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Impact of Ban on Single-Use Plastic Bags

Introduction

Single-use plastic products are those which are meant to be discarded after using them one time as the single-use plastic products are made of low utility and high littering potential. Therefore,the government of India has ordered to ban the manufacturing, distribution, importing, sale, stocking and use of all single-use plastic items, compromising polystyrene and expanded polystyrene commodities with effect from 1st July, 2022.

As per the All India Plastic Manufacturers Association (AIPMA), the ban made with effect from 1st July, 2022 shall have a huge impact on the people employed in those manufacturing unit that are manufacturing single-use plastic products as it will lead to unemployment.

Not only this, but the instant notification of the ban onsingle-use plastic shall make 88,000 units bankrupt as per the government data. Due to 1 million people employed in these manufacturing units, and contribution to the export is made worth Rs. 25,000 crores, the impact on units manufacturing single use plastic shall be really bad.

The huge profit-earning beverage makers popular in the market like Parle Agro, Amul and Dabur would definitely be in loss due to the immediate ban of single use plastic. The huge beverage selling brands have also made a request to the government to push the date of ban by six months to a year as it will allow them a limited time to prepare for the alternative use of plastic products like replacing plastic straws with paper straws.

The Ministry of Environment, Forest and Climate Change released a notification stating a ban onsingle-use plastic products. And those 19 products are: –

  1. Earbuds with plastic sticks
  2. Plastic sticks for balloons
  3. Plastic flags
  4. Candy sticks
  5. Ice cream sticks
  6. Polystyrene (Thermocol) for decoration
  7. Plates
  8. Cups
  9. Glasses
  10. Forks
  11. Spoons
  12. Knives
  13. Straw
  14. Trays
  15. Wrapping/ packing films around sweet boxes
  16. Invitation cards
  17. Cigarette Cards
  18. Plastic/PVC banners less than 100 microns
  19. Stirrers

Also, Fast Moving Consumer Goods (FMCG) makers, the aviation industry and restaurants shall also face huge loss which will result in passing the burden to the consumers. The FMCG or their industries shall opt for paper straws which will inflate the cost of manufacturingpaper straws and in order to cope with the high cost, they shall be charging more from the consumers.

Conclusion

After this new update, every industry would ace huge amount of loss in business which is not good for the economy. Hence, AIPMA is requesting the government to provide compensation to micro and medium enterprises engaged in the trade and also work towards their rehabilitation.

Any amendment to be made shall either be intimated in advance or should be given appropriate time for making the change. Introducing any amendment all of sudden, impacts the whole of society immensely. Therefore, to keep the nation in balance without getting impacted by any change, the government must think upon it and shall give appropriate time.

Contact EAdvisors regarding any query.

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