Page 7 - Plastics News April 2023

The Indian plastic industry is expected to remain strong in the coming months, supported by an
increase in demand due to the Government's focus on infrastructure and other development
projects. The industry is likely to benefit from the introduction of new technologies, such as 3D
printing and new materials, along with increased consumer demand.

Currently AIPMA is working towards Import substitution, which is an economic strategy that
seeks to reduce foreign reliance on imports and replace them with domestic goods and services.
It is often implemented by developing countries in order to protect domestic industries from
international competition and to promote economic growth and stability.
In order to successfully implement import substitution, AIPMA has embarked on a mission of
national importance to reduce imports of plastics finished goods worth Rs. 37,500 crores per
annum and identified over 553 products which can substitute Imports and can be produced in
India, thereby promoting the domestic processing Industry towards self-sufficiency and ‘Make
in India, Make for the world’. This initiative will give opportunity to Polymer Producers for
consumption of additional 4 Million Tons of polymers and Indian Plastic Machinery manufacturers
for production of additional 16,000 machines. This will also lead to 300,000 additional jobs in
the industry. To promote this initiative AIPMA’s AMTEC is organizing 6 conferences between
26th May 2023 to 31st August 2023 in some of the major cities of India like Delhi, Mumbai,
Ahmedabad, Bangalore, Chennai, and Kolkata.
On another front, AIPMA’s Environment Committee is working closely with industry to
understand the difficulties faced by them. Various workshops and conferences are organized
to provide hands on the registration process. Recently, we had a half-day workshop in Mumbai
on 18th March, 2023 and we received a good response from all the participants. We have our
upcoming workshop in Chennai, which is jointly organized by AIPMA and TAPMA.

In the recent events a notification has been issued by the Ministry of Finance Department
of Expenditure Procurement Policy Division with the subject “Vivad Se Vishwas” regarding
giving relief for MSMEs, AIPMA has provide advocacy for enterprises who has taken PSUs and
Government Contracts during the COVID period. The agenda was to provide relief on the
various challenges faced by them in covid times like, after receiving contracts they were not able
to supply due to a scarcity of resources and their contracts were cancelled midway. As a result,
their bank guarantee was forfeited, they were kept on holiday leaves and were placed under a
risk purchase clause, price difference penalty.

AIPMA represented those enterprises in MSME, and the Finance Ministry took their requests
into consideration and subsequently sent a notification asking all PSUs and Government
departments to give relief from risk purchase clause, not putting them on holiday leaves, and if
their performance bank guarantee was forfeited, it should get refunded by 95%.
The notification is itself a great success towards setting up all the enterprises to contribute in
Indian Plastic Industry and to make it stand globally.

Thanking you,

Mayur D. Shah
president@aipma.net

PLASTICS NEWS 7
April 2023