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11-17-05 - Cornerstone Products made plastic storage containers and trash cans, but cited their abrupt closing to the high cost of one ingredient: resin.
It's a petroleum based product that has sky=rocketed since the gulf coast shutdown, but the resin shortage is impacting more than just trash cans.
Whether you are going to the grocery store or a home improvement store, think of the products we buy everyday that are made with plastic. It's no wonder when the price of resin goes up that everything from milk to carpet goes up too.
When you're buying a futon or course you want it to be comfortable, but the next thing you look at is the price.
"Some pads have increased $25 in the last two weeks," Benton Brown of Mattress Factory Outlet said.
And it's not just futons, but mattresses too. The foam used to make these products is made with plastic resins. Many of the plants that churn out these resins are on the gulf coast and experienced massive storm damage.
Natural gas is also used to fuel resin factories which only adds more fuel to the fire.
Soaring plastic prices are also hitting consumers at the grocery store on everyday products. Take a gallon of milk for example. 10% of the price is in the packaging, and if you are looking to do some home improvement, the price of carpet could floor you.
"We've been hit with three price increases over the coarse of a year and they're about to increase the price once again," James Child of Child's Carpet Inc. said.
Child's Carpet in Sherman says one yearly price increase is normal, but not four. Besides carpet, vinyl, wood, and tile flooring are on the rise as well which is why they're telling customers if they're going to buy, buy now or pay for it later.
We've only hit the tip of the iceberg when it comes to the different products and industries being affected by the demand of plastic. Builders and plumbers are feeling the pain right now as well.
The prices are expected to level out eventually but no end is in sight just yet.
This does open the door for bio-based plastics as well as improving performance on plastics made from natural resources.