Sichuan plastic companies resume production
23 May 2008 09:57 [Source: ICIS news]
SHANGHAI (ICIS news)--Plastic companies producing agricultural film, biaxially oriented polypropylene (BOPP) film and flexible PP freight bags in the earthquake-hit southwestern province of Sichuan have resumed normal production, industry sources said on Friday.
The 8.0-magnitude earthquake on 12 May did not cause heavy impacts on local agricultural-film companies, sources said.
“Our factory buildings and equipment were not affected in the earthquake as our company is in the downtown area,” a source from Kaiyuan Plastics Limited in Mianyang city said, adding it has resumed production recently.
Many agricultural-film companies switched to produce other industrial films due to seasonally low demand for agricultural-film, a local producer said.
One plastic company in Dazhou city said it was producing a special kind of cloth which could be used in making temporary shelters in response to government calls.
Other plastic companies producing BOPP film and PP flexible freight bags were operating normally currently after a short-time shutdown as a safety precaution, companies sources said.
In addition, many plastic companies operated with existing feedstock inventory as transport was still disrupted in some badly-hit areas, traders said.
“Market supply of linear low density polyethylene (LLDPE) and yarn grade PP was especially tight,” a trader said, adding that feedstock prices would rise in the future.
The official death toll stood at above 55,000 on Thursday and eventual numbers were expected to exceed 60,000 from the quake, which was estimated to have cost 14,207 industrial enterprises in
($1 = €0.64)
Alice Liu of CBI contributed to this article
To discuss the effect of the Chinese earthquake visit the forum on ICIS connect
By: Judith Wang
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