Welcome
To
Presentation
On
PET: Material, Applications and Market trends
Reliance Industries Limited - PET Division
In INDIAN Polyester - 2020
7th International Conference
The Lalit, Mumbai, India 03.03.20
Index
- RIL: Global Integrated Player
- PET Resin and Applications
- Market Trends & Opportunities
- RIL’s Sustainability Initiatives
2
RIL : Verticals and Financials
Petrochemicals22%
Oil & Gas1%
Refining51%
Others3%
Digital6%
Retail17%
FY 18-19 $ Billion
Revenue 90
Net Profit 5.7
RIL : Verticals and Financials ….
Responsible Care
• India’s only company to be certified as
“ Responsible Care Company” by
American Chemical Council
Integrated Player : Value to Customer
4
Vertical Integration
Global Network
Product Range
Multilocations
Multi Location
Assured Raw Material Supply
Cost Competitiveness
Proximity To Consumer
Supply Ensured
Operations in India and Malaysia
Commodity And Speciality Products
Serving Worldwide customer and Brands
Downstream Industry
Knowledge
Capability to Assist Entire Value Chain -
From Preform manufacturers to Bottlers
Innovation culture inculcated across the organisation !
Relpet : Total Packaging Solution
5
RELPET : Creating New Business Opportunities and Markets!
Relpet G5761
Relpet H7761
Relpet G5801Rrelpet G5841, Relpet S5841
Relpet QH5821
Relpet IG5640, IM5590 Relpet C1000
5
High Barrier PET :
B9845
Opaque PET :
OP5821
Slow
Crystallizing
resin : S5841
Injection Moulding
grade
100% PCR.
EBM Grade
PET
New
Relpet
Develop.
Grades
• Oxygen & Carbon Dioxide Barrier
• Beverages• CSD,….
• Light sensitive Packaging
• Milk
• 20 L Water segment
• Brewery
• Glasses, Stationary
• Caps
• RIL will develop on mutual need basis
• Recycle PET• RG 80 & RG 84
• Extrusion Blow Moulded Applications
• Small packs
Driven by efforts to make Packaging More Functional !
RELPET Resin : Packaging Innovations
Offers Sustainable Packaging solutions supporting a Circular Economy
Soft Drinks
Juices Packaged Water
Sweetened Syrups Flavored Milk Liquor
Pharma
Wine
Edible Oil
PET CANSBarrier PETPaints
India : PET Bottle Applications
NB: Pictures are for representation purpose only
Lube Oil
7
APET TraysThermoformed Containers APET pack cartons
CPET TraysBlood Collection Tubes PET Straps
India : PET Non-Bottle Applications
NB: Pictures are for representation purpose only
8
1970s • Carbonated
Soft Drinks (CSD)
1980s • CSD
• Juices
• Bottled Water 1
990s
• CSD
• Juices
• Bottled Water
• RTD Teas
• RTD Juice
• Liquor
• Isotonics
• Wellness Drink
• Personal Care
• Home Care •Pharmaceuticals
2000s
• CSD
• Bottled Water
• RTD Tea & Juices
•Pharmaceuticals
• Isotonics
• Wellness & Energy Drinks
• Functional Beverages
• Fortified Water
• Liquor
• Pharmaceuticals
• Edible Oil
• Personal Care
• Home Care
• Sheet & Strap
• PET CANS……
2010s
• CSD
• Dairy
• Flavoured Milk
• UHT Milk
• Fresh Milk
• Bottled Water
• Liquor
• Pharmaceuticals
• Personal care
• Home Care
• RTD Tea & Juices
• Isotonics
• Wellness & Energy Drinks
• Fortified Water
• Beer & Wine
• Edible Oil,
• Lube Oil
• Sheet & Strap
• PET CANS
• Injection Moulding
• Paints……..
India: Transition in PET Utility
PET Packaging : Widening Appeal & Stretching limits!
PET Trends – Indian Markets
Current Practises
❖PET : Single highest growing Rigid Package
❖Globally @ 4-5 % & Asia @ 6-8 % CAGR
❖Indian PET markets @ 8-12 % CAGR
❖Beverages, Water, EO, Milk, Healthcare, Personal Care,..
