Published on September 29, 2014

Petrochemical industry of India is in discussion with government to prepare a “negative” list of free-duty imports of finished plastic goods that are affecting the profit margin of country’s domestic producers, as said by industry sources. They said that domestic producers are not able to compete this market due to imposition duty on finished plastic products.

Industry news said that Indian government is studying about free duty imports on a number of plastic products from Thailand, Vietnam, Singapore and Malaysia so that they can fix this problem for local players. This study will include bodies that are representing petrochemical industry like All India Plastic Manufacturers’ Association (AIPMA) and officials from department of petrochemicals said by sources. Government and officials said that they believe that such issues need to be resolved as soon as possible so that it will help to Plastic industry.

Industry sources said that Haldia Petrochemical plant shut will continue for some more days that will affect the supply to regional plastic industry. Sources near to matter said that plant will continue this shut down because of shortage of funds to operate the plant. They added that before shutdown plant was running at 50% of its production capacity.