

property of being insoluble in all known solvents and rubber. It is an effective
vulcanization agent for the rubber industry. Insoluble sulphur is a solution for
problems arising due to the use of sulphur. It prevents the blooming of rubber,
scorching of bin and ensures uniform dispersion. It is responsible for the increase
in vulcanization speed, reducing the quantity of sulphur used. Tyre
manufacturers are the largest consumer of Insoluble Sulphur, So Industry of
Insoluble Sulphur is highly dependable on the condition of tyre industry across
the globe.

Total production of Insoluble Sulphur around the globe is 2,88,000 MTPA

and expected to reach 3,25,000 MTPA in 2026 as per Notch report. Around 78%
of this total production is produced by Eastman US and 10-12% is being
produced by OCCL India. In India demand of insoluble sulphur is expected to be
21000 MTPA.

Insoluble Sulphur industry is so tightly connected with tyre and automobile

industry. In the first half of 2018, around 44 million units of vehicles have been

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sold and global tyre industry is expected to sustain 3-4% growth rate. Asian
market accounts for 46% of total investment in tyre industry and about 50% of
global sales.

CHAPTER – 2

COMPANY PROFILE

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 Brief Profile of the Company

ORIENTAL CARBON AND CHEMICAL LIMITED

Oriental Carbon and Chemicals Limited (OCCL), a company

belonging to the Duncan JP Goenka group of companies, traces its origin to
1978 when it was incorporated as Dharuhera Chemicals Limited (DCL). OCCL
manufactures Insoluble Sulfur, Sulfuric Acid and Oleums. The core business of
OCCL is manufacturing and sales of Insoluble Sulfur, which is used as a
vulcanizing agent. OCCL is the leading insoluble sulfur producer in India and a
major supplier into Europe. Diamond Sulf is the brand, under which Insoluble
Sulfur is sold by the company and it is offered in various grades like high
dispersion, high stability, special grade and pre-dispersion. The company has
manufacturing facility at Dharuhera, Haryana, with a capacity of 12000 MTPA
and Mundra SEZ, Gujarat with a capacity of 22000 MTPA which make total
capacity of OCCL 34000 MTPA

OCCL is also engaged in the production of Sulfuric Acid & Oleum which
constitute about 7% of the total sales of the company in standalone revenue. The
company has a subsidiary Duncan Engineering Limited formerly known as

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Schrader Duncan Ltd (SDL), where it holds 50.01% stake, is engaged in the
manufacturing of automotive tyre valves and pneumatic products such as
hydraulic and pneumatic cylinders, pneumatic valves and accessories.

Company Timeline:

● 1978 - Incorporated as Dharuhera Chemicals Ltd to manufacture Sulfuric

Acid
● 1978 - Sulfuric Acid production started
● 1984 - Merged with Oriental Carbon Ltd to form Oriental Carbon &
Chemicals Ltd
● 1994 - Insoluble sulphur operations started
● 1998 - High Stability Grades introduced
● 2000 - Disinvestment of carbon Black Division
● 2001 - AS Grade Developed
● 2002 - Establishment of R and D Department
● 2003 - High Dispersion Grade developed
● 2005 - Establishment of a second line at Dharuhera
● 2007 - Custom made grades introduced
● 2009 - Embarked on a greenfield expansion for 11,000 MTPA of Insoluble
Sulphur at the Mundra plant
● 2011 – Commissioned the first phase of the Mundra plant with the
capacity of 5,500 MTPA
● 2012 - Acquired 50% equity shares of Schrader Duncan Ltd and
commissioned second phase of the Mundra plant for 5,500 MTPA
● 2016 – Kick started brownfield expansion of an additional 11,000 MTPA of
Insoluble Sulphur capacity at Mundra in two phases.
● 2017 – Commissioned the first phase of Insoluble Sulphur expansion of
5,500 MTPA at Mundra

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 ● 2018 – Commissioned the second phase of Insoluble Sulphur expansion
of 5,500 MTPA at Mundra
● 2019 - Kick started brownfield expansion of an additional 11000 MTPA of
Insoluble Sulphur capacity at Dharuhera in two phases.

Vision & Mission of the Company:

Vision: OCCL aims to be the most respected, most preferred technology driven
Insoluble Sulphur supplier to the Rubber industry.

Mission:

OCCL's primary mission is achieving excellence in the products that it offers. The
company will diligently work towards improving its offerings and strategy to better
serve its clients, stakeholders, employees and the environment it operates in. It's
our desire to create a synergy of continuous growth, value creation and industrial
excellence to meet the challenges and demands of the future. We aspire to
create a global paradigm in fields such as Product Specialization, Productivity,
environmental management and Corporate Citizenship.

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OCCL – ORGANIZATION AND PRODUCTS

Oriental Carbon
& Chemical
Limited

Fluid Power & Auto

Chemical Business Products
(Standalone)
(Duncan Engineering
82% revenue contribution Limited)
to OCCL
18% revenue contribution
to OCCL

Insoluble Sulphuric Acid &

Sulphur Oleum
Revenue Revenue Contribution 7%
Contribution 93%

Products: OCCL is the second largest manufacturer and supplier of

Insoluble Sulphur after Eastman USA, with the ~10% of global market share and
55-65% of domestic market share.

