POST TIME: 18 February, 2019 08:37:19 AM
Plastic exports log close to 20pc rise in first 7 months this FY
Independent Online Desk

Plastic exports log close to 20pc rise in first 7 months this FY

The country’s exports of plastic products recorded a 19.66 per cent increase in the first seven months of the current financial year (FY) over the corresponding period of the last fiscal year.                

Raw materials, which were available at a cheaper rate, the manufacturing of quality-oriented products, a robust government policy framework, enhanced manufacturing efficiency and exports of products to new and untapped countries helped Bangladesh boost plastic exports, explained industry insiders.  

According to the Export Promotion Bureau (EPB), a growth rate of 19.66 per cent, with net export earnings of USD 67.06 million, was achieved in 2018–19 (July–January) compared to USD 56.04 million in 2017–18 (July–January).

Shamim Ahmed, former president of the Bangladesh Plastic Goods Manufacturers' and Exporters' Association (BPGMEA), explaining the reason behind this growth, said India has started taking recycled PET flakes, which China used to take earlier from Bangladesh.

He explained that polyethylene terephthalate (PET) is used as a raw material for making packaging materials, such as bottles and containers, for packaging a wide range of food products and other consumer goods.

Secondly, plastic hangers, plastic toys and four types of bags are exported every year. The exports of these types of products are increasing dramatically each year, he added.

He also said that raw material prices of plastic are steady. “That’s another prime reason which has helped export growth to increase,” he added.    

Ahmed noted that China is the prime plastic manufacturing country in the world. As it has started moving towards high-tech industries, there are massive opportunities for Bangladeshi exporters to increase their global market share.

At present, Bangladesh mostly exports plastic products to the US, Canada and European countries, said Ahmed.

The former BPGMEA president said: “China used to import plastic wastes from us for further processing, but has stopped doing so. The country is closing down plastic waste processing plants because of environmental pollution.”

"The plastic wastes industry has seen a negative growth of -21.36 per cent. India is importing plastic waste from us, but the quantity is very small," he added.