Cereplast, Inc. (OTCQB: CERP) (the “Company”), a leading manufacturer of proprietary biobased, compostable and sustainable bioplastics, today announced that it received a $1.4 million purchase order for Cereplast Biopropylene® 101 from Dugar Eximark Private Limited (Dugar Eximar), a customer based in Hyderabad, India. Cereplast (CERP.OB) is selling the material from existing inventory, which will ship primarily from Europe over the next 10 months.
Cereplast Chairman and CEO Mr. Frederic Scheer stated, “Entering into an agreement to liquidate our existing inventory is a critical milestone for our company. From a financial perspective, this transaction yields strong cash flow over the next 10 months due to the sale of existing product already manufactured. Additionally, in our continued effort to build our footprint in India we are encouraged by the continued partnership we have built with Dugar Eximark who has purchased Cereplast Compostables® resins in the past for single-use disposable applications. Their expansion into the Cereplast Sustainables® family for durable applications signifies the ever-growing interest and demand in the region for bioplastic alternatives to traditional plastic resins. We expect the steady stream of purchase orders from our Indian customers to continue.”
Dugar Eximark specializes in green products, building materials, agricultural products, petrochemicals and import-export services. The order of Cereplast Biopropylene 101 will be used for the manufacture of toys, furniture and building construction materials for distribution in South Asia. With over 1.2 billion people, India is the second most populated country in the world, is the third largest consumer of conventional plastics, and has been ranked the highest overall as the most “green” by the National Geographic Greendex 2012 report. As such, India is poised to become one of the largest consumers of bioplastics in the world. This trend, coupled with anti-conventional plastic legislation in the country, is fostering a continuous stream of purchase orders for Cereplast from customers in India.
Biopropylene 101 is part of the Cereplast Sustainables® family of resins, and provides a lower carbon footprint when compared to conventional plastic resins, while maintaining many desirable conventional Polypropylene (PP) properties such as chemical resistance, mold shrinkage, mold flow, surface appearance, heat deflection temperature and hinge performance. If 0.1% of the global demand for conventional PP was replaced with Biopropylene 101, that’s equivalent to removing 5100 cars from America’s roads or planting 1.2 million trees, which would save millions of pounds of carbon dioxide a year.
About Cereplast, Inc.
Cereplast, Inc. (OTCQB:CERP) designs and manufactures proprietary biobased, sustainable bioplastics which are used as substitutes for traditional plastics in all major converting processes – such as injection molding, thermoforming, blow molding and extrusions – at a pricing structure that is competitive with traditional plastics. On the cutting-edge of biobased plastic material development, Cereplast now offers resins to meet a variety of customer demands. Cereplast Compostables® resins are ideally suited for single-use applications where high biobased content and compostability are advantageous, especially in the food service industry. Cereplast Sustainables® resins combine high biobased content with the durability and endurance of traditional plastic, making them ideal for applications in industries such as automotive, consumer electronics and packaging.