Different grades of Insoluble Sulphur:

Regular Grades: DIAMOND SULF oil treated grades are insoluble in

elastomers; they are completely non-blooming and are ideal vulcanizing agent for
unsaturated elastomers. They are particularly suitable for use in compounds
where sulphur loading levels are required above the Sulphur solubility rating of
particular elastomers.

Product Composition: Insoluble Sulphur and Naphthenic oil treated

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 Elemental Insoluble Oil
Grades
Sulphur % Sulphur % Content %

Diamond Sulf OT 10
90±1 90 10±1
(DS OT 10)

Diamond Sulf OT 20
80±1 90 20±1
(DS OT 20)

Diamond Sulf OT 33
67±1 90 33±1
(DS OT 33)

High Stable Grades: Insoluble Sulphur processing higher level of thermal

stability provides optimum resistance to reversion to the soluble form of Sulphur
even ay elevated temperatures. Such a product would facilitate enhanced bloom
protection. High stable DIAMOND SULF ensures more consistent vulcanizing
properties and allows storage at relatively higher ambient temperature.

Product Composition: Insoluble Sulphur and Naphthenic oil treated

Elemental Insoluble Oil

Grades
Sulphur % Sulphur % Content %

Diamond Sulf OT 10 High

90±1 90 10±1
Stability (DS OT 10 HS)

Diamond Sulf OT 20 High 80±1 90 20±1

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 Stability (DS OT 20 HS)

Diamond Sulf OT 33 High

67±1 90 33±1
Stability (DS OT 33 HS)

Special Grades: DIAMOND SULF special grades are products designed to

specific requirements of the industry. These grades have been enhanced to
perform better and can be customized further to achieve specific results as per
the need of the customer.

Product Elemental Insoluble Oil Binder

Grades
Composition Sulphur % Sulphur % %

Diamond Sulf OT 20 Insoluble Sulphur

HD and 20%
80±1.5 90 20±1.5
Naphthenic oil
(DS OT 20 HD) treated

Diamond Sulf OT 25 Insoluble Sulphur

AS and Silica, 25% 67±1 90 25±1.5
Naphthenic oil
(DS OT 25 AS)

Diamond Sulf 90 Uncoated Insoluble

99.5±0.5 90 -
Sulphur
(DS 90)

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Value Added Grades:

Elemental Insoluble Oil

Grades Product Composition
Sulphur % Sulphur % Content %

Diamond Sulf 60 Insoluble Sulphur and

- 60 -
rubber maker Sulphur
(DS 60)

Diamond Sulf OT Insoluble Sulphur and

16 zinc oxide Naphthenic 63±2 84 15.8±2
oil
(DS OT 16)

Diamond Sulf 35 Insoluble Sulphur,

rubber maker Sulphur 77±1.5 35 23±1.5
(DS 35) and Naphthenic oil

Pre-Dispersed Insoluble Sulphur:

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 Diamix S-80 GS

Diamix S-80
Diamix S-80 GE

Pre-Dispersed
Insoluble Sulphur Diamix IS-65 GS

Diamix IS-65 Diamix IS-65 GE

Diamix IS-65 GSE

DIAMIX S-80:
Product Composition – Sulphur, Elastomer and Dispersing Agents
Total Sulphur – 80%
Elastomer and Dispersing Agents – 20%
Dosage Factor – 1.25 (Based on active sulphur content)
Packing – 25 kg paper bags

DIAMIX IS-65
Product Composition – Insoluble Sulphur, Elastomer and Dispersing Agents
Total Sulphur – 66%
Insoluble Sulphur – 59%
Elastomer and Dispersing Agents – 34%
Dosage Factor – 1.51 (Based on active sulphur content)
Packing – 25Kg carton boxes

Uses of Insoluble Sulphur:

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Insoluble sulfur is an important rubber additive agent. It improves product quality,
wearability and resistance to both fatigue and ageing. In addition to being
universally recognized as the best vulcanizing agent, it is widely used in the
manufacture of tire, rubber pipe, shoes, cable and wire insulating materials, latex,
and all kinds of automobile rubber parts and is also a necessary component of
belt tires. Therefore, due to its non-blooming characteristic, insoluble sulfur is
widely used in the manufacture of radial rubber and other synthetic rubber
products, also in the light-colored rubber products in which common sulfur is
incorporated in high proportion.

Market Share of OCCL:

OCCL is the second largest manufacturer of Insoluble sulphur in the globe and
the only manufacturer at domestic level. OCCL holds around 10%-12% of global
market share of Insoluble Sulphur and around 65% of Domestic market share.

