1. Product Description: PVC cables are of many types. They include (a) PVC insulated service drop wire which consists of three PVC insulated twined wires and is used for service connections; (b) twin twisted PVC insulated cord consisting of electrical appliances, (c) flat type PVC insulated cord consisting of two parallel vinyl insulated wire for electrical appliances (d) round type insulated cord with a twin twisted PVC coated wire sheathed with round PVC sheathing. (e) PVC insulated overhead wire with 20 to 30 core wires of about 0.5 mm diameter twisted together and covered with PVC (f) PVC insulated control cable for electrical appliances, low voltage distribution, indoor telephone wire, wiring of switch boards and low tension cables for automobiles.
2. Market Potential: Domestic production of PVC cable (electric wires) between 2000 and 2004 was on average 13.060 million meters per year. The production of this product during the five year period ranged between 19.917 million meters in 2004 and 3.073 million meters in 2003. Due to the rapid expansion of the building construction industry, domestic production of PVC cables does not satisfy the ever increasing demand for this product. As a result some special types of PVC cables are being imported. In addition, PVC cables used for electrical appliances are not produce in the country and they are imported. The Amhara Region roughly consumes about twenty percent of the PVC cable need of the country. Its share of consumption from domestic PVC production was about 2.612 million meters per year between 2000 and 2004. Since there is no plant which produces PVC cable in the Region, all the PVC cable requirement of the Region is imported from Addis Ababa. The existing level of demand for PVC cables in the Region can absorb the production of a small PVC cable making plant to be established in the Region.
3. Source of Raw Material: There are basically two main inputs for making PVC cables copper wire and PVC plastic. Both of these inputs will be imported. Aluminium can also be used instead of copper.
4. Process & Technology: Basically the process of making PVC cable involves the coating of the copper wire with PVC plastic. And the process of coating or covering the wire takes the following stages. A wire tensioning and pay off unit carrying the base wire drums releases the wire under proper tension to the cross head mounted on the extruder. The extruder melts and delivers the required quantity of PVC compound to the cross head carrying suitable size nipples and dies in which the actual coating takes place. A long water trough cools the coated wire. PVC granules are fed to the extruder as cold granules are heated to the required temperature. A pulling out and winding arrangement takes up the covered wire from the cooling trough at uniform rate by means of a capstan wheel.
Plant and machinery needed include wire standing machine, PVC extruder and wire coating machine, wire straightening machine and accessories, cable printing machine and accessories, coated wire twisting machine for twisting together PVC coated wire, cable rewinding machine complete with reel stand, length measuring unit and coil reminder, insulation testing machine and equipment, thickness measuring instruments and other miscellaneous equipment.
5. Estimated Investment:
§ Building/Shade 300m2 at Birr 1500/m2 = Birr 450,000
§ Plant and Machinery = Birr 800,000
§ Working Capital = Birr 900,000
2,150,000
6. Benefits: Saves financial resources of the Region, promotes self-sufficiency, and introduces new skills and technology, possibility to export to other parts of the country.
7. Location: Combolcha.