Small & Medium Enterprise Development

Authority (SMEDA)

Glass Bottles
Cluster Profile
1

Description of Cluster

1.1

Cluster Brief
Evidence of glass can be found as far back in history as the
Phoenicians. Millions of glass bottles are created worldwide
every day. On average there are at least 2 bottle-making
factories in each country. It is a mechanized process using semi
automatic machinery, and the bottles in use now are no longer
hand blown as they were in the past.

1.2

Defining the Product

Glass bottles are bottles created from glass. They can vary in
size considerably, but are most commonly found in sizes ranging
between about 10ml and 5 litres.

1.3

Geographical Location
The Glass Bottles manufacturing cluster is present in Bottle
Street, Goods Naka Hyderabad. There are few factories in the
SITE area of Hyderabad as well.

1.4

Core Cluster Actors

1.4.1 No of Manufacturing Units
A total number of 14 glass bottles manufacturing units are
present in the cluster. These factories are owned mainly
by one community which migrated from Bijnoar, India.
1.4.2 Major Actor of the Cluster (Top 3-5 Players)

Shoukat Glass Works

Qasim Glass Works
Usman Glass Works etc

1.4.3 Employment Figure

Approximate labor employed in this cluster is around

1,200 people.
1.4.4 Total Production (If Available)
N/A
1.4.5 Capacity utilization (If Can be Worked Out)
N/A
1.5

Other cluster Actors (suppliers of raw material,

chemicals, packaging etc)
The other cluster actors are the suppliers of broken glass,
chemicals, carton suppliers etc

Analysis of Business Operation

2.1

Production Operation/Process
The process begins by melting glass in a furnace which melts cullet
(crushed, recycled glass), sand and other raw materials in a temperature
range between 1,000 and 1,200. A Refiner distributes the molten glass to
the hearth, which makes the temperature of the molten glass uniform. The
molten glass is sheared and cut into uniform gobs. The gobs are then
placed in iron molds and applied blown air from compressors. The
compressed air gives the gobs the required shape in the mold. Glass
bottles leave the molds and are cooled rapidly by a cooling plate to a
temperature level below 600 F. The glass bottles have now passed from
liquid to solid form. The bottles are placed in an annealing chamber, where
their temperature is raised close to the melting point and then gradually
lowered again. The reheating and slow cooling eliminates the stress in the
bottles or jars and makes them stronger and shock resistant.

2.2

List of Raw Material

The raw materials used in making glass bottles are:

2.3

Broken glass
Silica Sand
Chemicals (for colored glass) etc

Technology Status

All the factories are using semi automatic machinery for

manufacturing of glass bottles. These machines are
relatively cheaper and labor intensive. The furnaces used
for melting the glass are old fashioned as well and
involves no modern gadgets for monitoring of
temperature.
2.4

Marketing

2.5

The production of glass bottles factories is partly

dependant upon the orders of factories which use glass
bottles for their own production e.g. pharmaceutical
companies, perfumery etc. The owners of factories do visit
traders in the market for selling of their products.
Financing
Almost all the factories of cluster are running on self
sufficiency basis and they dislike the financing from a
financial institution due to religious reasons.

Institutional Setup
3.1

Associations
The Glass Bottles cluster doesnt have a proper
association or common platform. However, there is a
pressure group which involves 8 factories and all the
cluster actors follow the recommendations and orders of
this group.

3.2

Govt. Support Institutions

Presently, there is no involvement of any public sector
organization in the cluster.

3.3

Educational/Training institutes
N/A

3.4

Financial Institutes
N/A

3.4

Private BDS Providers

N/A

SWOT

4.1

Strengths
More than 50 years of experience in glass bottles
Financially strong members of the cluster
One community

4.2

Weaknesses
Labor intensive work
Unavailability of skilled labor and their retention
Old production methods

4.2

Opportunities
Increasing demand of Pharmaceutical and Food
sectors
New production methods and machinery
Asian and Worldwide market for glass bottles
Diversification of other glass products

4.3

Threats
Increasing use of plastic bottles
Low cost Chinese bottles potential
Increasing prices of gas and other inputs

Investment Opportunities
The cluster can invest in the following areas:

IS (Individual Section) machines (contemporary for glass

bottles making)
Modern furnaces with mechanical gadgets for efficiency in
gas consumption
Colored and Designer Glass Bottles Manufacturing
Glass Products Diversification etc