The Compound Company, manufacturer of EcoForte thermoplastic performance compounds and Yparex extrudable adhesive resins, is to double its production capacity with investments totalling €8 million (approximately £7 million).
The Compound Company has begun construction of a second compounding plant, near its Plant 1 factory in Enschede, the Netherlands.
Work to clear and prepare the site started at the beginning of November, and construction of the new 8,000 square metre plant will start in December.
The compounding lines will be installed in February, with test runs and samples’ production set for March 2019 and full production is scheduled to start on 1 April 2019.
As well as investing in the new Plant 2, the company’s existing Plant 1 is also being upgraded, with the installation of seven new silos for stocking polymers, each with a capacity of 70 tonnes.
The investments will double The Compound Company’s production capacity from 30 to 60 kilo tonnes per year.
The Compound Company
The Compound Company plant 2, street view.
The additional capacity will be used to increase production of The Compound Company’s own EcoForte and Yparex branded products, as well as to increase capacity for its custom compounding partners.
“In addition to the big volume manufacturers, there is a need for smaller, more flexible, more customised and more co-development type compounders, and this is exactly where we position ourselves,” said Wouter van den Berg, Commercial Director of The Compound Company.
“We are large enough and have the capabilities and cost structure to make our economics attractive, but unlike the huge compounders, we are not so big that we are inflexible and bureaucratic. We are very flexible, without being a mom-and-pop store.”
