In past
newsletters I have referenced increasing plastic
prices as a prime economic motivator for users
of plastic sheeting for agricultural mulch and
similar applications to seek cost effective
alternatives. EcoCover is made primarily from
waste paper with low energy inputs to the
manufacturing process compared to plastics made
from petroleum.
Here is a story from PRW.com today that makes my
point:
Polymer prices hit new
heights
By David Platt 26/10/2005
Some polyolefins rose by 20% this month,
with more hikes expected.
26 October 2005 – Supply tightness and rising
feedstock costs sent Western European standard
thermoplastic prices soaring this month.
There were shortages for both monomers and
polymers in most sectors, while the price of
plastic additives also moved up sharply.
In October, prices were settled without much
discussion with producers adopting a ‘take it or
leave it’ attitude. Converters, not
surprisingly, were only buying hand to mouth
with prices at such unprecedented levels.
Polyolefins registered the biggest gains with L/LDPE
(linear low density polyethylene) and HDPE (high
density polyethylene) prices rising by 20% over
September levels. PP (polypropylene) prices saw
similar gains. These price hikes were
underpinned by increases of €185/tonne and
€170/tonne for the Q4 ethylene and propylene
contract prices, respectively.
PVC (poly vinyl chloride) prices moved up by
around 10%, while polystyrene managed gains of
2-3% – despite a sharp increase in styrene
monomer.
For November, producers will be asking for price
increases in the order of €50-100/tonne. They
maintain that further price increases are
necessary to make up for unsatisfactory margins
earlier in the year.
###
Imagine being in a position to replace
plastic mulch with an organically certified
biodegradable alternative that also includes
organic nutrients that enrich the soil.
The market for plastic agricultural mulch in the
United States exceeds
3,000,000 acres per year and
a single EcoCover manufacturing plant running
two shifts will produce about 300 acres
of our extended lift Mulch Mat or 1,200 acres of
our new shorter lived EcoCrop™ intended for
annual crops.
A good
indicator you can observe anyplace in
the country will be the return of more paper
shopping bags and grocery sacks and less plastic
tee shirt bags and shopping bags. Retail
merchants are quick to react to price increases.
Farmers will be,
too, when they know they have an alternative.
The alternative is EcoCover!