The F.O.I. notes that while the government has once again amended the Eco-Contribution Act on plastic bags, local manufacturers are still facing unfair competition in the sector. This is happening particularly due to the importation of plastic bags both from EU and non-EU countries.

While local producers are obliged to pay their eco-contribution on the sale of the bags, consignments of foreign-made bags are still finding their way to the market without being subjected to the eco-contribution. This situation is creating a case of unfair competition and is jeopardising the existence of the local industrial activity in this sector.

The FOI wrote to the authorities earlier this year to air its concern and seek their intervention. It also stated that the situation has created an enormous negative impact on the local manufacturers, who have reported significant reductions in their order books. Evidently, there has not been enough effective enforcement . While environmental awareness is important, the FOI regrets to note that unless the importation of plastic bags is strictly monitored and controlled, the exercise will end up killing the industry and not the plastic.