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What are the economic advantages of CPIs Advantage Process in comparison with other long fiber compounding processes?

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What are the economic advantages of CPIs Advantage Process in comparison with other long fiber compounding processes?

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Economics are the most compelling advantage of in-line compounding. Like other processes for producing long fiber thermoplastic composites, the starting raw materials are plastic pellets, reinforcing fibers, and additives such as colorants, antioxidants, fillers etc. The economic advantage of in-line compounding is derived from the efficiency of the process and elimination of a “middle man”. Consider a typical formulation consisting of 60 weight percent polypropylene and 40 weight percent half-inch chopped fiberglass. For conventional and in-line compounding the average cost of raw materials at today’s pricing is around $1.32/kilogram ($0.60/lb). Precompounded polypropylene long-fiber injection molding material sells for roughly twice this price in todays market, or approximately $2.64/kilogram ($1.20/lb), the difference being the compounders mark-up. Most of the mark-up is due to sales, administrative, business and profit costs involved with running the compounding business. By elimin

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