Add packaging giant Berry Global Group Inc. to the list of publicly traded plastics processors that overcame resin shortages and huge price increases to post strong quarterly results.
The Evansville, Ind.-based company also updated investors on its efforts to become a more sustainable manufacturer, including stepping up its use of post-consumer resins.
On the resin shortage front, the situation was reminiscent of last year's hurricane season, which disrupted commodity resin production on the Gulf Coast for months.
"Certainly things got tight, there's no doubt about it. But the good fortune is that we've got a pretty robust list of suppliers, we've got the ability to interchange materials, and we were actually able to move material from different parts of the country that may actually have had surpluses to those that had shortages," Chairman and CEO Tom Salmon said in a telephone interview with Plastics News.
Salmon said the situation was "as severe as anything we've seen in the last 35 years."
"It was different than a hurricane. A hurricane is unique in its own right. But the fact when you have all the infrastructure frozen and the amount of work that has to go through to make certain that those facilities are safeguarded, it's a lot. I hope, I believe, we're actually on the end of it; we will see the supply situation more normalized in the near term," Salmon said.