Business news

The 3rd Forum of the Association of Plastics Processors opened in Moscow with the support of R&P POLYPLASTIC

.

The 3rd Forum of the Association of Plastics Processors  opened in the Analytical Centre under the Government of the Russian Federation on June 20. Authoritative representatives of the industry, state authorities and business support funds expressed their views on the market situation, problems of the day and possibilities for development.   

President of the Association of Plastics Processors and Head of Research and Development of R&P POLYPLASTIC Mikhail Katsevman opened the event. The speaker made a presentation about “Prospects of development of the plastics processing industry in Russia”. “Russian processing industry including plastics procession has to make all possible efforts to develop its potential and competitiveness, modernize the industrial processes and protect the domestic market”.

In his presentation, he also emphasized the low level of procession and consumption of polymers in Russia comparing with developed countries. In 2018, consumption of plastics per capita in Russia amounted to 43 kg per person. By contrast, in the US this number valued to 180 kg per person. The primary reasons for that are sluggish economic development and declining household incomes.

Mikhail Katsevman particularly noted the problems of the industry including high prices for basic Russian-manufactured raw materials, reduction of demand on goods mainly consisting of polymer materials such as automobiles and household appliances and competition with producers of similar products, which use other materials (metal, wood etc.).   

In the end of the first plenary session, R&P POLYPLASTIC GR Manager Konstantin Sdobnov made a presentation on “Reduction of customs duties on foreign raw materials as an effective instrument of government support for the plastic processing industry”. The speaker particularly mentioned the situation with imported chopped glass fibre. Chopped glass fibre is not produced in Russia however it is charged with a 12% customs duty, which puts foreign manufacturers into a more competitive position. In order to stimulate plastics processing in Russia it is necessary to consider the possibility of lowering customs duties on raw materials, which have no equivalents in Russia.