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  Say no to white pollution

 A world class environment protection high-tech project

The industrialized production technology of "mineralization biologic decomposable plastic"

(patent number: 02129980.3)

Feasibility analysis and report

    General information:

     Plastic came into our life decades ago when we never thought of the trouble that it would bring - the white pollution. With the increased use of plastic products, there have been more and more plastic leftovers, such as plastic bags, one-off food box, etc. It is reported that there were 1,500,000 tons of plastic rubbish from our country in 1995. During the ninth 5-year plan, it is going to be 8,000,000 tons. The huge amount of plastic rubbish does not decompose and they pollute environment by damaging soil and water supply, thus decreasing the production of plants and animals. This disaster caused by plastic is called "white pollution".

     The quality and feature of "mineralization biologic decomposable plastic":

   Since 1997, we have been working on the "mineralization biologic decomposable plastic". We do research on the production of decomposable plastic, incorporate the technology from US and Japan, and succeed in the "mineralization biologic decomposable plastic". Compared with other similar products, it can absorb ultraviolet radiation with wavelength between 290-380 na-meters. The ultraviolet radiation causes the molecule to decompose and become powder, which is further decomposed by animalcules like epiphyte and bacteria. This technology is advanced in the world since it incorporates the function of sunshine and animalcule to decompose plastic completely. There is no poisonous ingredient in the product. It can be produced as thin as 0.0034mm, which is thinner than the international standard of 0.008mm. Farmers can use this in their farming work. Since it costs only half price of the traditional plastic film, it has a huge market in the countryside.

The test of the National Agriculture and Chemical Industry shows that, the product contains seventeen microelements including kalium, iron, zinc, molybdenum, calcium, manganese, copper, etc., which are comparable to those of the ordinary soil and farming products. Secondly, it decomposes easily with the function of animalcule. Thirdly, the leftovers of our product would not spoil soil.

    Usage and market of the product:

    It applies to many fields of plastic products. You can adjust the time of decomposition with regard to your needs. It has been used in farming film, plastic bags, bin bags, shopping bags, one-off food boxes, etc.

    1.  International market of this product:

    The research of decomposable plastic was originated in Europe and America in 1980s. It has a high-speed development in the last decade, when white pollution became a social problem and people realized the importance of environment protection. Since then, some American companies put “biologic decomposable plastic bags” into market. Among them, NOVON topped as the first with its investment of USD100m. Their products include farming film, packing material, bin bag, one-off food box, drinking package, etc. They developed their market in America, Canada, South America and Europe. Since 1989, indecomposable plastic has been banned in countries including Denmark, Holland, US, UK, France, Japan, Belgium, Israel, Italy and Germany. In 1991, EU declared that the use of indecomposable plastic would be stopped in 1997. Recently, we have a customer from Korea and negotiated the transfer of our technology. We also have received inquiries from customers in America, Japan, Brazil, Hong Kong, etc.

   2.  The market in China:

    White pollution problem has become acute in China. The government also pays much attention to it. In July of 1998, vice prime minister Jiabao Wen pointed out the importance to solve the white pollution along Yangtz river, Lake Tai and railway. On December 28th of 1999, the government required officially that the use of indecomposable plastic should be stopped by the end of 2000.

a. Farming film: Farming film could help the growth of crops. It has been widely used in China since 1979. But the leftovers of this plastic film spoil soil. It is estimated that the continuous use of farming film over 5 years will produce leftovers of 20kg in every mu (mu is a Chinese unit of area, 1/15 of a hectare.), which leads to 20% deduction of harvest. There is a huge market of farming film. In 1996, the area using farm film amounted to 95 million mu. Till 2000, the need for farming film had a growth rate of 20-30% per year. The demand for decomposable film is urgent. We have conducted 16 investigations with farmers and found that they would prefer plastic farming film that decomposes completely. When the plastic decomposes automatically, they do not have to clear them from the soil and there would be no concern of environmental problems, neither.

b.  Plastic bags: The market for plastic bags is ever widening. Let us take food bags as example. According to the statistics of Hubei Province, there are 30 million people in Hubei and everyone consumes 8 food bags every year, then they will consume 240 million bags every year as a whole. In 1998, the municipal government of Wuhan city began to promote the use of decomposable plastic bags. In Sichuan province, the population is 90 million and the annual consumption of plastic bags amounts to 720 million. The domestic market as a whole is even larger. Since 1997, most big cities have begun to ban the use of indecomposable plastic in making one-off fast food box, plastic bags and farming film.

c.   One-off fast food box: the People’s Railway reported that, the annual consumption of fast food box is 1.6 billion for travelers by train, and for other fast food industry it is 5 billion. Shanghai consumed 300 million in 1996. This has become the main source of white pollution. The railway department has to invest huge amounts of money and labor to dispose the white rubbish and the effect is still insignificant with only 16% of them processed. Even with the recycled 16%, there is little can be done if they are indecomposable. White pollution has become a big concern of the government. The use of indecomposable plastic has been banned in most big cities.

