Wednesday, June 29, 2011

Should Ratan Tata advise Mukesh Ambani about how to use his wealth?

A couple of days ago famous industrialist Ratan Tata commented about the lavish life style of another billionaire business tycoon Mukesh Ambani quoting his 27 storied Mumbai house viz., Antilla. Tata said that Mukesh Ambani's house Antilla represents the rich Indian's lack of empathy for the poor. His remarks: "The person who lives in there should be concerned about what he sees around him and [asking] can he make a difference. If he is not, then it's sad because this country needs people to allocate some of their enormous wealth to finding ways of mitigating the hardship that people have." 

Is Ratan Tata right in his remarks or is he misguided in his judgements? Is he aware about the role of an entrepreneur in an economy or is he ignorant of this basic economic fact? Or is his remarks has some underlying assumptions which make those remarks perfectly apt for Mukesh's lifestyle? Let me deal with these questions one by one. I take two scenarios to carry out my analysis. In first scenario we assume that Mukesh Ambani is an honest entrepreneur and his profit comes from the market competition. In second scenario we assume that, Mukesh is not an honest entrepreneur and his profit comes from his business ties with government officials and his manipulation of the system of State. We see the implications of Ratan Tata's remarks under both these scenarios.

Scene 1: Mukesh is an honest entrepreneur
I first make an assertion and then go onto prove it. If Mukesh is an honest entrepreneur then his profit - which he earned in the market competition - is absolutely legitimate, and if he don't desire to do a philanthropist work then that is his voluntary choice. Ratan Tata has no right whatsoever to advise Mukesh about allocating his honestly hard earned wealth amongst the poor people or to comment on his lavish lifestyle.

As Ludwig von Mises explained, the only way in which an entrepreneur can make profit in the market competition is by serving and fulfilling the most urgent wants of his customers in the best possible way, and that best possible way is of providing top quality goods at the lowest possible price. Only those entrepreneurs succeed and make profit in the market process who can ascertain and fulfill the subjective wants of customers in the best way compared to his counterparts. 

By producing and selling top quality goods at a lowest possible price successful entrepreneurs allow even the very poor people to buy his products. By allowing them to buy his products he lifts their standard of living; he lifts them out of their poverty even without raising their nominal meager income. That happens because with the falling prices in the market with the same amount of nominal income people can now buy more goods and services i.e., their real income rises. And no sane person will deny that this is the real way of increasing prosperity in the society; this is the true way of eliminating poverty and lifting the standard of living of millions of poor people. 

Philanthropy, about which Ratan Tata is advising Mukesh, will only help poor people in a very short run i.e., for the urgent immediate consumption purposes. Such help to poor people will actually harm them in the long run by making them dependent on such easy free money. It will not cultivate any habit of hard work and independent living in those people. Redistributing the income will only exacerbate the problem of poverty because human nature is such that most people will always prefer the free goods. Such allocation of rich peoples' income will make everyone of us poor too because rich people play an important role of providing essential savings for the economy. And without savings it is impossible to sustain a labor population in present time which is involved in production of intermediate capital goods. And without capital goods it is impossible to increase the future production of final consumption goods, and without that progress (so-called growth) is not possible. Capitalist class - which includes people coming from all strata of society, and not just rich - plays a pivotal role of supplying this saving. If they are forced to allocate their saving to poor people, who will mostly use it for immediate consumption, then society and economy cannot progress and without progress everyone of us will be poor one day for sure.

And people should not forget another vital economic truth that, honest entrepreneur do not become rich by exploiting the public, but they are made rich by their consumers i.e., the same public. Consumers voluntarily buy the products sold by such sellers because they prefer their products over other sellers. And in this process they give their portion of income to these entrepreneurs making them rich in turn. Profit is a signal that the businessman is fulfilling the most urgent wants of his consumers in a best possible way, and that's why he is rich. On the other hand those entrepreneurs who make losses are not fulfilling consumers' wants properly and so they remain poor in turn by going broke! (to deeply understand the beautiful system of profit & loss I will advise my readers to read Mises' wonderful book, Profit and Loss).     
So, if Mukesh is an honest entrepreneur then he has all the rights to keep and use his profit in whatever way he wants to. 

