Location: Hutchins, Texas
Functional or Operational Area: Outbound Scrap
Objective: Receive a better price per pound rate for recycling scrap by selling crushed metal instead full cages
Result: Improved price per pound of metal scrap by 4x and increased pounds per shipment by manufacturing a custom crusher for IBC cages
The NAIP Reconditioning facility in Hutchins, Texas recently designed and built a custom crusher for scrap IBC cages, significantly increasing both shipment efficiency and scrap revenue.
The project was launched in response to unfavorable pricing for low-density scrap shipments and a desire to avoid returning to labor-intensive hand-cutting methods, which would have increased labor, consumable costs, and safety risks. By crushing cages prior to shipment, the facility was able to increase scrap density and improve market pricing without adding labor or material costs.
Previously, intact IBC cages were shipped to scrap processors, limiting the amount of material that could fit on each load and resulting in lower per-pound pricing. Compressing the cages before shipment allowed the facility to negotiate a higher scrap rate while dramatically increasing the amount of material shipped per load.
Commercial crushers, shredders, and rental options proved cost prohibitive, and most available equipment was designed for much larger materials such as automobiles. As a result, the team pursued an in-house solution tailored specifically for IBC cages.
The custom crusher was engineered around the dimensions of a 330-gallon IBC cage, producing compacted bundles that maintain the original footprint. This allows forklift operators to handle and load the bundles using the same processes used for empty IBC cages, while significantly increasing the weight of each unit. Same dimensions, just more weight.
After limited use in July and expanded use in August, the crusher transitioned fully to production teams in September. Based on August usage, the facility boosted average shipment weight by over 300%, increasing operational efficiency, and realized a 300% improvement in revenue per pound, significantly improving the scrap metal value.
Additional IBC reconditioning facilities have already sought CAPEX approval for comparable equipment, with further potential identified to adapt the solution for plastic scrapping and compaction rather than metal processing.
“Randy Hughes and Greg Wadle did a really great job on this project. They took ownership and designed something that not only meets the immediate need that we had but created something that other facilities can replicate and could be modified for other uses."
- Bobby Himes, Hutchins Plant Manager.
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