BPF at Chinaplas 2011

''There were 94,000 visitors to the four day Chinaplas show in Guangzhou, up from 75,000 at the Shanghai edition in 2010.The heady optimism encountered there has to be tempered by the dangers of a precariously poised property market, suspicions of significant bad debts in the banking sector,minimum wage increases of 25% and  retail inflation of over 5%.

The fair revealed in the Chinese plastics industry a transition from a focus on output to value; an acceleration of plastics industry relocation from the east coast to the west and centre such as Inner Mongolia, Jiangxi and Guizhou provinces; and a declining trend in the export of plastics products. The message that China must respect the product safety and environmental standards of the developed world also appears to be making its mark. The EU's REACH requirements are hurting Chinese manufacturers. There is considerable interest in 'Clean Manufacturing' as witnessed by the Chinaplas Conference Keynote theme - 'Eco-friendly Plastics'- and China's leading machinery manufacturers are anxious to present an awareness that machinery safety needs to be addressed.

Plastics Machine Industry Association Vice- President, Qian Yaoen, appears as much concerned about protecting intellectual property from the less scrupulous Chinese players as are the European manufacturers and is keen to educate his industry on the need to fully reflect costs in selling price particularly in this era of cost increases on all fronts. His industry sold 40 billion RMB’s worth of equipment in 2010 increasing its share of the Chinese domestic market to 72% from 49% in 2008.

Industry figures are surrounded by obfuscation.There are claims that polymer consumption is 65 million tones with a significantly different application split from the UK’s. Film is said to be 13%,rigid packaging 5.9%, Pipes and fittings 14.4%,’plastics products for daily use’ 11.9% and a tantalising category of ‘Other plastics products’, presumably technical components ,some 23.3%. Growth is most rapid in building and packaging products reflecting the staggeringly rapid urbanisation programme but the quality of packaging technology in particular is found wanting. There is considerable interest in recycling and in locating overseas sources of feedstock but technology levels are low.
 
 
Companies seeking to develop business in China will find the personnel of UK Trade and Investment at the British Consulate at Guangzhou particularly helpful. Jackie Mullen there specializes on the Engineering sector. British Consul for Southern China , Alastair Morgan, spent an entire afternoon visting the BPF stand briefing the 20 UK companies on the ground and on the accompanying Mission''.