Published on March 3, 2014

News from Plastic industry said that major of the production companies are shifting their manufacturing units to India from China. The reason derived from the company officials is that production cost in China is increasing day by day and that has resulted in lower margins in profit. Even Chinese companies are also forming joint ventures with Indian companies to set up production units in the country. Some of the company officials said that this is good time to move production from China to India because of increased cost in China.

Government of Karnataka is planning to establish two new plastic parks in Bengaluru and Dharwad for which the Union government has in-principle given the clearance for setting up of these two parks. These two parks are likely to attract investments from both Indian as well as global companies and also facilitate good employment opportunity for both skilled and unskilled workforce in this sector. The two parks could address the need for food-grade plastic and will also create favourable regulatory enviornment for plastic processing sector of India.

In a recent move, two scientists have developed a process to convert plastic waste into high-value petroleum fuel which will help the industry to grow more. One of the industry analysts said that recent budget has disappointed this industry because no kind of amendments were declared for the reduction of heavy duties deployed on this sector.

According to the largest trade association of country Indian plastic industry needs more support and help from the government against imports. They added that with the support and help from governmnet it is possible for the plastic industry to get better growth. For the current week industry is working at moderate level.