PET Preform Manufacturing Unit (19 Liter Bottle) [Rs. 58.64 million, Dec-2021]

PET Preform Manufacturing Unit (19 Liter Bottle) [Rs. 58.64 million, Dec-2021]
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10 January 2022
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The proposed project is about establishing a PET preform manufacturing unit (19 Liter). The subject project is strongly recommended to be established in the major cities or urban areas with dense population. The prevalence of such facility would add economic benefits in the country and would number of direct and indirect employment. Moreover, features like low cost & less complexity associated with installation of such unit make it more attractive project. Currently the project is being designed / proposed for major cities having large population but the same can be proposed for relatively smaller cities.

The PET preform manufacturing unit (19 Liter) is a project of plastic sector, in which the perform of 730 gram for 19 liter/5 gallon are made from Polyethylene Terephthalate (PET). Clarity is one of the main reasons why PET is used for bottling water. PET used in water bottles can provide products that are extremely clear or even faintly blue in color. Hygiene is also particularly important for bottling water. As water is a relatively flavorless product, it is of key importance that plastic bottles remain tasteless and odorless in order to preserve its purity. In general terms, PET does not affect the taste of the product it protects and is therefore the preferred material for packaging water. With its added properties of being lightweight, transparent and unbreakable, PET is the preferred packaging material for water.

The PET Preform Manufacturing Unit has the capacity of producing approximately 1,152,000 preforms of 730g annually and will be operational for 300 days a year and 8 hours a day. Initially the unit will be operated at 50% of capital utilization and will increase it by 5% annually. The Maximum capacity utilization will be 90%. The total project investment is Rs. 58,648,694/- with an Internal Rate of Return (IRR) of 49% and Net Present Value (NPV) of 334,183,948/-. The total project investment would be paid back in 4.08 years.

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