CII signs MoU with The All-India Plastics Manufacturers’ Association

The event was attended by R Mukundan, vice president, Confederation of Indian Industry, and managing director and CEO, Tata Chemicals Limited, who inked the MoU with Manish Dedhia, the president, AIPMA, and joint managing director, Mitsu Chem Plast Limited, representing The All-India Plastics Manufacturers’ Association.

The MoU will focus on "Working with MSMEs, where a large portion of India’s plastic manufacturing and recycling takes place.". This will enable focused action such as moving towards more sustainable business operations and practices with respect to plastics packaging and products, and increasing awareness among MSMEs of sustainable business practices with respect to manufacture and design of plastic packaging and products.

This partnership between CII and AIPMA will help in deepening awareness and strengthening the work on plastics management, and creating the impact that is needed to plant the seeds of sustainability in an important sector of the Indian economy.

The plastics value chain in India is dominated by enterprises in the micro, small, and medium (MSME) segment of the economy. Out of a total of 1,30,000 units registered as producers, it is estimated that 20,000-30,000 units are engaged in packaging-related activities. These include moulders, extruders, thermoformers and converters/printers.

Most of these units were set up with the objective of supplying specific products driven by customer requirements or for generic applications such as wraps, bubble film, carry bags, and so on). Design aspects, for example, were not a priority as the market sought better economics. However, small changes directed towards environmental concerns, could encourage players in the segment to become competitive and respond to increasing focus on sustainability.

Today, with regulatory mandates in place for large companies, businesses in the MSME value chain often closely linked to large brands as suppliers, face a shift, with sustainability and environmental aspects forming a critical portion of their business model.

Launched in September 2021, the India Plastics Pact works with stakeholders from across the plastics value chain to create a circular economy for plastics packaging in India. As the first Pact in Asia, IPP is part of a global network of 13 Plastics Pacts convened by the Ellen MacArthur Foundation and WRAP.