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Plastic ban with no alternative leaves plastic industry struggling; industry speculates NPA rise, GDP & Job loss

Updated: Jun 27, 2018 09:10:05am
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Plastic ban with no alternative leaves plastic industry struggling; industry speculates NPA rise, GDP & Job loss

New Delhi, June 27 (KNN) The state-wide plastic ban, including carry-bags and thermocol by the Devendra Fadanvis government, has plagued the plastic industry as apart from struggling for alternatives the industry is speculating huge loss for the economy along and job loss for almost 3 lakh people.

The state-wide ban by Maharashtra government on plastic products has come into effect from June 23.

The prohibition extends to a wide variety of plastic items, including plastic carry bags, and even thermocol. The move is aimed at cutting down on pollution caused by discarded plastic items.

Talking to KNN India, Devender Bal Singh, Secretary, All India Plastic Industries Association (AIPMA) said the state-wide ban will definitely affect the economy as a whole. The total contribution of plastic is of around 16-17% in the GDP. The recent ban will definitely have an impact.”

Further, he said the loss in terms of job and growth prospects will have an impact nationwide.

Though the ban is imposed on Maharashtra but in a way all states are connected in terms of trade and business and thus this would have a multiplier effect, he added.

Also, bad loans from the plastic sector will increase as major firms involved in the production and distribution of plastic bags has left with no option other than closing down, said Singh.

According to a report, Plastic Bags Manufacturers Association of India general secretary Neemit Punamiya has said, "The ban imposed by Maharashtra from Saturday has hit the industry very hard and the plastic industry is staring at a loss of Rs. 15,000 crore, leaving nearly 3 lakh people jobless overnight."

He said nearly 2,500 members of the association have left with the no option but to shut shop following the ban.

The civic authorities have imposed a fine of Rs 5,000 for the first-time offenders and Rs 10,000 for the second-time offenders. Those who violate the ban for the third time will face a fine of Rs 25,000, along with a three-month imprisonment.

Earlier, talking to KNN India, Nikhilesh Rathi, Secretary of Maharashtra Plastic Manufacturers Association (MPMA) said, “There is no other alternative to plastics; the more economical option is still not available which can replace all types of plastic available in the market at the moment.”

Comparing paper with plastic, he said that paper has its own limitations; they are not durable and also not sturdy for transportation.

Cost of replacing plastic with paper is largely high, Rathi added, adding to this he said that introducing paper bags in market in place of plastic will increase the carbon footprints in the environment as paper will be produced by cutting down of tress which in turn affect the environment.

Underlining the fact that protection of environment is crucial and plastics are creating big problem, he said that government can’t simply put a blanket, at-least industries should be given appropriate time to find some other good alternative to plastic before implementing this.

Giving 3 months’ time to come up with some other alternative was not good enough for the industries or manufacturers, he added.

He pointed out that the plastic has been in this market for last 20-25 years and in just 3 months government can’t expect from industries that they come up with other easy-green products as a replacement to plastic.

The Federation of Retail Traders have approached Bombay High Court seeking permission to use primary plastic packaging at the retail level in order to protect their products especially the edible ones from dust, moisture etc.

Viren Shah, President, Federation of Retail Traders, said, “Government has allowed usage of multi-layered packaging which is highly dangerous for the environment.”

“We have approached the High Court to allow us to use primary packaging to protect our products. In primary packaging we use transparent plastics which are not hazardous to the environment. This is necessary for protecting the products especially at Kirana stores,” Shah said.

Shah said polypropylene (PP) bags need to be allowed as they are recyclable, while multi-layer plastic is non-recyclable. Even rag-pickers will not touch them and it will be thrown in manholes. There is a need to ban all less than 50 microns plastic."

The retailers, under the umbrella of the Federation have also asked if there is an alternative to plastic, which is strong and water proof.

He said it is quite strange that primary packaging at retail level for fruits, vegetables, bread, pulses, garments and other essential commodities is banned, while mineral water companies, plastic bottles and milk plastic pouches are allowed. (KNN Bureau)

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