PLASTIC PRODUCTS FROM GCC

Dr. Ulrich Reiners, Executive Packaging INTRODUCTION TO THE MARKET SEMINAR

PLASTIC PRODUCTS FROM GCC

Global Plastic Processing – Key Facts and Findings

• • • • •

Global production of Plastic Resins amounts to some 265 million tons These resins are produced by some 80 producers All the plastics are converted, by some 150,000 converters A converter adds a value of >2 times of the resin costs But: Not all plastic converters have a sustainable EBITDA. – Why are the differences so high?

• Understanding of the conversion business is key:  Product  Technology  Markets 1

Global Resin Demand for Plastics Conversion Demand by Region 2011: 255 million tons of converted plastics

Asia 15%

India & Pakistan 5%

Mena 7% Europe 23%

China 28%

速 Executive Packaging, AMI, PCI

South America 6%

North America 16%

2

Plastic Conversion in MENA There is a strong growth of Plastic Conversion in MENA:  CAGR 2010 – 2015 : 9% p.a. ++  Packaging has the strongest growth with 12,1%  Building and Construction has a stable growth of 8,0%.  Master batch and Compound Producers are establishing themselves strongly in GCC

Plastic Converter Markets GCC 2011 in %: Total 3,6 mtons Textiles 12%

Others 5 % Packaging 45%

Plastic Goods 12%

Building and Construction 26%

3

GCC as a Hub to the World

4