INTERVIEW
“Solution lies in unity” – Newly elected EuPC president Benoît Hennaut talks about the issues marring the plastics value chain, image management for the converting industry, and Europe's dependence on Russian gas
New EuPC president, Benoît Hennaut (Photo: PIE) |
European Plastics Converters (EuPC, Brussels; www.eupc.org) recently elected its new president, chairman and managing director of French building material trading firm, Herige, Benoît Hennaut (see Plasteurope.com of 20.05.2022). Plasteurope.com Editor Somya Abrol caught up with him in Brussels to talk about the uncertain times and hefty challenges that the industry is currently faced with.
PIE: You have taken office at a difficult time… What are your plans to cope with the ongoing uncertainty, especially regarding supply chain issues and high energy prices?
Benoît Hennaut: First, it’s an honour to be elected for this role. We’re facing significant issues in the supply chain at the moment, and I think what we need is world collaboration. It’s important to be transparent and to work closely together – recyclers, suppliers, converters – in order to manage these turbulent times. We recently set up the Polymers for Europe Alliance (www.polymercomplyeurope.eu/pce-services/polymers-europe-alliance), which is a way to reinforce collaboration and to make better forecasts for the whole value chain.
PIE: What are your priorities as the president, for the next two years, particularly for the plastics industry?
Hennaut: Given how fast the world is changing, we need to rethink our mission and vision, and find ways to deal with the uncertainties and the new regulations – particularly taxonomy, which has faced a huge change in the way European companies will report their performance, financially and environmentally. The evolution of REACH is quite central, and we need to adapt. Carbon footprint efficiency is a major opportunity for the plastics industry; if we compare plastics to other materials, this is an area where we can have significant advantage.
PIE: How do you plan to convince the public that this material is better in terms of environmental impacts?
Hennaut: We need to communicate facts, not emotions. We need to run advocacy, and change the way we communicate. The public image of plastics is definitely not good right now, so we need to use simple words, simple facts, for it to be very pragmatic and tangible for the public. Yes, we do need to improve upon ourselves in some areas, but if we want a decarbonated economy, we will not be able to achieve that without plastics.
PIE: Given the EU’s approach to extend the sanctions against Russia, including an oil embargo, how do you expect plastics converters in Europe to emerge out of this supply stoppage?
Hennaut: EuPC has decided to not comment on the war in general and the decisions taken by the European Union. EuPC had set up in 2015 the Polymers for Europe Alliance, which had the ambition to re-establish a good relationship with suppliers. For the past five years, the situation had been improving but since 2021, supplies have been rather difficult. High energy costs since early 2022 were the icing on the cake, so converters need guidance now, more than ever, on how to cope.
Furthermore, the current geopolitical situation is deemed to have global consequences. Even if the plastics industry has been dealing with raw materials shortages and high fluctuations in the past few months, this current Russia-Ukraine conflict is impacting our business on an unprecedented economic level. Prices are not only drastically increasing for raw materials, but our industry is also confronted with additional consequences such as increased energy costs. The situation might remain unstable for a while, so the Polymers for Europe Alliance is organising webinars for members to provide all possible information and assistance throughout the supply chain – these supply chains will probably become shorter and more stable.
PIE: Now, on to Russian natural gas. How do you expect converters to cope with an absolute ban/embargo?
Hennaut: Energy dependence is going to be an important issue for all of us and we all will have to look for solutions, which need to not only be regional but European.
PIE: Do you think the solution lies in unity?
Hennaut: Yes, it does. The current situation is an important turning point: it is important to be more united and to speak with one voice for plastics converters and as a European Union. For the plastics industry it is important to work more closely with all the value chain partners in order to prepare for the future.
PIE: Do you expect companies’ climate goals to suffer due to the economic repercussions in these challenging times?
Hennaut: Probably in the short term, there might be hesitation to continue the transitions that have begun. However, there’s no way back for companies and shareholders will be looking into these climate goals on a regular basis. Short-term profits will have some impact, but I am not expecting this to be a major game changer for the transition.
PIE: How fair do you think it is for plastics to be deemed as the major culprit for climate change in public opinion?
Hennaut: Not fair at all. Our material is fantastic and will continue to bring huge benefits to the society and our planet, given the continually growing population. The public’s behaviour and the push for short-life consumer goods has had a negative impact on plastics waste management. We have to work better together here to serve consumers with comfort, food safety, circularity, and engagement for our planet. A lot of work is needed, especially in all emerging countries where no waste legislation is implemented properly and where no EPR schemes have been set up.
PIE: What do you expect from us as a leading source of information for plastics in Europe?
