"49.2 Million Paper Straws in Warehouse" Chungnam Province Rolls Up Sleeves to Support Paper Straw Companies

Chungnam Province is rolling up its sleeves to help local paper straw manufacturers facing the risk of closure.

According to Chungnam Province on the 20th, there are a total of 17 paper straw manufacturers nationwide, with 5 located in Chungnam (3 in Asan and 2 in Seosan).

Earlier, these companies significantly increased their paper straw production around the time the Ministry of Environment included plastic straws in the ban on single-use items in November 2022. They began mass production in anticipation of a sharp increase in demand for paper straws after the one-year grace period from November 2022 to November last year.

However, just before the end of the grace period (November 7 last year), the Ministry of Environment reversed its policy to effectively allow the use of plastic straws, which triggered the risk of closure for paper straw manufacturers. It is estimated that the five local companies have about 49.2 million paper straws stored in their warehouses. This is the aftermath of producing a large quantity of products in advance, hoping for the government’s single-use item ban policy.

Stacks of paper straw packaging boxes that could not be delivered to a paper straw manufacturer located in Chungnam are piled up. Provided by Chungnam Province

In response, Chungnam Province has decided to focus administrative efforts on supporting local companies struggling due to changes in government policy by deferring repayment of support funds and helping to reduce paper straw inventory.

First, Chungnam Province plans to ease the burden on companies whose repayment deadlines have arrived by deferring repayment of previously provided business development and management stabilization funds, allowing them to pay employee salaries and factory rent without additional loans.

Additionally, Chungnam Province intends to secure sales channels by encouraging cooperation from 15 cities and counties, public institutions, coffee shops within large corporations located in the region (30 stores), and local rest stops and restaurants (8,350 locations) to purchase paper straws.

Furthermore, Chungnam Province plans to propose support measures to the Ministry of Environment, including ▲ urging the enforcement of the plastic straw ban ▲ introducing environmental label certification for paper straws through amendments to the Environmental Technology Industry Act ▲ reflecting research and development (R&D) projects for plastic straw alternatives.

Chungnam Province expects that once the Environmental Technology Industry Act is amended, public institutions will be required to purchase green products, which could make it relatively easier for paper straw manufacturers to secure sales channels.

Gu Sang, Director of the Climate and Environment Bureau of Chungnam Province, said, “Chungnam Province will gather opinions from local paper straw manufacturers to discover and implement additional support measures,” and added, “We ask the local community to actively participate in reducing single-use items regardless of government policies.”