Setting up integrated pet bottles and pre-forms production plant
This project is one of those projects that can assist the nation solve some of those socio-economic problems. Pet bottles production plant will create more jobs and provide alternative income for Nigerians. The technology for pet bottles production can easily be managed by middle and low level manpower. The most prevalent form of packaging liquid products (bottled water and beverages) in Nigeria and all over the world now is pet bottles. The demand is very high. Consumption of pet bottle products is in the range of 200 million per day in Nigeria. The plant will definitely enjoy good patronage. Existing outfits now cannot meet demand of their patrons.
Production technology
Pet bottles plant includes blow moulding machine to produce pre-forms. The pre-forms are later blown into required pet bottles sizes and shapes, depending on the requirement of the end users and the kind of mould used. To set up the project, the initial step is the preparation of bankable feasibility study showing the technical, financial and market information about the project. This can be provided for serious minded investors. Other procedures include plant and machinery acquisition and installation, acquisition of appropriate accommodation, procurement of utility items and recruitment of appropriate personnel.
Financial implication
To set up the project a sum of N27.5 million broken down as follows:
Pre-investments : N500,000
Plant and machinery : N15,000,000
Utilities : N4,000,000
Accommodation : N3,000,000
Working capital : N4,000,000
Contingency : N1,000,000
Total N27,500,000
The project can be financed by banks if supported with bankable feasibility report. This can be provided on request.
Profitability
Daily turnover of N750,000 has been computed. Profit margin of 40 percent is achievable. Annual profit of N60 million can be realised from this project. Serious minded investors can be assisted in the realisation of this dream. The project is also recommended for those who are already into bottled water and beverage production desirous of diversification and downward integration.
The author can be contacted through 08023058045, e-mail: olumakindeoni@yahoo.com