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 10% 2%
10%

78%

Eastman OCCL Shikoku Others

Past Performance and Future Prospects:

Analysis of financial statements for the past four years:

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 Net Sales (Rs Lakhs)

2019 38,354

2018 32,823

2017 29,741

2016 27,472

0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000

Total Revenue (Rs Lakhs)

2019 39,704

2018 31,746

2017 31,736

2016 29,385

0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000

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 Operation Profit & Profit before Tax)
EBIDTA PBT

10,257
2019
12,941

7,963
2018
10,383

7,472
2017
9,488

6,476
2016
8,676

0 2,000 4,000 6,000 8,000 10,000 12,000 14,000

Debt-Equity Ratio (Rs Lakhs)

2019 0.17

2018 0.18

2017 0.19

2016 0.07

0 0.02 0.04 0.06 0.08 0.1 0.12 0.14 0.16 0.18 0.2

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 Net Worth (Rs Lakhs)

2019 41,353

2018 38,782

2017 34,288

2016 28,600

0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000

Financial Summary of Last four years: (Rs. Lakhs)

Particulars 2018-19 2017-18 2016-17 2015-16

Net Sales 38,354 32,823 29,741 27,472

PBDIT 12,941 10,383 9,488 8,676

824
Interest 785 501 635
Profit Before Tax 10,257 7,963 7,472 6,476
Profit After Tax 7,374 5,675 5,417 5,299

1000.53
Share Capital 1,031 1,031 1,031
41,353
Net Worth 38,782 34,288 28,600
0.17
Debt Equity Ratio 0.18 0.19 0.07
72.09 55.12 52.62 51.46
Earning Per Share for

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 the year (Rs./

Share)

Book Value of

Shares (Rs./ 403.93 376.80 333.02 268.38

Share)

Financial analysis, 2018-19

Balance sheet

● Net worth increased to Rs.41,353 lakhs as on March 31, 2019 compared

to Rs.38,782 lakhs as on March 31, 2018.
● Long-term borrowings including current maturities for 2018-19 stood at
Rs.9,452 lakhs compared to Rs.8,829 lakhs during 2017-18. The increase
was due to a term loan for Mundra capacity expansion taken during the
year.
● Total non-current assets for 2018-19 stood at Rs.38,025 lakhs compared
to Rs.38,009 lakhs in 2017-18.
● Current assets as on March 31, 2019 stood at Rs.23,166 lakhs compared
to Rs.19,266 lakhs as on March 31, 2018. Current assets included
investments.
● Current liabilities stood at Rs.9,603 lakhs as on March 31, 2019 compared
to Rs. 9,304 lakhs as on March 31, 2018.

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Profit and loss statement

● Revenues from operations strengthened by 17% to Rs. 38,764 lakhs

compared to the previous year figure of Rs. 33,203 lakhs.
● Total expenses for 2018-19 stood at Rs. 29,447 lakhs as compared to
Rs.25,783 lakhs in 2017-18
● Depreciation and amortization stood at Rs. 1,859 lakhs in 2018-19
compared to Rs. 1,634 lakhs in 2017-18.
● EBITDA increased to Rs.12,941 lakhs in 2018-19 compared to Rs. 10,383
lakhs in 2017-18. Margins improved on account of attractive realisations in
the acid business.

Future Prospects:

Insoluble Sulphur

Global demand of Insoluble Sulphur is estimated to be 3,05,000 MTPA as per

Notch Report published by Notch Consulting (Global Research Firm on Specialty
Chemicals). Out of the above, about 100,000 MTPA demand is in China and
84,000 MTPA demand is in America and Europe put together. Out of the 100,000
MTPA demand in China, about 50% is for the globally accepted quality of the
product which is manufactured by three Companies in the world including OCCL.
Therefore, the demand for quality Insoluble Sulphur may be estimated at about
2,48,000 MTPA. The current demand of Insoluble Sulphur in India is estimated at
17500 MTPA. This is expected to continue to grow in double digits on the back of
the following factors:

1. Commercial Vehicle tyres are moving towards complete radialisation.

2. India emerging as a hub for exports of tyres.

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 3. New Capacities being set up in India for Tyre manufacturing by
international players such as Bridgestone, Michelin and Yokohama as
well as domestic players to cater to international market also.
4. More Insoluble Sulphur is consumed in High performance tyres and new
tyre technologies

The work on the 4th line (Phase II of expansion) of our manufacturing facility is
progressing on schedule and within the Budget. The Company has made inroads
in the American Markets and, therefore, is hopeful of operating the new addition
in capacities at optimum level by the end of the coming Financial Year. The
Company is also working continuously to reduce its carbon footprint by reducing
utility consumption through process optimization etc.

Opportunities, Threats, Risks, Concerns and Outlook

Opportunities and Outlook:

The Outlook for future growth in global demand is about 3- 4% per annum. The
growth in Domestic market is expected to be significantly higher for reasons
elaborated earlier. The production of tyres globally is shifting to more
environmentally friendly tyres and lighter tyres. This will require consumption of
more Insoluble Sulphur per tyre. Therefore, dosage of Insoluble Sulphur as a
percentage of rubber is increasing.

OCCL’s efforts to enter North American and Chinese markets have also born fruit
due to which The Company is confident of selling production from expansion.
The demand in Domestic market is still not at the level of similar to developed
economies and therefore significant opportunity for growth lies in India on back of
growth in production as well as improving tyre quality exists.

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Threats, Risks, Concerns:

The threats and risks to the business of the Company may be in the following
areas:

Demand and Sales Realisation:

The Demand of Insoluble Sulphur Market is linked with total tyre production
globally. The growth is coming in from production of more Radial Tyres, high
performance and safety tyres and capacity addition by Tyre companies.
Therefore, the threat of reduction in demand shall be significant only if global tyre
demand falls significantly. Further, redundancy of the product is not expected as
long as tyre is made from rubber. New technologies being introduced in Tyre
manufacturing are resulting in growth in consumption. OCCL is always in the
process of broad basing its supplies in terms of customers as well as
geographies.

