Kempt Tissues Private Limited was founded in the year 2022 with a mission to provide hygiene and quality tissue paper to their customers. With a manufacturing facility located in Morbi, the heart of Gujarat, the company specializes in the manufacturing of tissue paper and other specialty grade paper. The company’s focus is to increase its revenues and improve its bottomline by reducing costs through better management of funds, improved internal control systems and better realizations for its existing products. In a recent interaction with Paper Mart, Mr. Abhishek Agarwal, Executive Director and CEO, Kempt Tissues Private Limited, spoke about the company’s business journey, production capacity, ongoing expansion plans, the company’s USP and the current and future scenario of the Indian and global paper industries.
“We at Kempt are already in the process of acquiring additional land for further expansion of our current paper mill in order to include one more crescent former tissue machine, additional with converting house facilities.”
Paper Mart: Please give us a brief walkthrough of your company, outlining the company’s business journey, vision and market strategy.
Abhishek Agarwal: We have been engaged with paper and packaging segments since 2004. We started our journey in paper segments from our packaging units in Morbi, Gujarat following which we established a kraft paper mill in 2016. Kempt Tissues Private Limited is our first tissue paper and speciality paper manufacturing division, which was incorporated on 12th January 2022 and specializes in the manufacturing of tissue paper and other speciality grade paper. The registered office of the company is situated at Morbi, Gujarat and our manufacturing facilities are located in Gujarat and Rajasthan. The leaders of the company include our Managing Director Mr. Dinesh Agarwal, Executive Director and CEO Mr. Abhishek Agarwal and Director-Finance Mr. Ajay Mor.
Kempt Tissues is a company committed to its vision to become the best tissue and speciality paper manufacturing company in india. The company is operating in a highly competitive market and the strategy is to enhance revenues through taking advantage of its inherent strengths and business dynamics. A highly qualified and competent team and robust quality control provides the necessary platform to give impetus to the company’s objectives. Our company majorly focuses on increasing revenues and improving our bottomline by reducing costs by better management of funds, improved internal control systems and better realizations for its existing products.
PM: Kindly shed some light on the company’s production capacity, infrastructural set up and product range offered.
AA: The paper machine of the company commenced production in April 2023 with a capacity to produce 75 TPD of tissue paper. The paper machine is imported from Spain, Europe and is manufactured by Voith. The type of machine is fourdrinier and the deckle is 3400 mm. Our facility is equipped with all the latest and highly efficient machinery which is mainly imported from Europe. Our laboratory consists of the latest and efficient equipment. We have set up an eco-friendly and sustainable infrastructure for production and our entire setup is in accordance with international standards. We have acquired approximately 5,26,000 sq ft land for the complete set up of our manufacturing facility. Our product category mainly include virgin grade tissue paper like toilet tissue paper, kitchen towel, facial tissue paper and as well as recycled grade, MG poster grade paper with high brightness white and color both and other specialty papers. The minimum GSM is 12.5 and highest is up to 60 GSM.
PM: What are the ongoing developments taking place at Kempt Tissues?
AA: We at Kempt are already in the process of acquiring additional land for further expansion of our current paper mill in order to include one more crescent former tissue machine, additional with converting house facilities.
Including land acquisition, we have made a total investment of around INR 75 crore towards this project. We started the land acquisition process in the year 2022 and we started construction work from April 2022. Currently, the machine installation work and civil work is almost completed and we expect the final production to begin in the first week of May 2023. Nearing the completion of the project, we have already started the hiring process for manpower as well as started to procure raw materials.
PM: How are your company’s activities in line with the nation’s vision for a sustainable future?
AA: Tissue paper plays an important role in the nation’s sustainability mission as it is directly related with general hygiene as well as our ecosystem. Our company will also focus on manufacturing the best paper products from recycled grades so that we can participate more with our vision for a sustainable future. Our complete infrastructure is set up with a highly green environment. We have planted more than 5000 plants already in our manufacturing facility.
PM: What are your company’s USPs and how is it different from the rest of the players in the market?
AA: Kempt Tissues Private Limited’s USP is our technology, our R&D team along with our management. Our goal is to provide the best quality tissue paper to our customers. The quality of our management team is at par with industry standards. The promoters, directors, technical and commercial staff at our company have more than 10 years of experience in the paper industry. Our workforce comprises engineers, chartered accountants and technicians. In the current market there are very few players who provide excellent quality speciality paper and our mission is to be India’s top quality tissue paper maker.
PM: Please enlighten us about the current scenario and the future of the paper industry in India.
AA: The Indian paper industry, with a turnover of about INR 70,000 crores, plays an important role in the manufacturing segment of the Indian economy. The Indian paper industry is very fragmented and diverse in nature. Capacity wise, there are small, medium and large size mills employing technology which ranges from old to state-of-the-art. The fibrous raw material used for manufacturing paper include plantation wood from farm forestry programs, agri-residues like wheat straw and bagasse procured from farmers and waste paper sourced domestically as well as imported from other countries. The products manufactured are also diverse including kraft paper, newsprint, writing and printing papers, photocopier paper, unbleached and bleached varieties of packaging papers or boards, uncoated and coated boards, tissue paper and some tonnage of speciality papers. In the foreseeable future, the packaging board segment is likely to see sustained high demand going forward. An increase in tissue per capita consumption is expected due to rising health and hygiene awareness. Strong demand in packaging boards and tissue is turning profitable for paper manufacturers, manufacturers of a wide range of paper products.
PM: Kindly provide your insights on the global tissue paper market.
AA: According to Fortune Business Insights, the global tissue paper market size was USD 81 billion in 2022 and is projected to reach USD 124.74 billion by 2029, exhibiting a CAGR of 6.4% during the forecast period. Tissue papers are widely used for cleanliness and hygiene purposes. The global average consumption per person per year is also expected to reach 55kg. Tissue manufacturing technology advancements, as well as the effective use of raw materials, will improve both the design of tissue products and how they are distributed.