Scene 2: Mukesh is a dishonest entrepreneur
But, if Mukesh Ambani is a dishonest entrepreneur and his profit comes solely from his friendships with the government bureaucrats and politicians then he has no right whatsoever on his wealth. Profit generated by such dishonest political maneuvering is immoral. In a system of government such businessmen are working not to serve their consumers but only to serve the politicians and bureaucrats who help them in restricting the market competition. They actively lobby government so to establish their monopolies in the market. Through these monopolies then they fleece the consumers. And because their profit depends on exploiting the political system they don't care about their consumers. In fact they go to any length to harm their consumers for making such illegitimate and immoral profits. 

This type of system is historically known as 'fascism' and sadly in today's world most of the businessmen, especially the big business houses are making their fat profits by this way only.

If Mukesh Ambani (also Ratan Tata and all others) is doing his business in cahoot with the government officials then his profit is illegitimate. If one day India becomes truly a free country then he should be stripped of his illegal profits (property) and should be convicted and punished for his crimes against the people. He and all such dishonest business tycoons should be incarcerated, may be hanged.       

Looking at these economic facts, if Tata and Mukesh both are honest businessmen and they really want to help people of this country then instead of  allocating their profit to the poor people they should use that capital in producing top quality goods at the lowest possible price. They should try to provide as many economic goods as possible to people of India through market competition. Tata and Mukesh both can profit by serving the needs of poor people. There exists a thriving market even in remotest rural poor areas of the world as C. K. Prahalad has shown. All capable entrepreneurs (existing and new ones) should provide top quality private schools, hospitals, private roads, electricity, water works, sanitation, home etc. goods in these areas at the lowest possible price. That will be the best possible moral way of making a difference in poor peoples' lives; that is the only way in which these entrepreneurs can help the poor in mitigating their hardships. Allocation/redistribution of wealth will only result in misery for all of us.   


kapil69 said...
it's not about being honest/dishonest? it's about show-off lavish life style in a locality which is deprived & it doesn't make sense at all. Every entrepreneur can't be like Bill Gates, i agree & there is no need to be. Ambani can purchase Al Burj or anything like that, nobody will ever comment on that.

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Sunday, December 30, 2007

Tuesday, December 18, 2007

Spray drier

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Spray drying

Spray drying is a commonly used method of drying a liquid feed through a hot gas. Typically, this hot gas is air but sensitive materials such as pharmaceuticals, and solvents like ethanol require oxygen-free drying and nitrogen gas is used instead. The liquid feed varies depending on the material being dried and is not limited to food or pharmaceutical products, and may be a solution, colloid or suspension. This process of drying is a one step rapid process and eliminates additional processing.

The liquid feed is pumped through an atomiser device that produces fine droplets into the main drying chamber. Atomisers vary with rotary, single fluid, two-fluid, and ultra-sonic designs. These different styles have different advantages and disadvantages depending on the application of the spray drying required.

The hot drying gas can be passed as a co-current or counter-current flow to the atomiser direction. The co-current flow enables the particles to have a lower residence time within the system and the particle separator (typically a cyclone device) operates more efficiently. The counter-current flow method enables a greater residence time of the particles in the chamber and usually is paired with a fluidised bed system.

Spray drying often is used as an encapsulation technique by the food and pharmaceutical industries. A substance to be encapsulated (the load) and an amphipathic carrier (usually some sort of modified starch) are homogenized as a suspension in water (the slurry). The slurry is then fed into a spray drier, usually a tower heated to temperatures well over the boiling point of water.

As the slurry enters the tower, it is atomized. Partly because of the high surface tension of water and partly because of the hydrophobic/hydrophilic interactions between the amphipathic carrier, the water, and the load, the atomized slurry forms micelles. The small size of the drops (averaging 100 micrometers in diameter) results in a relatively large surface area which dries quickly. As the water dries, the carrier forms a hardened shell around the load.

Load loss is usually a function of molecular weight. That is, lighter molecules tend to boil off in larger quantities at the processing temperatures. Loss is minimized industrially by spraying into taller towers. A larger volume of air has a lower average humidity as the process proceeds. By the osmosis principle, water will be encouraged by its difference in fugacities in the vapor and liquid phases to leave the micelles and enter the air. Therefore, the same percentage of water can be dried out of the particles at lower temperatures if larger towers are used.

The application of the spray drying encapsulation technique is to prepare "dehydrated" powders of substances which do not have any water to dehydrate. For example, instant drink mixes are spray dries of the various chemicals which make up the beverage. The technique was once used to remove water from food products; for instance, in the preparation of dehydrated milk.

