A
BUSINESS PLAN FOR THE SET-UP OF A NYLON AND POLYTHENE BUSINESS IN NIGERIA
- INTRODUCTION
Nylon
printing business is one of the most commonly known businesses and it
has stood the test of time as a result of the growing demand for
nylon bags for a wide range of domestic purposes such as shopping,
bagging, and covering, manufacturing businesses require nylon in
large quantities for wrapping and packaging their products.As
the world is going corporate, the need for packaging is increasing
every day.
Packaging improves image and branding of a product, hence the need for shopping bags. Almost every business uses shopping bags these days ranging from supermarkets, eateries, banks (cash bags), boutique, and bookshop to road side shops thereby creating large demand for the product. Polyethylene products enjoy both national and international patronage. In fact, it is one of the fasted selling consumer goods in the country today. This is because its demand has a relationship with the level of demand for other goods. The product is demanded all year round and not affected by season; nevertheless, it has a greater demand during the raining season.
- SUCCESS FACTOR OF THE BUSINESS
Polyethylene
products enjoy both national and international patronage. In fact, it
is one of the fasted selling consumer goods in the country today.
This is because its demand has a relationship with the level of
demand for other goods. The product is demanded all year round and
not affected by season; nevertheless, it has a greater demand during
the raining season.
- CAPITAL AND RAW MATERIALS REQUIRED
Basically
there are two types of nylon namely the low and high density nylons.
The low density nylon is the nylon used for wrapping bread. It is
also used by dry cleaners and in pure water production. Generally,
low density nylon because of their thickness does not make noise when
squeezed. It varies in thickness depending on the purpose for which
it is being used and what the customer wants.
As
a matter of fact the capital involved depends largely on the
financial capability of the investor. If you have small capital, you
can start with the locally fabricated machines, semi-automatic
machinery or better still you can start with buying the raw
materials while the extrusion/blowing of the raw material, cutting,
punching and printing aspect of the production process would be taken
care of by other companies. The only thing to be done is marketing of
the finished goods and a significant mark-up will still be achieved.
On the other hand, if you can afford the cost, it is best to acquire
a fully-automatic machine, which is much more efficient and
profitable because aside your own productions, you can as well get
jobs from outside.
The
machines required to start nylon processing plant includes but not
limited to:-
- EXTRUDER FILM BLOWING MACHINE: - This is the machine which turns the raw materials (Master Berg, Escorene, DOW, B.A.S.F, etc) into a liquid form and later to polythene sheets in whatever color or thickness desired.
- CUTTING AND SEALING MACHINE:- This is the machine which cut the polythene into various sizes, it also seal the nylon according to specifications.
- PUNCHING MACHINE:- This machine is used to create holes, handles and specific carrier shapes of the polythene.
- A Generating set (40-60kva).
- MARKET FEASIBILTY
The
demand for polythene shopping bags has been identified to continue to
expand as the standard of living of the over 160 million population
growing at the rate of 5.7% per annum continues to surge. The supply
gap situation in Nigeria has created a market gap estimated at N 2.7
Billion annually in revenue. A growing market exists for the
production of polythene in Nigeria because of the relative high
demand for other goods. The product
