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ISO 9001
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Plastic Industry – Emerging Trends

By
Mr.S.SUGUMAR
CIPET, Chennai - 32.
BVQi 
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Why Plastics?
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
Properties can be altered to suit the
 Fire retardant
needs 
Do not rust/corrode.

Good strength/weight ratio 
Resistant to microbes

Tough & durable 
Attractive colours

Non toxic  Good weatherability

Easy processability 
Practically maintenance free

Chemical/Moisture Resistant  Reusable / Recyclable

At Much Cheaper Price !!!

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ISO 9001
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END USE ANALYSIS – POLYSTYRENE

MANAGEMENT
ISO 9001
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BVQi 
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BVQi 
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ISO 9001
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PLASTICS- HISTORICAL BACKGROUND

• Use of Natural polymers dates from about

35000 BC in ancient times.
• Synthetic Plastic first commercially developed
in USA in 1868(Celluloid).
• Thermosetting Plastics (PF) introduced in
market in 1909.
• PVC,Nylons & Cellulose acetate commercialised
in 1920.
• Second world war accelerated the demand for
plastics in 1940s when grades of PP, PE
commercialised.
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GLOBAL PLASTICS SCENARIO

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• Average rate of growth between 5-6% (almost double

than GDP of about 3.3%.

• Plastics Consumption(All types of thermoplastics

materials)- 70 million tons in 1990,150 million tons
in 2002.

• Projection for the year 2010- 250 million tons.

• Major Demand driver Sectors for plastics would be

Automotive, Telecommunication, Packaging,
Information Technology & Agriculture.
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Global growth of Polymer Demand

 BVQi 
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WORLD PLASTIC PRODUCTION (REGIONWISE) – 2001

4% 4%
27%
North America

Southeast Asia
32%
Europe

Africa Middle East

Rest of World

33%
Source: BASF.AG
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World plastic production ( Raw Material wise ) -2001

MANAGEMENT
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4% 4%
4% Polyethylene
5% Polypropylene
33% PVC
6%
PS/EPS

PUR
9% PET

Engineering
Plastics Blends
ABS/SAN/ASA

Others
16%
19%

Source – BASF.AG
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Region wise consumption of plastic raw materials

5% 3%
6%
27% North America
Southeast Asia
8%
Western Europe
Japan
Latin America
Africa Midlle East
Eastern Eroupe
24%

27%

Source – BASF.AG
 SECTOR-WISE CONSUMPTION OF PLASTICS BVQi 
0% UKAS
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GLOBAL SCENARIO
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 GLOBAL CONSUMPTION OF
23%
31%
POLYMERS CROSSED 150
MILLION TONS MARK. 1%
1%
2%
3%
3%
4% 6% 18%
8%
Packaging Industry
Construction Industry
Electrical and Electrical Engineering
Automotive
Furniture
Agriculture
HouseHold Good
Mechanic Industry
Textile
Sports,Games
Others
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INDIA ‘s
population adds the
population of a whole
GERMANY
every 5 year !!!
DEMAND FOR
PLASTICS is population
driven.
 Storage Capacity BVQi 
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(Shelf life)
Import / Export
Marketing
Strategy

Custom Population
DEMAND
Duties Explosion

Ups and Downs in Higher Production

Logistics(transport,
World Economy Lower Price
Pipeline,shipping,etc.)
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SCENEARIO OF
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INDIAN PLASTICS INDUSTRY

 ABOUT 15 MAJOR RAW MATERIAL MANUFACTURING
INDUSTRIES.

 ALL COMMODITY PLASTICS ARE PRODUCED IN INDIA

 ENGINEERING PLASTICS LIKE PC, POM, PPO, PPS, PEEK

POLYSULPHONE ARE PRESENTLY IMPORTED.

