Resin Technology Futures Group has launched with a new website and advisory service to help plastics processors use plastics market futures and risk management.
“The lack of transparency and the volatility of resin pricing is a top concern for most end users of plastics,” RTFG principal Andy VanPutte said in a Sept. 16 news release. “By not managing that volatility, by just riding the roller coaster and buying as you need at the price, at the time, you’ve already decided unconsciously to accept price risk.
“If you have difficulty managing your sales price and meeting your budget on costs, you need a new tool,” he added.
RTFG is affiliated with the Resin Technology Inc. consulting firm of Fort Worth, Texas.
VanPutte has developed a hedging program for managing price volatility in the polypropylene and polyethylene markets. The program encompasses market tracking, forward pricing curves, feedstock-to-polymer correlations and hedging strategies. VanPutte joined RTi in 2010 after more than 20 years with plastics processors Cryovac and Sealed Air Corp.
Officials added that RTFG draws on the expertise RTi, which has more than 20 billion pounds of transactional benchmarks. As a result, they said, RTi has the ability to bring technical expertise, market intelligence and transparency to the resin and paper markets.