Renewable Meg Technology Braskem, Sojitz to Revolutionize Pet Packaging Market
A joint venture has been established by Braskem and Sojitz to produce and commercialize bio-based mono-ethylene glycol which has the capacity to meet the growing market demand for sustainable and renewable products.
São Paulo/Brazil – Braskem and Sojitz have recently signed an agreement to form a joint venture focused on the production and commercialization of biomeg (monoethylene glycol) and biompg (monopropylene glycol). With the completion of the technology development in 2022, the business plan foresees the implementation of three industrial plants, with the start of operation of the first unit in 2025, taking advantage of market and raw material opportunities. With the signature of the agreement, the formation of the joint venture was submitted to the approval of Organs competition bodies.
The joint venture will combine Braskem's expertise in the industrial production and sale of chemicals and plastics from renewable sources with Sojitz's important commercial presence in Asia, a region that concentrates 80 % of the global Meg market and where its consumption has grown the most.
"We are joining efforts, knowledge and investments of two companies that are references in their respective areas of activity to create a global leader in biomeg, capable of meeting the strong market demand for sustainable and renewable products", declares Gustavo Sergi, director of Renewable Chemicals and Braskem Specialties. "The partnership between Braskem and Sojitz marks the advance of the technology - developed on a demonstration scale with the Danish company Haldor Topsoe - to the commercialization phase, with a clear combination of skills and resources for scaling up", he adds.
Meg is the raw material for Pet (polyethylene terephthalate), which has numerous applications and is essential for sectors such as textiles and packaging, especially beverage bottles. Currently, it is predominantly produced from fossil raw materials such as naphtha, gas or coal, and its global market represents a value of approximately 25 billion dollars. MPG is a product with a wide range of applications, ranging from unsaturated polyester resins (UPR), very common in civil construction, to cosmetic products.
In 2017, Braskem entered into a partnership with Haldor Topsoe for the production of energy-efficient fuels and chemicals, to prove the innovative technology for converting sugar into biomeg and biompg on a demonstration scale. As a result of the technological cooperation between the two companies, the first samples of biomeg were produced in 2020.
"We developed a journey together with our partners, combining Haldor Topsoe's technology, Sojitz Corporation's expertise and Braskem's experience to achieve our goal of delivering a sustainable solution that has the potential to revolutionize the textile and Pet packaging market", explains Gustavo Sergi.