 MORE THAN 30,000 PRIMARY PROCESSING UNITS AT

PRESENT. 75-80% ARE SMALL SCALE UNITS.
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Continue….
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 AROUND 250 PLASTICS PROCESSING MACHINERY

MANUFACTURERS IN INDIA. STILL HIGH CAPACITY AND
ADVANCED PROCESSING MACHINERY’S ARE IMPORTED.

 MORE THAN 400 TOOLING INDUSTRY FOR FABRICATION

OF MOULD & DIES. STILL INPUTS ARE NEEDED IN
TERMS OF CNC MACHINES AND INTRICATE MOULDS.

 BASIC TEST EQUIPMENT’S ARE MANUFACTURED BUT

MOSTLY ARE IMPORTED.

 GOOD CAPABILITIES ARE THERE FOR TRAINING OF

TECHNICAL MANPOWER.
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INDIAN RAW MATERIAL INDUSTRY

 PRODUCTION CAPACITY
 DURING 1990 - 0.5 MILLION TONS
 DURING 1994-95 - 1.2 MILLION TONS
 DURING 1997-98 - OVER 2.3 MILLION
TONS
 BY 2005 - OVER 7.0 MILLION TONS
 DEMAND - 2005-06 - 7.0 MILLION TONS
 CONSUMPTION
 DURING 1994 - 95 - 1.6 MILLION TONS
 DURING 1997 - 98 - 2.3 MILLION TONS
 DURING 1999 - 00 - 2.8 MILLION TONS
 DURING 2001 - 02 - 3.6 MILLION TONS
90% OF TOTAL CONSUMPTION - COMMODITY PLASTICS
 ONLY AROUND 10% - ENGINEERING & HIGH
PERFORMANCE PLASTICS.
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DEMAND FOR PLASTICS

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 BY 2005-06 - 7 MILLION TONS.

 BY 2010 A.D – 12.5 MILLION TONS
 PER-CAPITA CONSUMPTION
 2000-2001 - 3.0 KGS
 2002-2003 - 3.8 KGS
 BY 2006 – AROUND 7 KGS

 EXPECTED CONSUMPTION GROWTH RATE

12-14% PER ANNUM COMPOUNDED.
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Indian Scenario
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Per capita consumption of polymers

1984-85 0.64

1994-95 1.8

2001-02 2.4

2002-03 3.8

2007-08 7.7

World average : 18-20 kgs

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Polymer capacity (In kilo tons ) ISO 9001
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Producers Location PP HDPE LDPE HD/LL PS PVC

               
RIL Hazira 400.0 400.0 300.0
RIL Jamnagar 600.0          
IPCL Nagothane 60.0   80.0 240.0    
IPCL Baroda 100.0   80.0     55.0
IPCL Gandhar   160.0       150.0
GAIL Auraiya   100.0   160.0    
Haldia Petro Haldia 210.0 200.0   225.0    
Finolex Pisranpar           130.0
LG Polymer Vizag         80.0  
NOCIL Thane   60.0 14(EVA)      

Supreme Mumbai         204.0  

Chemplast Metturdam           60.0
DCW Sahupuram           60.0
DCM Shriram Kota           35.0
RPRL Abu         16.0  
BASF Styrenics Bharuch         60.0  

TOTAL   1370.0 520.0 174.0 1025.0 360.0 790.0

Source – chemical purchase 2002

 Demand supply balance of polymers in India ( KT) BVQi
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All Capacity Production Import Export Demand Demand

Polymers Growth

             
1995-96 1797 1261 579 27 1813 13%

1996-97 2428 1348 651 52 1947 7%

1997-98 2305 2016 444 130 2330 20%

1998-99 2409 2217 593 56 2754 18%

1999-00 3482 2706 546 236 3016 10%

2000-01 4199 3414 226 374 3266 8%

2001-02 4199 4011 330 602 3739 14%

Source – Task force on Petro chemicals

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Consumption of Plastics in Different Sectors

20% 25%

5%

9%
23%
18%
Packaging

Agriculture and water management

Telectronics

Builidings and construction

Transport

others
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PLASTICS PROCESSING INDUSTRY

