The former State Economic and Trade Commission issued the "Order No. 6" ("Catalogue of Outdated Production Capacity, Processes, and Products (First Batch)") and stipulated that after a total elimination of disposable foam plastic tableware in 2001, degradable plastic tableware for a time The production line has blossomed all over the country, and some areas have seen a rush to the top. In Guangzhou and the surrounding areas, only nine production lines for environmental protection lunch boxes were launched in just two years, while in Jiangsu Province, more than 40 pulp molding plants that only produce paper tableware were launched.
What are the reasons that have prompted many companies to be optimistic about the field of biodegradable plastic tableware, and have invested in the construction of new production lines?
One reason: optimistic about the market prospects China's disposable plastic tableware market is a huge market. Eliminating disposable foam plastic tableware will inevitably require the use of alternatives. Since the original intention of the ban is to manage “white pollutionâ€, the environmental protection requirements for alternatives are high, requiring easy recovery and easy degradability. Degradable plastic cutlery brings tremendous business opportunities. According to statistics, the one-time use of disposable foaming lunch boxes in the country is about 18 billion a year, and it is still increasing at a rate of 10% per year. If the national goal of completely prohibiting the use of foaming lunch boxes is achieved, the amount of substitutes will be equivalent. Astonishing, according to the profit of each meal box is 0.05 yuan, the annual profit has nearly 900 million yuan, and there is still a considerable room for market expansion.
The second reason is that there is less investment in the quick-to-degrade tableware production line. Taking the photo-biological degradation polypropylene tableware production line that can replace disposable foaming tableware as an example (according to the product line that has been subjected to degradation performance and safety and health testing and the test index meets the relevant national standards), according to the relevant companies Market feasibility analysis report, the production capacity of 30 million to 50 million annual production lines for lunch boxes requires only 800,000 to 100 million yuan for all equipment investment, and this production line can also produce many products such as biodegradable plastic cups and box bottoms. , If only on the molding machine, invest more than 10 million. The degradable plastic raw material is about 5,800 yuan per ton, which can be made into approximately 6,600 lunch boxes. If the annual sales amount is 40 million, and each price is calculated at 0.2 yuan, the annual net profit can reach nearly 1 million yuan. That is to say, if the country develops a vacuum market by associating with foaming tableware, enterprises that produce degradable plastic tableware can recover their investment within 1-2 years when operating in good conditions. This is undoubtedly a considerable temptation for the manufacturer.
Reason No. 3: The threshold is low and the horse is easy to go. Because “No. 6 Order†does not specify the production standards and product performance standards for degraded tableware, it caused the situation of the company, regardless of its size and regardless of its own conditions, to launch the degradation tableware production line one after another. In the meantime, some poor quality non-degradable plastic tableware under the banner of “environmental protection and degradation†also posed as degradable cutlery to enter the market. The cost of horses on the production line of these inferior plastic lunch boxes is very low. Due to lack of uniform standards and poor understanding of degradation technologies, Coupled with the good expectations of the degradation of the lunch box market, many SMEs are rushing.
In addition, due to the "white pollution" is serious, the country tends to support the establishment of environmentally friendly and biodegradable product line, coupled with the lack of understanding of the degradation technology at the time, it is also relatively easy to get approval and support funds from the state permitting the construction of a degradable tableware production line.
Actually, as long as the “Order 6†was promulgated, the state, local governments, and relevant departments have issued many documents on “treating the white,†and some enterprises with long-term vision have already seen products with great market potential. And has begun to study the alternative disposable foam tableware. As a result, with the introduction of the "No. 6 Order", large and small degradable tableware production lines were launched. At the same time, some formal degraded tableware manufacturers whose production technologies are not yet mature and whose product performance has not yet been effectively tested are unable to sit still and have brought immature products to the market. Although 10 months after the “No. 6 Order†was promulgated, the former State Bureau of Quality and Technical Supervision issued the national standard for “General technical conditions for disposable degradable tableware†and “Test method for degradation performance of disposable degradable tablewareâ€. The implementation began in January 2000. During this period, however, many unqualified production lines for degradation products have been launched in the country. Due to the failure of their products to meet the standards, these unqualified production lines had to be converted or shut down, resulting in serious waste.
As we all know, degradable plastic technology is also a difficult problem to overcome in the world, is still immature, and degradable plastic products are currently not widely used in the world. But in the face of the bright market prospects, lower barriers to entry, less capital investment, and “market space, good prospects, and rapid investment recovery†brought about by the government’s “white banâ€, a large number of companies are Under conditions that are not yet mature and have not carefully evaluated the various market risks that may be encountered, holding the market mentality first, we havetily introduced the production equipment for degradable plastics and put into production the biodegradable plastic lunch box production line. These blind investment have brought hidden dangers to the survival and development of the company in the future.
