Plastics Recycler Business Plan

Group 6

Objectives
To set up a plastic recycling plant and to enable proper use of plastic To create awareness about plastic uses and harms To earn profits by selling recycled plastics

Once we capture the Mumbai market we will open branches in other area and towns.

Overview
We will create a plant (actual facilities to be shared with the recycling unit) to manufacture extruded plastic flakes or pellets (purified plastic). The extruded plastic is then molded (PIM) in the various products. We will produce two types of replay plastics PVC (Polyvinyl chloride) PET (Polyethyleneterephthylene)

The Product
The products we are producing are Cleaned and recycled plastic flakes/pellets of PET and bottles, recovered from post-consumer beverage bottles. (This PET will work as raw material for packaging to various firms, not for the end user) Household finished plastic goods. We will manufacture plastic tubes of various diameters, plastic kitchenware.(For the end user) PET flake will be sold to thermo formers (those who mold plastic sheets into usable products) primarily to be used to produce high-visibility packaging. And also to the beverage companies for packaging.

Market Analysis
Plastic recycling In India:
Indian plastic industry is in the path of an impressive growth now. So what is the position of India in global plastic recycling market? When compared to the usage of steel & aluminium, the usage of plastic is more on volume basis .

Indian economy and plastic industry:

In the year 2000, India was the 10th in plastic consumption. But owing to the growth through 20002009, it is expected India to be the 3rd largest consumer of plastics by 2010. Obviously by this great leap in this industry the total contribution of plastic in Indian economy also jumped to Rs.2100Bn in 2010.

Plastic Recycling Process

Continued. .
Step I - Procurement:
This is done through roadside collections, special recycling bins and directly from industries that use a lot of plastic. Or this can be collected by intermediaries

Step II - Separation:
At this stage nails and stones are removed, and the plastic is sorted into three types: PET, HDPE and others.

Step III - Crushing:

The sorted plastic is cut into small pieces ready to be melted down.

Step IV - Grinding:
This stage removes contaminants such as paper labels, dirt and remnants of the product originally contained in the plastic.

Step V - Pelleting
The plastic is then melted down and extruded into small pellets ready for reuse.

What is Powder Impression Moulding (PIM)?

The PIM Process allows businesses to improve their environmental footprint by adding new value to mixed plastic waste streams by conversion into added value products, which in turn can be recycled.

PIM is unique no segregation

The PIM Process can utilise mixed plastic waste with a high level of contaminants.

Waste plastics require limited to no segregation, reducing costs, providing a low cost raw material which in turn improves product profit margins.

PIM Process overview

The PIM process works by melting and fusing thermoplastic rich powder. This powder is applied to the open surfaces of heated moulds. The products made using the PIM Process are themselves recyclable and can be reused as a feedstock to make new products.

PIM composite technology

A core material of mixed plastics is added along with any further components such as reinforcements or fixings.

On further processing a composite material is formed comprising solid skins fused to a closed cell foam core.

PIM and waste plastics

The PIM Process is having a revolutionary effect on the waste plastics industry as it offers operators a range of benefits for plastic recycling.

Every PIM Process plastic recycling line is custom built to meet our clients requirements.

PIM Line modular and flexible

The equipment is designed and supplied in a modular format to allow true flexibility and provide maximum production efficiency.

PIM and Construction

Some materials can exhibit excellent mechanical, thermal and sound insulation properties as well as being light-weight. This makes it ideal for a number of applications in the Construction Industry. The waste materials generated on construction sites are often difficult and costly to recycle due to the variety of materials used. However rising landfill cost and new legislation is driving the industry towards change.

The recycling process

First Stage Bulk arrives

Second Stage Material crushed

Third Stage Powder/ granules

The powder is then used as a raw material feed stock to the PIM Process. This offers a economically and environmentally sustainable process capable of converting non-segregated polymer rich recyclate into value added products opening new market opportunities.

Possible Obstacles
Unavailable or scarce raw material stock for production
It may be possible that we do not have a good availability of low cost post-consumer PET bottles (feed stock) derived from postconsumer beverage bottles.

