Shifting to a 'multi-ply' coin series seen as a profitable move for PH.
It is profitable to shift to "multi-ply" coin series.
This was what the New Zealand government discovered to its delight in 2007 when it decided to replace the 10-, 20- and 50-cent coins made of alloy that it used to issue. It shifted to with multi-ply coins supplied by the Royal Canadian Mint (RCM), according to Jeff Hanke, Royal Canadian Mint (RCM).
Hanke, who stopped over in Manila as part of his Asian tour, said: When the shift to the new coin series was completed, the New Zealand government recycled the old coins, melted them and sold the alloy to a metal recycler in AsiaSouth Korea.
The multi-ply coins have a layer of copper which cost less than nickel and other metals commonly used for minting. Result: The earnings New Zealand got from selling its old coins exceeded what it paid for with its new coin series.
"The same thing can happen to a country like the Philippines if it decides to replace its current coin series with the multi-ply variety," said Hanke. "Not only will it be able to replace the coins that have been in circulation since 1995, the government can generate earnings doing it."
Based on the experience of New Zealand, he said shifting to multi-ply coins would translate to at least 40 percent savings for the Philippines. This, he added, would be on top of the earnings it would get from recycling old coins made of alloy.
Using a technology that RCM invented, multi-ply double annealed coins have a steel core over which are electroplated three layers of metals: Nickel over copper over nickel for silver-colored coins, and brass over copper over nickel for gold-colored ones. Aside from RCM, Jarden Zinc who is supplying the US coins and another European minting house have joined the list of global multi-ply coin suppliers.
"Our plating process results in a much harder coin even if multi-ply coins look exactly the same as coins with only one or two layers," Hanke noted. "The outer side of a multi-ply coin is 1.5 times harder and stronger than that of a single layer plated coin. Even though our outer layer is thinner, it's stronger and significantly more durable."
Multi-ply coins, are also cheaper to produce than their single or double layer plated counterparts, he explained. "Putting a layer of copper between two layers of nickel is actually more cost-effective than using just one layer of nickel since copper is less expensive than nickel," he explained.