Corntainer: A Feasibility Study on Manufacturing Corn Husk Paper

Trixia

Data Analyst
Researcher
Student
This project is completed in collaboration with Cheryl Madera, Jommar Mercado, Scylla Sana, and Abegail Tesorero.
In this research, I led a team to conduct a feasibility study on cornhusk paper manufacturing. This project enhanced my research skills, particularly in data analysis, survey design, and market research. Balancing the responsibilities of leading a team while conducting in-depth research was challenging, but it was a rewarding experience. The hard work paid off when our study earned 1st Runner-Up in the 2024 Research Colloquium, highlighting the significance and quality of our findings.

Abstract

This feasibility study explores using corn husks for paper bag production as a sustainable alternative to traditional materials. The research evaluates the cost-effectiveness and environmental benefits of "CORNTAINER," a paper bag made from corn husks by EcoVista, Co. With a production capacity of 960 bundles daily (280,303 annually) and projected sales of ₱11,271,293.66, the company plans to hire 35 employees. The initial investment is ₱17,500,000, with a payback period of 3.62 years. The findings indicate that CORNTAINER is a viable and eco-friendly alternative to traditional paper bags.

Introduction

Corn, a major crop in the Philippines with over 8 million metric tons produced in 2022, generates a surplus of corn husks typically discarded. This study proposes repurposing these husks to create paper bags. Traditional Kraft paper bags are made from wood, and the paper bag industry has seen steady growth. "CORNTAINER," developed by Industrial Engineering students Cheryl Madera, Jommar Mercado, Scylla Venice Sana, Abegail Tesorero, and Trixia Villareiz, aims to offer a sustainable packaging solution. The study assesses the feasibility of producing these bags as a cost-effective, high-quality alternative to traditional options.

Study Objectives

Marketing: Develop a strong brand identity, explore distribution channels, set a competitive price, and create a marketing plan.
Technical: Find effective methods to convert corn husks into paper, choose the right equipment, and minimize production waste.
Management: Define roles, establish supplier relationships, comply with regulations, and enforce quality control.
Financial: Assess profitability, create financial reports, and implement reporting strategies.
Socio-economic: Evaluate environmental benefits, job creation potential, and community perception.

Methodology

Using quota sampling and Google Forms, the study surveyed 216 respondents across five cities in Laguna. The production process involves cleaning, boiling, pulping, and drying corn husks to make paper, which is then used to create bags. Plant capacity and financial projections are based on time studies and assumptions, with a forecast of a 7.5% increase in capacity.
Number of Groceries and Retail Establishments
Number of Groceries and Retail Establishments

Results

EcoVista, Co. targets a 1.18% market share in Laguna, with an expected annual production of 280,303 bundles. The investment of ₱17,500,000 aims for a sale of ₱11,271,293.66 in 2024, with an ROI of 1.50% and a payback period of 3.62 years. The company plans to generate job opportunities and contribute to economic and environmental sustainability.
Demand and Supply Analysis
Demand and Supply Analysis
Competitors and Eco Vista Co.'s Market Share
Competitors and Eco Vista Co.'s Market Share

Discussion

The study confirms the feasibility of CORNTAINER as a sustainable paper bag option. With an investment of ₱17,500,000, the company projects an annual production of 280,303 bundles and a payback period of 3.62 years. CORNTAINER offers an opportunity to utilize corn husks, supporting local farmers and promoting sustainability.
Future research should explore the long-term environmental impacts and other agricultural waste utilization methods. While promising, the financial viability and success of this venture will depend on practical implementation and real-world testing.
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