BUSINESS

India targets plastics exports worth $10.6 billion in FY19

India has targeted plastics exports of $10.6 billion in FY19 and plans to corner 3% of the global plastics exports market by 2025 from the current size of less than 1% through a multi-pronged strategy, according to the Plastics Exports Promotion Council (PLEXCONCIL). The global plastics export market is estimated at $850 billion.

‘Difficult, but achievable’

“The target is difficult, but achievable. The council intends to take concerted efforts towards this front with the assistance of members through upgradation in technology, increased R&D spend, and innovative marketing strategies directed towards increased export of value-added plastic products from India,” said A.K. Basak, chairman, PLEXCONCIL.

“Besides we also intend to bring in new businesses into the export fold by creating awareness for exports,” Mr. Basak said.

Commenting on the ban on plastic bags in some States, Sribash Dasmohapatra, executive director, PLEXCONCIL said, “Domestic manufacturers should not lose heart and instead focus energies on exporting their products overseas. This will give a quantum jump to the country’s merchandise exports.”

Export of plastics is growing over the years. In FY18, India exported plastics worth $8.85 billion, a 17.1% increase from $7.56 billion in FY17. This was a faster rate of growth than the overall merchandise export growth of India, PLEXCONCIL said.

Merchandise exports from India in FY18 at $303.3 billion, grew by 9.9% while plastics exports grew by 17.1% Plastics formed 2.92% of India’s overall merchandise exports in FY18, a tad higher than the 2.74% share held in FY17.

India’s plastics export during FY18 was primarily boosted by higher shipment of plastic raw materials and value-added plastic products including woven sacks, plastic sheets, films, plates, optical items, laminates, packaging items, and medical disposables to the European Union, North America, Latin America & Caribbean, and North-East Asia, the council said. “The U.S., China and UAE were the top three destinations for India’s plastic products during FY18. These three countries accounted for 25.7% of India’s plastic product exports by value,” Mr. Basak said.