Research and Markets: Study Analysis of More Than 15 New Legislative Changes Affecting...

Research and Markets: Study Analysis of More Than 15 New Legislative Changes Affecting the Packaging Industry Introduced by China's Administration since 1 January 2008

DUBLIN, Ireland--(Business Wire)--
Research and Markets
(http://www.researchandmarkets.com/reports/c94151) has announced the
addition of China's Packaging Recycling Master-plan - The Method for
Administration on Recycling Packaging Materials, 3rd Edition to their
offering

About this Report

The text of China's new Packaging Master-plan was released for
analysis and comment in advance of its formal release by the
government.

Its vision is remarkably direct, specific, jargon-free of the
'vaguely worded' language typically found in Chinese Central
Government documents. In preparing this Analysis, we have confirmed
the content with our primary sources at the highest levels in China
and industry sources.

What does it contain?

Executive Summary - an overview of the legislation

Introduction to China's current Packaging Industry which will be
impacted

Structure - how the market economy has changed the industry
structure

Major End-use markets

Data: 24 charts and tables of China's packaging materials,
packaged product production output, end-use, export etc

- Analysis of the provisions contained in the legislation

- Explanatory notes on the specifics as they relate to China, and
the wider context of global packaging/recycling

- Impact assessment for key Stake Holders: Brand Owners, Retail,
Package Manufacturing, Equipment supply.

- The Annotated English translation text of the Method for
Administration on Recycling Packaging Materials

- The FULL Catalogue of Encouraged, Restricted and Obsolete
(Banned) materials and processes.

Who Should Read this Report?

Everyone who will be affected by the legislation!

- Local and Foreign players with interests in China who produce,
sell, outsource, import or export.

- Brand Owners & FMCG manufacturers selling into the China market
- either producing domestically or importing - will have to comply
with Extended Producer Responsibility provisions.

- Packaging Designers - inside or outside China must comply with
the detailed specifications if packaging is to be manufactured in
China.

- Suppliers of Packaging Equipment & Consumables - some will find
there IS NO MARKET for their products. Others will enjoy increased
opportunities.

- Materials manufacturers - a raft of restrictions are to be
placed on packaging materials

- Converters - Domestic or Foreign: If the packaging is for
distribution inside China manufacturers must comply

- Printers - - Domestic or Foreign: Certain inks & solvents are to
be banned

- Retailers - Will have to ensure against 'Excessive Packaging'
and have waste recovery obligations

- Waste Recovery operators - stand to benefit from increased
access to China's new market - pre-qualification terms are stated

- Recycling industry operators and suppliers of plant & equipment

- Recovery/ Recycling/ Reprocessing R&D will have access to
funding

- Bio-degradable, Compostable, Recyclable & 'future technologies'
R&D will have access to funding

Up to $119 billion in funds to upgrade Chinese industry has
already been approved.

Summary

Analysis of more than 15 New Legislative changes affecting the
packaging industry introduced by China's Administration since 1
January 2008

Detailed review of where the following Chinese Laws impact the
Packaging industry

- Clean Production Law

- Solid waste Law

- Prevention of water Pollution Law

- State Council Notice on Plastic Shopping Bags

Update to the Management Structure of the Master-plan following
the upgrade of State Environmental Protection Agency to Ministerial
level

China's Packaging Industry

- Has been growing at annual rates of 35%.

- Is now worth US$81 billion annually

- Employs more than 3 million people

- Has more than 35,000 package converters

The Chinese Government is now poised to introduce strict NEW
LEGISLATION to control all forms of product packaging and regulate:

- Material Supply

- Design

- Production

- Disposal

This legislation will form the framework for the future of the
Packaging Industry in China - It will impact on all aspects of product
packaging in China and its export markets.

What Is It?

Now in the final stages of planning, China's New Environmental
Packaging Legislation: METHOD FOR ADMINISTRATION ON RECYCLING
PACKAGING MATERIALS, will have far reaching implications for the
entire Packaging Supply Chain: Brand Owners, Printers, Converters,
Suppliers of Equipment and Consumables, Materials Manufacturers,
Recycling and Collection.

This is China's Master-plan for an entire raft of legislation to
be drafted which will restrict, recover, recycle & reuse ALL packaging
materials.

When passed into law ALL PACKAGING must be Recoverable, Reusable,
Recyclable or Compostable no other packaging will be acceptable.

Some materials and processes will be banned completely; others
will be severely restricted in use.

How will it work?

Extended Producer Responsibility

The entity packaging the products shall be responsible for
disposal of abandoned packaging materials

- All packaging should be either recyclable or degradable

- All packaging MUST be recoverable

- Reduction & light weighting becomes mandatory

- "Excessive Packaging" is to be regulated & banned

- Special Eco Zones are to be designated to sort, classify,
reprocess, recover and recycle packaging materials.

- Energy recovery systems are to be constructed including chemical
& carbon sequestration

- Research & Development into new materials, processes and
technology is to be incentivised

- Transport and storage of recyclable recycled materials is to be
regulated

- A Recycled Material Trading system to be set up under 'market'
conditions

- A detailed 'Catalogue' (list) of Materials and Production
Processes is included: Packaging is to be: Encouraged, Restricted or
Banned(Obsolete) - this will be updated REGULARLY

Implementation

How will it be Enforced?

- Inter-agency enforcement teams to be set up

- Penalties for infringement are specified, including criminal
proceedings

- Whistle-blower provisions to be given the right to report
actions of wasting resources, damaging environment and excessive
packing.

- Whistle-blowers are to be given protection and be rewarded

Implementation

Implementation has begun already - The State Notice for the
Restriction of Plastic Shopping Bags was introduced as separate
interlocutory legislation on 1 January 2008.

Who Pays?

The sweeping measures will require massive funding: Government
investment, grants, subsidies & tax incentives are being allocated

China Dominates Packaging

Given China's dominance as the Workshop of the World this is
probably the most comprehensive environmental legislation which, when
passed WILL impact on the global packaging industry, leading to both:

- A Decline in some sectors reliant on Restricted or Banned
materials/processes

- AND Opportunities for other sectors engaged in biodegradable,
equipment manufacturing to re-tool industry, waste collection and
recycling

Note: The legislation contains NO exemptions for export packaging,
materials on the lengthy "Obsolete' list may be banned from any form
of production in China.

About the Author

Stuart Hoggard has spent 12 years as a specialist publisher of
packaging information and writes a monthly column; "Asiaphile"
syndicated in international publications: Plastics In Packaging (UK),
Asia Pacific Packaging (Australia) and Packaging & Print Media (S
Africa)

Author of: The Future of Packaging in China: Strategic Five-year
Forecast published by PIRA (Packaging Industry Research Association)
2004-5

He is publisher of PackWebasia.com the Online Resource for the
Packaging Supply Chain.

He has been a member of the International Packaging Press
Organisation (IPPO) since 1998.

For more information visit
http://www.researchandmarkets.com/reports/c94151

Research and Markets
Laura Wood, Senior Manager
Fax: +353 1 4100 980
press@researchandmarkets.com

Copyright Business Wire 2008