The thirst for garbage bags in Korea due to the Middle East conflict

Kim Sung-hwan, Minister of Climate, Energy and Environment of South Korea, on March 30 reassured people that they do not need to worry about the shortage of standard garbage bags. “The government has taken all necessary measures,” he wrote on social network Facebook.

In the past two weeks, Koreans have been “panicking” to hoard garbage bags, with purchases of regular garbage bags and food waste increasing 2-3 times. This worry is compounded by naphtha shortages caused by the prolonged Middle East conflict. This is a derivative of petroleum, the main raw material in the production of plastic and nylon bags.

In Korea, people must buy designated garbage bags to classify household waste, including regular garbage, food and recyclables. Last week, CU convenience store chain announced that sales of food and regular garbage bags on March 22-24 soared 153% and 216% compared to the previous week.

GS25 also recorded a 183% increase in purchases of food trash bags, and a 234% increase in regular trash bag purchases. At 7-Eleven and Emart24, average purchases increased by 169% and 177%, respectively.

The naphtha supply chain is congested, forcing many large chemical enterprises in this country to consider suspending or reducing production, according to Bloomberg. Early last week, LG Chem temporarily suspended operations at one of its three naphtha plants. South Korea imports about half of its naphtha from the Middle East. This material is used in everything in modern life, from plastic packaging, construction materials to textiles, household appliances, and petroleum processing.

The government and local authorities are trying to reassure people, affirming that the supply of garbage bags remains stable. On March 29, the Ministry of Climate, Energy and Environment announced that nearly 54% of Korean municipalities have enough capacity to supply garbage bags for six months. On average, each locality provides enough bags for more than three months.

Officials also dismissed concerns about a naphtha shortage. Because plastic bags are made from polyethylene (PE), this material can be produced using recycled materials, in addition to naphtha decomposition during the oil refining process.

“The amount of domestic recycled materials is enough to produce about 1.83 billion plastic bags, exceeding the consumption of 1.78 billion bags by 2024,” the ministry said. That is, the Korean side can maintain production for more than a year using only recycled materials.

However, local authorities restrict wholesale and retail purchases of garbage bags. A convenience store in Guro district (Seoul) limited each customer to one bag on March 25, due to low inventory. They increased the allowable purchase amount to 10 bags on March 29, after the district office increased the supply.

A city official said that the shortage of garbage bags is only temporary, because of a sudden increase in demand. The government limits purchases to 10 bags per person because if people continue to buy in large quantities, stores may run out of stock quickly. The 25 districts in Seoul can secure 69 million bags, equivalent to about four months’ supply.

Seongnam City (Gyeonggi Province) limits each retailer to purchasing wholesale garbage bags only once a week, with a maximum of 10 packages per order, or 100 bags. With 14 different types of bags for household, food and reusable waste, retailers can stock up to 1,400 bags per week. For residents, the city also limits purchases to 10 bags per day.

Cheorwon District (Gangwon Province) limits two bags per person. In the tourist city of Jeonju (North Jeolla Province), the government plans to allow people to use regular plastic bags to throw away household waste from mid-April. The city will also impose fines of up to 3 million won (about 1,990 USD) for overbuying, or “reselling” trash bags.

Economics professor Kang Sung-jin of Korea University emphasized the importance of communicating information clearly to consumers. “If people think raw materials are running out, buying more than necessary could lead to real shortages,” he said.

Meanwhile, Mr. Kim Dong-chun, CEO of LG Chem, called on the government to establish a national reserve system for naphtha. Because, PE is also the main material in many types of products, including water pipes and food packaging. “We need to build a national reserve system and institutional framework to stabilize supply,” Mr. Kim said.

South Korea completely banned naphtha exports on March 28. All domestically produced naphtha resources are restricted from being sold abroad, even under signed contracts.

Minister Kim Sung-hwan said the government has prepared solutions in the worst case scenario, including allowing the use of regular plastic bags instead of standard bags. “There will be no need for people to pile up waste at home,” Mr. Kim affirmed.