Awards cancelled by unprecedented market turmoil

Europe’s annual Best Polymer Producers Awards have been cancelled this year with the organisers blaming ‘turmoil’ in the polymer and plastic supply chain.

The awards are organised by Polymers for Europe Alliance (PEA), which was established by the European Plastics Converters Association (EuPC) in 2015. It is an online information platform for those with an interest in the competitive conversion of polymers in Europe.

The Best Polymer Producers Awards allow polymer customers to rate their suppliers.

Bad practices

In an announcement of the cancellation, PEA says issues of availability, cost and volatility are creating ‘a level of turmoil in the polymer and plastic supply chain [that] is currently at heights seldom, if ever, experienced before’.

PEA accuses some participants of taking a short-term view and terminating contracts without consultation, passing on cost increases on material which was manufactured prior to the increased expense and selling to the highest bidder regardless of outstanding commitments.

‘Others are taking the long-term view and treating customers the same way they expect to be treated by their suppliers,’ it says. ‘These consider temporary extensions in payment terms where appropriate and consult in depth in partnership with customers to try to avoid permanent damage to the supply chain in the knowledge that this situation, extreme as it is, is nonetheless temporary.’

Instability

Alliance members say the current situation renders it impossible to take a balanced view of their suppliers’ performance.

‘The situation is not stable and the pressures in the supply chain continue to fluctuate dramatically. More stability is required to assess who in the end will prove to be the most constructive partners.’

 PEA anticipates a further statement at the EuPC annual meeting on 2 June. EuPC is an EU-level trade association, based in Brussels, representing European plastics converters.