Notes
Outline

VCI Corrosion Protection
 PACKAGING/EXPORT PACKAGING
SYSTEM SOLUTIONS FOR OPTIMAL FINANCIAL GAIN
Phone: 905-628-3232
Toll Free:  1-866-577-2326
Fax: 905-628 2529
Email:  kpr@corrosionvci.com
www.corrosionvci.com
Export Packaging –Corrosion Protection
This seminar will focus on the role of KPR ADCOR INC and our VCI (Vapor Corrosion Inhibitor) products as critical components of the export package for companies that have metal parts, electronics, machines and other goods that are being shipped over the ocean or to destinations in North America.
This is the primary use  of VCI packaging products such as VCI poly, VCI Emitters or VCI FOAM inserts.
Export Packaging –VCI Options
KPR will be a partner to deliver perfect products to every customer, every time, any where in the North America!
Export Packaging –Rust Control
 What is the risk of rust??
How much will it cost me if my product rusts?
What is the risk of my product rusting?
How will rusted parts effect our reputation for quality?
How much market share will I lose?
Can I afford to take the risk of rejects?
Export Packaging –Corrosion Protection
Our focus is on integrated solutions that will protect equipment in the manufacturing, storage and delivery cycle.
Tangible benefits
Full cost (no write downs or credits)
Scheduling advantages, inventory levels
Intangible benefits
Quality, reliability, effectiveness
Result is maximizing margins and sales
Export Packaging -VCI Solutions
Exports are the most vulnerable point in a product life cycle.
The container environment is probably the worst condition that it will be subjected to in its life….
Most Equipment failures are electronic corrosion during shipments.
SOURCES OF CORROSION
TEMPERATURE AND HUMIDTITY
USUALLY THE BIGGEST CULPRITS
SALT WATER (OCEAN ENVIRONMENT)
ENVIRONMENTAL CONDITIONS
ACID RAIN-GENERAL
PLANT CONDITIONS
HYDROGEN SULFIDE, SULFUR DIOXIDE, AMMONIA AND GENERAL ACID RAIN
PACKAGING CORROSION
CAUSED BY ACIDS IN CARTON, CRATE OR PALLET
TIME
Export Packaging –VCI Foam & Inserts
The container environment of an export shipment can be the harshest environment the product will ever be subjected to:
Companies loose control of the container once the container leaves the dock.
Weather conditions (rain, humidity, salt, temp )
Customs                   -Shipping Errors
Murphy’s law           -Quarantine
Slide 9
Export Packaging -System Solutions
There are two major elements for the protection of exported products
Physical protection---Outside cover, crates etc.
Corrosion protection---VCI Corrosion solutions
The costs associated with corrosion are greater than the cost of physical damage!!
Yet most companies ignore, are unaware or downplay the risks and costs.
Export Packaging -System Solutions
There is more than $10 billion  of corrosion damage worldwide each year that occurs in export shipments.
Over 80% of these costs are not covered by normal insurance
It is up to the shipper to adequately protect the products for normal shipment
You need a corrosion control system
Export Packaging -System Solutions
The requirement for protection of export products will increase at a fast pace.
Export volumes continue to rise
Global economy that rationalizes production
Third world economies are rapidly increasing
NAFTA, North American Free Trade Agreement
Standards continue to increase
Products that are less than perfect are not accepted or are highly discounted.
Export Packaging -System Solutions
Product standards and expectations will continue to rise
Quality
ISO 9000 or Equivalent Compliant Facilites
Delivery
JIT   Just In Time Deliveries of Stored Inventory
Vendor consolidations
More leverage and control
Export Packaging -System Solutions
We are not just supplying a product, but a solution that will help our customers maximize their products value.
Tangible benefits
Maintain and enhance the contracted value of each shipment
Intangible benefits
Long term gain in the perceived value of the product.
Export Packaging -System Solutions
Quick review of the significant elements of a successful VCI solution:
1.  Clean metal surface.
2. An environment around the product that will    protect from contaminants and provide a steady stream of available corrosion protection vapor from VCIs.
3. Isolation from corrosion elements as much as possible
4. Rich atmosphere of VCIs around the metal surface.
5.  Rapid VCI diffusion in the package
Export Packaging -VCI Solutions
Options for export protection of metal parts
1.   Do Nothing
2.   Use of desiccants
3.   Vapor Barrier bag plastic or foil
4.   Single product VCI (film or coating)
Integrated VCI solution
Package & VCI Foam Insert or Powder
Export Packaging –Corrosion Control
We often try to compare the protective abilities of the various options available for export shipments.
