Co-Extruded Multilayer Film

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Product Code 303999004
Quality and Standards As per buyer's specification
Uploaded on January 2008


Three layer blown film extrusion (also known as blow film co-extrusion) is a process of simultaneously extruding in molten stage three polymers which adhere to each other through a common die to form an integral film of unique strength and barrier properties. The selection of layers depends upon end properties required as well as items to be packed. Some combinations of layers are as under

Sl. No. Combination Application
1 LL/LD/LL Heavy-duty bags
2 LL/HD/LL Industrial base food oil, backed confectionery, dry vegetables, dry unit, hydrogenated oil, lube oil
3 LD/SCRAP/LD Garbage bags.
4 HD/LD/LD Industrial base food oil, backed confectionery, dry vegetables, dry unit, and hydrogenated oil, lube oil
5 HD/LL/Primacor Oil packaging.

This project is based on the combination of LLDE/LDPE/LLDPE layer which produces the heavy duty bags.

Market Potential

Now-a-days the Three Layers Coextruded blown film is playing a major role in the packaging industry. It is replacing the conventional packing materials like paper, aluminium foil, tin, glass etc. These films are considered for packing purpose because of specific requirement of self-life and protection to product. The other advantages are excellent resistance to puncturing, heat sealability, gas barrier, high mechanical property high bursting strength etc. Due to these properties these films are having very good scope for packaging.

Basis and Presumptions

  • The efficiency of the unit is calculated at 80% of the total production capacity. The unit will work 25 days in a month on three shifts of 20 hrs. basis and 300 days in a year i.e. 6000 hrs. per year.
  • The time period for achieving the full envisaged capacity utilization is one year.
  • The labour wages are as per the prevailing rates in the market.
  • The rate of interest for fixed and working capital is taken @ 14%.
  • The margin money requirement for this project is 25%.
  • The pay back period of this project is 5 years.
  • The land area is 500 sq. meters and the constructed area is 250 sq. meters.

Implementation Schedule

The time required for preparation of project report Two months
Time required for selection of site One month
Time required for registration as small-scale unit One week
Time required for acquiring the loan Three months
Machinery procurement, erection and commissioning Two months
Recruitment of labours etc. One month
Trial runs One month

Technical Aspects

Process of Manufacture

Raw materials are fed into the hopper, which gets heated in the barrel with the help of the heater. The melt in the extruders is conveyed forwarded by the screw rotation. The three extruders individually feed the three channels within the die. All the flow channels converge into a single flow channel, just a little distance before the material is blown out from the annular die orifice. The rotating die ensures even distribution of the melt flow while coming out of the die orifice. The rotating die ensures even distribution of the melt flow while coming out of the die office. The bubble is cooled by means of air circulation arrangements. The predetermined size of the blown film is obtained by inserting compressed air through the die. Iris rings, flattering boards, counter rotating nil rolls draw the film upwards and flatten it into a two layer lay flat film, which is wound on the winder. The film is also treated with corona discharge equipment and then printed on flexography or rotogravure printing machine in desired colours.

Quality Control and Standards

IS10141: 1982/1997 or as per customer's specification.

Production Capacity (per annum)

Quantity 630 MT

Motive Power

The total connected load of the unit is 150 kWH. On Assuming 60% utilization of the connected load.

Pollution Control

This unit has not been identified as the pollution making industry. However, proper ventilation of the working shed may be assured.

Energy Conservation

Production by proper planning may save the energy.

Financial Aspects

Fixed Capital

(i) Land and Building

Area sq. mtrs.

Rate Rs/ sq. mtrs.

Value (Rs.)

Land 500 2500 1250000
Working shed 250 5000 1250000
Office and Stores 100 5000 500000
Total 3000000

(ii) Machinery and Equipments


Qty. (Nos.)

Value (Rs.)

Production Unit 1 4000000
Three layer co-extrusion blown film plant with three single screw 47 mm extruder and accessories.    
Corona surface treatment plant 1 250000
Three/four colour Rota Gravure Printing Machine 1 700000
Sliter-cum-regrinder machine 1 150000
Testing equipment LS 60000
Electrification and Installation charges @ 10% of cost of machinery and equipment.   516000
Total cost of Machinery and equipment   5676000
Cost of office equipment/ working Table etc.   80000
Total 5756000
Pre-operative Expenses 25000
(Project cost, non-refundable deposits) Total fixed capital (i+ii+iii) 8781000

B. Working Capital (per month)

(i) Personnel



Salary (Rs.)

Total (Rs.)

Manager 1 15000 15000
Machine Operator 2 8000 16000
Skilled Workers 3 5000 15000
Clerk-cum-accountant 1 5000 5000
Unskilled Workers 3 3000 9000
Peon 1 3000 3000
Total 63000
Perquisites @ 22% of Salaries     13860
Total     76860
or Say     77000

(ii) Raw Materials Including Packaging Requirement (per month)



Rate/ Kg.