❖PET consumption in India is now 1.0 million tonne plus.
Emerging Trends : PET
❖Edible Oil, Dairy Products, MW, Bulk Water, Spices,...
❖Fresh Juices, Personal Care, Health Care, Niche Drinks
❖CANS, BCT, APET/CPET, Injection Moulded items..
❖FMCG Industry: Small-Big Packs and PCR Intiatives
❖Enhanced focus on Recycling and Sustainability!
PET - Expanding in New Application areas in India!
10
PET Trends : Indian Markets ….
PET Consumption Pattern : India
Non Alcoholic Bev. : CSD, Water, Fruit drinks, ..
Alcoholic Bev : IMFL, IML, Country Liquor, Beer, Wine,..
Non Bev : Health & Personal Care, Agro, EO, Confectionaries,..
(KTA) 07-08 09-10 10-11 12-13 17-18
Non Alcoholic
Beverages76 140 185 310 510
Alcoholic Beverages 32 50 60 79 125
Non Beverages 102 152 181 210 290
Total Demand 210 342 426 600 925
18-19 (KTA) Total BottlesSheet/
Strap
MB/
IM/Others
Total Demand 1015 960 20 35
Value Engineering - Weaving In-organic Growth of PET
PET Trends: Indian Markets
India : Segment-wise PET Resin consumption
* Miscellaneous @ 5.6%(Sheets, Straps, Injection moulded items & MB’s)
Segment-wise PET
Resin consumption –
1015 KT in
2018-19
CSD/Fruit
Drinks
Personal
Care and
Home
Care
Liquor
Pharmaceuticals
25.5%
19.9%
11.1%
10.6%
8.9%7.6%
6.7%
1.8%
1.2%
1.1%
Wide mouth Jar
Edible oil
Homecare
Dairy
Agro-chemicals
Bottled
Water
Packaging*
12
Edible Oil (EO) : Indian PET Developments
EO : 200 MMTA plus and 10% is in PET
Sl Year EO use/Packed
EO, Lac TPA
PET, TPA
2 05-06 124 / 54 10000
3 06-07 125 / 55 12000
4 07-08 138 / 56 13000
5 08-09 158 /60 14000
6 13-14 201/140 21000
7 14-15 209/145 40000
8 15-16 213/147 43000
9 16-17 215/150 45000
PET reaching ‘Bottom of Pyramid customers’
EO: Retail and Bulk Packs
❖High Speed PET Filling catching-up
❖0.10 L, 0.20 L 0.5 L, 1 L, 2L and 5L PET
❖Trends: 2 L PET: Externally fitted handle
❖LN2 Dosing: Improved Shelf life for EO
❖Potential: 5L Opaque & 15 L Bulk Pack
❖B L Agro, India
❖Pack sizes 0.20/0.5/1 L: 10, 14 & 24g
❖In-line blowing & filling : 400 bpm
❖External Handle : 100 bpm❖2L and 5L (60 g & 110 g)
❖ 15 L Pack launched
14
Demographic Factor
Edible oil consumption in India has shown an
increasing trend owing to:• Higher disposable income• Varying lifestyle and eating habits• Increase in health consciousness, resulting in
consumption of premium oil
Source: http://dfpd.nic.in/oil-division.htm
Between
2008/09 and 2015/16
Edible oil
consumption
increased by
6.75 MMT (48%)
EO Market : India
15
Estimated Domestic edible oil market
₹1.64 lakh crore
Annual Edible oil Consumption:
2.22 crore MT
Packaged oil in TIN accounts for
30%
Governing Factorsfor EO
Packaging
Shelf Life
Tamper-Evident
Brand Differentiation
Ease of Handling
Eco-Friendliness
Cost-Effective
Perfect Choice!
PET accounts for around
10%
PET : Ergonomic Factors
PET PVC PP HDPE LDPE
Oxygen 30 60-100 750 750 3000
Carbon-dioxide 100 150-230 3000 3000 15000
Water vapour 4 4 0.5 0.5 1.3
O2 and CO2 : cm3 . cm/cm2 . sec . cm Hg x 103 at 23°C and 50% RH
H2O : g . cm/cm2 . sec / cm Hg at 37°C and 95% RH
Source : Akzo Plastics
16
• Oxygen is the most critical factor affecting stability of oil.
