PVC Pipe (20 mm – 110 mm) Production in Nigeria; The Feasibility Report.

Published - 19 Feb, 2019| Analyst - Foraminifera Market Research Limited| Code - fora/2019/evcp2p0ipm/450

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Extensive market research has revealed that Rigid PVC pipes are used extensively than the conventional metal pipes in different market segments and are providing an ease to its users.

Polyvinyl-Chloride (PVC) is a plastic product which has matchless versatility. It effectively replaces wood, paper and metal in several applications. As such plastic pipes have been progressively replacing conventional pipes like G.I., Cast Iron, Asbestos Cement or Stone-ware for a number of important and uses. Among the various types of plastic pipes which are commonly used for such applications PVC pipes are the most widely used all over the world on account of their most favourable balance of properties.

PVC pipes are light in weight, rates for use under pressure, easy to install, low frictional loss, low on maintenance cost, and have low frictional loss. Rigid PVC pipes have wide variety of uses in fields like city/town/rural water supply scheme, spary irrigation, deep tube well schemes and land drainage schemes.

PVC pipe is continuously replacing conventional Metal Pipe. The popularity of PVC pipe is due to its light Weight, low cost, easy installation, high tensile strength and best electrical and heat insulation process.

These days, there is huge demand for the Building and Construction, Roads, Ports, Power & telecommunication, Water and Sewerage, Gas Distribution because Nigeria is one of the fastest growing Infrastructural center and it indicated that India is in Developing stage. Industrial development ultimately enhances the PVC pipe demand.

The major reason behind the growth is the increased uses of PVC such as in cables, pipes, pipe resins, pipe structures and pipe processing technology.

This feasibility report seeks to examine the financial viability or otherwise of establishing a PVC pipe production plant in Nigeria.

The proposed capacity of the plant is one hundred and fifty kilogramme per hour (150 kg / hour) and produce PVC pipes of twenty millimeters to one hundred and ten millimeters (20 mm -110 mm) in diameter. The plant would operate at ninety percent (90%) capacity utilization working double shifts of eight (8) hours each in three hundred (300) days per annum. Wastage of 0.03 MT for every one (1) MT of PVC pipe produced was assumed.

The plant would produce different sizes, length and diameter of PVC pipes, though we would concentrate on producing 1 inch of four (4) meters long, three (3) mm thick which weighs one point five (1.5) kg. Selling price of N 650 / 1 inch was assumed.
The relevant machinery and equipment required for the production of PVC pipes are powder feeder, conical double screw extruder, PVC double piper mould, Double pipe Vacuum Calibration Tank, Double pipe Spray box, Double pipe hauling machine, Double pipe cutting machine and Stacker. Other equipment’s needed are weigh bridge, weighing scale, forklift, generator, transformer, AGO tanks and project vehicles.

The basic raw materials required for PVC ceilings production are PVC Resin, Fillers (calcium carbonate), Stabilizers, Stearic acid (Lubricants), Paraffin, CPE and Titanium dioxide (for color). They can be sourced locally.

Table of Contents

EXECUTIVE SUMMARY 1.0 Business Overview 1.1 Description of the Business 1.2 Vision and Mission Statement 1.3 Business Objective 1.4 Critical Success Factor of the Business 1.5 Current Status of Business 1.6 Description of the Business Industry 1.7 Contribution to Local and National Economy 2. Marketing Plan 2.1 Description of product 2.2 Product Packaging and delivery 2.3 The Opportunity 2.4 Pricing Strategy 2.5 Target Market 2.6 Distribution and Delivery Strategy 2.7 Promotional Strategy 2.8 Competition 3. Production Plan 3.1 Description of the Location 3.2 Raw Materials 3.3 Production Equipment 3.4 Production Process 3.5 Production Cost 3.6 Stock Control Process 3.7 Pre-Operating activities and expenses 3.7.1 Operating Activities and Expenses 3.8 Project Implementation Schedule 4.0 Organizational and Management Plan 4.1 Ownership of the business 4.2 Profile of the promoters 4.3 Key Management Staff 4.3.2 Management Support Units 4.4 Details of salary schedule 5. Financial Plan 5.1 Financial Assumption 5.2 Start -up Capital Estimation 5.3 Source of Capital 5.4 Security of Loan 5.5 Loan Repayment Plan 5.6 Profit and Loss Analysis 5.7 Cash Flow Analysis 5.8 Viability Analysis 6.0 Business Risk and mitigation factor 6.1 Business Risks 6.2 SWOT Analysis

Project Specification:

Plant Capacity: One hundred and fifty kilogramme per hour (150 kg / hour)
Capacity Utilization: Ninety percent (90%)
Loan Tenor: Twenty-four (24) months
Interest Rate: Twenty-five percent (25%)
Moratorium: Two (2) months

Additional Info

Report Type: feasibility report
Formats of Delivery:
No. of Pages: MS Word - 35 pages and Excel - 6 pages
Report Code: fora/2019/evcp2p0ipm/450
Publisher: Foraminifera Market Research Limited
Price: ₦100,000
Release Date: 19 Feb, 2019 Updated quarterly.
Language: English
Delivery time: Within twenty-four (24) hours.

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