Value (Rs.)

LDPE/LLDPE 52,500 78 4095000
Printing Ink     60000
Packing Material     8000
Total     4163000

(iii) Utilities (per month)



Power 96 kw ×500 hrs. × Rs. 4 ×0.6 utilization 115200
Fuel 15,000
Water 2000
Total 117200

(iv) Other Contingent Expenses (per month)



Postage/Stationery 10000
Telephone 2000
Consumable Store 2000
Repair and Maintenance 5000
Transportation Charges 20000
Advertisement and Publicity 10000
Insurance 5000
Total 54000



Staff and labour 77000
Raw material 4163000
Utilities 117200
Other Contingent Expenses 54000
Total 4411200
Total Recurring Expenditure of 2 Months 8822400

C. Total Capital Investment

Fixed capital 8781000
Working capital 8822400
Total 17603400

Machinery Utilization

Co-extrusion process will be the bottleneck operation for this project. The production capacity is 105 kgs. per hour.

Financial Analysis

Cost of Production (per annum)


Total recurring cost 52934400
Depreciation on building @ 5 % 87500
Depreciation on machineries @ 10% 567600
Depreciation on office equipment @ 20% 16000
Interest on total Capital investment @ 14% 2464476
or Say 56070000

Turnover ( per year )


Qty. MT

Rate per Kg.

Value (Rs.)

Co-extruded two-layer film 617 105000 64785000
Scrap 13 26000 338000
Total 65123000

Net Profit (per year)

Turnover (Rs.)

Cost of Production (Rs.)

Profit (Rs.)

65123000 56070000 9053000

Net Profit Ratio


Net profit per year
------------------------- × 100


9053000 × 100


= 65123000



Net Profit Ratio


Net profit per year
------------------------- × 100

Total investment

9053000 × 100


= 17603400



Break-even Point (% of Total Production Envisaged)

Fixed Cost


Depreciation on machinery and equipment 567600
Depreciation on office equipment 16000
Depreciation on Building @ 5 % 87500
Interest on total capital investment 2464476
Insurance 60000
40% of salary and wages 30800
40% of other contingent expenses excluding insurance 19600
Total 3245976
or Say 3246000

Fixed cost × 100

Fixed cost + profit


3246000 × 100

3246000 +9053000


3246000 × 100



26.39 %

Addresses of Machinery and Equipment Suppliers

Co-extrusion Blown Film Plan

  • M/s. Klockner Windsor India Ltd.
    5403, G.I.D.C. Industrial Estate,
    Phase IV, Vatva,
  • M/s. Boolani Engineering Corporation
    Prabhadevi Industrial Estate,
    403, Veer Savarkar Marg,
    Mumbai-400025 (Maharashtra)
  • M/s. Kolsite Machine Febrik Ltd.
    P. O. Box 7368,
    Veera Desai Road,
    Mumbai-400058 (Maharashtra)
  • M/s. Brimco Plastic Machinery Pvt. Ltd.
    Brimco House, Plot No. 55,
    Govt. Industrial Estate,
    Charcop, Kandivli West,
    Mumbai-400067, (Maharashtra)

Carona Surface Treatment Plant

  • M/s. Kohli Industries
    6, New Office Bldg.,
    Sona Panchayat Road,
    Andheri East,
  • M/s. Industrial Electronics Pvt. Ltd.
    19-21, Ambalal Doshi Marg, Fort,

Rotogravure Printing Machinery

  • M/s. Big Ban Engineering Works
    4, Sadi Bazar,
    171, Maulana Azad Road,
  • M/s. Print and Paper Sales Pvt. Ltd.
    Post Boxt No. 394,
    4/7, A Waterloo Street,


  • M/s. Print and Paper Sales Pvt. Ltd.
    Post Box No. 394,
    4/7, A, Waterloo Street,
  • M/s. Arshed Electronics Pvt. Ltd.
    305, Hammer Smith Ind. Estate,
    Shitla Devi Temple Road,
    Mahim, Mumbai-400016

Addresses of Raw Material Suppliers

  • M/s. Indian Petro-Chemicals Corp. Ltd.
    Post Office- Petro-Chemicals,
    Distt. Vadodara-391346
  • M/s. Union Carbide India Ltd.
    Chemical and Plastic Division,
    15, Mathew Road,
  • M/s. Alkali and Chemicals Corporation of India Ltd.
    34, Chowringhee Road,
  • M/s. Bindal Agro Chem Ltd.
    12th Floor, Gopala Tower,
    25, Rajendra Place,
    New Delhi-110008
  • M/s. Polyolefins Industries Ltd.
    Mafatlal Centre,
    Nariman Point,

For further information please contact

Information Manager
TIMEIS Project