BIOCOM
Naft Asia Biodegradable Plastics Corporation
JSPJIA SHING PLASTIC
INDUSTRIES PTE. LTD.
Executive summaryMarket Research……………………………………………1
Market Environment………………………………………..2 - 6
Some numbers………………………………………3
Environmental concern……………………………..4
French case………………………………………….5
Consumer behavior….……………………………...6
Biocom……………………………………………………….7 - 10
What is Biocom .……………………………………8
Reasons for using Biocom ………………………..9
Biocom technical information……………………..10
SWOT analysis……………………………………………...11 - 14
Strengths…………………………………………….12
Opportunities & threats…………………………….13
A specific opportunity………………………………14
Different thoughts to reduce plastic bag usage………15
Strategy………………………………………………………16
An alternative………………………………………………..17
Market Research
Plastic bagsPlastic bags
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Market Environment
World & French trends
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Some numbers• French plastic bag industry in 2003:French plastic bag industry in 2003:
Import 40%Import 40% Production 60%Production 60%
• Who buy ?Who buy ? Great distribution 70%Great distribution 70% Smaller distributors 30%Smaller distributors 30%
• T-shirt bags:T-shirt bags: 88% = 15 billions units per year 88% = 15 billions units per year
• Basket bags:Basket bags: 12% = 2 billions units per year 12% = 2 billions units per year
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Environmental Concern• Different countries declared the “war” to plastic bags:Different countries declared the “war” to plastic bags:
Taiwan: plastic bags are forbidden by lawTaiwan: plastic bags are forbidden by law
Ireland: 0.15 euro Tax on plastic bags = less 90% usage in Ireland: 0.15 euro Tax on plastic bags = less 90% usage in 3 months3 months
France (most particularly Corsica): alternatives testedFrance (most particularly Corsica): alternatives tested
Bangladesh: plastic bags are forbidden by lawBangladesh: plastic bags are forbidden by law
Australia, New Zealand, UK, Singapore: sensitization campaignAustralia, New Zealand, UK, Singapore: sensitization campaign
Japan: on 14 million Ton plastic per year, only 20 000 Ton are Japan: on 14 million Ton plastic per year, only 20 000 Ton are biodegradable. Tries to produce a polymer based on rice (as its biodegradable. Tries to produce a polymer based on rice (as its rice stock = over 3 million Ton)rice stock = over 3 million Ton)
• 100 billions plastic bags = 12 millions oil 100 billions plastic bags = 12 millions oil barrels (USA numbers)barrels (USA numbers)
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French Case
Since few years, super/hypermarkets started to Since few years, super/hypermarkets started to propose diverse alternatives to plastic bagspropose diverse alternatives to plastic bags
The different payable alternatives are:The different payable alternatives are: Paper bag (0.08 euro cents / piece)Paper bag (0.08 euro cents / piece)
Basket bag refundable (1 euro / piece)Basket bag refundable (1 euro / piece)
Mater-bi bag (0.05 to 0.14 euro cents / piece)Mater-bi bag (0.05 to 0.14 euro cents / piece)
The solution adopted in most of the cases is the The solution adopted in most of the cases is the refundable basket bag (Corsica: 61% of votes)refundable basket bag (Corsica: 61% of votes)**
Objective: less 25% of plastic bags in 3 yearsObjective: less 25% of plastic bags in 3 years
*FCD source (Federation des Entreprises du Commerce et de la Distribution) Back
Consumer Behavior
Consumers are environmentally concernedConsumers are environmentally concerned
But 50% of them wish to continue using plastic bagsBut 50% of them wish to continue using plastic bags
(64% of these 50% are young peoples)(64% of these 50% are young peoples)
18% are willing to use payable alternatives (peoples 18% are willing to use payable alternatives (peoples of 65 years old and over)of 65 years old and over)
Source: IFOP - FCD
80% of consumers reuse their plastic bags as bins80% of consumers reuse their plastic bags as bins
90% of consumers are willing to use less plastic bags90% of consumers are willing to use less plastic bags
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BIOCOM
Multi-degradable ResinMulti-degradable Resin
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What is Biocom
?• The first company in the world using The first company in the world using Multi-degradable ResinMulti-degradable Resin in in
degradable products (photo-degradation, hydro-degradation, oxy-degradable products (photo-degradation, hydro-degradation, oxy-degradation and Biocomdegradation and Biocom degradation).degradation).
