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Product Description: Roof tiles are non-metal construction materials made from clay soil and used of using roof tiles from clay is that they last longer than any other roofing material and they are also cheaper. But the tiles are also heavy and they need stronger load carrying structures.
Market Potential: Currently in the urban areas of the Amhara Region only galvanized corrugated iron sheets are used as roofing materials. They are made from imported rolls of iron sheets which are imported. Similar to many other products made from imported inputs, corrugated iron sheet are becoming more and more expensive. Roof tiles from clay to be made from clay soil will be less expensive and it will not require the use of foreign exchange for acquiring the main input.
The demand for roofing material is a function is population growth of per capita income, volume of housing replacement and roofing improvement, price of other substitute. All these factors have positive impact on the demand for roof tiles from clay. The 420,000 families (2.1 million divided by 5) living in the urban areas of the Amhara Region require at the minimum 50m2 of roofing material per family. The population of urban areas grows at the rate of five percent per year. This means the demand for roofing material also grows at the same rate. The current stock of roofing material is,) about 21 million m2.. Following the pattern of the growth rate of the urban population, the demand for new roofing material will be 1.05 million m2? Additional demand for roofing materials will come from replacement and improvement. If these constitute about 25 percent of new demand, total demand for roofing material in the urban areas of the Amhara Region will be around 1.3 million m2. Per year. Considering the possible price advantage that roof tiles from clay will have over corrugated iron sheets, these tiles will take a portion of the market of roofing materials in urban areas. If we assume that at least 10 percent of the market will be taken by the tiles at the initial stage, demand for roof tiles from clay will be 130,000 m2. (1.3 million m2. x 10 percent). One piece of clay tile might measure about 0.4 m2.. Hence total demand for these tiles will be 325, 000 pieces per year. This volume will justify the establishment of a plant which will produce roof tiles from clay.
Source of Raw Material: Clay soil is the main raw material and this is found in many localities of the Amhara Region.
Process and Technology: The major processing stages for making roof tiles from clay are preparation of the clay soil (i.e excavation of the soil from the ground, removing “foreign” materials, probably grinding or breaking the soil into finer particles, moving the soil to molding section, adding water to the soil and making it into a “dough”, putting the “dough” into moulds, firing the “green” roof tiles in a specially designed “oven”, removing the fired tiles from the “oven”, and finally staking the finished clay. Main machinery needed includes heavy duty trucks, excavators, water and clay mixing units, molding unit, firing chamber, fork lifts and other auxiliary machines and tools.
Estimated Investment: For a plant that will produce 100,000 pieces of roof tiles from clay per year, will be.
Building/ shade 300m2 at Br 1000/m2= 300,000 m2
Machinery (Tools) 6,000,000
Working Capital 500,000 6,800,000
Benefits: Saves foreign exchange and regional financial resources, utilizes local natural resource, stimulates better urban housing construction
Location: Near Bahir Dar, Dessie and Debre Markos or any localities along the major roads and where clay soil is available