The Plastic Industry in Central Mexico

A Hot Tip about Environmental Technologies in Mexico

Posted on: 1 Feb 2010

Summary

 

During the last few years, the plastic industry has been growing steadily from three to five percent a year. However, 2009 represented a setback because of the global economy slowdown, which affected the consumption and pricing. 2010’s forecast of growth for this industry is approximately 2% for raw materials, reported by the National Association of the Plastic Industry (ANIPAC). Mexico City and the metropolitan area still represent the major production area in Mexico nationwide. Mexico consumes around 5.3 million tons a year of plastic products and 4 million tons for raw materials. There are many business opportunities for U.S. companies with a decent market of 100 million Mexican consumers. Direct plastic consumption per capita in Mexico is 48 kg a year.

 

Market Demand

 

Mexico ranks as the 12th largest plastic consumer in the world, which accounts for 5.3 percent of the manufacturing sector and one percent GDP contribution. In addition, ANIPAC revealed that there are 3,600 plastic companies in Mexico. Out of that number, 60 percent are micro companies, 24 percent are small, 12 percent are medium-sized and four percent are large companies. This industry generates 153,604 direct and one million indirect jobs in Mexico with an average of 49 employees per company. Approximately 42 percent of the companies are concentrated in the Metropolitan area (Estado de Mexico and Mexico City), which have around 1,512 companies with good business opportunities.

 

Effective January 2004, the Mexican government issued a Solid Waste Law, applicable only to Mexico City, for the separation of solid waste. As part of this law, the Mexican government recently announced a new measure for the ban of non-biodegradable plastic bags to be effective by mid-2010 in all Mexico City stores. However, ANIPAC is working to propose a recycling program instead of this upcoming measure. Therefore, there might be opportunities for recycling equipment, biodegradable plastic materials or green technology equipment. According to the National Institute of the Plastic Industry (IMPI), the challenge for the local 800 manufacturers of plastic bags is to replace or upgrade the existing machinery or equipment to comply with the new biodegradable bags, if applicable.

 

By Monica Martinez

 

Read the full market research report


Posted: 01 February 2010

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