Canada just became the second country in the world to declare a phasing out of plastic in the next two years following on from the United Kingdom. The repercussions are significant. Those wanting to snack out will have to carry reusable bottles and either use steel cutlery provided by the outlet or use their own. Either way there will be a cost to it, more to businesses than individuals. The upshot to plastic packages will either have to be bottles or fountains, thereby creating new versions of goods stacking and packing. The mobile coffee, tea and packed lunch cultures will affect the take-away business as well as street snacks unless the packaging reverts to paper.
But in doing away with one evil another emerges. Plastics found favour to preserve the tree environment and the more paper required will mean renewed focus on recycling and sustainable tree farming. The issue is already precarious with the Amazon forests among others under severe threat. Companies such as Ikea already propagate the idea of sustainable farming for all the paper they use while others print information about recycling. China, the largest recycling country, has already said they can no longer process the world's plastic waste and Scandinavian countries too have waste for sale.
The problem lies in that most of the world isn't ready for plastic recycling, especially exporting nations such as Bangladesh. While the main product is packed in cardboard cartons, the external packaging remains polythene, a derivative of plastic. These are obtained from processing of fossil fuel such as hydrocarbons leading the oil exporting countries into the fray. Till now nothing has been heard of their attempts to replace plastics just as Bangladesh. The crunch will come when importers have to comply with the law and refuse plastic wrapped products.
Plastics have been useful in retaining moisture for perishable goods but till now no one has come up with alternatives. Jute is a useful alternative but won't serve, in present form in retaining moisture even if it does help in finished products. That's where industrial policy has to weigh in with acceptable alternatives. The clock is ticking and incentives for huge-derivatives, that too cost effective, will have to be found. The economic zones provide space and infrastructure but it is doubtful whether investors can be found quickly enough, especially those who have done their homework.
The current trade wars buzzing around aren't of any help to spin-off affected countries; the added burden of replacing plastic will make it more difficult. As it is, quite a few plastic industries are operating on bank loans and sudden hits will exacerbate the loan default situation. Big businesses may be working overtime in looking at the options on hand; we just don't know about it. That's the worry.
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