• Using Using BiocomBiocom meansmeans: no increase in cost and great support to the : no increase in cost and great support to the environmental business.environmental business.
• BiocomBiocom
products can be products can be recycledrecycled, and is also suitable for , and is also suitable for incinerationincineration (no agglomeration & can improve incinerator life).(no agglomeration & can improve incinerator life).
• BiocomBiocom
general applicationgeneral application: : shopping & t-shirt bags, grocery shopping & t-shirt bags, grocery packaging bags, plastic film for fruit & vegetables, fast food disposal packaging bags, plastic film for fruit & vegetables, fast food disposal tableware and container.tableware and container.
• StorageStorage time is 5 to 10 years. time is 5 to 10 years.
• Plastic products made by Plastic products made by BiocomBiocom
will degrade by will degrade by 95%95% in a natural in a natural environment environment in one yearin one year, remaining , remaining 5%5% will completely degrade will completely degrade within 5 within 5 yearsyears. .
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Reasons for using Biocom
• Reduce cost Reduce cost
• Improve company image in environmental Improve company image in environmental concernconcern
• Environmental friendly Environmental friendly
• Easier for exporting with better packagingEasier for exporting with better packaging
Click
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JSP Biocom® Technology Plastic bags
Lower material cost
at mass production
Low petrochemical properties
No incidence of petroleum
market fluctuations
Material cheaper than corn starch
No specific machine adjustment
No supplementary cost
JSP degradable bags
Cost Effectiveness
JSP degradable bags
Cost Effectiveness
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Environmental Friendly
Day 83: Film crumbled into brittle shreds
Day 115: Film almost completely degraded under visual examination Back
Biocom Technical Information• Polymer additives & multi-degradable resinPolymer additives & multi-degradable resin
Environmental friendlyEnvironmental friendly Easy applicationEasy application Cost effectivenessCost effectiveness
• Patented resinPatented resin Completely & safely degradable Completely & safely degradable Praised (customers)Praised (customers)
• PropertiesProperties RecyclableRecyclable Safe for incineration Safe for incineration In a landfill environment, at least as good as PE, even betterIn a landfill environment, at least as good as PE, even better If in an outdoor environment, help to litter controlIf in an outdoor environment, help to litter control
• Tests Tests Non toxic, hygienicNon toxic, hygienic Safe for food packaging and not harmful to the soilSafe for food packaging and not harmful to the soil PhotodegradablePhotodegradable Mechanical and chemical actionsMechanical and chemical actions Good quality (tensile & fracture OK)Good quality (tensile & fracture OK)
• Strengths Strengths SafeSafe EffectiveEffective FunctionalFunctional Competitively pricedCompetitively priced
• Positioning Positioning Biocom bags are better than both conventional PE bags & Biocom bags are better than both conventional PE bags &
“biodegradable” bags“biodegradable” bags
More details
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Summary for Accredited Test Reports2003 Dec 22: Intertek Testing Services NA Ltd, Canada
