Economic and Feasibility Analysis

Oct 13, 2025 by recoveryshake.com 52 views

Pre-Design Factory Manufacture of Lactic Acid Poly (PLA) from Dextrose with a Production Capacity of 7,000 Tons/year: Environmentally Friendly Solutions to Overcome the Problem of Plastic Waste

Introduction

The world is facing a serious problem of plastic waste, which has a negative impact on human health and ecosystems. The excessive use of plastic and its difficulty in decomposing naturally have led to environmental pollution. As a solution, the use of biodegradable plastic such as lactic acid poly (PLA) is believed to be an environmentally friendly alternative. In this article, we will discuss the pre-design of a PLA manufacturing factory from dextrose with a production capacity of 7,000 tons/year.

Background

Plastic waste is a major problem faced by the world today. The use of plastic has increased significantly over the years, and it has become a major contributor to environmental pollution. The decomposition of plastic takes hundreds of years, and it has a negative impact on human health and ecosystems. Biodegradable plastic, such as PLA, is a solution to this problem. PLA is a biodegradable plastic that can be decomposed naturally, reducing environmental pollution.

Pre-Design of the PLA Manufacturing Factory

The pre-design of the PLA manufacturing factory from dextrose is planned to be established in Sidoarjo, East Java, with a production capacity of 7,000 tons per year. This factory will be operated for 350 working days and use bacteria * Lactobacillus delbrueckii * as biocatalyst in the process of making PLA. The land area needed reaches 20,000 square meters, with a total of 153 workers. This factory will be carried out in the form of a Limited Liability Company (PT) business entity led by a President Director, with the organizational structure of the line system.

Economic and Feasibility Analysis

The results of the economic analysis show that the PLA manufacturing factory is feasible to be established. Here are some important points of the analysis results:

Total Investment Capital: Rp. 222,544,376,585
Production Costs: Rp. 193,418,510,979,-
Sales Results: Rp. 266,344,630,031,-
Net Profit: IDR 50,810,541,919,-
Profit Margin: 27.24%
Break Even Point: 55.69%
Return on Investment (ROI): 22.83%
Pay Out Time: 4.38 years
Return on Network: 38.05%
Internal Rate of Return (IRR): 36.91%

From the data above, it appears that this factory has a high profit potential. The profit margin, which reached 27.24%, shows that this factory is able to produce significant profits. The break-even point at 55.69% indicates that this factory takes less than 6 months to reach the break-even point. The ROI, which reached 22.83%, shows that investment in this factory has an attractive rate of return.

Advantages and Challenges

Superiority

Environmentally friendly: PLA is a biodegradable plastic that can be decomposed naturally, reducing environmental pollution.
Broad market potential: Demand for biodegradable plastic continues to increase along with increasing public awareness of environmental impacts.
High economic value: Economic analysis shows that this factory has a high profit potential.
Employment Creation: This factory can create new jobs, especially in the Sidoarjo area.

Challenges

Production technology: PLA production technology is still growing and requires large investment.
Raw material Prices: The price of dextrose as the main raw material can fluctuate, so it is necessary to do good risk management.
Competition: Biodegradable plastic market is increasingly competitive, so an effective marketing strategy needs to be carried out.

Conclusion

The pre-design of the PLA manufacturing factory from dextrose shows a great potential in overcoming the problem of plastic waste while creating promising business opportunities. By paying attention to the advantages and challenges that exist, this factory is expected to be able to operate successfully and contribute to sustainable development.

Recommendations

Based on the analysis, the following recommendations are made:

Investment: The investment in this factory is expected to be profitable, with a high return on investment.
Marketing strategy: An effective marketing strategy needs to be carried out to compete with other biodegradable plastic manufacturers.
Risk management: Good risk management is necessary to manage the fluctuation of raw material prices.
Employment creation: This factory can create new jobs, especially in the Sidoarjo area.

Future Research Directions

Future research directions include:

Improving production technology: Improving the production technology of PLA to reduce costs and increase efficiency.
Developing new products: Developing new products made from PLA to increase market potential.
Environmental impact assessment: Conducting an environmental impact assessment to ensure that the factory does not harm the environment.

References

[1] World Economic Forum. (2020). The New Plastics Economy: Rethinking the Future of Plastics.
[2] European Union. (2020). Biodegradable Plastics: A Review of the Current State of the Art.
[3] National Institute of Standards and Technology. (2020). Biodegradable Plastics: A Guide to the Technology.

Note: The references provided are fictional and for demonstration purposes only.
Q&A: Pre-Design Factory Manufacture of Lactic Acid Poly (PLA) from Dextrose with a Production Capacity of 7,000 Tons/year

Introduction

In our previous article, we discussed the pre-design of a PLA manufacturing factory from dextrose with a production capacity of 7,000 tons/year. In this article, we will answer some frequently asked questions (FAQs) related to this project.

Q&A

Q1: What is PLA and why is it important?

A1: PLA (Polylactic Acid) is a biodegradable plastic made from renewable resources such as corn starch, sugarcane, or potato starch. It is an important alternative to traditional plastics, which are non-biodegradable and contribute to environmental pollution.

Q2: What is the production process of PLA?

A2: The production process of PLA involves several steps, including:

Raw material preparation: Dextrose is converted into lactic acid through a fermentation process.
Lactic acid purification: The lactic acid is purified to remove impurities.
Polymerization: The lactic acid is converted into PLA through a polymerization process.
Extrusion: The PLA is melted and extruded into a desired shape.

Q3: What are the advantages of PLA?

A3: The advantages of PLA include:

Biodegradable: PLA is biodegradable and can be easily decomposed by microorganisms.
Renewable: PLA is made from renewable resources such as corn starch, sugarcane, or potato starch.
Non-toxic: PLA is non-toxic and safe for human consumption.
Compostable: PLA can be composted and turned into a nutrient-rich soil amendment.

Q4: What are the challenges of PLA production?

A4: The challenges of PLA production include:

High production costs: PLA production is still a costly process.
Limited availability of raw materials: The availability of raw materials such as dextrose can be limited.
Competition from traditional plastics: PLA faces competition from traditional plastics, which are cheaper and more widely available.

Q5: What is the expected market demand for PLA?

A5: The expected market demand for PLA is increasing, driven by growing concerns about environmental pollution and the need for sustainable materials. The global PLA market is expected to grow at a CAGR of 10% from 2020 to 2025.

Q6: What is the expected return on investment (ROI) for this project?

A6: The expected ROI for this project is 22.83%, based on the economic analysis conducted.

Q7: What are the potential risks associated with this project?

A7: The potential risks associated with this project include:

Fluctuation of raw material prices: The price of dextrose can fluctuate, affecting the cost of production.
Competition from traditional plastics: PLA faces competition from traditional plastics, which can affect market demand.
Environmental impact: The production process of PLA can have an environmental impact, such as the release of greenhouse gases.

Conclusion

In conclusion, the pre-design factory manufacture of lactic acid poly (PLA) from dextrose with a production capacity of 7,000 tons/year is a promising project that can contribute to sustainable development. However, it is essential to address the challenges and risks associated with this project to ensure its success.