Page 56 - Plastics News April 2023
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IN THE NEWS






          percent  to a monthly  average  of  their import would continue to rise.  from these countries which may sup-
          US$64.45  million during  the  De-  By contrast,  plastic  producers  re-  port domestic products and reduce
          cember 2022-February 2023 period,   quested the government  to imple-  imports,” said another participant on
          compared to its average month-wise   ment  the  quality  control  order  for   condition of anonymity.
          import  of  18.67  between  financial   both raw materials and finished prod-  It is worth mentioning here that the
          year  FY2017-18  and FY2021-22.  A   ucts. They said that the quality control  delta margins (the difference between
          similar increase was seen in chlorin-  order will singularly control imports  the cost of input and finished product)
          ated polyvinyl chloride (CPVC) resin   as its  levy  will restrict  the  dumping  presently work out to a mere 2.5 per-
          which saw a jump of nearly 204 per-  of low-quality  products.  According  cent, with the import duty on  poly-
          cent to US$89.45 million between the   to a participant, a huge quantity of  mers and finished value-added plastics
          December  2022 and February 2023   low-quality  cheap materials  is being  products standing at 7.5 percent and
          period versus financial years FY2017-  imported  to  India which  competes  10 percent respectively. With such
          18  and FY2021-22.  Other  varieties   with domestic products and thereby  low delta  margins,  plastics  process-
          of polymers also saw a significant in-  affects sales of local products such as  ing does not make any sense in India
          crease in their imports in the last early   toys.                      due to exorbitantly high-interest rates
          2023.                                                                  on working capital and labour costs.
                                             “This needs  to be restricted  with  a
          The proposal of a polymer price in-  higher import duty of at least 20 per-  Industry  players have  recommended
          crease was objected by the producers   cent  from the  existing  10 percent   that the government should raise this
          of domestic value-added plastics im-  on  finished  plastic  products.  Apart   delta margin to 10 percent at least.
          porters. Plastics producers urged the   from that, India needs to impose  However, the government  wants to
          government  that  the  increase  in im-  quality control norms for import-  reduce import dependence and save
          port duty on polymers would raise in-  ing  high-quality  products. This  will  valuable foreign currency reserves in
          put costs for them which will eventu-  automatically  reduce  the  import  of  its  attempt  to  make  India  truly  ‘aat-
          ally be passed on to consumers. This   finished  products.  On  some  finished  manirbhar’ in both polymers and fin-
          necessarily  means prices  of plastic   plastics  products, however, import  ished plastics products. At the same
          products would go up further, in pro-  duty  works out 15  percent,  but the  time, India plans to increase the ex-
          portion to the increase in import duty.   duty stands ‘nil’ on their import from  port of finished products to raise for-
          This way, the import of  plastic ends   countries with trade agreements i.e.  eign currency reserves.
          products would become uncompeti-   ASEAN. India also needs to negoti-
          tive in the Indian markets and hence,
                                             ate better in terms of plastics imports

          17,000 tonnes of multi-layered plastic choking Karnataka; KSPCB says all is
          well

             esponding to a petition on the fail-  "Manufacture and use of multi-layered  gets.
          Rure to end the menace of multi-   plastic  which  is non-recyclable or   Last year, Krishna A and others moved
          layered  plastic, the  Karnataka State  non-energy recoverable or with no   the  National Green  Tribunal (NGT)
          Pollution Control Board (KSPCB) has  alternate use of plastic, if any, should   over the failure of  the state pollu-
          told the NGT that it has issued notic-  be phased out in two years' time,"   tion control boards to implement the
          es to stakeholders and hence a peti-  Section 9(3) of the rules said.  rules,  specifically  targeting  the  men-
          tion seeking enforcement of the rule   As that deadline expired in 2018, the  ace of multi-layered plastic.
          should be “dismissed with cost”.   ministry, in February 2022, issued ex-  In  its  seven-page  counter  affidavit
          In March 2016, the ministry of envi-  tended producer responsibility (EPR)   dated January 31, 2023, KSPCB says
          ronment, forest & climate change no-  guidelines for various classes of plas-  there  are  263  producers, import-
          tified plastic waste management rules,  tic. Besides the EPR targets of 25 per   ers and brand  owners (PIBOs) of
          2016. Among the major initiatives in  cent in 2021-22, 70 per cent in 2022-  multi-layered  plastic, who generate
          the rules was the two-year deadline  23 and 100 per cent in 2023-24, the   17,222.89 tonnes per annum. The af-
          for phasing out multi- layered plastic.  guidelines set obligatory recycling tar-  fidavit says PIBOs have EPR targets of



          56   PLASTICS NEWS                                                                             April 2023
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