My One of friend is Manufacture of PVC Laminate sheet , and other friend is dealing in PVC , CPVC regained -its material that is kind of scrap made from cpvc pipe and other bunch of material .
In Plastic industry other most used and low value chemical is calcium
Calcium is mostly have three type i see in market
- Domestic : calcium is natural material and by grinding natural calcium stone manufacture mostly in india we get in Rajasthan and near ambaji region . in domestic calcium is cheaper and have more percentile of silica in calcium . mostly available in range of 5000-7000 inr/MT
- International : in Import there are mainly two type of calcium : 1)Vietnam : Vietnam calcium is more purity and mostly used by PVC pipe manufacturer . even though they used also domestic Calcium when Price is increase of Imported Vietnam calcium , this Vietnam calcium is give pure white tone in Pipe ,its price rang is approx. 9000-12000 /MT ,in Gujarat 50X20 imported from Vietnam it self.
-Secound type of imported calcium is imported from JORDAN , its calcium give IVORY tone thats why its application is not feet into PVC PIEP, its low value then Vietnam Calcium and its bulck Product , it used in manufacturing of non vergine molecular typically mixed with Reliance /ongc /armaco PP to Cost cutting used in POLYPACK AND FIBC BAG manufacture .industry is cut through competition and in this calcium having wafer thin margin .
-But in calcium margin is wafer thin and extended credit period of 90-120 days and another problem is Non consistency of Product Quality .
SO even calcium like material that is totally low product like calcium that having approx. 1X20 container value approx. 2.5-3 lakh in that case manufacturer buy from dealer and distributor . one reason that get credit of 60-90 days . second reason is for any company that directly sells to dealer or end customer that face one critical problem of Large Inventory , check out the innerwear manufacturer that operate EBO , there big chunk of money stuck in inventory , by selling to distributor /dealer company once sell inventory goes out now its distributor inventory not company Inventory and also company can used some part of money of distributor and utilize Working capital .
Think about this 2.5.-3 lakh is very small amount for Piep manufacturer then also 9/10 buy from domestic dealer not from Direct exporter or from Exporter of material. same case with high value product like PVC.
where i Live is manufacturing Hub of Ceramic/Polypack /Fibc Bags/non vergin PP /PVC Piep I Get this insigh from friend who are Managing director or working in this industry.
Company may sell to Direct End Costumer like BIG PVC PIEP manufacture , but its totally fine to have delar and distributor network , even though i tried to contact company to ask about same but didnt get any response .
I would love to connect also personal level fellow investor friend who having same interest , because i have friends but with no serious interest in Investing so feel free to connect me : Parthsarsavadiya@gmail.com
Subscribe To Our Free Newsletter |