by: Jayson Derrick, Benzinga Staff Writer
DowDuPont Inc DWDP 0.14%, one of the world's largest producers of plastics and packaging, is very much aware of the existence of the "plastic waste problem" and is taking action, according to the chemical company's CEO.
Plastic products is the "most sustainable" form of packaging in the world, but of the 400 million metric tons the plastic industry produces annually, 8 million metric tons winds up as waste, Dow Chemical Company CEO Jim Fitterling told CNBC's Jim Cramer Thursday. The industry is aware of the problem, which could worsen if rising aluminum costs forces packaged goods companies to seek out cheaper plastic alternatives, Fitterling said.
Plastic makers are unified in tackling the problem, the CEO said: Dow is working on a "very big initiative" that will be rolled out in the next few months. While details are short at this time, the objective is to "go after this plastic waste issue," Fitterling said.
Why It's Important
"We're working on a joint program which can bring in our other value chain partners, bring in NGOs, bring in private money, work with governments to try to develop signature projects and solutions that are actually going to tackle this issue," Fitterling said.
The "good news" is the plastic industry has many "solutions" to the problem and over the coming months companies will address it, he said.
Aside from the plastic conversation, Fitterling told Cramer that Dow Chemical's previously announced plan to split from its parent company is scheduled to occur in the first quarter of 2019.
© 2018 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.