The following graph represents the protective abilities of these options.
Slide 18
Export Packaging -System Solutions
Global companies are implementing corrosion prevention systems to assure themselves that all products arrive at their customer in perfect rust free condition:
Direct from customers production facility
Direct from vendors to the customer
Direct from protected long term inventory
Export Packaging -System Solutions
Reduce corrosion rejections by 2/3
Improved quality and improved value
Value added for their customers
Corrosion prevention has become an important cost savings mandate at most companies and it is making a tremendous positive impact to the bottom line!!
Export Packaging -System Solutions
Let’s look at a real world example:
A $34 part shipped across the Pacific Ocean
18 PARTS / row
5 rows per pallet
24 pallets per container
(2160 PARTS per container, $73,440/container)
Export Packaging -System Solutions
VCI Corrosion Protection
VCI film or VCI paper on each layer
VCI Gusset Bag film around the complete pallet
Cost of complete VCI protection
VCI sheeting cost us$2.50 for each container
VCI Gusset Bags for 24 pallets cost us$120
Total cost us$180------3/8 of 1 %
Export Packaging -System Solutions
What would this company pay for marine insurance?
 About  1/2% of the value of the product
$400 for insurance against loss and physical damage
What will you pay for corrosion insurance?
3/4 of 1% is a real bargain !!
When you look at the risk / payback, this is the best investment an exporting company can make!!
Slide 24
Export Packaging -System Solutions
Proper protection from corrosion for export  shipments can be one of the most profitable decisions a company can make.
Reduce financial claims to a minimum
Improve quality impressions and “first appearances”
Save time and valuable company resources
Retain your customers through customer satisfaction
Gain new customers from Global Referrals
Export Packaging -System Solutions
Some examples of export items being protected.
Automotive
Engines
Military Equipment
Aero Space Items
Computers & Parts
Sensitive Electronics
Auto Parts
Export Packaging -System Solutions
Export examples continued
Electronics
General Electric
Sandvk Mining Equipment
HVAC Equipment
Rockwell International
Oil Drilling Platforms
Military
Nortel
Aerospace
Xerox
Export Packaging -System Solutions
Industrial Equipment
G.E.
Husky
John Deere
Case
Catapillar
Copeland
Boeing
Fairchild
Automotive Ford GM and Chrysler
VCI Packaging -System Solutions
Consumer Products
Small Utility Equipment
Fitness Equipment
Firearms
Knives
Ford, GM, Chrysler, Saturn, Honda, Hyundai
Computers, Cell Phones, Small Electronics
Fishing Gear, Jewelry
Spare Parts and Tools
Export Packaging -Standardized
Global standards for global companies
Packaging and corrosion control standards provide complete protection to all products.
Irrespective of the origin or destination
The more valuable the product the more important it is to provide corrosion protection in the packaging
Customer now expect a product in perfect condition
Standard Corrosion Protection Methods will reduce the occurrence of corrosion
Complies with Environmental & Workplace Regulations.
Export Packaging –System Components
Usually multiple products that include a VCI packaging film and another product
VCI Emitting  foam VCI Adhesive Backed Emitters
Mono or Co-Extruded VCI Film
VCI Emitters
VCI paper
VCI coatings temporary or permanent
VCI  Electrical Protection Spray
VCI Lubricants
VCI Liner Bags
Kpr provides a full range of protection that will protect shipments from corrosion in every situation.
Export Packaging –Corrosion Protection
KPR Adcor can provide several alternative and effective corrosion control products
Representing several brands of corrosion protection in todays changing marketplace.
Full range of VCI’s that WORK
Complete solutions that the customers can rely upon
Partnerships that make our customers’ products better and more profitable.
Export Packaging –Where to Buy
KPR ADCOR INC continuously exceeds customers expectations
Custom Application Services Available
Free online corrosion protection evaluation
Free training for your packing staff.
Manufactured in ISO 9001 Compliant Facilities
Call KPR at 905-628-3232 or toll free at              1-866-577-2326 today !
Visit us on the web at CorrosionVCI.com
VCI PRODUCTS ONLINE STORE