06/14/2014

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Cannon wins another major order for refrigerated containers

The World Bank, operating as major contractor for three different Chinese reefer producers, passed a cumulative order for 30 high-pressure dosing machines of various sizes and 64 self-cleaning mixing heads. They will all be delivered during 2014 to three manufacturing locations of CIMC Containers in China. Cannon says this order reinforces its the position in this specialised segment of the industry, following the large turn-key contract won last year for the supply of a complete foaming plant for Maersk Containers Industry's new factory in Chile. According to Cannon, the reefer industry is currently being characterised by an intense competition at a worldwide level. The demand of different types of fresh food (mostly vegetables, meat and fish) delivered all year round from very remote locations is on the rise. Consumers are ready to pay premium prices for fresh goods originating from other continents, provided that they arrive on their desks in prime conditions. Therefore the producers of these perishable goods demand more and more specialised means of transport to supply them safely preserved over a long distance, for an overseas trip that can take several weeks: that's what reefers are made for. Efficiently insulated with a thick layer of polyurethane rigid foam, and provided with a built-in large refrigerating unit, these 40-feet long insulated containers ensure that high-quality fruits, vegetables, steaks and fish - but also vaccines, pharmaceutical and healthcare products, not excluding some special chemicals - can reach their destination under strictly temperature-controlled conditions. Few manufacturers are currently able to supply insulated reefers at the pace demanded by the market, and most of them are located in China. A substantial technological change is now demanded to the foam industry to comply with the environment protection rules dictated by the Kyoto (Greenhouse gas reduction) and Montreal (Ozone layer protection) Protocols. The expanding agents that are influencing the emission of noxious gases must be replaced within a very short time with other foam-blowing chemicals or methods, not harmful for the environment. An intense programme for the replacement of obsolete foaming plants is currently undergoing all over the world, with a special care for those emerging countries that are, at the same time, more keen towards these emissions and less able to reduce them for lack of funds and of an organised supervising authority. The World Bank Group, a member of the United Nations Development Group, is an international financial institution that provides loans to developing countries for capital programmes. They coordinate and fund, among other projects, the replacement of obsolete polyurethane foaming plants to comply with the above described objective. They are currently active also in China and have financed a major programme for the modernisation of three major reefer manufacturing plants in the country. Cannon has been granted in April 2014 with a major contract for the supply of the foam metering and mixing equipment for the three Chinese factories of CIMC Containers, one of the major manufactures of reefers. The total order - whose value exceeds USD 7.5 million - was granted to Cannon Far East, the Cannon branch operating in China with units based in Shanghai, Beijing, and Guangzhou. The supply includes thirty large and medium high-pressure dosing units (18 units able to dispense 350 kg/min of rigid foam, four units by 100 kg/min, eight units by 40 kg/min) plus a total of 64 self-cleaning mixing heads. The job provides for the complete substitution of existing obsolete machines, and the change from HCFC 141b blowing agent to cyclopentane. The full investment funded by the World Bank covers the complete foam dispensing and mixing equipment section, as well as all infrastructures and locally manufactured presses. Marco Volpato, President of the Cannon Group, stated: "Coming immediately after the large contract that we won for the supply of the new reefer factory of Maersk Container Industry in Chile, that we are completing right now, this new important order from CIMC Containers in China confirms the reliability of Cannon as a global supplier of quality equipment for very difficult foaming applications. More than 25 key people within our organisation have been working hard to secure this job, from at least five different units of our group. We have now implemented special organisational measures to comply with a very tight delivery programme and I'm confident that also this important order will be dispatched timely. To my opinion this is a great example of effective team work!”

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