TIRE RECYCLING

Our Products

1. CRUMB RUBBER - is rubber shredded from a tire by the use of a buffing machine. The granulated pieces of rubber are then stored into sacks which are then prepared for shipment. Crumb rubber is devulcanized and made into reclaimed rubber which is a major ingredient in the manufacture of brand new tires and other molded rubber products. It is also used as an additive in asphalt used to pave roads. An article regarding the uses of crumb rubber can be found here www.dnr.state.oh.us/recycling/awareness/facts/tires/crumbrubber.htm (Ohio Department of Natural Resources)

2. TIRE PLY ROPE – is rope made out of a tire. A machine makes a rope from a buffed tire (a tire which has already been shredded). Tire ply rope is tough and durable and can be used in almost any way a regular rope can be used.

3. TIRE SIDEWALL – Tire sidewalls are also devulcanized and made into reclaimed rubber

We are able to recycle and make use of almost 100% of a scrap tire. As such, we generate little waste and help keep our environment clean. Our labor requirements will compose of the people who will operate the buffing machines as well as the ones who will pack and prepare them for shipment. A buffing machine usually has one operator and one packer. The skills needed to operate a buffing machine are minimal and can be easily learned.

SUPPLY CHAIN

We get our raw materials (tires) from people who deliver them to our warehouse. Scrap tires are very common and are in abundant supply and are available throughout the year. This gives everyone and anyone opportunity to earn some money, At present we have about 40 suppliers of scrap tire inner tubes who also supplies us with scrap/waste tires.

DEMAND CHAIN

We ship our products to our foreign buyers whom we have had good business relations with for several years now. Their demand for our products is quite high and we are unable to keep up. For 2007 alone, our customers have assigned us a quota of 967,000 kilos – we are able to deliver only 30,000 kilos to 45,000 kilos a month. There is also a huge local demand for crumb rubber. Two local processors buy practically all the crumb rubber/rubber dust that the tire retreading industry generates but supply is still short.

Aside from our regular customer, we also get a lot of inquiries for our products all across Asia, mostly from China, Korea and India. Our buyers come from diverse backgrounds as crumb rubber has a multitude of uses. But we are not able to respond to these inquiries because our current production is not even enough to supply the requirements of our main customer.

In terms of marketing our products, we have made use of the internet and its ability to connect with people from any corner of the world. We already have made a few business partners and have had successful and ongoing relations with them. Currently, we have no lack of customers. What we lack right now is the ability to completely and continuously provide for their demand.

As to competitors, their effect on our business is almost negligible. The high demand for our products assures that all our products are sold. The close relations we have with our buyer/partner guarantees that we have someone who is willing to buy our products. Competition comes mainly from the local users of crumb rubber but in terms of crumb rubber usage and not in terms of markets.

The strength of our business lies in its simplicity. We have an abundant supply of raw materials and more importantly, we already have a buyer who is willing to take all that we can produce and we have others waiting in line. We are unique in a sense that we provide both a service and a product. A service because we help clean up our environment by recycling scrap tires and by providing even the poorest of the poor an opportunity to earn a decent living. The products that we produce have a multitude of uses and we don’t foresee a drop in their demand for years to come.

Before I started my company, I was the Vice President for Commercial Products of Ramcar Tire Corporation. Ramcar, at that time, operated seven tire retreading
plants in the Philippines. As Vice-President, I was fully cognizant of the problems as well as the opportunities that the tire industry offered

In 1999, I felt that employment was no longer challenging. I presented a proposal to the Koreans to put my own business which they supported by lending me a start up capital of $11,000.00. This loan, I have fully paid. The Koreans extended another $10,000. no interest loan this year, to buy buffing machines to expand my crumb rubber/rubber dust production.

The feasibility of my business plan can actually be reduced to a production plan:
For 2007, I had been asked to deliver 967,000 kilos of crumb rubber; I am only able to deliver from 30,000 to 45,000 kilos a month!

We pride ourselves that we are able to bring business opportunities to even the poorest of the poor. Since our raw materials can be had almost anywhere, anyone can collect and then bring them to us. We purchase scrap tires at fair price. We also give commissions on sales

We also provide employment opportunities to skilled but generally uneducated people. Buffing machine operators and packers will comprise the bulk of our laborers but other positions like warehouse manager and machine technician will also be available.

Our company not only helps the country providing income opportunities and providing jobs. As most of our buyers are foreigners, we help bring in the much needed dollars that our country needs.