World Plastics trade growing at a steady 5%

Indias trade basket is skewed towards polymers

Product classification for trade analysis

We have grouped products into Polymers and Processed Plastics. Thereafter within each of these categories, we have made groups based on average export realisations in global trade.

World polymer trade is focussed on value-added products

Indias vision should be to double its share of world exports to 3% of global trade volumes by 2012

World tradeOpportunity is knocking

Key Observations
World trade in Plastics at 140 MMT by 2012 is a lucrative opportunity for India India, with a 1.5% share in world export volumes today is not in a position to capture this opportunity Indias increased focus on polymers as against processed plastics is contrary to global trade flows Within processed plastics, India has negligible exports that too in low value products, where as the maximum growth potential is in higher value products

Vision 2012 Action Agenda

India should aim at doubling its share in world exports by 2012

Build the domestic processed plastic industry to target the export opportunity.\

Se c t ion 3

The Indian Plastics Industry - Overview & Diagnosis

Structure of the Plastic Industry

Domestic Polymer consumption growing at 1.5 times GDP

Domestic Polymer Consumption ( MMT)

With commissioning of capacities in the Middle East, Indian suppliers under severe threat from imports.

The cost structure of Indian plastic products is uncompetitive

We also see substantial increase in plastic imports

Section 4

Benefits and top five player in polymer industries

Benefits of polymers:
Polymer products produce several benefits and they are used for different purposes as compared to the products of the other industries like wood, steel, paper, aluminum, etc Polymer products conserve valuable natural resources and they are lighter, cheaper, and more versatile as compared to other traditional materials. Polymer products are widely used in packaging for extruded pipes, furniture, home appliances, molded industrial appliances and preservation of food products.

Growth promotion of Indian Polymer industry:

Government of India is planning to improve the polymer industry by achieving the following plans: Expansion of employment opportunities Creation of investor friendly environment Promotion of infrastructural development in Special Economics Regions and Special Economic Zones Internationally competitive and non-distortionary duties and taxes Plans are being made to emphasis on skilled manpower and infrastructure development Government is also planning to improve the manufacturing rate of this sector to 12%

Top five players in Polymer Industry:

The names of some of the top players in the polymer industry in India are given below: Finolex Industries Limited GAIL India Limited Haldia Petrochemicals Limited Reliance Industries Limited LG Polymers India Private Limited Some of the details regarding these top five players in the polymer industry in India are given below:

Finolex Industries Limited:

This company came into existence in the year 1981 and it was previously called as Finolex Pipes Limited. This company holds the pride of being one among the top PVC pipe manufacturers in India. This company has ultra modern manufacturing units in India and they are dealing with PVC-U Pipes and fittings, methanol, ethylene dichloride, PVC resin and PVC Sheets.

GAIL India Limited:

GAIL began its operations in the year 1984 as a natural pipeline company and then developed as a major player in the gas industry in India. This company holds the pride of having laid the longest LPG pipeline in India. They entered into polymer industry by establishing a polymer complex at Patna and they are also planning to construct a new plant in Assam.

Haldia Petrochemicals Limited:

Haldia Petrochemicals Limited established a naptha based petrochemical complex in Haldia and they are acting as one of the best polymer manufacturers in India. They are dealing with the production of two main polymers namely polypropylene and polyethylene through their manufacturing units in different parts of the country.

Reliance Industries Limited:

In the polymer industry in India, Reliance Industry is the largest producer of polyester yarn and fiber, seventh largest producer of Mono Ethylene Glycol and Purified Terephthalic Acid, fifth largest producer of polypropylene and fourth largest producer of paraxylene. This company began its operations in this industry from the year 1977 and they are dealing with other industries as well.

LG Polymers India Private Limited:

This company is shortly called as LGPI and they are engaged in the production of different polymers like EPS Resin, HYPOL and LGSTRENE. Their HYPOL product includes flexible transparent polystyrene. This company was launched in the year 1961 at Vizagapatam in the name of Hindustan Polymers. Apart from these companies, there are other top companies like NOCIL, Supreme petrochem Limited and TN Petrochemicals Limited and these companies also contribute to the development of polymer industries.