PFFC - January 2009 - (Page 22)

NEWS CLIPS Biodegradable Plastics to Gain, Says Study CLEVELAND, OH | Demand for biodegradable plastic in the US is expected to rise more than 15%/yr to 720 million lbs in 2012, valued at $845 million. This is the conclusion of a new study from The Freedonia Group. Escalating crude oil prices, while presently low, made biodegradable plastics, which are sourced from renewable resources such as corn, more cost competitive with petroleum-based resin, the study notes. However, continued price declines are necessary for anticipated biodegradables growth, and rapidly rising prices for corn threaten the decline in biodegradable prices. Demand for starch-based plastic will increase 16.8%/yr to 293 million lbs in 2012 due to improved resin blends and opportunities in areas that include compostable yard and kitchen bags. The study expects PLA demand to expand nearly 20%/yr, and good opportunities are expected for PLA in areas such as thermoformed food packaging and bedding and apparel fibers. Demand for polyester-based biodegradables will exhibit rapid annual growth of nearly 25% through 2012. Packaging, which accounted for nearly three-quarters of all biodegradable plastic use in 2007, is expected to show the largest gains through 2012 due to good growth in areas such as foodservice products and film goods. For more information visit www.freedoniagroup.com. Badger Celebrates 75 Years in Business GREENVILLE, WI | US Biodegradable Plastic Demand (million pounds) Item Total Demand Biodegradable/Compostable: Starch-Based Polylactic Acid Cellophane Polyester-Based & Other Photodegradable Other ©2008 by The Freedonia Group 2002 140 101 51 10 35 5 37 2 2007 350 285 135 91 30 29 55 10 2012 720 630 293 225 32 80 72 18 % Annual Growth 02–07 20.1 23.1 21.5 55.5 –3.0 42.0 8.3 38.0 07–12 15.5 17.2 6.8 19.8 1.3 22.5 5.5 12.5 Badger Plug, celebrating its 75th anniversary, began by manufacturing wood core plugs in a small brick building on the banks of the Fox River in Appleton, WI. While the paper industry remained the primary customer base for many years, Badger Plug continued to develop products for the expanding diversification of its customer base, adding metal core plugs in 1955 and introducing plastic core plugs in 1972. Badger added additional products over the years, including spool components, tube closures, steel and aluminum coil packaging products, wood fabrications, and custom manufacturing. Badger Plug also offers a recycling service for various packaging products. PFFC-ASAP 117 22 | JANUARY 2009 WWW.PFFC-ONLINE.COM http://www.freedoniagroup.com http://www.polymagtek.com http://WWW.PFFC-ONLINE.COM

Table of Contents Feed for the Digital Edition of PFFC - January 2009

PFFC - January 2009 Contents First Glance Calendar of Events From the Editor Web Lines Process Management News Clips Narrow Web & Label Reporter Narrow Web & Label What’s New Products In-Mold Labels Cover: Ink Trends Economic Outlook Brand Security Show Preview What’s New Products Services Directory Classified Marketplace Equipment Buyers & Sellers Advertisers Index Experience Speaks

PFFC - January 2009

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