Sales realization may also be affected through exchange rate fluctuation or

overall reduction in raw material and commodity prices. OCCL safeguards itself
through hedging its Foreign exchange exposure as per its policy in this regard
from fluctuations and in the later case, even though realisations may come down,
there should be no impact on contributions and margins.

Quality:

OCCL always strives to meets the international quality parameters. With

increasing usage of Insoluble Sulphur per tyre, dispersion as a property has
become crucial. OCCL is well positioned to meet the future challenges in this
regard.

Production and Input Material Related Risks:

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Raw material supplies are ensured through maintaining multiple vendors and
adequate stocks. Sufficient back up of utilities are maintained to ensure
continuous supply. Due emphasis is laid on safety and preventive maintenance
to avoid unnecessary interruptions. Other than the above, the Company also
engages with its customers closely to understand its requirements, any change
therein, or issues, if any, with the product. OCCL has a motivated and dedicated
team of employees and also has in place safety and environmental systems and
rigorous preventive and predictive maintenance system. This helps in mitigating
production related risks.

Competition:

Competition is a risk as well as opportunity. The Risk of competition from new

manufacturers, mainly from China, is met through continuous product and
process improvement to maintain quality and cost advantage over them and
through collaborative efforts with tyre companies to see that their requirements
are met. Further, high technology barrier coupled with exhaustive approval
processes of tyre manufacturers acts as a deterrent for entry of new
manufacturers. The Company endeavors to be at the forefront of quality and
innovation through its laboratory base, process and collaborative research efforts
which also focuses on streamlining and optimizing production process and input
costs.

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Other established players continue to introduce innovative products in the market
in effort to garner market share. OCCL is, as before, also working on product
innovation and improvement in order to meet the challenges in this regard.

Organizational Structure:

It is a plan of organizational hierarchy; it decides how information will flow within

the organization, who supervises whom etc. It also helps to define roles and
responsibilities to different personnel. Organizations usually share it in the form
of organizational charts including job titles and reporting structure.

MD & JMD

CFO Vice President

President GM
Finance & Sales &
Operations HR & Admin
Accounts Marketing

Sr. GM GM
Mundra Dharuhera
Plant Head Plant Head

OCCL Staffing Pattern (Hierarchy):

Managing Director
&
Joint Managing Director
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Chief Financial Officer

 President

Sr. Vice President

Vice President

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 Sr. General Manager

General Manager

Deputy General Manager

Sr. Manager

Manager

Deputy Manager

Assistant Manager

Executive

Officer

Jr. Officer-I

Jr. Officer-II

Trainee

Recruitment policies & Retention Policies: OCCL keeps this information

confidential.

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 Recent management initiatives in the areas of
marketing, finance, HR, Technology and strategy

1. In the area of Marketing:

Marketing is not as simple as many of us may believe. In Order to get our business
efficient and effective, we need to understand the value of promotion of our
services and offerings. We also need to find a better and effective way of
promotion and market research for our services and goods.
In recent times OCCL marketing team has taken many initiatives to promote their
products, some of them are mentioned below-
a) Website Revamp: OCCL is giving its website to a new modern look with
new features to attract customers. “Search Engine Optimization” (SEO)
tools are also being included in the website to reach out a broader and
new customer base.
b) Redesigning Catalog: OCCL has redesigned its catalog, given a new
and modern look.
c) Corporate Vide: OCCL marketing team has made a new corporate video
showing manufacturing plants, various types of products, corporate office,
vision & Mission of the company, messages from MD etc.
d) Advertisement in International Rubber Journals: Since OCCL is
looking to open the door of new markets in US and China, two biggest
giants of rubber products manufacturer, OCCL has published its
advertisement in many reputed international rubber journals to attract new
customers.
e) Participation in Exhibitions and trade fairs: Earlier OCCL marketing
team used to visit different rubber product exhibitions and trade fairs but in
recent time OCCL marketing team has started to participate actively in
those exhibitions and fairs by putting a showcase of OCCL’s products.

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 f) New SOPs (Standard operating Procedure) of IATF: IATF stands for
International Automotive Task Force and it is an international standard for
Automotive Quality Management System. Since insoluble sulphur is
majorly being used in tyre manufacturing industry, So OCCL marketing
team has revamped its SOPs according to IATF standards.
g) Registered in IndiaMart: IndiaMart is an Indian e-commerce company
that provides B2C, B2B and customer to customer sales services via its
web portal. OCCL has registered itself here to penetrate into domestic
market segment.
h) Social Media Presence: OCCL is increasing its social media presence by
sharing its events on different social media platforms like LinkedIn,
Facebook etc. OCCL also encouraging its managers and executives to be
more active on LinkedIn.
i) Planning to buy new Softwares: OCCL marketing team has been
researching on different integrated collaborative softwares such that slack,
Microsoft Teams, Jira Cloud, Asana etc. for better and effective project
management.
j) Standardizing all PPTs: Recently all the business presentation has been
standardized to bring more professional look.
k) Recently launched new products: OCCL has launched five new
products in pre-dispersed segment of Insoluble Sulphur –
a) Diamix S-80 GS
b) Diamix S-80 GE
c) Diamix IS-65 GS
d) Diamix IS-65 GE
e) Diamix IS-65 GSE