• PET has the lowest OTR, hence safeguards the oil quality effectively
• PET offers best shelf-life among all other polymers
** Shelf-life in PET can be further enhanced with help of Nitrogen-dosing
Excellent Barrier Properties
Barrier Performance
17
• High cost & Uncertain availability • Seam leakages & Adulteration Possibilities• Injury while opening – not consumer friendly• Second hand tin usage is prevalent despite of
ban by Supreme Court• BIS specifies use of only prime tinplate• Printed sheets: Ink health hazard.• Heavy
• Chances of Leakages during transportation• Printing ink dissolves in mustard oil>spoils package.• Difficult to display• Rodent problem• Spillage• Requires secondary storage• Recyclability Concerns
• Oxygen Barrier inferior to PET.• Non-transparent (2L and 5L) -
Opacity kills ‘feel good factor’• Gives feel of ‘non-food’ pack.• Possible use of in-house regrind.
What weakens ‘Others’ are
PET’s Integral Strengths !
Other Packaging Materials : Concerns
18
Preform manufacturer PET bottle blower Filling line at
EO company
Transportationcost
Transportationcost
Transportationcost
Preform manufacturer
In-house blowing &
filling line at EO company
Transportationcost
Transportationcost
Resin Manufacturer
Resin Manufacturer
Current Scenario: (Results in high cost of PET bottle)
Proposal:- It will result in lower TCO incl. Bottle cost
- Team Relpet joins hands with EO majors to help improve Bottle Quality & Bottom-line!
Need of Hour - (in-house blowing & high-speed filling lines)
Proposed Scenario: (Pave way towards lower cost of PET bottle)
Wholesaler/Retailer
Wholesaler/Retailer
Consumer
Consumer
PET Innovations : Fresh & Flavoured Milk
Current Practises
❖India: Largest producer of milk in world.
❖Fresh Milk : Pouch, HDPE & PET bottle
❖Flavoured Milk: Tetrapack, Glass, PP, PET.
❖UHT Milk : Tetrapack, Pouch, HDPE & PET
Emerging Trends
❖PET: Fresh/Flavoured/UHT Milk, Butter Milk..
❖Fresh Milk - Gowardhan Dairy
❖1 L, 28 g, Transparent PET, Shelf Life: 7 d,
❖Flavoured Milk – Amul:
❖Launched 200 ml: May’13 & started 2 new lines
❖UHT Milk: Opaque White PET Bottle for Amul, 200 ml
PET : Creating a New space for Milk Branding !
PET : Other Emerging Applications in India
20
❖ Air Freshner
❖Ramsons, Mumbai: Air Freshner - Developed 200 ml PET.❖‘Price delta and PET availability’ were encouraging factors
❖ Paint:
❖ Transparent/Premium Pack
❖ Water-based Paints
❖ Nerolac Paints, India
❖ In-house Production & Filling
❖ Lube Oil ❖ Currently: HDPE and Pouch❖ PET developed with HPCL
❖ 0.5 L & 1 L: ‘Lal Ghoda’❖ Regional Brands using PET ❖ IOC: PET development.
PET downstream investment : Favorable in Plastic commodity space
21
PET : Other Emerging Applications in India
❖ Beer:
❖ SAB Miller – Barrier PET
❖ Liquor:
❖ Frosted Bottle & PET with Handle
❖ Sweetened Syrup: ❖ Rooh-Afza in PET
❖ Ketch-up:
❖ Normal PET, Heat set PET
❖ Barrier PET
❖ Spices
❖ 60 MMT Spices Produced in India
❖ Normal and Opaque White PET
❖ Other Beverages (Development):
❖ Coconut Water, Sugarcane and
❖ Niche Beverages
Universalization of PET Quality & Regulatory compliance
Emerging End-Uses - Injection Moulded PET
22
Injection Moulded PET
• PET : ‘Good Transparency, Clarity & Gloss’
• Injection moulding Grade: Relpet IM5590
• PET Glasses & Trays have been commercialized
PET Potential :
• Replacement of PC/PS/Acrylic..’
