1. Product Description: A gummed paper tape consists of gum applied on one side of the tape and the other side is some time printed to give a better look. By applying water to the gummed side of paper it can be used for sealing, sticking and pasting purposes. It is mainly used in packing and sealing corrugated and solid fibre board containers, paper boxes, paper cartons and small packages. Printed gummed papers are often used for decoration, stenciling of names ands designs on metal, glass and plastics. It is ideal for it can be positioned in the printing operation and provides clean sharp edges to the printed designs.
2. Rationale: The use of gummed paper is directly related with the size of an economy and its rate of growth. Though the Ethiopian economy is not large by the standards of developed countries, it is an economy that consumes a consider able quantity of gummed paper. All the gummed paper requirement of the country is met by imports. But the product can easily be produced at home with modest investment, and simple and conventional technology. Like many other imported industrial products, it is a mystery why investors have not looked into the opportunity of producing, gummed paper in the country. This project idea is to trigger the interest of potential investors so that they could establish a plant to produce gummed paper.
3. Market potential: About 600 rolls of gummed paper per day is believed to be the minimum plant capacity. This amounts to and annual production capacity of 180,000 rolls. The country’s economy can absorb/utilize this quantity and possibly more.
4. Source of Raw material: The main raw materials are craft paper and adhesives. The Kraft paper can be obtained from domestic sources, while the adhesives will be imported until such a time that they are produced at home.
5. Process & Technology: The process can be divided in to five steps. Breaking of the glue flakes, glue preparation, glue costing, drying of the coated paper and slitting and rewinding.
6. Estimated Investment: For a plant which will produce 600 rolls of gummed paper per day, the estimated investment will be the following
§ Building/shade 300 m2 at Br 2000/m2……….. .. 600,000
§ Plant and Machinery …………………………… 150,000
§ Working capital ………………………………….. 200,000
Total …… 50,0000
7. Benefits: Saves foreign exchange and regional financial resources, promotes self-Sufficiency, and introduces new skills and technology.
8. Location: Combolcha, Debre Birhan