Cereplast Receives Orders From India For Material For Manufacture Of Single-Use Bags

Cereplast receives orders from India for material for manufacture of single-use bags

24-Apr-13

Leading manufacturer of proprietary biobased, compostable and sustainable bioplastics Cereplast has begun receiving orders and payment for Compostable 3002 for the manufacture of single-use bags, and expects to receive more orders for this material in the near future. Cereplast expects the growing anti-plastic climate in India, the world's third largest polymers consumer, could generate larger growth opportunities for the bioplastics industry in the country, specifically for compostable bioplastics. There is growing interest in India for Cereplast Compostables® resins, particularly for the blow molding grades that are suited for beverage bottles, as well as the blown film grades for single-use grocery bags and garbage bags. India's polymer consumption accounted for 5.7% of the world's total in 2011, up from 3.5% in 2000. This level of consumption has its consequences. According to the CPCB, India generates 5.6 mln metric tons of plastic waste each year, 40% of which remains uncollected and littered. Frederic Scheer, Chairman and CEO of Cereplast, Inc. stated, "We are pleased to see the Supreme Court of India taking action toward solving its plastic pollution problems, and believe that widespread regulation of conventional plastics in the country would have a significant impact on the bioplastics industry as a whole. As the third largest consumer of conventional plastics in the world, countrywide legislation in India similar to what has been enacted in Italy would have even larger implications for bioplastics. Over a period of several months, the Application Decree in Italy created burgeoning activity and interest in bioplastic resins, and we see a similar trend happening in India. The process may take longer, however, we are very pleased to be selling our Cereplast Compostables blown film resins in India. Cereplast is poised to capitalize on these growing opportunities as they arise and continue to work with many companies in India to provide them with bioplastic alternatives. We believe, as indicated last week in our press release and during the earnings call, that we are at an inflection point and the anticipated outcome for 2013 is quite exciting. India will be an important part of our growth in 2013."