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Recycling · 2026-08-08

Film Scrap Recycling: How to Estimate the Payback

The payback math is simple — the variables are scrap volume, uptime and pellet value.

Film Scrap Recycling: How to Estimate the Payback

The closed-loop idea

In plastic film manufacturing, generating edge trim, start-up waste, and off-spec film is inevitable. Instead of selling this scrap at a fraction of its original value or paying for external disposal, many plants are adopting a closed-loop approach. By recycling film scrap directly on-site, you convert waste back into usable pellets. Garbage bags are a common outlet for recycled pellets, which closes the loop in a bag plant. This internal recycling strategy significantly reduces raw material costs and minimizes waste handling logistics.

The payback formula

Estimating the return on investment for an in-house recycling system requires looking closely at your specific operational metrics. The payback depends on scrap volume, operating hours, material value, and labor saved. You must calculate the payback with your own numbers rather than relying on published payback examples, as every facility operates differently and has unique overheads. To accurately model your plant's numbers, determine the hourly cost of virgin resin, multiply it by your hourly scrap generation rate, and add the financial savings from reduced labor and disposal fees. Divide your total equipment and installation cost by this calculated hourly savings to find your exact payback period.

Sizing the granulator

Properly sizing your size reduction equipment is critical to ensure the granulator can handle your peak scrap output without bottlenecking the extrusion line. Our SJ granulators are available in several capacity ranges depending on the specific model selected. The available throughput rates are 150–200, 200–250, 300–350, and 450–500 kg/h. Selecting the right model ensures continuous, uninterrupted operation and prevents scrap accumulation on the production floor, keeping your facility clean and efficient.

What to measure in your plant

Before finalizing your equipment selection, you need to gather precise data directly from your production floor. Measure your exact scrap volume per shift and track your actual operating hours to understand your true throughput requirements. You should also evaluate the specific material value of your resin and calculate the exact labor saved by automating scrap handling. For detailed technical specifications regarding motor power, rotor design, or specific energy consumption for your unique application, confirm with our engineers.

Model VariantCapacity (kg/h)
Variant 1150–200
Variant 2200–250
Variant 3300–350
Variant 4450–500

Frequently asked questions

What is a common outlet for recycled film pellets?

Garbage bags are a common outlet for recycled pellets, which closes the loop in a bag plant.

What factors determine the payback period for a film scrap recycling system?

The payback depends on scrap volume, operating hours, material value, and labor saved.

What are the available capacity ranges for SJ granulators?

Depending on the model, SJ granulators offer capacities of 150–200, 200–250, 300–350, and 450–500 kg/h.

Should I use published payback examples to estimate my return on investment?

No, do not use published payback examples as your own figures; you must model your plant's specific numbers.

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