Global PET market has maintained growth rate of 6%-7%/year, with PET claiming roughly 30% share of total polyester market; PET capacity of 23 million tonnes/year in 2012 exceeded demand of 18 million tonnes
Allison Oesterle
September 4, 2013 (Chemical Weekly (CBNB Abstracts)) – Polyethylene terephthalate (PET) as packaging material is becoming popular in India especially since its use in food industry. The product gained its prominence in 1990s when Reliance Industries Ltd (RIL), the largest PET producer in the country, started its world-scale manufacturing facility with a capacity of 90,000 tonnes/y. Globally, PET has maintained its strong growth rates of 6-7%/y and has about 30% share in the total polyester market. In 2012, PET was in surplus as global demand was around 18 M tonnes as against a capacity of about 23 M tonnes/y. The PET used as packaging in various sector across the globe is as follows: beverages and drinks (including water) 43%; carbonated soft drinks (CSD) 30%; packaging of food 9%; pharmaceuticals & agrochemicals 5% and for making sheets 13%. In India PET demand is maintained at the growth rate of 18-20%/y and was about 600,000 tonnes in 2012. There is lot of potential to improve the demand as per capita consumption levels are very low at 0.55 kg as compared to the world average of 2.67 kg. RIL hopes that PET demand will grow at a CAGR of 20% for the next few years and by 2015-2016 it will surpass 1 M tonnes level. The market will then be worth about $3 bn, double the current market value of $ 1.5 bn. PET has surpassed the polycarbonate (PC) market due to the awareness of harmful effects of bisphenol-A used in manufacturing PC. Similarly, its recyclability properties has made it popular than other polymers. The PET growth will continue in India, aided by abundant availability of the polymer and resins. Original Source: Chemical Weekly, http://www.chemicalweekly.com/, Copyright Sevak Publications & Chemical Weekly Database P Ltd 2013.
* All content is copyrighted by Industry Intelligence, or the original respective author or source. You may not recirculate, redistrubte or publish the analysis and presentation included in the service without Industry Intelligence's prior written consent. Please review our terms of use.