Hennaut: To spread our message, not only to the authorities but also the public at large. The perception and the image of plastics is changing. People should understand, and witness, the industry’s willingness and efforts on circularity and sustainability. We also expect from you, as a leading source of information for plastics in Europe, to make national and local associations more engaged towards issues on the EU level.
PIE: You have taken office at a difficult time… What are your plans to cope with the ongoing uncertainty, especially regarding supply chain issues and high energy prices?
Benoît Hennaut: First, it’s an honour to be elected for this role. We’re facing significant issues in the supply chain at the moment, and I think what we need is world collaboration. It’s important to be transparent and to work closely together – recyclers, suppliers, converters – in order to manage these turbulent times. We recently set up the Polymers for Europe Alliance (www.polymercomplyeurope.eu/pce-services/polymers-europe-alliance), which is a way to reinforce collaboration and to make better forecasts for the whole value chain.
PIE: What are your priorities as the president, for the next two years, particularly for the plastics industry?
Hennaut: Given how fast the world is changing, we need to rethink our mission and vision, and find ways to deal with the uncertainties and the new regulations – particularly taxonomy, which has faced a huge change in the way European companies will report their performance, financially and environmentally. The evolution of REACH is quite central, and we need to adapt. Carbon footprint efficiency is a major opportunity for the plastics industry; if we compare plastics to other materials, this is an area where we can have significant advantage.
PIE: How do you plan to convince the public that this material is better in terms of environmental impacts?
Hennaut: We need to communicate facts, not emotions. We need to run advocacy, and change the way we communicate. The public image of plastics is definitely not good right now, so we need to use simple words, simple facts, for it to be very pragmatic and tangible for the public. Yes, we do need to improve upon ourselves in some areas, but if we want a decarbonated economy, we will not be able to achieve that without plastics.
PIE: Given the EU’s approach to extend the sanctions against Russia, including an oil embargo, how do you expect plastics converters in Europe to emerge out of this supply stoppage?
Hennaut: EuPC has decided to not comment on the war in general and the decisions taken by the European Union. EuPC had set up in 2015 the Polymers for Europe Alliance, which had the ambition to re-establish a good relationship with suppliers. For the past five years, the situation had been improving but since 2021, supplies have been rather difficult. High energy costs since early 2022 were the icing on the cake, so converters need guidance now, more than ever, on how to cope.
Furthermore, the current geopolitical situation is deemed to have global consequences. Even if the plastics industry has been dealing with raw materials shortages and high fluctuations in the past few months, this current Russia-Ukraine conflict is impacting our business on an unprecedented economic level. Prices are not only drastically increasing for raw materials, but our industry is also confronted with additional consequences such as increased energy costs. The situation might remain unstable for a while, so the Polymers for Europe Alliance is organising webinars for members to provide all possible information and assistance throughout the supply chain – these supply chains will probably become shorter and more stable.
PIE: Now, on to Russian natural gas. How do you expect converters to cope with an absolute ban/embargo?
Hennaut: Energy dependence is going to be an important issue for all of us and we all will have to look for solutions, which need to not only be regional but European.
PIE: Do you think the solution lies in unity?
Hennaut: Yes, it does. The current situation is an important turning point: it is important to be more united and to speak with one voice for plastics converters and as a European Union. For the plastics industry it is important to work more closely with all the value chain partners in order to prepare for the future.
PIE: Do you expect companies’ climate goals to suffer due to the economic repercussions in these challenging times?
Hennaut: Probably in the short term, there might be hesitation to continue the transitions that have begun. However, there’s no way back for companies and shareholders will be looking into these climate goals on a regular basis. Short-term profits will have some impact, but I am not expecting this to be a major game changer for the transition.
PIE: How fair do you think it is for plastics to be deemed as the major culprit for climate change in public opinion?
Hennaut: Not fair at all. Our material is fantastic and will continue to bring huge benefits to the society and our planet, given the continually growing population. The public’s behaviour and the push for short-life consumer goods has had a negative impact on plastics waste management. We have to work better together here to serve consumers with comfort, food safety, circularity, and engagement for our planet. A lot of work is needed, especially in all emerging countries where no waste legislation is implemented properly and where no EPR schemes have been set up.
PIE: What do you expect from us as a leading source of information for plastics in Europe?
Hennaut: To spread our message, not only to the authorities but also the public at large. The perception and the image of plastics is changing. People should understand, and witness, the industry’s willingness and efforts on circularity and sustainability. We also expect from you, as a leading source of information for plastics in Europe, to make national and local associations more engaged towards issues on the EU level.
07.06.2022 Plasteurope.com 1101 [250292-0]
Published on 07.06.2022