PLASTICS 2002-2003 EXPECTED BY

PROCESSING 2007 AD
INDUSTRY
NO. OF UNITS OVER 30,000 40,000
NO. OF PRIMARY
PROCESSING OVER 40,000 1,20,000
MACHINES
PROCESSING > 4.5 MILLION 6 MILLION
CAPACITY TONES TONES
INVESTMENT DURING 1995 – Rs. 3800 CRORES
DURING 1998 – Rs. 7600 CRORES
During 2000 - Rs. 10,000 Cr.
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Share of the Total capacity by Major processing segments

Extrusion 66

Injection Moulding 20

Blow Moulding 6

Others 3

Hand Operated Machines 5

Total 100
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INSTALLED BASE OF PLASTIC PROCESSING MACHINES.

Injection molding 58%

Extrusion 30%
Blow molding 10%
Others 2%
Indigenous machine building 4000 machines per year
Shortfall 2000 machines per year
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Processing Machinery
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Type of Processing Number of Machines

Technique / Machine Year
1995 1999
Injection Moulding 21230 25000
Blow Moulding 3670 4200
Extrusion 10100 13500
Thermoforming, Rotational
Moulding, Compression Transfer
Moulding etc., 540 3000

TOTAL 25440 45700

Source : Industry, AIPMA and IPF
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Future projection on machine requirements ISO 9001
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Number of machines CAGR * %

  1996-97 2001-02 2006-07 1996-01 2001-

06

           
Injection 20140 34340 62800 11.3 12.8

Blow Moulding 3580 6900 13240 14.0 14.2

Extrusion 10480 18150 30320 11.6 10.8

Others 460 1260 2540 22.5 15.0

Total 34660 60650 109080 11.8 12.5

Source; Strategics.gc.ca
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INDIAN TOOLING INDUSTRY

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 AROUND 400 TOOLING INDUSTRIES FOR FABRICATION

OF MOULDS & DIES.
 DEMAND BY 2002
 TOOLING REQUIREMENTS - Rs. 9074 CRORES
 REAL SUPPLY - Rs. 5898 CRORES
 GAP - Rs. 3176 CRORES
 GAP HAS TO BE MET THROUGH ADDITION OF
COMMERCIAL TOOL ROOM OR BY IMPORT
 AT PRESENT MOULDS FOR PRODUCING AUTOMOBILE
BUMPERS, FURNITURE ETC., ARE IMPORTED.
 MOULDS ARE IMPORTED FROM SINGAPRE, MALAYSIA,
TAIWAN ETC.

(SOURCE : NATIONAL SEMINAR ON TOOLING FOR PLASTIC BEYOND 2000)

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Trends in plastics export and projection

Year US $ (IN Million) Growth rate (%)

     
2000-2001 720 16.00

2001-2002 833 15.69

2002-2003 958 15.01

2003-2004 1100 14.82

2004-2005 1265 15.00

Source – plexconcil
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Human Resources Availability

• Educational Institutions like CIPET, IIT, HBTI, UDCT, Cochin
University etc., are offering Long term training Programmes
with different entry level qualifications.

• Especially CIPET trained students are very well placed both

in India and Abroad mainly on account of their wider
exposure and indepth training on State of art machinery.

• As we expect the consumption to touch 7.0 million Tons by

2006, the requirement of human resources would also be
increased at the rate of additional 10,000 persons / 100 KT
of material processed.
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CONCLUSION
• Plastics consumption is expected to reach 12.5 million tons by
2010 from 3.6 million tons at present.
• In view of this expectation, there is

 Tremendous opportunities for plastics manufacture, processing,

application development, recycling and Incineration.

 Scope for development of new and Innovative technologies.

 Opportunity for strengthening human capital.

 Good employment potential.

 Scope for advancement in applications of plastics in bio-medical,

bio-technology and frontier sciences.
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