2003 Oct 08: China National Center for Quality Supervision & Test of Plastic Products
2001 Apr 03: AM Test Laboratories, Inc., U.S.A.
2000 Oct 17: Hebei Province Test Station for Hygienic Epidemic Prevention - Resin & Finished Products
2000 Oct 12: China National Center for Quality Supervision & Test of Plastic Products
2000 Jun 27: China National Center for Quality Supervision & Test of Plastic Products
1999 Nov 02: Heavy Metal Research Center of China Agricultural Science Soil and Fertilizer Institute
1999 Sept 16:China Hygienic Standard for Composted Laminated Food Packaging Bag 1999 July: China Agricultural Science Soil and Fertilizer Institute
1999 June 05:China National Center for Quality Supervision & Test of Plastic Products
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PropertiesMFR (g/10min)
Density (g/cm>)
Results 1.5 – 2.0 1.0 – 1.5
Elongation Load (l/c)
N 3.5 / 3.0
Tensile prop. (l/c)
% 510 / 845
Straight angle tear load (l/c)
N 1.3 / 1.2
DPEF 9910: Flux Flow Speed“Test Film” Add 9910: 30% + HDPE 70%,
Thickness: 0.008mm
SWOT Analysis
Strengths and Weaknesses
&
Opportunities and Threats
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Strengths
BiodegradableBiodegradable
RecyclableRecyclable
Fulfilled testsFulfilled tests
Market demandMarket demand
Cost effectiveCost effective
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Opportunities and Threats
Environmental politicsEnvironmental politics Desire to stop using Desire to stop using plastic bags (less 25% plastic bags (less 25% usage in 3 years)usage in 3 years)““Plastic war”Plastic war”
Alternative between PE Alternative between PE bags and still experimental bags and still experimental natural polymersnatural polymers
Consumers still prefer Consumers still prefer using plastic bagsusing plastic bags
Plastic bags bad image Plastic bags bad image
New natural polymers New natural polymers (starch corn)(starch corn)
Replacement products Replacement products (paper bag, refundable (paper bag, refundable bag…)bag…)
Other alternatives Other alternatives use fossil resourcesuse fossil resources
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A Specific Opportunity
• According to the results of the studyAccording to the results of the study** ordered by ordered by Carrefour, the Carrefour, the Reusable Flexible LDPE BagReusable Flexible LDPE Bag would be would be one that has the less impact on the environment (the one that has the less impact on the environment (the
one super/hypermarkets should use) one super/hypermarkets should use)
• Reusable Flexible loops Bags represent a good Reusable Flexible loops Bags represent a good opportunity to Biocomopportunity to Biocom
, being able to make them , being able to make them degradabledegradable
• The weaknesses of such bags, are that people have to The weaknesses of such bags, are that people have to pay for it, and they have to use it at least 4 times to be pay for it, and they have to use it at least 4 times to be
effective; however peoples often forget it effective; however peoples often forget it
*Ecobilan and ADEME Back
** Disposable bags have a price Disposable bags have a price
**** Consigned 0,15 euro, Exchangeable at lifeConsigned 0,15 euro, Exchangeable at life
****** The E.Leclerc bag, an exception which should be a ruleThe E.Leclerc bag, an exception which should be a rule
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If we use Biocom with any kind of bag, we can If we use Biocom with any kind of bag, we can make the world even bettermake the world even better
Different thoughts to reduce plastic bag usage
• Prohibition & Restriction Not realistic because of the conflict Prohibition & Restriction Not realistic because of the conflict between environmental protection and convenience, but a real abuse between environmental protection and convenience, but a real abuse exists. The real problem appears to be food packaging materials.exists. The real problem appears to be food packaging materials.
• Using degradable and suitable material for incineration Dry plastic Using degradable and suitable material for incineration Dry plastic material can be recycled and reused, need a regulation to encourage material can be recycled and reused, need a regulation to encourage incineration practice.incineration practice.
• Minimizing household garbage Difficult because depends on the Minimizing household garbage Difficult because depends on the packaging material and its ability to be easily cleaned up, assorted and packaging material and its ability to be easily cleaned up, assorted and recycled. recycled.
• Packaging legislation To control potential abuses in food packaging.Packaging legislation To control potential abuses in food packaging.
• Paper Not environmental friendly anymore. Can harm the earth.Paper Not environmental friendly anymore. Can harm the earth.
• Fee system for recycled material Establish regulation for recycling. Fee system for recycled material Establish regulation for recycling. Free collection would be a good way to solve the problem. Free collection would be a good way to solve the problem. Back
Strategy
In regards to all the information we In regards to all the information we found, the better strategy to adopt found, the better strategy to adopt would be:would be:
To promote BiocomTo promote Biocom as an as an AlternativeAlternative to this need to this need
And to educate peoples on biodegradable And to educate peoples on biodegradable plastic bags and why is it a good alternativeplastic bags and why is it a good alternative
To base our communication on the To base our communication on the fact that it is an existing needfact that it is an existing need
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An Alternative • To the need to be environmental friendly while not To the need to be environmental friendly while not
changing too much the customer’s habitschanging too much the customer’s habits
• To sensitize people to the care of their environmentTo sensitize people to the care of their environment
• To classic disposable PE bagsTo classic disposable PE bags
• To reusable PP carrier bags, which are not convenient To reusable PP carrier bags, which are not convenient in case of unexpected shoppingin case of unexpected shopping
• To biodegradable bags intended only to organic wastesTo biodegradable bags intended only to organic wastes
• To other expensive and experimental biodegradable To other expensive and experimental biodegradable
bags, or paper bags (not so environmental friendly)bags, or paper bags (not so environmental friendly) Back