1. Product Description: Pilfer proof caps are aluminum and cork products widely used for corking glass bottles in the beverages, pharmaceutical, food and chemical industries. The caps are fitted with a pressed cork as plastic pieces to prevent leakages. Pilfer proof caps are made with different sizes, but the most commonly used sizes are the 31.5mm. and the 28 mm caps..
2. Market Potential: The major end users of pilfer proof bottle caps are alcoholic beverages and pharmaceutical manufacturing enterprises. During the last 15 years additional plants which produce alcoholic beverages and pharmaceutical products have been established in the country. For example, in the Amhara Region alone two large beer factories were established in the country. More than three pharmaceutical factories were also established. Some of the old beer factories have been also expanded to increase production. Due to the establishment of the new factories and the expansion of the old ones, demand for pilfer proof bottle caps has increased. Around 1994, the demand for the caps was estimated to be about 13 million pieces; and projected demand in 2007 is about 18 million. The Amhara Region has two large beer factories which meet the major portion of the demand for beer in the country. In addition, there are two soft drinks and about three "mineral" water bottling plants in the Region. These factories together consume more than 5.5 million pieces of pilfer proof bottle caps in a year. As these factories expand and as new factories are established the demand for the caps will grow. Subject to further detailed market study it appears that there is sufficient demand for pilfer proof bottle caps which can make a plant financially viable.
3. Source of raw material: Main raw materials or inputs are aluminum sheet of 0.22 mm thickness, cork seal and lacquer. These raw materials will be imported.
4. Process and Technology: The production process involves lacquering, slitting, cap production, seal assembly and packing. The aluminum sheet is coated with lacquer and dried on an oven. The coated sheets are then trimmed to exact dimensions on a singing machine and slitted to strips. strips are fed to a double action power press using compound die. The drawn caps are fed to a scotting machine where the uncurled grip marks and the pilfer proof ring are formed. The caps are then taken to the lining machine and the corks are fixed. Finally assembled caps are inspected for pressing or any other defects and then packed.
The main machinery and equipment needed are lacquering machine, drying oven trimming and stripping machine, power press, set of dies, rolling machine, lining machine, compressor, conveyor system and carts.
5. Estimated Investment: For a plant whose capacity will be about 6 million pieces of pilfer proof caps per year, the estimated investment will be:-
Ø Buildings/shades 300 m2 at Birr 1500/m2 = Birr 450,000
Ø Plant and Machinery.......................... .. = Birr 2,000,000
Ø Working capital..................................... = Birr 900,000
Total = Birr 3,200,000
Benefits: Similar to other projects.
Location: Bahir Dar, Combolcha and Debre Birhan.