What are the reasons that have prompted many companies to be optimistic about the field of biodegradable plastic tableware, and have invested in the construction of new production lines?
One reason: optimistic about the market prospects China's disposable plastic tableware market is a huge market. Eliminating disposable foam plastic tableware will inevitably require the use of alternatives. Since the original intention of the ban is to manage “white pollutionâ€, the environmental protection requirements for alternatives are high, requiring easy recovery and easy degradability. Degradable plastic cutlery brings tremendous business opportunities. According to statistics, the one-time use of disposable foaming lunch boxes in the country is about 18 billion a year, and it is still increasing at a rate of 10% per year. If the national goal of completely prohibiting the use of foaming lunch boxes is achieved, the amount of substitutes will be equivalent. Astonishing, according to the profit of each meal box is 0.05 yuan, the annual profit has nearly 900 million yuan, and there is still a considerable room for market expansion.
The second reason is that there is less investment in the quick-to-degrade tableware production line. Taking the photo-biological degradation polypropylene tableware production line that can replace disposable foaming tableware as an example (according to the product line that has been subjected to degradation performance and safety and health testing and the test index meets the relevant national standards), according to the relevant companies Market feasibility analysis report, the production capacity of 30 million to 50 million annual production lines for lunch boxes requires only 800,000 to 100 million yuan for all equipment investment, and this production line can also produce many products such as biodegradable plastic cups and box bottoms. , If only on the molding machine, invest more than 10 million. The degradable plastic raw material is about 5,800 yuan per ton, which can be made into approximately 6,600 lunch boxes. If the annual sales amount is 40 million, and each price is calculated at 0.2 yuan, the annual net profit can reach nearly 1 million yuan. That is to say, if the country develops a vacuum market by associating with foaming tableware, enterprises that produce degradable plastic tableware can recover their investment within 1-2 years when operating in good conditions. This is undoubtedly a considerable temptation for the manufacturer.
Reason No. 3: The threshold is low and the horse is easy to go. Because “No. 6 Order†does not specify the production standards and product performance standards for degraded tableware, it caused the situation of the company, regardless of its size and regardless of its own conditions, to launch the degradation tableware production line one after another. In the meantime, some poor quality non-degradable plastic tableware under the banner of “environmental protection and degradation†also posed as degradable cutlery to enter the market. The cost of horses on the production line of these inferior plastic lunch boxes is very low. Due to lack of uniform standards and poor understanding of degradation technologies, Coupled with the good expectations of the degradation of the lunch box market, many SMEs are rushing.
In addition, due to the "white pollution" is serious, the country tends to support the establishment of environmentally friendly and biodegradable product line, coupled with the lack of understanding of the degradation technology at the time, it is also relatively easy to get approval and support funds from the state permitting the construction of a degradable tableware production line.
Actually, as long as the “Order 6†was promulgated, the state, local governments, and relevant departments have issued many documents on “treating the white,†and some enterprises with long-term vision have already seen products with great market potential. And has begun to study the alternative disposable foam tableware. As a result, with the introduction of the "No. 6 Order", large and small degradable tableware production lines were launched. At the same time, some formal degraded tableware manufacturers whose production technologies are not yet mature and whose product performance has not yet been effectively tested are unable to sit still and have brought immature products to the market. Although 10 months after the “No. 6 Order†was promulgated, the former State Bureau of Quality and Technical Supervision issued the national standard for “General technical conditions for disposable degradable tableware†and “Test method for degradation performance of disposable degradable tablewareâ€. The implementation began in January 2000. During this period, however, many unqualified production lines for degradation products have been launched in the country. Due to the failure of their products to meet the standards, these unqualified production lines had to be converted or shut down, resulting in serious waste.
As we all know, degradable plastic technology is also a difficult problem to overcome in the world, is still immature, and degradable plastic products are currently not widely used in the world. But in the face of the bright market prospects, lower barriers to entry, less capital investment, and “market space, good prospects, and rapid investment recovery†brought about by the government’s “white banâ€, a large number of companies are Under conditions that are not yet mature and have not carefully evaluated the various market risks that may be encountered, holding the market mentality first, we havetily introduced the production equipment for degradable plastics and put into production the biodegradable plastic lunch box production line. These blind investment have brought hidden dangers to the survival and development of the company in the future.
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