INDIA: at the epicentre of economic resurgence, industry growth

Recovery in sight
India’s high caseloads of Covid-19, having suffered spikes of infection since April, stunted the country’s high-growth agenda. Nevertheless, efforts to contain the virus continue with intensified testing and vaccination efforts. As of this writing, India has administered over 45 billion vaccine doses and recovery tally in the upward trend, according to the Ministry of Health and Family welfare data. In no time, India is expected to be back in good shape, economically speaking.

The IHS Markit’s June report, India’s economy after second wave of COVID-19, intoned an optimistic forecast, amid declining number of daily infections and intensified rollout of vaccines. The report said that the country has attentively dealt with the blow of the coronavirus to the economy. “Early economic indicators suggest that the immediate hit to the economy in the June 2021 quarter will be less severe than during the national lockdown in April-May 2020, with current curbs being more targeted and the economy better adapted to function under mobility restrictions, “it stated, adding that “the detrimental impact of the second wave on the manufacturing sector is considerably less severe than the national lockdown last year. Indicators of broader economic activity showed a sharp annual expansion in April, boosted by the low base of the national lockdown in April 2020.”

The positive sentiment will, in any case, reflect the growth outlook for India’s GDP this year to 2022. The Asian Development Bank in its ADO data projected India’s 2021 GDP to grow to 11%, and for 2022 at 7%.

Plastics, petrochem sectors to grow
Plastics have been a key asset for the development of India’s growth industries, making significant contribution to the country’s GDP. Mordor Intelligence in its 2020-2025 report for the Indian plastic industry projects the country to become the world’s third largest plastic manufacturer by 2020 owing to the accessibility of raw materials and low cost of labour. Its export countries, including the US, UAE, Italy, UK, Belgium, Germany, Singapore, Saudi Arabia, China and Hong Kong account for 94% of Indian plastic exports.

Plastindia Foundation, an internationally recognised organization devoted to promoting excellence in the field of plastics, and making India a preferred sourcing base in plastics products for the world, has provided a more recent update of India’s plastic exports. India exported plastic goods worth about US$ 9 billion during the financial year 2020-21. Demand from the US, Europe and other countries are picking up, it said. Notwithstanding, the government support has further boosted plastic exports during the current fiscal year 2021-22, forecast to grow 20-25 % to US $ 12 billion.

The organisation is behind the triennial event, “Plastindia 2022” to be held at the newly redeveloped Pragati Maidan from 17 - 21 February 2022. During the event, PlastIndia will showcase, among others, innovations in the plastic industry as well as developments in the petrochemical industry.

“Plastics, as a material, and India as a producer both have come out as true warriors in this period and have played a pivotal role in this fight against Covid-19!,” according to Jigish Doshi, President of the PlastIndia Foundation.

“During the ongoing Covid19 pandemic, the plastic industry has played a major role in helping conquer the pandemic .The Plastic Industry ramped up the N95 mask making capacity of the country by an astounding 57 times between March-June 2020. Besides masks, plastics have played a key role in PPE’s, food packaging, vaccination and covid-19 safety goods.” Doshi said.

Doshi mentioned the Government initiatives that buoy the industry amid the pandemic. “The fantastic vision of our Honourable Prime minister Shri Narendrabhai Modiji of Make in India and Atmanirbhar Bharat will be given major thrust through Plastindia Exhibitions, “ he said.

On another note, demand in the petrochemical sector is accelerating. Ajay Shah, Chairman, National Executive Council (NEC) of PlastIndia 2022 said that India’s petrochemical market is likely to surge to US$ 300 billion by 2025 from US$ 178 billion in 2020.

“With projects worth US$ 87 billlion to be earmarked for the the petrochemical sector, of which over ten projects worth US$ 17 billion are scheduled to be completed by 2024, India would still need one new world scale cracker every year to meet the growing demand, “Shah said. He added: “Plastindia is also taking active steps to support the decision of the Central Government for single-use plastics. The theme of the show is Innovate, Sustain , Grow. The aim is to work towards developing a circular economy with focus on recycling and multiple uses of Plastic Products.”

PlastIndia 2022: showcasing India as global hub for plastics
The Plastindia Exhibition is one of the largest plastics events in the world. Organised by the Plastindia Foundation, and backed by the Ministry of Chemicals & Fertilisers, will showcase the country as the “global hub for sourcing of plastics raw materials, products, machinery, and technologies”.

“The global expo is renowned for showcasing world class innovations from the Indian and international plastics industry, “ Doshi said

PlastIndia 2022 will be held at the newly revamped Pragati Maidan, said to be the largest expo centre in India. “Comprehensive traffic solutions have been worked out with signal free traffic flow on both Mathura and Bhairon road with flawless entry into Pragati Maidan “ said L.C.Goyal , CMD of the Indian Trade Promotion Organization (ITPO)

At the show’s curtain raiser event held online on 16 July, Padmaja Reddy, Chair of the Promotion Committee for PlastIndia 2022 said that the event is not only a B2B/B2C, but “it is a platform of all the plastic leaders, the entire fraternity of plastic come together and meet once in 3 years to network, exchange ideas, and more.” She added: “The show will be featuring different top-notch applications of plastics, innovations and new technologies that are happening in this field, globally; and also available growth opportunities.”

The exhibition has grown, in terms of exhibition space, visitors and exhibitors count since its first staging in 1990 : from the 19,600 sq m exhibition area and 486 exhibitors coming from 15 countries (including 68 overseas exhibitors) to the recent 2018 edition of 1, 25,000 sq m exhibition area and 1,800 exhibitors from 40 countries (including 550 overseas exhibitors).

The pandemic has interrupted the 2020 scheduled show. But the organisers are moving forward with a new schedule in 2022. Doshi expressed his optimism that economies are opening up and ultimately, being freed from the hedges of the pandemic.

(PRA)

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