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2. In the area of Finance –
a. ICRA has upgraded the long-term rating of OCCL to [ICRA] A+ from
[ICRA] A
b. ICRA has also upgraded the short term rating of OCCL to [ICRA] A1+
from [ICRA]A1
c. The share buyback program was closed by the company by buying
3,05,970 equity shares at an average price of Rs.1,143 per equity share,
company deployed around Rs.35 Crores during the buyback program

3. In the area of Human Resource –

a. Recently company has started limited flexible timing. Employees now
can come anytime between 9:00am to 10:30 and are bound to complete
8:30 hours in office to call a day.
b. HR department has started celebrating birthdays and anniversaries of
the employees to make them feel more homely and engaged.

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 CHAPTER – 3

WORK EXPERIENCE

34 | Page
Part – B

Report on Work Experience

A. Desk/Office Based Training

i. Assigned Task & Responsibility

Apart from the research work on my topic, “Market Potential of Powder Insoluble
Sulphur and Master Batches of Insoluble Sulphur/Sulphur in Indian
Rubber Industry” I was assigned a task in export documentation
department. My specified task was to generate Invoice using SAP.

ii. Nature of work, working hours and work expectation

Nature of work: It was an office based on the table task. I was supposed to
complete my piece of work and further coordinate to other team members
to accomplish entire export documentation process. I will mention all the
documentation process and my piece of work in later chapters.
Working Hours: Office has flexible time hours, Employees and I were supposed
to come anytime between 9:00am to 10:30am and were supposed to stay
8:30 hours in the office.
Work Expectation: I was expected to generate all invoices mentioned in sales
order and coordinate with other team members to help accomplish entire
documentation process.

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 Export Documentation Process
Export documentation process comprises of different type of documents
prepared at different stage of export process. All stages and documents are
listed below -
1. Pre shipment documents
● Invoice
● Packing list
● Shipping instructions
2. Methods of payment
3. Post shipment documents
● Bill of exchange
● Bill of lading
● Invoice
● Packing list
● Certificate of origin
● Certificate of analysis
● Shipping bill
● Certificate of insurance
● Heat treatment certificate/ fumigation certificate
4. Creation of pre shipment documents
5. Creation of post shipment documents
6. Different sets for different parties

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Pre shipment documents
➢ Pre shipment documents are the documents which are prepared before
the goods are loaded onto the ship.
➢ These are very integral to an organization as they form the base of the
entire Export Documentation.
➢ These three documents are very important as they provide information
with the help of which the shipping bill is fetched.
➢ Shipping bill is used to book the shipping line and hence it is very
important that it is prepared with utmost precision, and for that the pre
shipment documents should be prepared properly.
➢ These documents are required by the plant for material procurement and
to adhere to the packaging requirements of the client & by the CHAs to
implement the export procedure.

The 3 major pre shipment documents are:

i. Export invoice
ii. Packing list
iii. Shipping instructions

1. EXPORT INVOICE
➢ An Export invoice form is used for all shipments. The export invoice is the
primary document used for importation control, valuation, and duty
determination. This document identifies the products being shipped.
➢ An export invoice is used to calculate tariffs, international commercial
terms (like the Cost in a CIF) and is commonly used for customs
purposes.
➢ Export invoice is used by CHAs (Custom House Agents) to generate a
certificate of origin, for custom filing and to issue certificate of insurance.

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 ➢ It is the basic and most important document in an export transaction and
extreme care has to be taken by the exporter to prepare this document.

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 2. Packing list

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 ➢ Packing List is a document which details the contents, and often
dimensions and weight, of each package or container.
➢ This document provides the details of number of packages; quantity
packed in each of them; the weight and measurement of each of the
packages and the net and gross weight of the total consignment.
➢ Packing list helps the plant to know what should be the packing
mode and how to go about packing the goods to be sent.
➢ It serves to inform all parties involved with shipping, including
transport agencies, government authorities, and customers, about
the contents of the package.
➢ It helps them deal with the package accordingly.
➢ The packing list serves a useful purpose of the exporter while
dispatching the consignment as a cross check of goods sent.

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41 | Page
 3. SHIPPING INSTRUCTIONS
➢ The shipping instructions provide detailed instructions pertaining to a
shipment (e.g., shipper, consignee, bill-to-party, commodity, pieces,
weight, cube, etc.).
➢ When an exporter engages a custom broker or forwarder to handle the
customs declaration, he/she must give instructions on what to do with
the shipment in the shipping instructions.
➢ The format of the shipping instructions varies, but all the forms
essentially contain the same information.
➢ One form is often used in different modes of transportation.
➢ It is extremely important as it is the major requisite for the shipping bill.
➢ The HS code is also mentioned on the shipping instructions
➢ The objective of the instruction is to ensure that goods are safely
transported between Supplier and construction site, correctly packed,
marked, handled and stored.

