Alkali BulletinAlkali Bulletin(For Restricted Circulation) November 2019Volume XLI No. 11

Dear Reader,

The Prime Minister announced the government’s decision to suspend further discussions on the Regional Comprehensive Economic Partnership (RCEP) mega-trade deal early November. India’s participation in the RCEP negotiations were being opposed by most sectors, including the services sector. The common apprehension voiced by almost all sectors were the threat posed by China, a trading partner in the RCEP. The large imports that tariff concessions would trigger would further aggravate the hardships of the domestic manufacturing industry. AMAI had been consistently highlighting the problems faced by our industry due to past FTA’s notably the India-Japan CEPA which resulted in significant increases in imports of caustic soda and PVC. AMAI appreciates the bold stand taken by our government in announcing suspension of further discussions by India till all concerns were adequately addressed.

The Union Minister for Commerce and Industry announced the government’s intention to seek review of the three major FTA’s viz. ASEAN-India Trade in Goods Agreement, India-Japan Comprehensive Economic Partnership Agreement and the India-Korea Comprehensive Economic Partnership Agreement. This is a welcome announcement as the chemical industry has particularly been adversely affected by these three trade agreements. The industry in general and AMAI in particular has been very appreciative of the government holding extensive consultations with the industry while the RCEP trade negotiations were in progress. This was hardly evident when the above three major FTAs were negotiated. The effect of the past FTAs have been an increase in trade skewed in favour of our FTA partners.

The Department of Chemicals & Petrochemicals convened consultative meetings to consider the possibility of bringing certain chemicals under Restricted List of chemicals. The list drawn up by the Department was based on high volume & value of imports and the need to curb non-essential imports. Caustic soda was among the three chemicals taken up for consideration. Alkali imports have risen significantly over the years, even as the domestic manufacturers have been augmenting capacities to keep pace with increase in demand. Unfortunately, imports have also increased over the years, triggered by factors such as tariff concessions under trade agreements, the relatively low customs tariffs prevailing in India, which provides easy access to one of the most attractive markets.

K. Srinivasan Secretary General

I. ARTICLES & FEATURES

Global Chlor-Alkali and Vinyl Industry: An Overview – A Report by Ms. Harjeet Kaur Anand, Joint Director (Technical), AMAI 1

Industries welcomed not joining RCEP 15

DESCOTE – Are you facing corrosion problems with your control valves? 16

The Andhra Sugars Limited Caustic Soda Expansion Project successfully commissioned by TKIS 17

New Solar-Powered Path to Hydrogen Fuel Production 18

Global Automotive Industry to Drive Industrial Textile Demand 19

Indian Start-up turns 150 tonnes of Plastic Waste into Low Cost Fuel 22

33rd Training Workshop on “Safe Handling of Chlorine and Emergency Preparedness” at Water Treatment Plant, Bhopal Municipal Corporation - Mr. Subhash Tandon, Advisor Technical Services, AMAI 25

Beacon-Messages for Manufacturing Personnel 27

II. NEWS DIGESTGeneral

Govt. may bring exporters’ tax refund scheme before Cabinet 30

Draft industrial policy targets $1 trillion gross value addition in manufacturing by 2025 30

Japan keen to fix India’s RCEP issues 30

Transparent mechanism set up for export freight payment, related charges in foreign exchange 30

India not to take the initiative to re-open RCEP talks 31

India files appeal against WTO panel report on export subsidies 31

Gujarat government approves CNG port terminal at Bhavnagar 31

India, Russia bilateral trade can grow if govts spread awareness on business opportunities, says Deputy Governor of Moscow 32

WTO says US not complying fully on India steel dispute ruling 32

Major trade issues between India, US solved; may sign initial trade package 32

India’s exports fall for third straight month 32

Australia, New Zealand continue to bat for India’s entry into RCEP 33

Narendra Modi, Xi Jinping discuss future of RCEP 33

Piyush Goyal seeks complete restoration of GSP benefits 33

India’s manufacturing sector heads towards stagnation in October 34

Identify products whose import can be reduced: Commerce Ministry 34

Australia still hopes India will join RCEP 34

CONTENTS

Chlorine Emergency Response Network Toll free no. 1800-11-1735

Any ‘further decision’ on RCEP can be taken only if other members address our concerns, says MEA 35

US, China in talks to ink ‘phase one’ deal, may roll back tariffs 35

India opts out of RCEP: Axe on Chinese imports, trade deal with US likely 35

CIL to switch over to mechanised transport of coal at large mines 36

Adani commissions 50 MW wind energy plant 36

First Export Preparedness Index to Rank States, UTs Likely in January 2020 36

Extreme heat events will be killers: New climate study 36

India loses export incentive case filed by US at WTO 37

Chemicals and Petrochemicals

thyssenkrupp and Paradeep Phosphates sign expansion contract for phosphoric acid plant 37

Saudi chemical giant SABIC bets big on India to create future tech products 37

ICC conclave emphasises role of sustainability in building a globally competitive chemical industry 38

LANXESS to become climate neutral by 2040 39

Eastman begins commercial operation of chemical recycling technology for waste plastics 39