The decomposing duration and condition:

The decomposing duration is determined by the directions and ingredients of production.

1.   You can adjust the decomposing duration of farming film between 2-12 months, or even as short as 1 month if you want. We recommend the duration of no less than 3 months to ensure its protection of crops.

2.   For fast food boxes, the decomposing duration can be set at 20 days.

3.   There are three conditions for the decomposition process: A. ultraviolet radiation; B. animalcule; C. temperature difference. Thus decomposition would not happen when stored in warehouse under normal condition, thus there would not be any loss caused by decomposition.

Equipment and investment for production: take one pipeline as example

For the production of parent material production, you need one equipment for decomposable plastic which costs RMB 98,000 with the annual productivity of 300-500 tons.

For the production of other decomposable plastic makes, you need:

1.  With the annual productivity of 500 tons, you need investment of RMB130,000.            

     a. 1000-1200型高低密度聚乙烯超薄膜吹塑机组1套;     

     b. 搅拌混料烘干机1台;    c.  空压机1台。       

2.  For the production of plastic bags, you need investment of RMB50,000

     a. 400-600型高低密度聚乙烯超薄膜吹塑机组1套;     

     b. 封切机1台;     c. 冲床1台;    d. 刀片1组;            

 3.  Decomposable fast food boxes:

     For the productivity of 30 million boxes, you need invest in equipment that worth RMB650,000, a workshop of 500 square meters, electric power 100KW and 30 staffs. The estimated cost is at RMB0.06-0.08 per box and the wholesale price is at RMB0.13, which means the profit of RMB0.05 for each and the whole of 1500,000 for 30 million boxes.

Raw material: (available everywhere)

1、高、低压聚乙烯;   2、线型PE;   3、降解母料(自产); 4、色母料;   5、填充料。

Cost-effect analysis: (for annual productivity of 300 tons of parent material)

1.  Raw material at RMB2100 per ton;           2. Rent at RMB100 per ton

3. water and electric supply (electric at RMB0.8 KWH, no water consumption) at RMB200 per ton    

4. Labor at RMB100 per ton  

5.Tax at RMB100 per ton (tax is free for high-tech environment friendly products.)          

6. Management, sales and promotion at RMB100 per ton

7. Equipment discount at RMB80 per ton        8. Unexpected cost at RMB50 per ton

         2830/ Total cost at RMB2830 per ton                 

       Market price at RMB5600 per ton (Market price fluctuates in different areas.)

       net profit: 5600-2830=2770 (RMB per ton)     annual profit: 2770X300=831000 (RMB per year)

    If there are sufficient funds, the production of parent material and plastic makes can be done at the same time. This project is investment effective with huge market and low risk. It also has taxation advantage since it is environment friendly. The production scale is adjustable. Our clients from Guangxi and Gansu have successfully built their factories with annual productivity of 300-10000 tons of decomposable plastic. Our technology is reliable.

    Workshop, electric power and staff required:

1. For one equipment of parent material, you need a workshop of 50 square meters, warehouse of 30 square meters, electric power of 30KW and 2-3 staff members.

2.  For the production of farming film with width under 1 meter, you need workshop of 80 square meters and height of 4-5 meters, warehouse of 50 square meters, electric power of 30KW and 3-5 staff members. For farming film of width 2 meters or above, you need workshop of at least 6 meters high and 8 meters wide.

 3.  For the production of plastic bags, the equipment requires a workshop of 50 square meters, warehouse of 30 square meters, electric power of 25KW and 5-6 staff members.

Note: There should be one recycling water pool in every workshop for cooling equipment. There is no water consumption. You should ensure the aeration of your workshop. There is no pollution during the production.

   The terms of patent transfer: 

    Our services: The planning and designation of workshop, the purchase of equipment on customer’s behalf, the install of equipment, technology transfer and training. Our technical support will last until you can produce the qualified product by yourself. For any further technical problems or enquiries, we are also available. The cost of technology transfer is RMB280,000.

    Note: We only accept one client for one area. For foreign clients, the price is to be negotiated in terms of USD.

     The pollution situation and the market for our products:

      This project is high-tech as well as environment friendly. There is no pollution during the production. It is highly recommended by the government. Mass media of nation wide have noticed our project and made reports of our project. Chongqing TV and China CCTV have made our story publicized by making special programs of us. We also win widely support for relevant government institutions including the National Environment Bureau, the National Science and Technology Committee and most department of the local government in Chongqing. In the October of 2001, the director of the People’s Congress Council, Mr. Peng Li, instructed the National Environment Bureau to promote our project and technology in the whole country. With the support of the government, we are confident of our future with a prosperous market.

    You are warmly welcome to visit us and cooperate with us. Let us fight together to diminish white pollution and contribute to the victor of the cause for environment protection.

 

                                                                                                                                                                                                         

  

          

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