SWITCHER – PREMGROUP WATER PROJECT

OBJECTIVE

Reduction, Recover and Reuse the water and Salt from Dyeing Effluent in textile
processing.

ABOUT THE COMPANY

Prem Group-India TIRUPUR produces T-shirt (Textile product) and export to his
partner Switcher SA Switzerland to sell to the end customer since 1983 (more than 2
decades) and also same products are sold in Indian domestic market since 2000 (last 6
years).

Prem group has vertically integrated manufacturing facility and it has extended it
activity of backward integration up to cotton farming This backward integration
activities are further strengthen with recognition of Fair Trade certification by Max
Havellaar.

The textile production facilities from spinning to garment stitching are managed and
certified with appropriate manner and by using tools like International standards. For
products Oko Tex-100, for Quality Management ISO 9001, for environment
Management ISO 14001& SA 8000 for human resource and social accountability. These
recognitions have made Premgroup to turn non professional business to professionally
managed business.

The partnership between Switcher-Prem is in progress since more than 2 decades and as
a further step to establish sustainability in business and social - ecological balance.
Prem-Switcher has running many projects since last 10 years.

1. Free school for 1500 and more children as a prevention action to eliminate child
labour.

2. Free health camps & dispensary to help needy public to improve the health &
safety.

3. Zero discharge textiles process house to eliminate the environmental impact and
also optimize the water consumption.

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 4. Production of electric power by using wind energy.

5. Distribution of 12000 liters drinking water to public.

The above projects have given positive results through many recognitions, appreciation
by the dignitaries who visited the factory and awards as under.

a. BEST EXPORT PERFORMANCE AWARD for the year 1997-98 by the ministry
of commerce, government of India.

b. THE BEST PERFORMER AWARD for the year 1998-99 by AEPC

c. CORPORATE CONSCIENCE AWARD for SA 8000 implementation for the year

2002 by SOCIAL ACCOUNTABILITY INTERNATIONAL, USA.

d. ENERGY CONSERVATION IN TEXTILE INDSUTRY AWARD for the year 2003-

04 by Birla Economic & Textile Research Foundation, New Delhi for
Premgroup spinning division.

e. “SAM” – Sustainable Asset Management to Mr.Robin CEO Switcher SA for his

involvement in sustainable investment in India with his partner Prem Group for
running social projects.

PRESENT STATUS

Investment already made for water and salt recovery and reuse at The Prem Dyeing
Works, Veerapandi Tirupur running with the installed wet processing capacity of 6 tons
fabric per day. The technology installed to recover water and salt is Reverse Osmosis
and Multi Effect Evaporators 8 lakhs liters of water and 3000 kgs of salt / day installed
capacity.

100% invested by Premgroup erected and running since beginning of 2004. The total
amount invested is 35.8 millions equal to USD 8, 00,000.

POSITIVE IMPACT ON ENVIRONMENT

Total salt recovered and reused by avoiding desalination in the earth since June’03 till
date is (30/5/05) 1 million Kgs and total water recovered and reused since May’04 till
date is (30/5/05) - 1, 27,870 KL which is not extracted from the water source.

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Positive remarks from TamilNadu Pollution Control Board and appreciation from
many Customers, business partners, and other visitors. This project in Tirupur has got
endorsement as best example of solution to the problem prevailing in waster water
treatment and negative impact on ground water.

As a side effect through this treatment the quality of the ground water surrounding our
factory is improved by reduction in hardness. The coconut and other trees in & around
our dyeing factory are looks more green and healthier.

The seasonal water stream running around our dyeing factory and surrounding village
also looks cleaner than before.

COST COMPARISON OF WATER AND SALT RECOVERY VS NOTIONAL PURCHASE COST

A. Total Water recovered from RO Plant till 30/5/05 – 99,160 KL

B. Total Water recovered from Evaporator till 30/5/05 -28,170 KL

Total Water Recovered (A+B) - 1, 27,870 KL

1. Cost of the recovered water – 1, 27,870 X 80 / KL = Rs.102.29 Lakhs.

2. Notional cost purchased water – 1, 27,878 X 55 = Rs. 70.32 Lakhs

(Rs.55 = Rs.45 / KL + 10 / KL for Effluent Treatment)

C. Total Glauber’s salt recovered & reused from Evaporator – 10 Lakhs Kgs

3. Cost of Glauber’s salt recovery = 10Lakhs X Rs.9/kg = Rs.90 Lakhs

4. Notional cost of purchased salt (common salt) – 10lakhs X Rs.3 / Kg = Rs.30 lakhs

Total Expenses incurred (1 + 3) = Rs.192.29 Lakhs

Total value of Recovery (2 + 4) = Rs.100.32 Lakhs

Net Negative Cash Flow – (Rs.192.29 – Rs.100.32) = Rs.91.97 Lakhs

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NEGATIVE ENVIRONMENT IMPACT EXPERIENCED BY RUNNING THIS PLANT

a. High power & Fuel consumption in multiple level evaporators for concentrated
dye bath and RO reject.

b. No solution for sludge disposal created average 1.5 tons per day.

c. High amount of sludge formed due to inputs like Lime and Ferroussulphate
used in the primary treatment (before RO for color separation).

d. The cost of recovered water is more than the water buying price as a bottom line
negative cash flow.