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43 | Page
Post Shipment Documents - The various post shipment documents are:
➢ Bill of exchange
➢ Bill of lading
➢ Commercial invoice
➢ Packing list
➢ Certificate of origin
➢ Certificate of analysis
➢ Shipping bill for bank
➢ Certificate of insurance
➢ Heat treatment certificate/ fumigation certificate

Bill of Exchange –

➢ A bill of exchange is a document used in international shipping, it is a

negotiable instrument, created by the seller or exporter and given to the buyer
or importer. It legally binds the buyer to pay an agreed-upon sum of money to
the seller on a specified date, often upon receipt of goods or on a specific day
following the receipt of goods (for example, 10 days after receipt of goods).

➢ While sending shipping documents to the buyer through his bank, the
exporter encloses bill of exchange duly signed. While delivering shipping
documents to the buyer by buyer’s bank, the said Bill of exchange is needed
to be signed by buyer accepting the terms and conditions mentioned in the
document to effect the payment as per the stipulated period.

➢ The bill of exchange is made on the letterhead of the company.

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➢ Bill of exchange is used by the seller in cases where the seller is not sure if
buyer will pay him in full or not. The three cases where a seller usually uses a
bill of exchange is –

➢ Document collection method of payment

➢ Negotiable B/L (to the order)
➢ L/C method of payment

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Shipping Bill –

Shipping bill is the main document which is required by the Customs Authority for
allowing shipment. Under manual processing of export documents, the exporter
is required to file the appropriate type of shipping bill to seek the order for
customs clearance of the export shipment. Under computerized processing, the
exporter does not prepare the shipping bill; instead it is electronically generated
by the computer.

➢ After the shipping bill, it is stamped by the customs. Then only the goods are
allowed to be carted to the docks.
➢ After the clearance or customs, exporter can load the goods on ship.
➢ Shipping bill endorsed by the customs authorities facilitates the exporter to
claim incentives such as excise duty refund and duty drawback.
➢ Shipping bills have to be filed mandatory for every goods moved for exports.
➢ Shipping bills are filed as per the guidelines of customs department of each
country.

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47 | Page
Bill of lading – A bill of lading is a legal document between a shipper and a
carrier that details the type, quantity and destination of the goods being carried.

➢ It is a document issued by a carrier, or its agent, to the shipper as a contract

of carriage of goods. It is also a receipt for cargo accepted for transportation,
and must be presented for taking delivery at the destination. It acts just like a
ticket, without which the buyer neither can get to the vessel, nor be able to
take his goods.

➢ It serves as a proof of ownership (title) of the cargo.

➢ Bill of Lading (abbreviated to B/L) is one of the MOST important documents in
the whole shipping and freight chain.

BOL can be classified into two parts –

➢ Negotiable – The negotiable BOL can be bought, sold, or traded while the
goods are in transit. The customer will usually need an original as proof of
ownership to take possession of the goods. “To order” is usually mentioned in
consignee column.
➢ Non-Negotiable – The consignee name is always mentioned in this column it
cannot be bought and sold.

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49 | Page
Commercial invoice – A commercial invoice contains a great deal of
information and acts as a bill of sale between a buyer and seller. It serves as
a means for getting paid.

➢ The commercial invoice is used by customs authorities. If specific

information is required to appear on the commercial invoice by customs
authorities in the importing country, the importer should advise the
exporter of this, and preferably, well in advance of the export sale.

➢ Most importantly, the information on the commercial invoice must

correspond exactly with all information appearing in any form of a
collection document, such as a Letter of Credit; otherwise, the exporter
might run into problems when trying to get paid for the goods.

➢ The commercial invoice has invoice number generated for the post
shipment commercial invoice is mentioned here along with the date on
which it was generated.

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51 | Page
Packing list – The post shipment packing list is more or less the same as
the pre-shipment packing list. The only difference is that it now includes some
post shipment details which were not earlier mentioned.

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Factory packing list – It is a packing list which contains detailed information
about the goods being exported. It is prepared by the factory and contains detailed
information about the pallet number, the batch number, the number of bags present in
the batch etc.

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Creation Of Post Shipment Documents Using SAP –

1. Sales Order –

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 Transaction Code:

Creation of sales order: VA01

Change of sales order: VA02

View sales order: VA03

Mandatory fields:

Choose Domestic Sales order: ZEOR

Sales Organization: 1100

Distribution Channel: 10 for direct sales

20 for sales through

commission agent

Division: 10 for Insoluble

Sulphur

Select - Sold to Party

Select - Ship to Party (If

Required)

Enter- PO Number

Enter- PO Date

Enter- Material Code

Enter- Quantity in Kgs

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 Enter- Customer material code, if
any

At item level-

Enter- Delivery Plant: 1300 for

Mundra

Enter- Net Wt.

Enter- Gross Wt.

Enter- Shipping type: Sea

Price in conditions:

Enter- ZBPR: Basic Price

Enter- Freight- at ZFRX

Enter- Insurance- at ZIXX

Enter- Commission- at ZCOB

Check incompleteness log- Go to Edit and click on

incompletion log

Authorization:Enter SAP code- VA02

Go to header level, click on status, click on object status

and approve the sales order.

