Plastics

Operation profile

The plastic products industry encompasses a wide range of products, including bags, films, pipes, bottles, coverings, foam products, and more. Typical firms range from large high-volume manufacturers of standard products, to small-volume contract manufacturers.

The representative operation modeled is an independent plastic products manufacturer. As detailed in the following table, this operation is characterized by:

  • Substantial land and building requirements, with moderate equipment requirements
  • A workforce mix weighted toward skilled operators
  • Relatively high energy requirements.

The business is assumed to operate as a stand-alone profit center.
 

Summary of operating parameters

Industry: Plastics

Operation: Plastic product manufacturing

Facilities requirements
   Leased industrial site - acres (24,281 m2)
6
   Size of factory - ft2 (9,290 m2)
100,000

Other initial investment requirements
   Machinery and equipment - US $'000
$17,750
   Office equipment - US $'000
$250
   R&D equipment - US $'000
-- 
   Inventory - US $'000
$2,000
   Equity financing - % of project costs
50%

Workforce
   Management
3
   Sales and administration
11
   Production/non-dedicated product development
      - Professional, technical
14
      - Operators
45
      - Unskilled laborers
14
   Other
3
 
Total employees
90

Energy requirements
   Electricity: monthly consumption demand - kWh
400,000
   Gas: monthly consumption - CCF (25,212 m3)
8,900

Other annual operating characteristics
   Sales at full production - US $'000
$26,500
   Materials and other direct costs - % of sales
30%
   Other operating costs - % of sales
2%
   Investment in tax-eligible R&D - % of sales
-- 

International results

International results are illustrated in the following chart. These results reflect the combined impact of 26 location-sensitive cost components applied to the modeled operation. Detailed results for these countries, by individual cost component, are available as a separate table.

City results

The following table profiles results for selected cities, by country, from among the 111 cities featured in this report. Results for all other cities included in the study can be found in the Results lookup section of this website.

Results for selected cities
Industry: Plastics
Operation: Plastic products
North America – lowest cost cities
Country and CityIndex & Rank1
CABarrie, ON88.23
 Montreal, QC88.34
 Toronto, ON88.75
 Quebec City, QC88.86
 Charlottetown, PE89.37
MXMonterrey, NL83.21
 Mexico City, DF86.42
USMontgomery, AL93.123
 Savannah, GA93.728
 Nashville, TN93.729
 Shreveport, LA93.830
 Gulfport-Biloxi, MS94.231
 Mobile, AL94.232
 Baton Rouge, LA94.333
 New Orleans, LA94.334
 Atlanta, GA94.435
 Memphis, TN94.638
1  Rank among 111 featured cities.
 
 
 
International locations – all cities
Country and CityIndex & Rank1
AUAdelaide95.345
 Brisbane96.860
 Melbourne93.627
 Sydney94.943
FRMarseille93.425
 Paris93.426
GEBerlin95.648
 Frankfurt95.849
ITMilan93.324
 Rome94.537
JPOsaka94.536
 Tokyo94.941
NLAmsterdam91.619
 Rotterdam91.218
UKLondon97.667
 Manchester90.413
1  Rank among 111 featured cities.

 
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