Page 66 - Plastics News November 2017

IN THE NEWS

Costlier raw material hikes up plastics prices

lastic manufacturers and processors have hiked prices plastic products.Largely represented by small and medium
Pof their products following an increase in the cost of enterprises (SMEs), with over 40,000 manufacturers, the
a key raw material. Prices of high-density polyethylene plastics industry in India manufactures 15 million tonnes
(HDPE), used in plastics and polymer manufacturing of products annually, of which roughly one million tonne
and processing, firmed up in India, triggered by bullish is exported.
upstream crude and naphtha prices.According to industry
sources, HDPE prices have risen five-six per cent to Rs
84-85 a kg, which in turn led plastic manufacturers to Thiruvananthapuram students
hike prices of their products.“We have raised prices use ‘bricks’ made of plastic
for our products to a similar extent to compensate for
bottles for house

ngineering students find a novel way to reuse plastic
Ewaste. A group of civil engineering students have
joined hands to design a low-cost house that provides
an easy option for the reuse of plastic bottles. The final-
year students of the St. Thomas Institute for Science
and Technology in Kazhakuttam have collaborated for a
project wherein they have experimented by replacing
bricks with disposed plastic bottles to construct a 10-sq
ft hexagonal structure that is 2.4 m high. The project
has been undertaken as part of an exhibition that
was organised
by the college
the raw material’s price hike,” said Vishnu Patel of the in connection
Gujarat State Plastic Manufacturers’ Association. Plastic with a three-
manufacturing and processing tends to be a low-margin day national
business. Hence, companies are looking to pass on any seminar o n
hike in raw material prices to customers. Currently, the environmental
likes of Reliance Industries Limited (RIL), GAIL, and ONGC sustainability.
Petro-additions Limited (OPaL) are the main suppliers of
HDPE to the plastics and polymer industry. “(Our) margins According to
are low, so if (raw material) prices rise, then plastic college Principal Usha Thomas, who is also the
manufacturers and processors also hike prices,” said M P head of the department of civil engineering, the
Taparia, managing director of Supreme Industries Limited, difficulties associated with disposing of plastic bottles
a leading player with a turnover of Rs 4,500 crore in 2016- and the need for low-cost housing led to the idea of
17. According to industry sources, net margins in plastic constructing the Kuppi Veedu (bottle house). The
and polymer manufacturing and processing are in the Kuppi Veedu involves placing plastic bottles filled with
range of 4-5 per cent. The industry is, however, elated at soil and keeping them together using plain cement
the recent cut in the goods and services tax (GST) from concrete. The corrugations on the bottles apparently
28 per cent to 18 per cent. “The recent cut in rates has improves bonding, when compared to the plain-
been timely. While we will be hiking prices to pass on the surfaced bricks, says Dr. Thomas. According to her,
raw material price rise, the extent would not be much the structure has decent strength with a durability of
since a cut in tax rates will mean improved margins for at least six years. It has a thatched roof with dried
us in the long run,” said Naresh Patel of RND Plastics, a palm leaf and hay. Besides, triangular arrangements
Gujarat-based plastics and polymer processor. The cut in of PVC pipes function as windows. The project turned
GST will result in increased competitiveness for products out to be one of the attractions of the exhibition that
such as plastics floorings, fabrics, furniture, vacuum flasks also had stalls set up by ISRO , KSRTC, Priyadarshini,
bath, sanitary fittings, and many other miscellaneous KSPCB among other establishments.

Plastics News N ovember 2017 66