Manufacturers protest ban on rigid single-use plastics, fear loan default

Industry grouse - 22 products have been banned although they are fully recyclable, while non-recyclable packaging used by FMCG firms have been let off

Days before the July 1 ban on 22 single-use plastic products, makers of rigid plastic plates, trays, spoons and forks, belonging mostly to the small-scale sector, have accused the government of adopting double standards on banning single-use plastics.
 

The Thermoformers and Allied Industries Association (TAIA), which represents 850 manufacturers employing 200,000 people (and 500,000 indirectly), has pointed out that while the government has imposed a blanket ban on their products without providing any specifications for exemptions, it has exempted multi-layered packaging used by large global and domestic fast-moving consumer goods companies for packing snacks, chips, coffee and so on.
 

This, despite the fact that these packaging materials, with thickness between 20 and 30 microns, are litter-prone, non-bio-degradable, non-recyclable and are made out of materials such as plastic and aluminium.
 

What’s more, says the TAIA, exemption has also been granted to high-density polyethylene (HDPE) carry bags of above 75 microns (they have to go up to 100 microns by December 2022), which are also single-use plastics. Even PET (polyethylene terephthalate) bottles with capacity above 200 ml that are commonly used by beverage companies are on the exemption list.
 

Yet the government has banned the products of the rigid plastic packaging industry, worth Rs 10,000 crore, even though they are recyclable and have thickness above 150-200 microns. (Heavy materials can be picked up and recycled unlike lighter ones that stay on in landfills).

The rules prohibit the manufacture, sale, distribution and inventory storage of these products despite the fact that they account for only 1.5 per cent of all the gross waste from single-use plastics.
 

Says Bhavesh Bhojani, secretary of the TAIA, “What we are asking is that just like in other categories, the government should come out with specifications that we have to follow to get exemption. After all, our products are fully recyclable. And we need some time to adjust to the new specifications.”
 

He says that in its presentation to the government, the TAIA has asked for specifications for exemptions — such as rigid plastic plates and trays not weighing less than 5 gm or having thickness not below 150 microns, and plastic cups and glasses weighing not less than 5 gm or having a capacity of 210 ml.
 

Bhojani points out that loss of employment apart, loans exceeding Rs 5,000 crore taken by the companies will turn into non-performing assets if the ban is imposed.
 

Experts argue that while multi-layered packaging has been allowed because it provides shelf life, under the new recycling rules 30 per cent of the plastic that goes into them has to be recycled over the next three years. The government has also made producers, brand owners and importers responsible for giving details of the way they are recycling the plastic they use.

Losing battle
 

The government has banned rigid plastic products without any specifications for exemption, even though these products are 100% recyclable
 

The ban threatens to shut down the Rs 10,000-crore, mostly small-scale, industry
 

Multi-layered packaging used by big FMCG companies have been allowed, even though they are tough to recycle
 

HDPE carry bags with thickness above 75 microns have been exempted from ban
 

200 ml single-use PET bottles also on the exemption list