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Beverage Packaging Tins Production Project of Jilin City
2016/11/28     Source:

1. Introduction to the Project

1.1 Project Background

1.1.1 Product Introduction

The two-piece can is a filling technology developed to replace the serious lead polluted tin-soldered tin. The two-piece tin is a packing container made of metal sheet in a certain shape, drawn into the mold via the punch with the tin bottom and body integrated via the tensile and rolling deformation. After the empty tin is filled with an object, it is applied with the cover, edge curled and sealed into the complete sales package. Because the whole tin body consists of two pieces, so it is called two-piece tin.

Compared with the three-piece tin, the two-piece tin has the following advantages: the tin body has no seam, there is no curled edge sealing between the tin body and bottom, so the air tightness is good and the material is conserved; the full-area decoration and printing can be applied on the tin body; the tin making procedure is simple and the efficiency is high. However, the two-piece tin has its disadvantages, for example, the performance requirements of the tin making material is high, the equipment investment is high and the tin making technology, equipment and die accuracy requirements are also high, etc.

Types of two-piece tins: there are narrow punched tins and deep punched tins according to the high or low tin body; there are two-piece aluminum tins and two-piece tin plate tins; there are thin drawn two-piece tins and deep punched and drawn two-piece tins according to the tin body shaping methods; there are round tins and special-shaped tins according to the tin shapes. In this section, only the round tin machining equipment is introduced.

1.1.2 Market Prospect

Viewed in the world, the output value of the packaging industry is great and the application fields are extremely wide, involving nearly all the commodities. The packages can be divided into paper packages, metal packages, plastic packages and glass bottle packages from the categories. Viewed from the trend, the paper packages and plastic packages, due to their cost advantages, have partially completed the replacing of the metal and glass packages. The metal tank is applied in the food packaging with a history of 200 years and it has also a history of nearly 100 years for application in the beverage industry. The metal tank insulates heat and gas, with the good airtight effect and anti-oxidation capabilities. Although it is the replacing for more than 20 years, the proportion of the metal tanks in the packaging industry is still kept to be 14%. According to the Report of the Packaging Industry of Consumables in the World 2010-2011 of Rexam, the beverage bottles account for 40% of the metal tanks in the world. However, in China, the proportion of the metal tanks in the packaging industry is 9% and the proportion of the beverage bottles in the metal tanks is about 30%.

Viewed from the global perspective, the metal tanks belong to the major industry, big enterprise and big market value. Viewed from the output value, only the business income of the consumable packaging industry in the world in 2012 is 420 billion USD, the metal packages account for 14%, reaching 58.8 billion, of which the metal beverage bottles account for 5.2%, reaching 22 billion USD. However, in China, the output value of the packaging industry in 2012 is 1300 billion yuan. The metal packages account for 8%, reaching 107 billion yuan. There are more than 1209 enterprises in the industry and the average output value reaches nearly 0.1 billion yuan. According to the estimate of the Metal Packaging Association, the demand for three-piece tanks in 2013 is 13.5 billion and the demand for two-piece tanks is 19.2 billion.

There are about 300 packing enterprises in the three provinces of Northeast China, including 255 enterprises in Liaoning, 33 enterprises in Heilongjiang and 64 enterprises in Jilin. The main products are divided into the packing machinery, packing materials, packing products and packing service. The packing products are mainly the external packing materials of the products such as paper packing boxes, paper handbags, wood packing boxes, wood trays, plastic trays, tin plate packing boxes, tin plate tins and plastic packing bags, etc. The enterprises in the small scale have the primary products and limited productivity. At present, the quantity of the enterprises which can produce the food packages is limited and the safety and sanitation problems are worrying.

1.1.3 Technical Analysis

The international advanced modern tin making technology is taken and the compound tin making molds are taken. Such a mold has the high design and manufacturing requirements so as to bear the impact force and compression stress in the shaping and assure the machining quality and mold life. The mold is punched once to complete punching, pre-drawing and re-drawing.