Company may not meet environmental standards

This environmentally-favorable venture provides for the development of technically feasible and economically viable solutions to PET plastic beverage bottle recycling, as well as environmentally aware in-house re-use practices which filter and return nearly all of the process water to the production lines

Raw Material Collection Strategy

Plastic material that is needed for this material can be collected from
Households Offices and factories Municipal garbage houses/dumps Scrap shops, etc.

How do we intend to collect material

We need to build tie-ups with industries & periodically pickup waste from them Put up our own dustbins where households can drop in their plastic wastes Regularly visit municipal dump yards to collect plastic waste

Difficulties involved
These processes however would make us incur some high costs and would not be very time efficient as most of the time may be lost in segregation of suitable material from non-suitable materials
Process Processes (costs) involved Tie-up with Own pick up vehicle industry for Dump yard where in material collected can be dumped regular pick up Segregate plastic from other types of waste materials Collecting from house holds Visiting municipal dump yards Putting up bins Segregating plastic material from non-plastics Regular pickup Own pick up vehicle Segregation of material Enormous amount of waste to look into and search from

Best possible option

Problem of segregation and regular pickup are common in all the ways to collect material We can collaborate with local scrap collectors and ask them to deliver all the plastic that they collect to our facility periodically They can be incentivized by paying them more than the market rate for the plastic scrap Our savings
no segregation required No pickup vehicle needed Regular delivery of plastic Very low overhead costs to procure plastic

Customer Analysis
B2B : Large bottling companies B2C : Consumers of daily household plastic storage etc.

Marketing Strategy
All of our initial marketing strategy will be to secure contracts in Mumbai segment, and after reaching full planned capacity, look to grow in concert with that segment and related markets. We see little need at present for further market research and development, and will focus on continually updating our production technology in an effort to remain in the forefront of our chosen marketplace.

Pricing Strategy
The pricing strategy we will use is penetration pricing. The price of all household plastic goods we will sell will be lower than the market price. Also for the PET flakes and bottles the price will be lower than the competitors. A lower price enables me to get contracts of PET bottles and sheets from various companies. In case of kitchenware and other household products we will provide combo offers and discounts which a common customer expects.

Distribution Strategy
We will have a distribution center in the Mumbai city that continuously maintains the supply of goods. So the household plastics will be sold through small local grocery shops from which the customers can get them easily. Apart from this we will hire street hawkers who will roam around the city and sell the goods door to door.

Advertising and Promotion Strategy

As described we are in both B2C and B2B so for this we will use two different promotional strategies. For B2C business we will use flyers and emails that will have full detail of our product range, price, combo offers and discounts. These flyers will circulate through the newspapers across whole city. For B2B business we will promote through online social media and we will also develop our website through which enable us to widely spread our contact among various companies. The site will have full details of product that are available for companies as well as end user.

Benefits of recycling
Reduce Material Consumption One of the largest benefits of recycling is the ability to preserve more virgin materials for later use. While some materials have a limited amount of times that they can be recycled, many others can theoretically be recycled an infinite number of times. This is true of most metals, particularly aluminum and steel. Reduce Energy Consumption Often the energy required to recycle materials is far less than the energy required to make a product out of new materials. Recycled aluminum, for example, saves 95 percent of the amount of energy it takes to create it from virgin materials. Other materials save amounts that are more modest. Recycled glass, for example, only saves about 40 percent of the initial energy investment. Reduce the Size of Landfills Landfill size can be drastically reduced with an aggressive recycling program. Reducing landfill size not only leaves more land for other uses, but also minimizes the amount of energy required to remove and eventually relocate trash. When considering the size of landfills, also take into account the wasted area around the landfill. Land adjacent to landfills is often only for industrial sites. Air pollution makes it even less likely that nearby land can be used for other purposes.

 Reduce Pollution Waste often creates water pollution by leaching chemicals into the soil. While some of these chemicals are filtered out by the soil, other pollutants go on to damage ground water sources. Air pollution is also a great concern. Methane and other gases released in landfills contribute to global warming problems as well as air quality concerns. Creates Jobs Recycling is more labor intensive than landfill management, requiring more workers to sort and process recyclable waste. This can revitalize rural areas where landfills are often located, bringing needed jobs to the region. These manual skill jobs are particularly beneficial in areas that were once manufacturing centers.