To further support the above project towards sustainability and to reduce the negative
Environment Impact mentioned above there are many technical solutions based on
development in the area of waste water treatment are under trials and evaluations. As
a concern of socio – environmental issue and corporate social responsibilities of
Switcher – Premgroup Management has initiated development activity in the existing
project in anticipating the help of WORLD ECONOMIC FORUM and US Aid.
Through this initiative the Switcher-Premgroup intends to bring the better efficiency
with effectiveness to reduce, recover and reuse the water. This also has a scope for
sharing our experience to show as an example for others in order to replicate the same
for the improvement of the prevailing situation in the textile industry in and around
Tirupur.

As a beginning of this programme the following steps are proposed and some trials are
taken to proceed further to take decision. The steps are as in the focus of good practice,
corporate water strategy, the private sector involvement and demonstration of a
business care through public-private partnership.

PROPOSAL NO: 1

Installation of disc membrane for pre treating concentrated dye bath before
evaporation. Invest required is 100 lakhs = USD 2, 22,000

POSITIVE ENVIRONMENT IMPACT

a. 70% reduction in the sludge

b. 40% reduction in the fuel & power.

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PRESENT STATUS

Effluent sample sent for analysis to design the size and techniques of the plant with a
real estimate of cost and duration of plant building, erection and operate.

PROPOSAL NO: 2
Installation of Bio Membrane reactors or ultra filtration Investment
70 lakhs = USD 1, 55,000

BENEFITS
a. Reduces sludge by 40%
b. Increases the RO recovery rate by 10%
c. Reduction in chemicals used

PRESENT STATUS

Effluent sample sent for analysis to design the size and techniques of the plant with a
real estimate of cost and duration of plant building, erection and operate.

PROPOSAL NO: 3

Total Biological waste water treatment i.e. primary process before RO for color
separation Investment 150 lakhs = USD 3, 33,000.

BENEFITS

a. Reduction of sludge 50%

b. Reduction of cost of input chemical.
c. Improve in the quality of RO input water which increases in the RO efficiency.

PRESENT STATUS

Pilot Plant is running at Dyeing Factory since 2 months with the capacity of 1000 liters /
day. The trail result is found that 50% COD & BOD (Chemical Oxygen Demand &
Biological Oxygen Demand) is reduced as against estimated target of 90%. The various
trials on inputs process and operating parameters are under progress to reach the
estimated results.

Various color removing polymers are being tried to replace the conventional lime and
Ferroussulphate chemicals which is the major part of the sludge. In this trails we find

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the success in the lab test but bulk trial is failed in the plant due to operational
difficulties in the existing process system. However alternative polymers are tried.

Apart from this other techniques now being studied for reduction in sludge and
avoiding chemical for treatment.

A. Ozonation B. Reduction – Oxidation Treatment

In addition to above, various parallel support activities are in practice to further

strengthen the initiative to attain the sustainability. The trials and evaluations are in
progress to make sure the potential for replication. The positive lessons learnt through
this process are shared among the other interested parties and stakeholders to create
network, financial support and rewards.

The different activities of backward and forward integration of Switcher-Premgroup

supply chain is also further enhanced the intention of this initiative. They are

a. New dyeing machine which can process the fabric by using much less water
consumption than existing level.
b. Using 100% biological cotton in garments.
c. Adopting Fair Trade Standard in cotton lint production.
d. Initiate the contract farming system to grow cotton close to spinning mill to
reduce the transportation risk, cost and contamination also to encourage the
local farmers to grow cotton.

Switcher – Premgroup partnership being a leading and role model company has
invested huge money to reach the Zero discharge. As a result of it the project is not
economically weighable. The bottle neck by running the zero discharge project is that,
the reduction in water use as increase the concentration of the effluent which leading to
expensive recovery cost. In anticipation of getting support for establishment of
sustainability in the project for long terms. Switcher-Prem intends to participate in the
business alliance with WEF, CII & USAID by joining this business alliance Switcher-
Prem anticipates following benefits.

1. New technology for Waste Water treatment.

2. Solution for disposal of effluent sludge.

3. New technique to reduce the water usage in the textile processing.

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 4. Opportunity to share the ideas & experience.

5. To be spokes man for Textile industry and promote to best case and good
practice for the development of textile industry in this area.

6. Lead Prem-Switcher project as a good example in Textile industry of Tirupur –

India.

7. Extend the water reduction process to cotton farming sector, which bring the link
from seed to cotton T-shirt.

8. Explore the possibilities to use solar energy in the possible area to reduce the
environment impact.

9. Promotion activities like work for government agencies as a liaison partner.

10. To launch a project on CO2 free garments which also in the idea of value
addition to the brand image like Respect Inside.

11. To reach the water optimization and excellence level to get international
recognition like award and etc.,

Conclusion

Switcher-Prem active participation in this WEF Business alliance should need

encouragement by the way of immediate visit to our factory by WEF, USAID and CII to
proceed further.

Switcher – Premgroup
Project Coordinator
B.K. Prakash
Prem Durai Exports
No:5 , Rajaji Nagar , Prem Gardens , Tirupur - 2 India
Ph: 91 421 2471605, 2471606 , Fax: 91 421 2471600
Mobile : 9244 309 204
EMail : prakash@premgroups.com

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