Packaging & Processing

Niche market

With demand for degradable plastic bags growing, a UAE-UK venture plans to ramp up production, reports Clifford Frantz

Abu Dhabi-based Symphony Bin Hilal is working to tap a niche market for degradable plastic bags in the Middle East.

The firm, a unit of Bin Hilal Enterprises, manufactures the polythene bags at its UAE plant with technology licensed from joint venture partner Symphony LLC of the UK.

The factory in the Mussafah Industrial Area started production in September 2000 and now makes 200 tonnes a month of refuse sacks sold under the brand name Tuffy, said Bin Hilal managing director Winston Pryce.

So far, most of the production has been exported to the United Kingdom and the remainder sold locally.

Within the next three months, an additional 50 tonnes a month of shopping bag capacity will be installed, he said.

The aim is to ramp up production capacity to 1,000 tonnes per month within 18 months.

Other products on the cards are clinical waste bags, soluble laundry bags for hospitals, and agricultural film.

"Our plan is to market our products through distributors in each territory in the Middle East and to this end, we recently appointed Mimco in Bahrain; others will be appointed, progressively during the next few months."

The bags are made from polythene under a normal manufacturing process, the only difference being that under the Symphony's EPI TDPA technology, degradable compostable plastics additives are blended with polythene that causes the products to degrade into carbon dioxide and water.

"In typical Gulf summer conditions, a bag directly exposed to heat and light will start disintegrating in about three to four weeks, while the shelf life of bags stored in a warehouse, in a box, at 30 degrees Celsius, will be about 12 months," Pryce said.

A carry bag made out of this plastic will degrade in the presence of heat, light or stress. The speed of degradation is dependent on the degree of exposure to one or more of these elements.

The idea of having less plastic in landfills and eco-friendly carry bags in supermarkets will appeal to environmental groups and municipalities in the region, where the unfettered use of plastic has not been tackled in a serious manner.

Pryce says Symphony Bin Hilal is working on bringing down the prices of its degradable bags to match those of regular ones.

"Prices are being reduced as we increase our production capacity and also as the price of the degradable additive is reduced," said Pryce.

"We also expect to be able to start offering the lower priced additive to other producers in the region in the near future. This was not possible before."

"Our prices are becoming more competitive but vary in accordance with the cost of raw material."

Pryce forecasts that demand will grow to 400 tonnes a month by the year-end and 1,000 tonnes a month by the end of 2004.

He estimated the current demand for plastic film in the Gulf at 275,000 tonnes a year, spurred by competition towards lower prices.

"Our product provides the best opportunity to successfully address the plastic film pollution problem, at an affordable price. And so we are confident that it will become the product of choice in the region, when the market becomes sufficiently aware of it."

"This is highlighted by the fact that at least one GCC country is currently considering banning the use of non-degradable plastic bags and converting fully to degradable.

"We are participating in trade shows, the media and environmental groups. We are also seeking the support of the municipalities.

The company's products have already been put to use in businesses in the Gulf and overseas.

"Our local customers include supermarkets, hotels, duty free shops and government departments. Internationally, the many customers we have supplied through Symphony include over 25 British municipalities.