• Potential: ‘Kitchenware, Appliances, Cosmetics’.
• Drinking glasses, Cutlery, Appliance parts etc..
Market Drivers: Cost-Competitiveness and Physicals
23
Blood Collection Tubes Scope In India
▪ More than 90% imported
▪ Per Capita requirement : 13 tubes
▪ Each Tube: 4- 7 gm
▪ A 50 KT market when converted - “MAKE IN INDIA”
▪ Growth in Healthcare: Blood Banks, Hospitals, Testing labs
▪ 74 districts in 14 states have no blood bank at all !!
GOVT HEALTH EXPENDITURE
Country $/CAPITA
USA 4541
Germany 4165
Australia 4043
France 3878
Canada 3753
India 23
Vaccutainers for Phlebotomy Application
May rise to ~ $ 500 with
Healthy India Scheme
BCT in PET : Emerging Application in India
24
Extrusion Blow Moulding (EBM) PET resin
❑ Cosmetics, Edible Oil,..
Barrier PET : Small CSD Bottles in India
25
Problem Solution Advantages Opportunity
• Faster Loss of Fizz
• 6 Weeks Shelf Life
• Silica Coated Bottle
• > 20 weeks shelf life
• Penetration into more geographical areas
• Elimination of product returns
• Retailer and Customer Delight
• Increased Sales
• Sugar Intake Control
• Affordable to masses
• Packaging of Hygroscopic powders!
Barrier PET : Game Changer!
26
BEER Consumption INDIA ASIA
Litres Per Capita 4.6 57
Existing Technique:
Flash Pasteurization
+
Barrier PET Bottle
Alternate Technique:
Flash Pasteurization+
Silica Coated Bottle (Plasmax)Or
Activated Carbon Coating(ACTIS)
PET IN BREWERY BUSINESS : Untapped potential
• Manufacturing range : 200-1200 kg/hWidth range : 0.5-1.2 mThickness range : 0.20 - 1.20 mm Transparent/Coloured/Opaque
• Applications range:Thin Sheet (0.18 to 1.20 mm)
Printing, FFS, Blister(0.15-0.40 mm)Thermoforming (0.30-0.80 mm)
Cartons/Trays (0.40-0.60 mm)
Blister Packs (0.15-0.40 mm)
Window packs (0.15-0.20 mm)
• Factors for Growing Interest in APET:
Food-contact SafetyPharma-Contact Safety Crystal clear Clarity Environment FriendlinessPrice-Competitiveness
• Substitutes PVC, PP, PS & PC sheets
APET Sheet Range : IndiaAPET Sheet
Blister packing for tablets in APET on Precision Gears (PG) machine. Adhesion with aluminum/glassein paper satisfactory. No package - size variation.APET could be thermoformed @ 15 °C lower than PVC.Burr formation at edges: Modified existing ‘Cutting tools’. Shrinkage of APET similar to PVC (~ 0.20%).
Possible to down-gauge w.r.t. PVC, viz from 250 to 200 m. Stability tests concluded APET to be better than PVC sheet.Transport worthiness was established.
End-User decided to use APET sheet.PG modified cutting tool/heating plate.Modifications done for one of their linesCommercial introduction in 2 plants done.
Total savings for 2 plants @ 100% conversion was ~ Rs 40 lakh/year.Used APET for a limited period (limited nos. of sheet suppliers in 2000). Usage in Pharma linked to ‘Flat bed heating & addressing sheet cutting’.
APET (‘ABA’) is promoted as PVC replacement (primarily Calendered sheet). Due to lower specific gravity and down-gauging, APET is ‘Cost-competitive’.
APET Case-Study – Pharma MajorAPET Case-Study – Pharma Major
PET - Recycling
29
RIL : Supporting Initiatives for Circular Economy!
Case Study: Role of Plastic resin producers to promote Sustainability throughout Supply chain
RIL : Recycling & Sustainability Initiatives!
