FDBusiness.com

Plastics trade body questions suppliers’ use of force majeure

 Breaking News
  • Ardgowan Unveils Plans For Inverclyde Distillery Ardgowan Distillery has revealed ambitious designs for its new £12 million distillery which is being built on the Ardgowan Estate near Inverkip, 30 miles west of Glasgow. The plans showcase the flagship building which has just secured revised planning consent from Inverclyde Council. The striking new design, by Michael Laird Architects, brings a number of improvements [...]...
  • HKScan Launches Exports of Finnish Poultry Products to Sweden HKScan, the Nordic food and meat group, has started exporting Finnish poultry products to Sweden. They will initially be sold through the largest retailer ICA’s outlets under the Karinäs®(Kariniemen®) brand. The launch gives Swedish consumers access to a new innovation: high welfare farm-born poultry that is hatched on the farm where it is raised. This new concept is [...]...
  • Almonds Retain Top Spot For Nut Introductions in Europe According to Innova Market Research’s latest Global New Product Introductions Report, almonds retain the number one spot for nut introductions in Europe. With a 47% share of global almond product introductions, the region leads globally for the eleventh year running. Europe as a whole saw a total of 5,017 new introductions with almonds – a [...]...
  • Arla Foods UK Launches New Standards Model to Bring Sustainable Change to Dairy Farming With ongoing volatility in the global milk markets, increasing consumer misunderstanding of the sector, polarised levels of support for UK dairy farmers and a new post-Brexit Agriculture Bill the challenges for dairy farmers are mounting. Farmer-owned co-operative Arla Foods has launched ‘Arla UK 360’ – a new standard in UK dairy farming. The Arla UK 360 [...]...
  • €172 Million to Promote EU Agri-food Products In and Outside the EU The European Commission will provide funding of €172.5 million from the EU agricultural budget to promote EU agri-food products in Europe and across the world. 79 campaigns, covering a wide range of products such as dairy products, olives and olive oil, and fruit and vegetables, will be rolled out over the next three years. Agriculture and [...]...

Plastics trade body questions suppliers’ use of force majeure

Plastics trade body questions suppliers’ use of force majeure
October 19
13:37 2012

IK Industrievereinigung Kunststoffverpackungen, Germany’s plastics packaging trade body, is calling for cooperation that would lead to polymer producers adhering to a stricter legal use of force majeure clauses in their supply contracts

A supplier can invoke a force majeure clause if unforeseen circumstances impact on its ability to deliver against a contract.

Force majeure is a legal term. The Oxford Dictionary definition describes the term as the “unforeseeable circumstances that prevent someone from fulfilling a contract”.

In its latest economic trend survey, IK said its members in Germany predict a further decline in the economy for the fourth quarter of 2012. The IK members’ assessment of the German economy is at its lowest level since the fourth quarter of 2010

Supply shortages

IK said: “Despite this economic downturn, manufacturers of plastics packaging were confronted with strongly increasing raw material prices. Supply shortages occurred regularly, entailing short notice delivery cancellations. Overall, this development was met with little understanding amongst the customers of IK members.”

Force majeure announcements contributed to the tight supply situation, the organisation said. “In this context it must be noted again that the legal basis of many of these announcements is legally debatable.

“The IK therefore invites the European umbrella organizations of plastics producers and converters to develop suitable activities which in the future guarantee an explicit legal orientation when using the term force majeure.”

Frequent polymer price increases “can only be passed on to the market with difficulty”, said IK.

It warned that against this background, the economic survey predicts a “dramatic profit decline” for its members in the fourth quarter of 2012.

About Author

colin

colin

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • October 21, 2018Int'l Food Products Exhibition (Sial)
  • October 25, 2018Italian Espresso Coffee Show (TriestEspresso Expo)
  • October 25, 2018Finnish Food Fair
  • October 31, 2018Int'l exhibition for food products and equipment (Indagra Food)
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements