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Why does the plastics industry need price risk management?

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Why does the plastics industry need price risk management?

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Price volatility has been a significant issue for the plastics industry for several decades and it exposes both buyers and sellers of polymers to a high level of price risk. With volatility rising to over 50% in recent years, many in the plastics industry supply chain are finding this difficult to manage. Futures contracts provide industry with the ability to manage this volatility.

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