30
31
PET – Sustainable Solutions for Waste Management
Recycled Polyester
Fibre (r-PSF)
Recycled Yarn r- PET T-shirtPET bottle scrap
Value chain for PET recycling already exists and India has enough capacity for recycling of PET
PET gets converted into Polyester Textiles in India - Sterling Ambassador of the Circular Economy
PET/rPET Statistics in India
Domestic Producers -
754 KT
PET imports –142 KT
Total PET Resin
consumed 896 KT
Bottles & Jars751 KT
Sheets, Straps, Master-Batches
55 KT
Preform / Bottle Export90 KT
• Food• Beverages• Edible oils• Liquor• Pharma
• Export to various countries
Post Consumed Packaging
700 KT Textiles -650 kT
Straps & Sheets- 50 kT
Co
nsu
mp
tio
nR
ecyc
ling
Close to all PET consumed gets recycled except what gets scattered in hills , highways, ocean
• APET sheets• Polyester Strapping• Masterbatches
Apparel, Carpets, Upholstery,Filters, Insulation, Fibrefill etc
Polyester strapping for Cotton,Paper and Fiber Industry
PET Flake import 100 KT
rPET Granules import10 KTBasis: 2017-18
Creating Wealth from Plastic Waste
The PET Bottles that clothe & protect Food & Beverages DO clothe Men & Women in their ‘after-life’!
Recycled PET – Indian Market
◼ Recyclability influences ‘Pack, CSR, Sustainability, Brand image & Loyalty’
◼ PET bottle consumption= 1.0 MMT & Collection=0.9 MMT bottles (@ 90 %)
◼ RIL uses 45 KTA + of Recycled PET : Largest PET bottle collector in India
◼ 150 nos plus Collection-cum-Baling Centers in India networked with RIL
◼ RIL: 10 KTA B2B Recycling Plant : ‘Relpet Green’ : RG 80 and RG 84
RIL works with Brand-owners to support Recycling Projects
Bailing Sorting Crushing Washing
Elutriation Drying Sorting Packing
35
Make up Your Office or Home with rPETMake up Your Home & Office with recycled PET!
Ikea is converting recycled PET to valuable furniture products!
IKEA: Leading the way in rPET Furniture globally !
RIL’s Green Initiatives
36
• Products with one of the lowest carbon
footprints in the world
• Comparable product quality with virgin
fibres
• Registered Green Fibre manufacturer
in India
• Recycling over 2 Bn post-consumer
PET bottles p.a. across 150
collection centres
• Recycling capacity of 48KTPA
• Indirect employment to over 1.25
lacs underprivileged
Recron Green Gold is made from recycling post-consumer waste PET bottles
Apparel:
Shirting, Suiting,
Hosiery etc. Home Textile:
Curtains, Bedsheets,
Furnishings etc.
Fashion Wear:
Scarves, Jackets
etc.
Technical Textiles:
Automotive, Tarpaulins, Carpets
etc.
Value Branding: R|Elan
Creating Differentiation for Better Value!
37
◼ Better understanding of consumer needs
◼ Directing R&D towards meeting futuristic needs
◼ Combining needs with elegance
High – Fashion High – Performance
◼ Robust fibre to fabric value chain
◼ Ensure constant demand pull for specialty products
◼ Strategic partnership with 25 players and growing
Approach
Advantages
The Story of Circular Economy @ Reliance
More than 2 Billion Discarded Bottles are converted to Greenest Fibre and high-end Fabrics by UPCYCLING
The Story of Circular Economy @ Reliance
RIL DOES UPCYCLINGART OF CONVERTING WASTE TO PRODUCTS MORE VALUABLE THAN THE ORIGINAL PRODUCT!
T Shirts from R|Elan Fabrics
The Brand Ambassador, Dia Mirza of #Beat PlasticPollution wears a ‘EarthTee’ made form rPET and designed by Anita Dongre
41
WALKING THE RAMP WITH CLOTHING FROM RECYCLED PET
GLIMPSES FROM LAKME FASHION WEEK – R|Elan for Alcis X Nari Clothing
Upcycling of Discarded PET Bottles – A Magnet for a New Economy
Inaugurations of Collection Systems by Environment Loving Sh Aaditya Thackeray at various locations in Aaamchi Mumbai!
