Consultant pushes for change in Mexico's plastics sector

By Stephen Downer
Correspondent

Published: August 22, 2012 6:00 am ET

Related to this story

Topics Public Policy

MEXICO CITY (Aug. 22, 12:20 p.m. ET) — A leading plastics industry consultant has urged the sector in Mexico to shake off the years of “lean growth” that have, in his words, plagued it since 2001 and to cease to behave “like drowsy prawns at the mercy of the tide.”

“Now is the ideal time” for the industry to set an agenda for the next six years, writes Eduardo de la Tijera Coeto, president and managing director of Grupo Texne, a conglomerate of technological consulting and business companies, in a Spanish language, open letter emailed to industrialists Aug. 20.

“But we must be clear about where we want to go, set targets and act within our possibilities – which are not few – and align all of this with the expectations of the new government so as to be able to start 2013 with a push.”

Enrique Peña Nieto, of the Partido Revolucionario Institucional (PRI), won the July 1 presidential election. He is expected to take office for six years on Dec. 1, although, because several opposition parties have challenged the result, he has still not been declared the president-elect.

According to De la Tijera, a former president of plastics industry association Anipac (Asociación Nacional de Industrias del Plástico AC), Mexico’s plastics processing industry is in the doldrums, with few indications that it will be able to extract itself this year.

“Without getting into the nitty-gritty, suffice it to say that we reached the end of the first half of the year without seeing any real positive signs that 2012 will be a year of recovery for our industry,” he writes.

He adds that in the lead-up to the installing of the new president, “it will be difficult for there to be a boom in the economy and in domestic consumption. And, with growth in the United States faltering, the export side – direct and indirect – of our industry will not be a factor that leads to an increase in the consumption or production of plastic goods as we would like.

“Add to this the increase in the price of resins and the prospects for the remaining months of the year are not encouraging.”

In the first quarter, Mexico’s gross domestic product grew half a percentage point more than the 3.5 percent forecast. And in the second quarter, that growth was 4.1 percent.

The trouble is, he points out, that the biggest growth was in the primary and tertiary sectors, rather than in the secondary sector, “which is where the demand for plastics is generated.”

Referring to the United States, he asserts that consumer spending “is not increasing as it should.” The same applies to orders for manufactured goods and exports, he said. “Subsequently, the market for our manufacturers is flat and, therefore, Mexican exports that contain plastic are not growing as we would like.”


Comments

Consultant pushes for change in Mexico's plastics sector

By Stephen Downer
Correspondent

Published: August 22, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

Report: Brands are falling short on packaging sustainability

January 29, 2015 5:19 pm ET

Packaging in general, and plastic packaging in particular, has a long way to go in terms of recycling, according to a pair of environmental groups.    More

Image

Chemtrusion, Mytex Indiana compounding plant set for expansion

January 29, 2015 1:35 pm ET

Japanese and American partners in a compounding plant in Indiana plan to expand the facility.    More

Image

FPI joins curbside recycling group

January 28, 2015 11:47 am ET

Foodservice Packaging Institute is joining the board of the Curbside Value Partnership, a non-profit group that works to improve curbside recycling...    More

Image

Agricultural container recycling grows

January 28, 2015 11:42 am ET

Plastic pestitcide container recycling shot up by nearly 40 percent last year, according to new statistics from the Virginia Department of...    More

Image

China's plastics industry making a shift

January 27, 2015 3:41 pm ET

China's plastic industry is in the midst of a “profound adjustment” from large-scale and high-speed growth to growth focused on quality, e...    More

Market Reports

Plastics in Automotive: Innovation & Emerging Trends

This special report newly released by PN and sponsored by The Conair Group examines current trends in the use of plastics in automotive, materials innovations and the changing landscape. It includes a review of legislative/regulatory activity impacting vehicle development and lightweighting, market opportunities & challenges for mold and toolmakers, innovative design strategies being implemented by major OEMs and suppliers, as well as a review of key indicators in Canada, Mexico, Brazil and China.

Learn more

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Injection Molding Market Analysis & Processor Rankings

Plastics News BUNDLED package contains our in-depth Market Analysis of the Injection Molding segment. You will gain keen insight on current trends and our economic outlook.

As a BONUS this includes PN's updated 2014 database of North American Injection Molders RANKED by sales volume. Sort, merge, mail & prospect by end market, materials processed, region, # of plants and more.

Learn more

Upcoming Plastics News Events

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

More Events