1.1.4 Advantageous Conditions of Project Construction

(1) Industrial advantages

At present, there are about 10 industrial projects having been started in the zone. The first is the healthy industry health product manufacturing project invested with 2 billion yuan by Shenzhen Haiwang Group, which has been started. The second is the leisure puffed food project invested with 0.5 million yuan by Sichuan Milaotou Co., Ltd., which has been put into production. The third is the purple-perilla-series products project with the cooperation of Woda Food Co., Ltd. and Beijing Ershang Group, which has been put into production and the purple perilla products have been exported to South Korea. The fourth is the cereal processing project with the cooperation of Deya Industrial Trade Co., Ltd. and Hong Kong CR Ng Fung, which has entered the stage of trial production and the cereal will be exported to Europe and enter the Hong Kong market. The fifth is the principal part of the first-stage plant building of Changbai Mountain special resource health products processing project of Hong Kong Yongdexing, Zhongke Zhongyu North Biological Breeding Center Project  and Zhenbao Biological Chinese Patent Drug (Health Product) Project, which has been completed and the interior decoration is being carried out for some projects. The sixth are Guangdong Shuangyin Functional Beverage Project and Shanghai Qingmei Bean Products (Flour Products) Processing Project, etc., which will be signed in the near future. The projects of about 30 key enterprises including Xingcheng Real Estate Co., Ltd., Evergrande Group, Tsinghua Holdings Co., Ltd., Capitalbio Corporation, Beijing Tongrentang, Shanghai Guangming, Guangzhou Hsu Fu Chi, Zhongshan Perfect, Guangdong JDB, Tianjin Tasly, Henan Sanquan Food Co., Ltd., Jilin Xiuzheng Pharmaceutical Co., Ltd., Hong Kong CR Ng Fung, Taiwan Biozyme and Jilin Zixin Pharmaceutical Co., Ltd. are being talked and promoted.

(2) Policy advantages

Jilin (China-Singapore) Food Zone encourages the pilot development in some aspects such as system, mechanism, science and technology, etc., gives the support of policies, taxation and funds, etc. and provides the strong policy support for the enterprise entering the zone.

(3) Construction conditions

The fundamental construction of Jilin (China-Singapore) Food Zone has been completed, the “connection of 7 aspects and 1 leveling” has been achieved, some facilities of water, power, heating and communication, etc. can be provided via the complete and matching public engineering pipelines of the zone, the basic conditions of the project are assured and there is the developed transport on the factory site.

4Infrastructure

Jilin City is one of the 5 major comprehensive traffic hubs with the complete transport modes in Northeast China, with the complete transport facilities such as expressways, railways and airports, etc. Some large power stations (plants) such as Baishan Hydropower Station, Fengman Hydropower Station and Hongshi Hydropower Station, etc. support the life line of the energy industry, with the total installed capacity of 4 million KW.

5Personnel advantages

In Jilin City and neighboring Changchun City, there are about 20 agricultural colleges and universities, about 30 national and provincial agricultural scientific research institutes such as Institute of Special Products of the Chinese Academy of Agricultural Science. Jilin City, as one of the key industrial old bases under the construction during the National “1st Five-Year Plan”, has trained a great number of enterprise administrators, technicians and workers. The average education degree of the population in Jilin City is relatively high and there are 350 special technicians per 10000 persons, higher than the average level in the whole country.

(6) Industrial Advantages

At present, there are about 10 industrial projects having been started in the zone. The first is the healthy industry health product manufacturing project invested with 2 billion yuan by Shenzhen Haiwang Group, which has been started. The second is the leisure puffed food project invested with 0.5 million yuan by Sichuan Milaotou Co., Ltd., which has been put into production. The third is the purple-perilla-series products project with the cooperation of Woda Food Co., Ltd. and Beijing Ershang Group, which has been put into production and the purple perilla products have been exported to South Korea. The fourth is the cereal processing project with the cooperation of Deya Industrial Trade Co., Ltd. and Hong Kong CR Ng Fung, which has entered the stage of trial production and the cereal will be exported to Europe and enter the Hong Kong market. The fifth is the principal part of the first-stage plant building of Changbai Mountain special resource health products processing project of Hong Kong Yongdexing, Zhongke Zhongyu North Biological Breeding Center Project  and Zhenbao Biological Chinese Patent Drug (Health Product) Project, which has been completed and the interior decoration is being carried out for some projects. The sixth are Guangdong Shuangyin Functional Beverage Project and Shanghai Qingmei Bean Products (Flour Products) Processing Project, etc., which will be signed in the near future. The projects of about 30 key enterprises including Xingcheng Real Estate Co., Ltd., Evergrande Group, Tsinghua Holdings Co., Ltd., Capitalbio Corporation, Beijing Tongrentang, Shanghai Guangming, Guangzhou Hsu Fu Chi, Zhongshan Perfect, Guangdong JDB, Tianjin Tasly, Henan Sanquan Food Co., Ltd., Jilin Xiuzheng Pharmaceutical Co., Ltd., Hong Kong CR Ng Fung, Taiwan Biozyme and Jilin Zixin Pharmaceutical Co., Ltd. are being talked and promoted.

1.2 Construction scale and product plan

1.2.1 Product plan

The project is planned to have the annual output of 20 billion two-piece tins. 本项目

1.2.2 Construction contents

Build the machining factory with the area of 10000m2, including 3 production workshops, finished product warehouse, packing material warehouse, lab and comprehensive office, perfect the relevant matching facilities and purchase the domestic advanced production and test equipment.

1.3 Total Investment of the Project and Capital Raising

The total investment of the project is 340 million yuan, including the construction investment of 240 million yuan.