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2. Delivery Order –

To create Delivery:

Creation of Delivery- VL01N

Change of Delivery- VL02N

View Delivery- VL03N

Enter storage Location- 1310

Click- Go To, Click Header, Click

text

Enter- Pre Carriage By:

Enter- Place of receipt by Pre

Carrier

Enter- Port of loading

Enter- Port of Discharge

Enter- Final Destination:

Enter- Notify Party

Enter- Note: For extra data on

invoice

Enter- Shipping Marks: Shipping

instructions

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 Enter- Marks and Numbers to appear
on B/L: Shipping instructions

Enter- Imp. Instructions Shipping

instructions

Check incompleteness log- Go to Edit and click on incompletion

log

3. Invoice

Pre-Shipment Documents:

Creation of Pre shipment Invoice- VF01

Change of Pre shipment Invoice- VF02

View Pre shipment Invoice- VF03

Creation:

Pre shipment Invoice- Enter code VF01 (With

reference to Delivery Order)

Document Type- ZEPF (Pro Forma Export

Invoice)

Check incompleteness log- Go to Edit and click on

incompletion log

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Printing:

Pre shipment Invoice- Enter code YINV

Enter- Exporter: Choose

HO
Mundra

Pre shipment Packing List- Enter code YPACK With

reference to delivery

Enter- Exporter: Choose

HO
Mundra

Shipping Instructions- Enter code YSHIP With

reference to Pre shipment
Invoice

Enter- Exporter: Choose

HO
IS
EOU

Enter- Against: Draw Back/White

Shipping

Bill/Advance License

Enter- Shipping Company

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Different Sets For Different Parties

Scan Set For Customer –

1. Bill of lading 1 copy

2. Commercial invoice 1 copy
3. Packing list + detailed packing list 1 copy
4. Certificate of origin 1 copy
5. Test certificate/ certificate of analysis 1 copy
6. Fumigation/ heat certificate 1 copy
7. Insurance certificate 1 copy

Bank Set –

1. Bank letters 1 copy

2. Covering letter 1 copy

3. Bill of lading 1 copy
4. Commercial invoice 1 copy
5. Packing list + detailed packing list 1 copy
6. Certificate of origin 1 copy
7. Test certificate/ certificate of analysis 1 copy
8. Fumigation/ heat certificate 1 copy
9. Insurance certificate 1 copy
10. Purchase order 1 copy
11. EDF 1 copy
12. Letter 1 copy

Office Set –

1. Shipping bill quadruplicate copy 1 copy

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 2. Export declaration form (EDF) copy 1 copy
3. Shipping bill duplicate copy 1 copy
4. Factory invoice copy 1 copy
5. Bill of lading copy 1 copy
6. Invoice copy 1 copy
7. Packing list + detailed packing list copy 1 copy
8. Insurance copy 1 copy

Plant Set –

1. Shipping bill quadruplicate copy 1 copy

2. Export declaration form (EDF) copy 1 copy
3. Shipping bill duplicate copy 1 copy
4. Factory invoice copy 1 copy
5. Bill of lading copy 1 copy
6. Invoice copy 1 copy
7. Packing list + detailed packing list copy 1 copy
8. Insurance copy 1 copy

Customer Set – As per the guidelines mentioned in their letter.

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 CHAPTER – 4

RESEARCH WORK

B) Research/Fieldwork Based Training

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 i. Topic of the Research – I was assigned to find out the Market Potential of
Powder Insoluble Sulphur and Master Batches of Insoluble
Sulphur/Sulphur in Indian Rubber Industry. Earlier OCCL was only dealing
in powder form of the Sulphur but last year they have developed in-house
technology of master batches/pre-dispersed sulphur.

ii. Research Objective – The objective of the study was

i. To know the market potential of powder form of insoluble sulphur in
indian rubber industry
ii. To know the market potential of master batches of insoluble sulphur.
iii. To know if the users of powder form of insoluble sulphur can switch to
master batches of insoluble sulphur.

iii. Reseacrch Methodology

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 Research Design – Once the objective and problem is identified, the next step is
research design. Research design is a framework of how rest of the study will be
conducted. It includes methods and procedures to accomplish research work.

In this research I am following descriptive research design.

Data Collection – there are two types of data collection techniques used in this
research

1. Primary Data Collection

2. Secondary Data Collection
1. Primary Data Collection – Primary data are those data which are collected from
first-hand source using different methods like surveys, questionnaire, interviews or
experiment. While collecting primary data, researchers always keep objective of the
study in their mind. They design their questions according to their need.
Common methods used to collect primary data –
i. By conducting direct personal interview or investigation by researcher from
source concerned.
ii. Indirect oral interviews, where the interview is conducted directly or indirectly
concerned with subject matter of the enquiry.
iii. Information gathered by local agencies, apponted by researcher
iv. Mailed questionnaire method – In this method, researcher prepare a
questionnaire consisting some questions in order to get the necessary data for
the research. Then this questionnaire is being mailed concened source.

In this study, mailed questionnaire method was used.

2. Scondary Data Collection – The scondary data collecion refers to exist data
available on different sources like internet, old records, government data books etc.
These data have been run by different researchers for dissferent studies.

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Data collection method used in this study -

1. As a first step, I have gathered information about the industries where insoluble
sulphur is being used in India. This information was provided by my supervisor
himself.
2. My next step was collecting contact details of those companies where
concerned product was being used. I have collected this data from internet and
old data base of the company – secondary data
3. Prepared a questionaaire consisting related questions.
4. Talked to concerned authorities in those companies over phone call and tried to
convince them to fill questionnaire.
5. E-mailed them questionnaire and gathered data.

