Plastics & Synfibres

Innovation, outward-looking approach will bolster industry growth.

- Nadine James

The plastics converter industry needs to alter its mindset and look for innovative solutions while becoming more outward-looking to experience real economic growth, says industry body Plastics SA.

Plastics SA chairperson Bernhard Mahl describes real growth as “thousands of tons of plastic, polymers and resin converted”. He notes that, globally, where there has been growth, industry growth is measured by virgin material consumption, and we do not see the same grow the in South Africa when looking at virgin material consumption. By adding the volumes of post consumer waste recycled, the growth seems slightly better.

“The truth is that the industry has stagnated,” he declares.

Over the past five to ten years – with the exception of 2015, during which there was a 6.4% increase in virgin material consumption to 1.49-million tonnes – local industry has hovered between producing 1.3-million tons and 1.4-million tons of virgin material, he says.

“The global plastics industry grows at 3%, but local industry has grown between 0% and 1%, in line with the South African economy. The country’s gross domestic product (GDP) is growing disproportionally less than the population growth. Our industry, on a per capita basis, is basically shrinking.”