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Plastic sector to maintain bullish momentum
By Zhan Lisheng (HK Edition)

GUANGZHOU: Plastic industry in Guangdong Province will maintain a bullish development momentum in the coming few years, a market insider said.

"Guangdong has topped other regions in the plastic industry since 1994. I don't think there is any possibility that the position will be challenged," said Fu An, chairman of Guangdong Plastics Industry Association, at a two-day forum during the Chinaplas 2007, which ended yesterday.

According to official statistics, more than 2,200 plastic enterprises in the province yielded 6.8 million tons of plastics in 2006, which were worth more than 130 billion yuan and which accounted for about 25 percent of the nation's total.

Fu said that the huge investments in the province's petrochemical projects during the 11th Five-Year Plan (2006-2010) will offer more opportunities for a sustained development of the plastic industry.

As many as 13 massive petrochemical projects are either under construction or will be constructed in Guangdong during the 11th Five-Year Plan, involving a total investment of 358 billion yuan, he said, adding that this will enhance the plastics production capacity significantly in the province.

Fu also said the logistics system for the industry will make the raw material supplies and supplementary materials easily accessible to the plastic manufacturers.

He said the Pearl River Delta region has seven big special markets in Foshan, Dongguan, Shenzhen and Zhuhai, trading plastic raw materials and supplementary materials.

Fu said the plastic firms should give more emphasis on the R&D of high-tech products, as well as the application of state-of-the-art technological solutions and equipment to revamp the traditional industry.

He also said that more initiative must be taken to attend international trade fairs for more market channels, for timely market information as well as for the latest information about the technological solutions and manufacturing equipment. Fu said the plastic firms would be benefitted from the annual event of Chinaplas.

Organized by Adsale Exhibition Services Ltd, Chinaplas has become the leading plastics and rubber trade fair in Asia.

According to Stanley Chu, chairman of Adsale, 1,580 exhibitors from 36 countries and regions took part at the Chinaplas 2007, displaying their flagship products and technological solutions, while more than 60,000 professional buyers from over 110 countries and regions visited the event.

"Chinaplas has become an effective channel for global suppliers to promote their plastic and rubber machines and raw materials," Chu said.

(HK Edition 05/25/2007 page6)