Population – All the industries which are manufacturing rubber products.I have
divided them into two groups –

i. Tyre manufacturing industries

ii. Other than tyre

Sample - In this study I have mainly focused on tyre manufacturing industries because
other than tyre industries are using very minimal amount of Insoluble Sulphur.

Limitations to Study –

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 i. Study time period was 8 week only, it was very less time to understand
and study such a big sector.
ii. Data collection was a tough task, most of the time officials refused to give
the information due to confidentiality.
iii. Specifically most of the companies choose not to share their historical
data, they just talked about their current demand.

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 CHAPTER – 5

Data Analysis and Findings

Data Analysis

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 i. Tyre Manufacturing Industry – Tyre manufacturing companies are the major
user of insoluble sulphur in indian market. More than half of the total prodution
are consumed by these companies.
MRF, CEAT, Metro tyres etc are the biggest users of insoluble sulphur in indian market.
ii. Non-Tyre Rubber Industry – Non-tyre rubber industry consist of following
industries –
i) Conveyor Belt Manufacturing Industry
ii) Automotive parts manufacturing Industry
iii) Hoses Manufacturing Industry
iv) Others – Shoe Sole, V-Belt etc industries

Since most of the companies have not provided the historical data or sales data due to
confidenciality so I am concluding my study on the basis of Notch report on Insoluble
Sulphur and growth rate of tyre industry. I am only including how much Insoluble
Sulphur are demanded by these companies in curent year.

Market Potential of Powder form of Insoluble Sulphur in Indian Market–

a. Tyre Manufacturing Companies

Company Name Usage (in MTPA)

MRF 350

CEAT 950

Others 3000

Total 4200

b. Non-Tyre Companies –

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 These are small companies but in large numbers, most of these companies purchase
Insoluble Sulphur in kilograms. So analyzing them individually will be very hard. Since
OCCL is the only manufacturer of insoluble sulphur in the India, so on the basis of
sales we can say they require around 1500 MTPA.

Market Potential of Master Batches of Insoluble Sulphur –

Master Batches of Insoluble Sulphur are advanced version of powder form insoluble sulphur.
OCCL has developed it recently in its state of art developing facility.
a. In tyre manufacturing industries, Metro tyre has started to use it in their tyres. They
require 100 MTPA. Although due to its fine quality managers at OCCL were so
optimistic and quoted that in near future every tyre company will switch to master
batches of insoluble sulphur.
b. These industries are consist of around 200 companies and most of them refused to
provide their sales and need data. So on the basis of sales data from OCCL it can be
concluded that in Non-tyre segment around 1000 MTPA of master batches of
insoluble sulphur is being used in indian industries.

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 Conclusions

i. Since it is a B2B business model and heavily dependent on the tyre and automobile
industry, so success of this product is dependent on the condition of automobile
industry.
ii. Recently launched India’s Automotive Mission Plan is expected to transform the
country into a major global automobile manufacturing centre and R&D hub
iii. In India, 22 people out of 1000 own a car while in the US and UK, 980 and 850 per
1,000 individuals, an extensive gap that stands to be plugged.
iv. India reported a year-on-year growth in incomes – from H80,388 in 2013-14 to
H1,26,406 in 2018-19 (provisional).
v. The global vehicles sales totalled 44 million units in first half of 2018, up by 3.6% as
compared to the same period last year; the global tyre industry is expected to
sustain 3-4% annual growth.
vi. The Indian automotive industry aspires to nearly triple vehicle sales by 2026, from
26 mn to 65 mn to 76 mn vehicles, across segments.
vii. The Indian automotive sector’s contribution to the global turnover is approximately
3% with a substantial scope for growth.

All these points indicating a very aggressive and steady growth of insoluble sulphur
industry in indian market in upcoming years. Being only manufacturer of insoluble
sulphur in india and second largest and one of the most reliable organization at global
level, OCCL is aspire to get most of the benefit from this forecasted growth.

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 Questionnaire

Greetings, I am Adnan Alam, a MBA (marketing) student at Jamia Millia Islamia

University, New Delhi and a market research intern at Oriental Carbon and Chemical
Limited, Noida. Right now I am working on a project titled, “Market potential and
industrial uses of pre-dispersed insoluble sulphur in Indian Market”. There are few
questions given below in order to get the required data for my project, kindly answer
them.

Personal Information:

Name:

Company:

Designation:

Contact Detail:

Company Address:

Questions:

1. What products are being manufactured by your company in current time?

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2. How many employees are working there in your company?

3. What is your current manufacturing capacity?

4. Does your organization have any expansion plan in near future?

5. If yes, then what will be the estimated production capacity after expansion?

6. Do you require Insoluble sulphur in manufacturing of your products?

7. If yes, then which type of Insoluble Sulphur do you use?

8. Which brand of Insoluble Sulphur do you use?

9. Have you ever used pre-dispersed Insoluble Sulphur?

10. If yes, then what are your views on using this product?

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11. Would you like to know more about pre-dispersed (Master Batches) insoluble
sulphur?

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