Page 11 - Plastics News December 2020

The Catch 22 situation

The year 2020 is on its last lap, showing some signs of the pandemic retreating and fortunately
with the COVID vaccine due very shortly, we have some respite. The year has been full of ups &
downs; while the first quarter of the (calendar) year had been growing the remaining part was
challenging. However the pandemic taught us many a lessons and despite the severe lock-
down certain sections of the Plastics industry, say like Packaging kept everyone floating. The
pandemic did serve as a catalyst to the industry at the Plastics was one of the best saviors.
Amidst all this the price of all the raw materials for the plastics industry were increasing and
processors were paying through noses. Taking cognizance of their plight, AIPMA on the behalf
of Plastic manufacturers and processors have urged the government to constitute a regulatory
authority to curb undue profiteering in the petrochemicals industry that has left the plastic
processing sector on the verge of complete collapse. AIPMA in its letter, (dtd, November 26) to
Prime Minister Narendra Modi has demanded setting up of a regulatory body and has further
demanded to; a) stop imposing anti-dumping duty, mandatory BIS standards, b) decrease
import duty on raw material and c) ban or restrict export of raw material to enable the plastic
industry to survive and remain competitive with other countries like China. The fact remains
India is import dependent and consumption of several polymers is much higher than domestic
production.
The domestic plastics processing industry is adversely affected with the sharp increase in the
prices of raw materials that have increased multi-fold ranging between 20 and 140 per cent
over the last five months. Moreover, with the shortage of the same in the open market added to
the problems. The plastics industry in India consists of over 50,000 plastics processing units, of
which 90 per cent are MSME's employing more than 50 lakhs people directly and contributing
over Rs 3 lakhs crore to the country's GDP.

We are hopeful that the Prime Minister shall look into the matter and help the industry to
sustain amidst the pandemic.
AIPMA, with its futuristic vision to keep the industry dynamic, is launching India's first Virtual
Plastic Packaging Exhibition 'PLASTIWORLD 2021' during 19-23 January 2021 to connect plastic
packaging buyers with packaging manufacturing companies from across the world. The five-
day innovative and exciting B2b expo aims at uplifting the Indian plastic packaging industry
making it Atmanirbhar in its true sense. The exhibition is a win-win situation for all as it avails
a platform not only to showcase the innovative products but also brings the focused chunk of
target audience thereby serving in the larger interest of the Industry. Do stay connected.
Wishing Happy and A Prosperous New Year to all our readers!

DECEMBER 2020 11 Plastics News