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and
These
ethylene
two
glycol
chemicals
form
(EG).
Polyethylene
are
etc.
some
Properties
terephthalate
Density:1.38~1.40g/mm3
Melting Temperature: 254-256C
Crystallinity: >=45%
Glass Temperature: 82C
of
Polyethylene
PET is a long chained molecule with the repeating unit displayed above, resin, a bluish
white substance, is made from poly condensation of terephthalic acid and ethylene
glycol. Resin manufacturers supply PET in the form of small pellets, each weigh about
0.05 grams.Being transparent, PET can reach a tensile strength of about 1/3~1/2 of
steel's.
The number of PET repeating units per chain, used in the bottle industry to make plastic
bottles
is
about
100
to
155,
usually
labeled
in
terms
of
resin
IV.
Pure PET does not involve, by reacting with the food or beverage which is kept
within the container. Therefore, PET complies with international food contact
regulations.
Lightweight 10 times, lighter than a glass pack, PET bottles, hence, reduces
shipping costs by 30%. If a glass and PET bottle having the same size is
compared in volume it can store, PET will come in first, as its wall is thinner.
Crystal Clear The product looks clean and healthy and in physical good shape.
These attract attention and increases the sales of the products contained within
it.
No Leakage Due to the absence of a weld line in the bottom the PET bottles
leakage does not occur.
Design Flexibility Can be designed in all shapes and sizes, designs and colors.
Hopper dryer The widely used method of drying PET as it very economicaland
works along with an autoloader, therefore the process is continuous and
automatic.
A Dehumidifier Similar to the hopper dryer this also words together with an
autoloader, but it is the most efficient method in drying. The PET dries in at a
temperature of about -32C, thereby increasing the durability and the final finish
of the PET bottle.
The above picture shows an injection molding machine with the autoloader and dryer
other essential equipment needed in the process.
The process is simple, the heated PET which is in the molten form is injected into the
injection chamber (2),by the rotation of screw barrel (1) within the machine, until the
chamber is full.
Once the chamber is full, the screw pushed forward (3) to fill the injection cavity with
molten plastic through the nozzle into the mold.
The temperature within the injection molding machine are different, at the rear end of
the machine the temperature should be around 275C, at the middle of the machine
about 282C, at the nozzle about 280C. And at the runner the temperature should be
around 270C for the bottle formed to have optimum specifications. (These temperature
may vary a little depending on the design of the mold)
The PET preform is ejected (4) from the mold. Now the preformis reheated to the
temperature until it is suitable for the blowing process.
Fig12:PET Preforms
Tensile Strength
Impact Strength
Barrier
Chemical Resistance
The compressed air () blown into the PET Preform is first cleanedthrough an air purifier
(). The air must be cleaned since air contaings moisture and oil, which will directly affect
the quality of the bottle. The PET preform is mounted on to the blowing machine (). After
purifying, the air is blown into the preheated PET preform using a blower on to the mold
().
The thickness of the Stetched blown bottels are 0.25~0.38mm. This thickness is
suffiecient as the orientation will increase the products' quality.
Hydroxide and peroxide groups build up at the surface of the PET and etc.
Manufacturing Costs
Process: PET bottles manufacturing process involves two basic stages of pre-form
manufacturing and Bottle Stretch Blow Moulding. In a one-step process, the PET bottles
are made directly from the resin. Both the pre-form manufacturing and stretch blow
moulding is performed on a single line. (see Table-I)
Machinery
Injection Molding Machine
Blow Molding Machine
Compressor
Cooling Tower
Chiller Unit
Lather 8ft, refurnished
Lathe 5.5ft
Pillar Drill 26 inches with pump
Facer
Shaper
Number
1
2
1
1
1
1
1
1
1
1
Indian Rupee
750000
800000
150000
150000
80000
110000
72000
50000
150000
125000
(These are indicative estimates, therefore, the intended investor must make his own
calculations by market survey). Injection moulding machines of two different sizes are
required as the proposed production mix depends upon different sizes. The usual
machinery delivery time is 15-20 days, while import can take up to 4 months' time,
depending upon the availability. The stretch blow moulding machines are being
manufactured locally. Lathe machines, pillar drill, facer and shaper, required for the
workshop, are also manufactured locally. (see Table-II)
Human Resource
CEO
Number
1
Annual Salary
360000
Production Manager
Accountant
Injection Machine Operators
Blow Machine Operators
Pre-form Handler
Helpers
Guards
1
1
2
2
1
4
3
192000
96000
168000
168,000
30,000
120,000
108,000
Land and building: An area of about 5,000 sq. ft would be required for the project.
Management building 100, production Area 1,800, raw material store 300, finished
goods store 500, loading area 700, workshop area 850, cooling tower/chiller 700 sq. ft.
Key assumptions: 288 days p.a. Annual production capacity 5,840,640 bottles, capacity
utilisation (1st Year) 40 per cent, capacity growth rate (yearly) 2 per cent, maximum
capacity utilisation 95 per cent, first year production utilisation 2,304,288 bottles. (see
Table-III)
Others
Growth Rate
Electricity
10%
Wages
10%
Office equipment
10%
Machine maintenance
5%
Initial approximate cost/Kg (Rs) 81, Sales Tax 15 per cent, freight cost per kg 1.22.
Weighted average cost of raw material per bottle may come to Rs2.81. Other heads
include administrative costs, promotional expenses, insurance, electricity and taxes.
(see Table-IV)
Other
Building & infrastructure
Machinery & Equipment
Furniture & Fixtures
Project life
Debt: Equity Ratio
Interest rate on long term debt
Discount rate for calculation of NPV
Depletion Rate
5%
10%
10%
10 years
50:50
16%
20%
Raw Material Consumption per Bottle And the final costs. (see Table-V)
Size
Weigh
t
0.5
Liter
15 Liter
5 Liter
15.5
146
1.98
33.3
74.7
313
702
4.25
9.53
Weighted average cost of raw material per 100 bottles comes to about 3.82. While
average sale price per 100 bottles may be 9.21.
(Investment Opportunities: Packaging medium.
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