How has master batch changed the future of technology industry?by Tran Hoa Marketing
Master batch is known as an innovation for the plastic industry. In the production process, people often add 1 or more different additives to change the technological properties or their use properties, as long as this kind of master batch must be suitable for each type of plastic material. This lead to a huge transformance for both domestic and foreign markets. Therefore, EuP wants to introduce the importance and growth of this ingredients in recent years.
The consumption of master batch in plastic industry around the world
It can be said that since 2016, the worldwide consumption of master batch is nearly 33 million tons. Not stopping there, 2017 and 2018 achieved 35 million tons and 36.71 million tons respectively. According to experts in plastic industry, consumption of global CAGR will increase unexpectedly with of 5.11%. Obviously, the demand of this kind of material is growing very fast which means open many opportunities for plastic company to expand their business and improve production facilities.
Compared to markets in others nations, the markets of Asia Pacific countries such as China, Korea, Japan, ... have the highest import level of raw materials for making master batch in the world, followed by North American market, European market and the others. It can be explain that the booming of population in Asian areas lead to huge consumption demand of plastic products.
How is the performance of master batch in Vietnam market recently?
Every year, Vietnam has to import about 80% of plastic materials from foreign countries , this is equivalent to about 4-5 million tons of raw materials, and the budget for this amount can be up to 6-7 billion USD. Up to this time, there are 40 factories in Vietnam to serve domestic and foreign ones. According to the Vietnam Plastics Association (VPA), raw materials for producing plastic products from master batch are only about 900,000 tons compared to the whole industry (about 20-25%). Clearly, domestic market still depend on sources from the outside, Vietnamese factories can not meet the demand inside the nation, as a result, this decrease the advantages to compete with foreign suppliers.
On the other hand, Vietnam has an advantage of owning a large limestone source in the North region and in the Central region so the production of master batch is highly expected in terms of huge development as well as outstanding movement in next few years. However, domestic materials can only meet 20% of the plastic industry's demand, which is considered a difficult situation when the supplement for domestic materials is not enough.
Created on Jul 15th 2019 23:07. Viewed 61 times.