Evaluating the GISS Slurry Unit: A Strategic Investment for Indian Die Casting Plants

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In today’s competitive manufacturing environment, every die casting plant seeks to improve production efficiency, reduce rejections, and optimize costs. As technology advances, the GISS (Gas Induced Semi-Solid) Slurry Unit presents an opportunity for aluminum die casting plants in India to significantly enhance their processes. However, before making a purchase, it is essential to evaluate whether this advanced technology fits your plant’s production scale and financial dynamics. In this article, we will guide you through a thought process to help determine whether the GISS Slurry Unit is the right investment for your plant.

Key Benefits of the GISS Slurry Unit The GISS Slurry Unit offers various performance enhancements for cold chamber aluminum die casting machines, especially beneficial for plants using machines with tonnages from 120-T to 9000-T. Some key benefits include:

1. Reduction in Rejection Rates:

Gas and shrinkage porosity in castings is a significant issue. The GISS unit helps reduce
rejection rates from 10-50% down to just 1-5%.
This improvement is particularly crucial for plants where rejections due to porosity are
common and affect profitability.

2. Reduced Production Costs:

The GISS Unit promises to lower production costs by 5-10% due to more efficient processes,
better material utilization, and reduced defects.

3. Cycle Time and Die Life Improvements:

A 15-25% reduction in cycle time means higher throughput with the same resources.
Additionally, die life increases 2-4 times, reducing the costs of frequent die replacements
and repairs.

4. Energy and Lubricant Savings:

Savings of 15-30% in melting energy, lubricant usage, and water treatment help bring down
operating costs, especially in large-scale plants where these expenditures represent a
significant portion of overheads.

Understanding the Financial Impact of the GISS Unit

While the technical benefits of the GISS unit are clear, manufacturers must understand the financial impact
before committing to the investment. Let’s break it down:

1. Investment Cost:
• The price range for the GISS unit is between ₹81.18 lakhs to ₹2.25 crores.

• Remember, one GISS unit can only be installed per HPDC machine. So, if your plant operates
multiple machines, you will need to invest in one unit per machine.

2. Savings Through Reject Rate Reduction:
• For an aluminum die casting plant producing 10,000 tons annually, the reduction in rejection rates
alone could save significant costs.

• Assume the plant previously had a 20% rejection rate which was reduced to 3% after implementing
the GISS unit. If only melting costs are considered, the savings could amount to ₹57.12 lakhs
annually per machine, considering recovery after 4% melting loss.

3. Overall Operational Savings: The combined benefits of reduced cycle time, lower production costs, and savings on energy and materials can amount to ₹32.93 lakhs per machine annually.

Return on Investment (ROI) Time Period

1. For Minimum Investment (₹81.18 lakhs):

With annual savings of ₹32.93 lakhs per machine, the payback period is approximately:

Payback Period = ₹81.18 lakhs / ₹32.93 lakhs/year ≈ 2.5 years

Payback Time: 2.5 years

2. For Maximum Investment (₹2.25 crores):

If the GISS unit costs on the higher side, with an investment of ₹2.25 crores per machine:

Payback Period = ₹225 lakhs / ₹32.93 lakhs/year ≈ 6.83 years

Payback Time: 6.8 years

Thus, the payback period for the GISS unit investment can range between 2.5 to 6.8 years, depending on the cost of the unit and the specific operational savings achieved by your plant.

Is the GISS Unit Suitable for Your Plant?

Before making a decision, it’s critical to evaluate whether the GISS Slurry Unit suits your plant’s production
capacity and turnover. Here are key considerations:

1. Production Capacity:

The GISS unit is ideal for plants with HPDC machines running at maximum efficiency. A typical
machine can produce 1.5 tons/day at 100% capacity, but in real conditions, you can expect around
85% efficiency.

If your plant produces at least 300-400 tons of aluminum castings annually per machine, the
benefits of the GISS unit can be realized effectively.

2. Turnover:

For a die casting plant with an annual turnover of ₹50 crores or above, investing in the GISS unit would provide tangible benefits in terms of cost savings and process improvements.

Plants with smaller turnovers may find it challenging to justify the initial investment cost unless their rejection rates are significantly high, and they produce high-value components.

3. Number of HPDC Machines:

If your plant operates multiple HPDC machines (especially larger tonnage machines like 900-T), and you aim to improve overall productivity and reduce defects, the GISS unit is a good investment.

Plants with more than 5 HPDC machines running aluminum production continuously will see faster payback on their investment due to cumulative savings across all machines.

Who Should Consider the GISS Slurry Unit?

Based on the analysis, the GISS Slurry Unit is particularly suitable for:

Mid to Large-Scale Die Casting Plants: Plants with a turnover of ₹50 crores or more and annual aluminum production exceeding 3000-4000 tons will find this technology cost-effective.

Plants with High Rejection Rates: If your plant struggles with high rejection rates (above 15%), the GISS unit can drastically reduce rejections, improve product quality, and enhance profitability.

Factories with Multiple HPDC Machines: Manufacturers running multiple HPDC machines (5 or more) will benefit the most as they can achieve faster ROI through cumulative savings.

Focused on Energy Efficiency: Die casting units that are keen on reducing energy consumption and environmental impact will also find this system advantageous.

Final Thoughts

The GISS Slurry Unit offers transformative benefits for die casting manufacturers, but it is important to ensure that the investment aligns with your plant’s production capacity and financial structure. By carefully evaluating the production capacity, rejection rates, and operational costs, you can make an informed decision. For die casting plants in India producing high volumes of aluminum and aiming to cut down on rejections and cycle times, the GISS unit can offer significant returns on investment.

If you’re a manufacturer with annual production exceeding 3000 tons of aluminum castings and a turnover of more than ₹50 crores, this investment could yield substantial savings and process improvements, making it a valuable addition to your plant

Bharat Sharma

Fonder Of Steady Die Casting Solutions ( SDS )

www.steadydiecastingsolutions.in

sds@steadydiecastingsolutions.in

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