Imagine that your plant is producing a pipe with a weight of 600 kg/m and that you are producing at an average rate of 10 m/hour. This means 6,000 kg/hour. Simple math.
Addressing only the raw material cost (I will not consider raw material handling and financial costs), we can easily say that your cost is 5,500 USD/hour (yes, I know it also depends on the pipe pressure and stiffness, but let’s assume an average situation).
Ok, so now let’s take a production scenario with a raw material cost of 5,500 USD/hour = 132,000 USD/day.
Now, let’s assume that we will produce continuously for 20 days:
132,000 USD/day × 20 days = 2,640,000 USD/20 days.
If we agree on this number, I will now share with you the consumption reduction we achieved when we installed our E-CFW equipment, using the same raw materials, personnel, and producing the same pipes.
The consumption reduction is between 5% and 8%, depending on the technical characteristics of the pipe produced.
Let’s consider the worst-case scenario: 5%
2,640,000 USD/20 days × 5% = 132,000 USD/20 days
🚩 SAVINGS OF 132,000 USD IN 20 DAYS!
If we consider savings of 132,000 USD/month, we’re talking about 1.5 million EUR/year just on raw material supply.
If the savings reach 7%, we’re talking about 2.2 million EUR/year.
But the efficiency is even higher since we produce more than 21,000 tons/year, reducing the cost per meter even further.
Switching to an E-CFW Effective Continuous Winding production line isn’t just about technical upgrades; it’s a strategic move that directly impacts your bottom line. With potential raw material savings ranging from 5% to 8%, you could reduce costs by over 1.5 to 2.2 million euros annually. This is just the beginning. When you factor in increased efficiency and higher production volumes, the cost per meter drops even further.