4 Key Problems New Wood Pellet Mill Industry is Facing Now
In this article we will talk about the 4 main problems for companies that new to wood pellet mill business. Compared with some long-established corporation, the financial, scale effect, talent and technical problems can really affect an enterprise.
Financial Problem
Wood and sawdust pellet machine product cost a lot of money, the cost of each wood pellet mill is around tens of thousands, large scale production take up more working capital, companies that are new to the pellet mill machine business must have a certain amount of money to guarantee the normal operation of production. In addition, some large production companies in the wood pellet mill industry, such as Japan SHIMADZU and American CPM, can adopt the installment payment method for customers to purchase products, which means their demand for liquidity is more obvious. To sum up, the new company has a large capital problem.
Wood pellet and sawdust pellet making companies need wood pellet mill to operate stable, efficient and for a long time. Thus the products should be accuracy, stability and reliability. This calls the wood pellet mill manuefacturers to process wood pellet machine parts precisely, which is an important factor that affects product quality greatly. There are a lot of non-standard wood pellet mill parts are produced in wood pellet mill company, so it is widely agreed in the industry to obtain the parts by external cooperation processing. Due to the requirement of machining accuracy and technical confidentiality, the core component suppliers have established long-term and stable cooperative relationship with the existing large companies in the industry. With the progress of technology, the processing technology of the parts suppliers and wood pellet machine company will achieve common development, the machining accuracy will increase rapidly. The mature parts processing technology is mastered or not will become one of the major problems for the new wood pellet mill supplier.
Scale effect problem
Wood pellet machine parts cost is an important component of the production cost of wood pellets, which mainly includes raw material purchase cost and raw material processing fee. Mass production of the company in cooperation with upstream suppliers usually have stronger bargaining power, can sharply cut raw material procurement and processing cost, and improve the product's cost advantage largely. In addition, if large-scale production of the company's business activities is relatively stable, then the r&d and technological innovation can continue to maintain the technical advantages of the product. The scale effect of existing large-scale production wood pellet machine manuefacturers make the scale effect problem more prominent for new entrants.
Talent problem
Only through long-term training, the company can have a batch of skilled production personnel and qualified professional technicians. High technology R&D ability, technique level senior industry staff and skilled maintenance personnel are the key to effective control of product quality and after-sales service. The brand affects the company's sales situation, product quality, maintenance technology, management services, market network and other factors of the wood pellet mill supplier. The creation of the brand and the accumulation of customer resources require long-term effort and substantial investment. In the short term, new entrants will find it difficult to compete with the original company in the brand and customers area.
Technical problem
Wood pellet mill industry is a multidisciplinary cross industry which integrates mechanical design and processing, wood pellet technology research, electronic control system manufacturing and software development. The technical problems are obvious. Especially in recent years, the industry has been absorbing the latest achievements of the world's latest science and technology, the technical level is developing rapidly, and the features of the technology-intensive are more prominent.
At present, many key technologies in the wood pellet mill industry have been mastered by the major companies at home and abroad and they always set up technical problems in the form of patents. Large firms, especially foreign wood pellet mill company generally has a long history in the machinery manufacturing, wood pellet technology research and the development of electric control system etc. With many years of technical experience, new company is difficult to fully grasp the technology of the industry in the short run, the technical threshold is higher nowadays.
GEMCO is a modern enterprise with a long history of designing and manufacturing wood pellet mill, wood pellet plant, and complete wood pellet production line. GEMCO can produce single-machine equipment for crushing, mixing and drying, pelletizing, cooling, crushing, grinding and packing etc. In recent years, on the basis of our own R&D, GEMCO continuously introduces new products with high quality and stable performance. Looking for a suitable wood pellet mill machine? Contact us, today!