Table 1: Summary Table of the Total Investment of the Project 

                                                  Unit: 10 thousand yuan

No.

Expense Name

Amount of Investment

Proportion of Total Investment %

Remarks

1

Construction investment

24000

70.59

 

2

Interest in the construction period

 

 

 

3

Current funds

10000

29.41

 

 

Total investment of the project (1+2+3)

34000

100.00

 

1.4 Financial Analysis and Social Evaluation

1.4.1 Main Financial Indexes

After the output of the project is reached, the annual sales income will be 420 million yuan and the profit will be 87.273 million yuan, with the investment recovery period of 4.4 years (after the tax, including the construction period of 2 years) and the investment profit rate of 22.7%.

Table 2: List of Major Indexes for Forecast of Financial Benefits

 

 

 

 

 

No.

Name

Unit

Index

Remarks

1

Business income

10 thousand yuan/a

42000

Normal year

2

Total profit

10 thousand yuan/a

8727.3

Normal year

3

Internal financial yield rate of the investment

%

17

After the income tax

4

Net financial value (Ic=10%)

10 thousand yuan

845.4

After the income tax (operating period of 10 years)

5

Recovery period of all the investment (after the tax)

a

4.4

Including the construction period of 2 years

6

Investment profit rate

%

22.7

 

Note: “RMB10, 000” in the Table shall be RMB.

1.4.2 Social Evaluation

After the project is completed, it can increase the employments of the local people, increase the local people’s income, improve the citizens’ living standard and make great contribution to the increasing of the social employment rate. The implementation of the project can effectively promote the development of the upper-stream and lower-stream enterprises and other relevant industries so as to promote the local rapid economic development.

1.5 Cooperative Ways

Joint venture

1.6 What to be Invested by Foreign Party

Funds and technologies

1.7 Construction Site of the Project

Jilin (China-Singapore) Food Zone

1.8 The On-going Condition of Project

The cooperative proposal of the project has been established.

2. Introduction to Partner

2.1 Basic Conditions

Name: Jilin (China-Singapore) Food Zone

Address: Jilin City, Jilin Province

Legal representative: Li Changshan (Director of the Management Committee)

2.2 Overview

Jilin (China-Singapore) Food Zone, located in Jilin City, Jilin Province, is the project between the Chinese and Singaporean governments to establish the international cooperation in the food quality and safety fields. 

The food zone is divided into the core zone and control zone.

The core zone is located between Changchun City, the capital city of Jilin Province and Jilin City, the second largest city of Jilin Province, with the planned area of 57km2, including the construction land of 36km2. The emphasis goes to build 6 major functional districts, that is, food processing district, storage and logistic district, modern commercial residential district, scientific research service district, leisure and holiday district and ecological protection district, etc.

Around the core zone, with rivers and mountains, etc. as the natural barriers, the 1450km2 control district is planned. According to the OIE standard, the nonstandard epidemic disease breeding demonstration park is built and the modern agricultural experiment demonstration project is carried out via the strict control and management. Jilin(China-Singapore) Food Zone, with the construction of the food quality and safety assurance system as the core, the construction objectives of “4 districts and 1 city” are finally achieved via China-Singapore cooperation, that is, international first-rate safety and health food production demonstration district, modern agricultural development demonstration district; industrialization, urbanization and agricultural modernization overall planning demonstration district; Changchun-Jilin-Tumen Development and Opening Strategy Pilot Demonstration District; a modern ecological and livable city built between Jilin City and Changchun City.

In the industrial development direction, according to the industrial plan of Jilin Food Zone, the emphasis goes to develop the meat products industry; milk products industry; grain refined and deep-processing industry and health product industry focused on the refined and deep-processing of special resources of Changbai Mountain. Build the comprehensive new food industry city integrating food development, production, sales and logistics, etc.

In addition, depending on the location and resource advantages of the food zone, some emerging industries such as biomedicine, electronic information, advanced equipment manufacturing, energy conservation and environmental protection and new energy, etc. are developed. Some industries of modern logistics, education and training, ecological tourism, headquarters economy, business exhibitions and conferences and finance and insurance, etc. are developed. According to the urban construction plan of the food zone, the development and construction of the urban infrastructure, real estate, commerce and trade, etc. is comprehensively carried out.

2.3 Contact Method

Contact person: Liu Hongyu

Tel: 0432-68089293  18704324111

Fax: 0432-64118432

E-mail: liuhongyu_9920@163.com

 

Contact Methods of Project City(Prefecture)

Contact unit: Jilin Bureau of Economic and Technological Cooperation

Contact person: Liu Aiguo

Tel: 0432-62026489

E-mail: 1103817842@qq.com

Website of the city/prefecture: www.jlszsw.gov.cn

 

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