Union Budget 2019 India: The government has planned to ban single use plastics by 2022, but phasing out and banning of specific products should be considered only after due process to understand 360 degree view has been completed, AIPMA said in its Budget proposal.
Budget 2019 India: The plastic industry, which is expected to touch Rs 5 lakh crore-mark by 2025, Wednesday urged the government to support the micro, small and medium enterprises (MSMEs) in the sector and not to increase import duty on raw materials. The existing size of the plastic industry in the country is Rs 2.25 lakh crore employing 4.5 million people, All India Plastics Manufacturers’ Association (AIPMA) said a release said here. The hike in import duty of raw materials will result in supply disruption and, in turn, will affect the cost competitiveness of 50,000 plastic processors in India.
AIPMA asked the government to increase the customs duty on finished goods to 20 per cent to stop the imports of cheap and unsafe materials to India. Further, it said, there should be an imposition of anti-dumping or safeguard duty on import of cheap plastic finished goods and maintaining the minimum gap in customs duty between raw materials and finished goods at 12.5 per cent. “The fast-growing plastics industry will help India become a USD 5 trillion economy, for which the government needs to support MSMEs in terms of good infrastructure, easy financing and favourable regulatory policies,” AIPMA President Meela Jayadev said. The industry experts also echoed the Association stand that the industry does not resist the government policy of environment protection, but firmly believed that the banning is not the solution.
The government has planned to ban single use plastics by 2022, but phasing out and banning of specific products should be considered only after due process to understand 360 degree view has been completed, AIPMA said in its Budget proposal. “The emphasis should be on practical execution for solutions and contribution towards successful implementation by stake holders across value chain. Recycling facility should be at every district, while collection should be done at Panchayat level. Similarly, municipal corporations should connect with PROs, while awareness programmes should be in place,” AIPMA chairman environment committee Hiten Bheda added.