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Your March 2018 News & Updates

Alliance Plastics
Resin Market

Well, what a difference a month makes for all of us. Despite all the news of excess capacities coming in like a hurricane to flood our marketplace, we only hear about shortages.

Higher oil prices and capacity issues coupled with higher demand from overseas.
The Monopoly Man is wiping his monocle with greed and anticipation. As they are playing this high stakes game of poker, “I see your Buluga Caviar and raise you one Scoop of Grey Poupon!” We are surely looking at a money grab that was created by people that realize it’s always better to fall at a much higher height than to fall
where you currently are. Prices did indeed reflect a 4 cent increase and we will have to swallow it. I do feel like Mark Baum the character from the movie The Big Short and the famous quote from the movie, “No one can see a bubble, that’s what makes it a bubble.” So hear the proclamation from my shriveled up 1986 fax machine paper that I unroll like a 14th century scroll from Nostradamus:

Prices will go up and Prices will come down. Sorry, that was from the fortune cookie that came with Special #4. My lucky numbers are 8-9-17-22-41. I can’t help but get exasperated at the resin market because it doesn’t seem to follow logic. It is much more CPT Kirk than Spock.

Paper Market

We received the onslaught of increases from our friends at the paper mills. I was told they are going up because they can go up. Paper will indeed reflect in PPI the 50.00 per ton increase that they are pushing through. I will be eating this increase like I do the pie at my local diner, that is with no reward and some disgust.

There is nothing we can do about this one. I am told we are being treated to a big tall glass of “We are doing this because we can”. I am getting these increases because of a lengthy economics lesson about the nature of the economy. I graduated with a degree in economics and although it took 7 years to get my Associates Degree, I do know a little bit about the subject. I know charts that show an arrow going up for “COSTS” is bad. My economics professors taught me that much.

Increases are due to freight, insurance and higher labor costs all while our economy is booming, it’s like telling me that whatever gains I get for increases in revenue and sales for my business, those are offset by my higher costs for material. On top of this, guess what else I have to deal with? Higher freight, higher insurance costs on all fronts and higher labor costs. Our employees are great but at 2.4% unemployment rate in Charlotte area, NC and SC; we are having issues getting more qualified team members like all our other friends in the area. It becomes more difficult to expand and grow when some of our candidates are not always MAKING AMERICA GREAT AGAIN.

Ron’s view:

I have many questions regarding the Nationalist theme in America. What made our country truly great was this American culture that permeates through all ethnic groups. We can all be distinctly subgroups, but we all identify as American. Asian-American, African America, Irish American, Italian-American and Cuban American. We can add a category to every one of these cultures and tag American and you will have your sub-group. However, we all unite under the flag of these United States of America. Looking at our athletes in the olympics, you see what makes America truly great. The multicultural groups that stride carrying our colors and you can see the broad swath of our great country. The United States is not a white nation, it’s made up from every nation from around the world. We bring a diverse group to the party and we excel because we want the best to thrive and win. For so long we have been the beacon for freedom to every nation on earth and we are the great land of opportunity.

The United States of America has no national language, no national religion and we as Americans share this belief in that “American Dream”. We all believe that in no other place on the world could someone come from nothing and find success. Not success in just economic terms, but success in finding a common cause. Success in educating the poorest of the poor and that anyone can go to school. The success of wanting and being able to produce a better future for the next generation is what our parents sacrificed for. America is beyond disparaging each other with slurs and preconceived notions.

The other great thing about our country is that every 2 years we have a peaceful revolution with our elections and every 4 years, we can have a peaceful transition of power to our elected Executive in Charge. I was told to never discuss Religion and Politics. I have lived a life keeping my views to myself. Being cast as a Democrat by my Republican friends and a pinky liberal. Being cast as an Over indulgent capitalist and Hard Lined Republican by my Democratic friends. I am not the fringe that the extremes makes me out, I am someone who occasionally rises to voice an opinion that I am sure lines with so many of we, the majority that are silent. I have given money, time and votes for both parties in this country.

I also know that I have a large workforce of different ethnic groups. They came to this country legally because they believe in the American dream. However, this dream is not a dream for them but for their kids. They work in their 40s, 50s and 60s, doing back breaking work that I can’t even keep up with them, all so that they can provide a better future for their children. They pass on this belief of hard work, perseverance and for their children, the dream of an education so they can grab more of the American dream than they could ever grasp. So with every calloused and blistered hand, with the lifting of every heavy roll and the stacking of every edgeguard, they toil so they can set up the future for their children. In return, what do we get, America? I can tell you what we get! We get citizens that are passionate about all that it means to be an American. Citizens that will prosper and grow and contribute economically and culturally to our great “melting pot”. The team members of Alliance Plastics are hard working, diligent, loyal and moral. They abide by the law and they become fiercely patriotic about this country and they are proud to be members of Team Alliance. The morals and values that they bring with them to this country makes our nation better and makes my company even greater. It’s due to so many of my great team members from so many different diversities that makes America truly Great!