News article from Abs-cbnnews.com by Lois Calderon
Polyethylene is used to make large drums, bleach bottles, shopping bags, crates, nets, pails, heavy-duty sacks, lamination films, industrial cosmetics, and pharmaceutical and food packaging materials. Given the fact that other industries use petrochemicals as a necessary component and material for the products they make, the opening of the naphtha cracker plant will be relevant to the other industries. Since the plant will produce polyethylene, it can be said that the need to import ethylene will be reduced. This will promote the petrochemical industry and benefit the other industries since they will more likely depend on this local plant for cheaper polyethylene and other petrochemical products instead of importing them from other countries given the additional shipment costs and taxes. JG Summit’s plant will also help the Philippine economy by providing more jobs and encouraging more investments in the country.
The news is significant to the group since it helps them understand better the production process of the petrochemical products. Moreover, it helps the group appreciate the petrochemical industry more and consider the Philippines’ potential as a low-cost producer of petrochemical products. The petrochemical industry in the country is not as competitive and well-known as the other industries and this makes JG Summit’s naphtha cracker plant a stepping stone for the potential growth and expansion of the said industry.