Chemicals sector can double to $300 bn by FY25 39

Member Units

GACL to further expand caustic soda capacity at Dahej 40

Grasim turns corner, posts net prot of Rs 1,473 cr in Q2 40

Tata Chemicals revenues up by 4%; acquires land in Gujarat for energy business 40

III. UPCOMING SEMINARS/CONFERENCES/WORKSHOPS

Argus Media Inc. organises Argus Chlor-Alkali Asia on 13-14 January 2020 in Singapore – AMAI is Supporting Association 42

CII to organise Salt Conference 2020 on 31st January 2020 at Ahmedabad, Gujarat – AMAI is Association Partner 43

AMAI partners Argus Chlor-alkali Conference 2020 being held in London, UK on 4-5 February 2020 44

Disclaimer: Information published in this magazine is reproduced from various sources. Every effort is made to minimize errors while reproducing for publication in Alkali Bulletin. However, readers are requested to verify and make appropriate enquiries and satisfy themselves about the veracity of information published in this magazine before use. The publisher or AMAI will not be responsible for decisions taken by readers based on information published in Alkali Bulletin.

Alkali Bulletin Novem

ber, 2019

Did you know? What can you do?

This issue sponsored by

http://www.aiche.org/CCPS/Publications/Beacon/index.aspxMessages for Manufacturing Personnel

Understand how your safety systems work!

www.aiche.org/ccps

November 2019

©AIChE 2019. All rights reserved. Reproduction for non-commercial, educational purposes is encouraged. However, reproduction for any commercial purpose without express written consent of AIChE is strictly prohibited. Contact us at ccps_beacon@aiche.org or 646-495-1371.

The Beacon is usually available in Afrikaans, Arabic, Catalan, Chinese, Czech, Danish, Dutch, English, Filipino, French, German, Greek, Gujarati, Hebrew, Hindi, Hungarian, Indonesian, Italian, Japanese, Korean, Malay, Marathi, Mongolian, Persian (Farsi), Polish, Portuguese, Romanian, Russian, Spanish, Swedish, Telugu, Thai, Turkish, Urdu, and Vietnamese.

A safety system needs to have a well-defined purpose. When activated, it must reliably respond with the action, including a stop (ESD, emergency shutdown), as designed.

Do you know how these safety systems operate for your processes? If you ask others how they expect these systems to operate, do you get different answers? There must be only oneway for each critical system to perform, and everyone needs to know it.

The objective of a process control system is to keep the process within the critical safety control limits (see 06/2015 Beacon). It is important to understand that, when the process exceeds the specified control limits, action is required. This can include activating the ESD system. Operators must be trained in what actions to take, and when.

Safety systems, including ESDs, are designed, programmed, and tested to meet the safety requirements of the process and equipment. All changes need a Management of Change (MOC) review (see Beacon 07/2017).

Safety systems, just like pressure relief devices, are there to protect, not to control the process (see Beacon 03/2016, “Safety Device or Control Device?”).

Safety systems have defined responses to power, instrument air, or other utility failure. This information is often noted on the piping and instrumentation diagram (PID).

Many companies have a Stop Work Authority policy, which allows, and even demands, that operators stop the process if it is out of control.

Ask your supervisor or trainer how safety systems are supposed to operate and why that is the case. The more you know, the better your response when needed.

Make safety systems a topic for discussion at the next crew or safety committee meeting. If everyone thinks the systems operate differently, you have a problem!

During Process Hazard Analyses (PHA) or MOC reviews of these critical safeguards, be open and honest about what you know and what occurs in the field. Any doubt should be investigated so the systems function correctly.

What Does That Button Do? www.iomosaic.com

When safety systems are not well-understood, problems can become worse, because people may not rely on them and take the wrong actions. They might also falsely rely on the safety system and expect it to take actions beyond what these systems are capable of doing.

BELLOW SEAL CHLORINE GLOBE VALVE

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Argus Chlor-Alkali Asia13-14 January 2020 | Pan Pacific, Singapore

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Key topics you can’t miss include:• Regulation and import-export changes in China and wider Asia• New opportunities in end-use markets such as lithium• Will India become a net exporter? • Disruptions in EDC and alumina through the trade wars• Economic pressures in Asian marketsAnd much more…

Who you will meet:Chlor Alkali – Paper and Pulp – Alumina – Vinyls – Water Treatment– Shipping and Storage – End-user markets for caustic soda and chlorine - Trading – Marketing and Distribution – Engineering, Procurement and Construction – Investment – Consulting – Technology – Caustic Soda – Soda Ash – Chlorine and Derivatives – Government – Associations

For more information, please contact Ming Oh T: +65 6496 9992 E: xiangming.oh@argusmedia.com

Alkali Manufacturers

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Argus Chlor-Alkali Conference4-5 February 2020 | Montcalm London Marble Arch Hotel, UK

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Associate sponsor

Published by ALKALI MANUFACTURES ASSOCIATION OF INDIA 3rd Floor, Pankaj Chambers, Preet Vihar Commercial Complex, Vikas Marg, Delhi 110092 Ph: 011-22432003, 22410150 Email:hkanand@ama-india.org; info@ama-india.org; website: www.ama-india.org

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