Plastic packagers earnings likely to fall


Kenanga Research said companies in the sector face increasing non-resin operating costs.

KUALA LUMPUR: The profitability of plastic packaging producers in Malaysia could fall by 10% to 20% due to rising costs on top of industry-wide overcapacity.

Kenanga Research said companies in the sector face increasing non-resin operating costs as a result of the higher minimum wage and the expected rise in electricity tariffs later this year.

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