How to Start a Battery Manufacturing Business in Bangladesh
Battery Manufacturing Business in Bangladesh
Starting a Battery Manufacturing Business in Bangladesh is one of the best manufacturing business. As batteries are powering everything from escalators to cars to remote controls, they are everyday necessities. It will support industry growth over the next five year as the vast extent of their applications and stronger demand from downstream industries.
The growing popularity of hybrid and electric vehicles will give them new avenues for growth through the price volatility of key inputs such as zinc and lead will keep battery makers on edge. Among the types of batteries, an automotive battery is a type of rechargeable battery that supplies electric energy to an automobile.
And this is usually referred to an SLI battery (starting, lighting, and ignition), which powers the starter motor, the lights, and the ignition system of a vehicle’s engine. So, there are re-chargeable and non-rechargeable batteries that a battery manufacturing business produces.
An Overview of the Battery Manufacturing Business in Bangladesh
One of the oldest industries in Bangladesh is the battery industry or battery manufacturing business. After initiating in the early 1950s, passenger and commercial vehicles were the main industries where it had been served initially. But, Industrial batteries were started to produce by the local manufacturer after mid-80s.
Although initially all batteries were made of flat plate, the Tubular plate was introduced for stationary power which actually had a longer life than flat plate battery.
By introducing maintenance-free (MF) battery in the local market, a big change came up in 2008. An alternative power solution for their BTS, it was served only in telecom operators where these types of particular batteries were necessary for heavy duty backup at first.
Nowadays, as one of the advanced battery manufacturer in the country in comparing to another traditional manufacturer SAIF POWERTEC LTD has introduced them.
Battery Manufacturing Business and Global Battery Market
It’s mainly driven by the huge demand of people for fuel saving, transportation and government incentives for a cleaner and better transportation In regard to the global battery market of battery manufacturing business.
Also, by the year 2021, it’s expected to grow at 4.15% or 17.26 billion. And it was covering the market for automotive batteries by battery type such as Li-On, Ni-Mh and lead acid as per the report.
Steps to Start Battery Manufacturing Business in Bangladesh
You need to determine the size of the plant while starting a battery manufacturing business. It has many products, including powering automobile, phones, and household electronics.
It produces electrical energy through an electrochemical process. Along with machinery, product certification, maintenance, and funding, other considerable things are like output, type of equipment, and production line.
Also, it necessarily requires having technological and business expertise in setting up a battery manufacturing plant. And it’s thereby easier carving out the fair share of the battery market in creating an attractive staff, specific manufacturing, and productive office processes and focusing on differentiating oneself from the competition. Well, let’s know the steps to start a battery manufacturing business in Bangladesh.
First Step: Business Setup Costs
With the latest and well-integrated system, the battery manufacturing business unit should be fully equipped. As plant automation is a must for modern industries, plant machinery differs based on the kind and size of the plant. But, it can be a million dollar or a billion dollar so battery manufacturing plant cost will vary.
Depending on the capacity of the plant in terms of how many lakhs of ampere-hour batteries are to be produced the investment to be made to set up a battery plant.
More business to start – Scrap Metals Business
Also, depending on the product the costs may vary. A company must calculate all the expenses while setting up a battery plant, including:
- Process layout
- Plant machinery selection and procurement
- Installation and commissioning of equipment
- Design and development of all molds and tools
- Quality standards
- Process parameters
Second Step: Choose a Niche
Before launching the company decides on a product type and application. This is because there are batteries for laptops, cars, trucks, touch lights and industrial machinery. And when you want to produce quality products then you should hire eligible staff, and carry out research and development.
Apart from these, you need an effective marketing strategy, accessible factory site, and adequate power supply. As there are many types of batteries, choose your product line for battery manufacturing business from below:
- EV battery
- Lithium-ion polymer battery
- Lithium-Ion battery
Third Step: Battery Manufacturing Equipment
Because the business capital is the main factor while starting a battery manufacturing business, you need good capital to purchase all the essential equipment used in the manufacturing process.
Depending on the size and scope of the operation, you need a different type of equipment. In this case, you have options to get them from the locally fabricated equipment, semi-automated and fully automated. When it’s a large battery manufacturer, it develops the product through the use of an assembly line.
Below is a list of the battery manufacturing machinery:
- Pouch forming machine
- Stacking machine
- Mixing machine
- Slitting machine
- Electrolyte filling machine
- Ultrasonic welding machine
- Tab welding machine
- Coating machine
- Roller press
- Winding machine
- Grind casting
- Paste mixing
- Cell assembly
Fourth Step: Manufacturing Process
When you’re in the manufacturing process it goes through grid casting, paste mixing, pasting, curing and drying. Also, there are some other processes, including wrapping, grouping, containerizing and heat sealing.
Apart from these, it goes through the thermal assembly, leak testing, acid filling, and formation. Moreover, the entire process also continues with battery assembly, the battery charging process, battery washing/drying, battery checking, and date coding.
Fifth Step: Source Funding
You need huge funds as the business is capital intensive. So, you may need to take loans and you can approach an industry or trade bank for loans. But, keep considering the secure long-term loans with low-interest rates and repayment flexibility.
On the other hand, you could sell startup equity to investors or find a core investor. Also, you have options as governments support the manufacturing sector and offer subventions and low-interest facilities.
Sixth Step: Battery Manufacturing Business Marketing
As the manufacturers generally sell only to wholesalers, offer wholesalers competitive prices and promotional discounts.
Apart from using newspaper publications to attract small business owners interested in your product, you can use lots of branding, television advertisement, and radio jingles. Also, there is much another way to market your business like social media presence, web blogging etc.