Because the milk was not being encapsulated and because spray drying causes thermal degradation, milk dehydration and similar processes have been replaced by other dehydration techniques. Skim milk powders are still widely produced using spray drying technology around the world, typically at high solids concentration for maximum drying efficiency. Thermal degradation of products can be overcome by using lower operating temperatures and larger chamber sizes for increased residence times.

Nutritional evaluation of food processing second edition (1975), Robert S. Harris, Ph.D. and Endel Karmas Ph.D. (eds)
Keey, R.B., (1992). Drying of Loose and Particulate Materials, 1st, (pp504). Hemisphere Publishing Corporation,

External links
Marriott Walker Corporation, A World Leader in Spray Drying Technology.
Niro's expertise in spray drying.
Short overview on spray drying from Japanese manufacturer.
Spray drying on Hyfoma.
Niro A/S - article on Spray Drying. - CAE spray drying.
Anderson Custom Processing.
Delavan spray drying technologies.
Delavan's technical know how on spray drying.

See also
Spray Nozzle


Spray Dryers
Anhydro spray dryers can be used for a wide range of applications. The spray drying process is a continuous operation in which almost any pumpable liquid can be converted into a free flowing powder.With more than 3,500 spray dryers installed worldwide, Anhydro combines experience and cutting-edge technology into added-value solutions for its customersSpray Dryers - Function and principle of operationThe liquid is dried, collected and delivered for further treatment without any intermediate manual handling. The spray drying process is applicable to a wide range of products and industries, and plant capacities from a few gr/h to 80 tons/h are available. Anhydro handles projects ranging from laboratory size to large industrial spray dryer processing lines and turnkey plants.Correct atomization and air distribution are the keys to the spray drying process, as both greatly influence the final powder structure and quality. Often, spray dryers are equipped with high-speed centrifugal atomizers ensuring sturdy and reliable operation. High-Pressure nozzle atomization is used especially for products where a rather coarse powder with narrow particle distribution and high bulk density is required. In the nozzle atomizer, fines are returned around one or more central nozzles in order to facilitate optimum agglomeration. Two-Fluid nozzle agglomeration is typically applied in small chambers allowing maximum flexibility in particle design and particle engineering for both super-fine and agglomerated particles.Benefits of Anhydro Spray DryersAnhydro spray dryers are available in a wide range of sizes and configurations providing:
Uniform qualityComplete control of moisture content, particle structure, particle size distribution, solubility, and wettability, and retention of natural aromas and flavours
Unbeatable performance/cost ratioEnergy efficient components, continuous and rapid drying, ease of operation and process automation provide complete control over yield and costs.
VersatilityCustomizable plant design based on many years of experience in a wide range of applications is your assurance of complete compliance with your individual requirements.
Long service lifeTop-quality, reliable components, efficient and straightforward CIP and expert engineering increase service life and availability for maximum performance
TraceabilityAutomated process control enables end-to-end traceability in compliance with current food standards and regulations
Special featuresAnhydro spray dryers incorporate a number of special design features including atomizers as well as the Anhydro Controlled Flow Nozzle for easy start-up and shut-down, short off-spec period, controlled particle size and easy process control.Fields of applicationLiquid-to-powder spray dryer products throughout the dairy, food, feed, chemical, pharmaceutical and environmental sectorsCapacity profileA few gr/h to 80 tons/hSpray Dryer Designs availableTraditional open-cycle systems in single stage or multi-stage modesClosed curcuit systems applying either inert gas, Low-Ox or super-heated steam configurationMore than 20 different chamber designs including conical bottom, flat bottom, Tall Form, Uniflow and High Body

About Spray Bed Dryers


Anhydro Spray Dryer installed succesfully at a customer.
Related industries
Coffee Industry
Related products
Anhydro Triple-A Dryer
Dryers for Pharmaceutical Applications
Spray Drying
Spray Drying of Coffee
Spray Bed Dryers
Small Scale Plants
Small Scale Plant Rental
Test Centres
Related brochures
Chemical brochures
Dairy brochures
Food brochures
Pharmaceutical brochures



Psychrometrics or psychrometry are terms used to describe the field of engineering concerned with the determination of physical and thermodynamic properties of gas-vapor mixtures.
1 Common applications
2 Psychrometric ratio
3 Psychrometric chart
4 How to read the chart
5 Dry-bulb temperature
6 Wet-bulb temperature
7 See also
8 External links

