With a huge investment, the mill intends to double the production of its multi-layer coated board plant in Odisha to almost 3 lakh tonnes.
August 14, 2017
Emami Paper Mills Ltd. is soon going to exit its newsprint business due to low profit margins and plans capacity expansion of packaging board and writing & printing paper manufacturing.
The mill will invest Rs. 650 Cr to double the production of its multi-layer coated board plant in Odisha to 3 lakh tonnes in the next two years. The company expects its revenues to grow to Rs. 2,500 Cr from Rs. 1,100 Cr in the next three years.
The company is also looking for avenues for inorganic growth of its packaging business. The demand for high grade paperboard, which finds its usage in pharmaceutical, healthcare, food and cosmetics, has been growing at 12 per cent per annum. They are planning to reduce the newsprint production and convert the existing paper machine towards more demand and profit-driven writing and printing paper.