Reliance drive to create Recycling awareness and prevent litter
Reverse Vending Machines installation at 50+ locations including chain of Reliance Retail Stores
The Hottest item in Town for Masses – R|Elan Recycled Fabric Bags
R|Elan bags can help REDUCE litter from light weight plastic Carry Bags
R|Elan bags can be REUSED 1000s of times
R|Elan bags are made from RECYCLED PET Bottles
The Gentlemen wear Modi Jacket with 45% rPET content
Mr Parimalbhai Nathwani, Rajya Sabha MP India displaying a Eco-friendly Modi Jacket from 45% rPET and 55% wool
The R|Elan scarf from rPET makes Women look SMARTer in Denim
Ms Priya Dutt inaugarting RVM @ Santa Cruz, Mumbai & donning a R|Elan scarf – she made demand for scarf go viral !
Awareness on PET – Use and recycle at a UPDA event
Excise Minister of UP visibly impressed with varied recycling products from PET Bottles!
Wave of Innovative Ideas for RPET Promotion ….
RIL’s Joint Development and Promotion - Hasten Growth Opportunities!
Creating History with Fibres…5th January 2018
49
6 R-PET Bottles = 1 T-Shirt
200K R-PET Bottles = Guinness World Record of largest T-Shirt [96.86 m (317.78 ft) long and 69.77 m (228.90 ft) wide ] Record
50
Worlds largest T Shirt from 2 lac recycled PET Bottles – Made in India
97 m x 70 m & 4 MT -by Plastindia Foundation – several T shirts made for Ocean Foundation from this
LCA Studies: Update !
52
PET packaging for CSD (North America)Best environmental performanceLowest GHG emissionsLowest energy requirements
Recycled (PCR) content:Glass Bottle (39%)Aluminum Can (46%)PET Bottle (0%)
PET is better vs Glass and CANS It is Geography-neutral
PET’s performance will further enhance with inclusion of PCR content in Bottles!
Source: Allied Development Corp.
Collaborate: Alliance To End Plastic Waste (AEPW)
Success will require collaboration and coordinated efforts across varied sectors !
▪ 35+ global companies actively
participating for a better future
▪ Commitments ~ $1.5 Bn over
next 5 years
▪ Reliance: One of the founding
members
RIL Confidential 10
Innovative Solutions – Waste Plastic to Roads
➢Leverage binding properties of plastics
• Minimize moisture absorption
• Improves impact, abrasion
➢Current Indian Bitumen demand is ~ 6
MMTPA.
➢10% of usage of Plastic waste can
consume 550 to 600 KTA of plastic waste
Increases life of road, creates a win-win situation
RIL Confidential 14
Demonstrate Impact via Grassroots Initiatives
Versova beach clean-up along with Afroz Shah
➢ Adjudged by the UN as the biggest beach clean-up project in the world
RIL Confidential 15
56
Plastic is Fantastic, when used and re-used responsibly!
Plastics vs Plastics Pollution – Semantics of Mistaken Identity
THE GOOD – Plastics , THE BAD – Plastics Littering , THE UGLY – Mixing up all waste –Dry, Wet and Plastics
SATTVIK :
PLASTICS
RAJASIC:
PLASTICS LITTERING
TAMASIC:
MIXED WASTE LITTERING
#Beat Plastic Pollution : Actions speaks louder than Words !
BANNING PLASTICS DOES NOT SOLVE PROBLEM. PREVENTION OF PLASTIC LITTER BY CIVIC SENSE AND COLLECTION SYSTEM DOES !
Coordinates!
Mr. RK Gera
AVP - Business Development,
Reliance Industries Limited – PET Division
Building No. 8, B Wing, 1st Floor
Thane Belapur Road,
Reliance Corporate Park (RCP),
Ghansoli, Navi Mumbai, 400701,
Maharashtra, India
Ph: +91-9967033107 & D: +91-22-44781426
Innovation Team Work
and
Reliance – An innovative and dependable Resin partner for YOUR Growth story!
Thank
You!
To
The Wonderful audience of
Indian Polyester - 2020 Conference!
Sustainable Growth Is True Life!
‘Niche Resins, Recycling & Sustainability Initiatives’ continue to hasten possibilities in PET & RPET Eco-system !
Appreciate this opportunity to
interact with this august gathering!Thanks ‘Elite’
For The Wonderful Audience today!