Psychrometric Chart
The psychrometric chart is a useful design tool for air conditioning engineers. The chart presents a number of properties of moist air:
dry-bulb temperature
sling wet-bulb temperature
moisture content
specific enthalpy
specific volume
percentage saturation Related topics:
Ideal Gas
Air conditioning



Monday, December 17, 2007

Simulation of Processes

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Filter Press

The filter press is an industrial machine, used for solid/liquid separation processes.
The solid/liquid separation process with the filter press, is gotten through filtering cloths and plates. The filter presses are assembled with two different types of plates:
Recessed plate[1], suitable for the most of the standard applications
Membrane plate[2], adapted for special applications.
The filter press are used today in many industrial sectors: mining, metallurgical, chemical/pharmaceutical, municipality and alimentary.
View the Filter Press Operation [3]


Reactors and Reaction Vessels

16 litre Pharma Reactor


A fluidized bed reactor (FBR) is a type of reactor device that can be used to carry out a variety of multiphase chemical reactions. In this type of reactor, a fluid (gas or liquid) is passed through a granular solid material (usually a catalyst possibly shaped as tiny spheres) at high enough velocities to suspend the solid and cause it to behave as though it were a fluid. This process, known as fluidization, imparts many important advantages to the FBR. As a result, the fluidized bed reactor is now used in many industrial applications.

Basic diagram of a fluidized bed reactor.
1 Basic principles
2 History and current uses
3 Advantages
4 Disadvantages
5 Current research and trends
6 References
7 See also
8 External links

[edit] Basic principles
The solid substrate (the catalytic material upon which chemical species react) material in the fluidized bed reactor is typically supported by a
porous plate, known as a distributor.[1] The fluid is then forced through the distributor up through the solid material. At lower fluid velocities, the solids remain in place as the fluid passes through the voids in the material. This is known as a packed bed reactor. As the fluid velocity is increased, the reactor will reach a stage where the force of the fluid on the solids is enough to balance the weight of the solid material. This stage is known as incipient fluidization and occurs at this minimum fluidization velocity. Once this minimum velocity is surpassed, the contents of the reactor bed begin to expand and swirl around much like an agitated tank or boiling pot of water. The reactor is now a fluidized bed.Depending on the operating conditions and properties of solid phase various flow regimes can be observed in this reactor.

[edit] History and current uses
Fluidized bed reactors are a relatively new tool in the industrial engineering field. The first fluidized bed gas generator was developed by Fritz Winkler in Germany in the
1920s.[2] One of the first United States fluidized bed reactors used in the petroleum industry was the Catalytic Cracking Unit, created in Baton Rouge, LA in 1942 by the Standard Oil Company of New Jersey (now ExxonMobil).[3] This FBR and the many to follow were developed for the oil and petrochemical industries. Here catalysts were used to reduce petroleum to simpler compounds through a process known as cracking. The invention of this technology made it possible to significantly increase the production of various fuels in the United States. [4]
Today fluidized bed reactors are still used to produce gasoline and other fuels, along with many other chemicals. Many industrially produced
polymers are made using FBR technology, such as rubber, vinyl chloride, polyethylene, and styrenes. Various utilities also use FBR’s for coal gasification, nuclear power plants, and water and waste treatment settings. Used in these applications, fluidized bed reactors allow for a cleaner, more efficient process than previous standard reactor technologies.[4]

[edit] Advantages
The increase in fluidized bed reactor use in today’s industrial world is largely due to the inherent advantages of the technology.
Uniform Particle Mixing: Due to the intrinsic fluid-like behavior of the solid material, fluidized beds do not experience poor mixing as in packed beds. This complete mixing allows for a uniform product that can often be hard to achieve in other reactor designs. The elimination of radial and axial concentration
gradients also allows for better fluid-solid contact, which is essential for reaction efficiency and quality.
Uniform Temperature Gradients: Many chemical reactions produce or require the addition of heat. Local hot or cold spots within the reaction bed, often a problem in packed beds, are avoided in a fluidized situation such as a FBR. In other reactor types, these local temperature differences, especially hotspots, can result in product degradation. Thus FBRs are well suited to
exothermic reactions. Researchers have also learned that the bed-to-surface heat transfer coefficients for FBRs are high.
Ability to Operate Reactor in Continuous State: The fluidized bed nature of these reactors allows for the ability to continuously withdraw product and introduce new reactants into the reaction vessel. Operating at a
continuous process state allows manufacturers to produce their various products more efficiently due to the removal of startup conditions in batch