The Bhola Ram Group, a diversified manufacturing conglomerate has emerged as a significant player in India’s paper industry through strategic acquisitions, disciplined operations, and focus on quality. Entering the paper sector in 2013, the Group today operates large integrated paper and power facilities with a combined capacity of 600–650 tonnes per day paper, catering to both writing & printing and kraft paper segments. In an exclusive interaction with Paper Mart, Mr. Harsh Goyanka, Managing Director, Bhola Ram Group, shares insights into the company’s 100% debt-free business model, commitment to consistent quality and sustainability, ongoing INR 30 crore capex expansion, export ambitions, and his perspective on the current challenges and long-term outlook of the Indian paper industry.
Paper Mart: To begin with, could you introduce the Bhola Ram Group and its entry into the paper industry? What is your current production capacity?
Harsh Goyanka: The Bhola Ram Group is a diversified manufacturing group with major exposure in iron and steel. We entered the paper industry in 2013 through the acquisition of Vishnu Vishal Paper Mills Pvt. Ltd., which is now known as Bhola Ram Papers & Power Pvt. Ltd. – Unit 1 (RR Unit).
In 2019, we acquired the Moradabad plant through the banks by acquiring Shakumbhari Straw Products Limited, which became Unit 2 of Bhola Ram Papers & Power Pvt. Ltd. This unit has three paper machines and a 12 MW captive power plant. The plant had been closed for nearly 10 years and required extensive revamping due to deterioration and theft. After two years of hard work, all three machines were recommissioned, and production restarted in September 2021.
Today, we are among the leading paper companies in India, with a total production capacity of around 600–650 tonnes per day. This includes approximately 200 tonnes of writing and printing paper and 350–400 tonnes of kraft paper.
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PM: What would you describe as your company’s key USP?
HG: Our biggest USP is that we are a 100% debt-free company. We have zero bank term loans and no working capital borrowings, which gives us complete operational freedom. Without financial pressure, we can focus on market development, quality, and customer satisfaction rather than forced sales.
Our second USP is our holistic approach to quality and service. I personally conduct monthly reviews with sales and production teams to ensure zero customer complaints. Quality consistency and customer satisfaction are non-negotiable for us.
PM: How do you ensure consistent quality in your products?
HG: Quality depends largely on raw material consistency. We follow a fixed raw material mix, ensuring minimal shade variation and uniform finish. Since our recycled raw material base is stable, the final product quality remains consistent, resulting in negligible complaints and high customer satisfaction.
Dollar fluctuation is one of the biggest challenges, as we import a significant quantity of waste paper and pulp. Currency volatility directly impacts raw material costs.
PM: What grades and brightness levels do you manufacture?
HG: Up to 85 brightness, we manufacture paper using 100% recycled fiber without pulp. For 90 and 92 brightness grades, we use imported hardwood and softwood pulp, mainly sourced from the USA and occasionally the UK, depending on market conditions.
PM: Could you share details about your domestic and export markets?
HG: Domestically, our products are sold across India, from Kashmir to Kanyakumari. Internationally, we are new entrants, having started exports 3–4 months ago. Following this exhibition, we have received strong enquiries, particularly from Africa, the Middle East, and parts of Europe. Given our strong logistics experience, especially through our steel exports and proximity to Dahej Port, exports will not be a challenge for us.
PM: Sustainability is a major focus today. How does Bhola Ram Group address it?
HG: Sustainability comes naturally when policies are consistent. At our facilities, paper up to 85% brightness is 100% recycled, ensuring no tree cutting. We collect waste paper, process it, and convert it into finished products. Our company is also FSC certified, reinforcing our commitment to responsible sourcing and sustainability.
Our biggest USP is that we are a 100% debt-free company. We have zero bank term loans and no working capital borrowings, which gives us complete operational freedom.
PM: Are there any major capex or expansion plans underway?
HG: Yes. We are making a INR 30 crore capex investment in PM3, one of the best machines in India for writing, printing, and copier grades. This project will be completed by March 2026, increasing PM3 production by around 25%.
Additionally, at our Moradabad unit, we are planning to convert PM1 kraft paper machine into a writing and printing machine, further strengthening our portfolio.
PM: Are you collaborating with any machine suppliers for these projects?
HG: Yes. PM3 is being upgraded by Servall Engineering, and the delivery is scheduled by March 2026. We are also in discussions for further collaborations as part of our expansion roadmap.
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PM: What challenges do you currently face as a manufacturer?
HG: Dollar fluctuation is one of the biggest challenges, as we import a significant quantity of waste paper and pulp. Currency volatility directly impacts raw material costs. Despite this, our strategy is simple: maintain consistent quality, balance imported and domestic raw materials, and ensure fair pricing so both customers and the mill remain profitable.
PM: How do you view the current paper industry scenario? What is your message to the market?
HG: The paper industry has been going through a challenging phase since April 2022, and recovery has been slow. This affects not just manufacturers but also employment, government revenue, and the overall value chain. However, good and bad cycles are part of any industry. We believe this phase will also pass.
Bhola Ram Group remains deeply committed to quality, customer satisfaction, and continuous improvement. We welcome feedback, invest in R&D, and adapt to market needs. The market has already recognised our quality, and we assure our customers that we will continue delivering the best products with consistency and integrity.
We are making a INR 30 crore capex investment in PM3, one of the best machines in India for writing, printing, and copier grades.
