In an exclusive interaction with Paper Mart, Mr. Nikhil Jham, Director, and Mr. S. Venkatesh, Director – Project & Operations, Oryx Kraft Mill Industries Limited, UAE, discuss Oryx Kraft Mill Industries’ plans to establish a modern, integrated kraft paper manufacturing facility with a capacity of 150,000 tonnes per annum at KEZAD Al Ma’mourah in the UAE, with commercial production targeted for Q1 2028. The project is aimed at serving the growing demand for kraft and packaging papers across the UAE, GCC and wider Middle East. They share insights into the project’s vision, sourcing strategy, approach to automation and AI, and expectations for the region’s packaging market.
Paper Mart: Oryx Kraft Mill Industries has signed an agreement with KEZAD Group to establish a 107,309 sq.m. paper manufacturing facility in KEZAD Al Ma’mourah. Could you tell us more about this project, including its vision, key objectives and how this facility will contribute to the UAE’s downstream manufacturing and paper industry ecosystem?
Nikhil Jham: Oryx Kraft Mill Industries’ project in KEZAD is envisioned as a modern, integrated kraft paper manufacturing facility serving the rapidly growing packaging and converting industries across the UAE, GCC and wider Middle East.
The facility will focus primarily on producing high-quality kraft and packaging papers for applications such as corrugated packaging and industrial packaging. Our objective is not only to establish a competitive paper mill, but also to become an important part of the UAE’s circular economy and downstream manufacturing ecosystem.
The project will strengthen local and regional supply chains by increasing the availability of locally manufactured kraft paper, reducing dependence on imports and supporting the growth of paper converters, packaging manufacturers and other downstream industries.
The location within KEZAD also provides excellent connectivity to ports, logistics infrastructure and industrial customers, enabling us to efficiently serve both the domestic UAE market and export markets.
[bsa_pro_ad_space id=16]
Watch: Top Paper Companies 2023
PM: What is the planned capex and production capacity of the mill, and do you foresee any phased expansions in the near future? By when is the mill expected to commence commercial production?
Venkatesh Subbiah: The project is being developed as a major industrial investment, with the final project capex being aligned with the detailed engineering, equipment and infrastructure scope. The initial production capacity is planned at approximately 150,000 tonnes per annum, with a paper machine designed for high efficiency and flexibility across a range of kraft paper grades.
The facility has been planned with future expansion and product diversification in mind. As market demand develops, we will evaluate additional capacity and downstream integration in phases.
Commercial production is targeted by Q1 2028 following completion of construction, installation, commissioning and performance testing of the plant. Our priority is to ensure a safe and technically robust start-up.
PM: Which paper grades are you planning to produce initially, and how did you decide on those product segments?
VS: Our initial product mix is planned around fluting paper and test liner, covering a broad range of packaging applications.
We have decided on these product segments based on three factors: Firstly, the rising demand for sustainable paper-based packaging; secondly, the continued growth in e-commerce, food and beverage, retail, logistics and industrial packaging; and thirdly, the changing customer requirements for paper.
The strong and growing demand for sustainable paper-based packaging across the GCC and Middle East is driving the need for these products.
The region is experiencing continued growth in e-commerce, food and beverage, retail, logistics and industrial packaging. These sectors are further driving demand for corrugated boxes, paper bags and other fibre-based packaging solutions.
We also want the mill to have sufficient flexibility to respond to changing customer requirements in terms of basis weight, strength characteristics and end-use applications.
The initial production capacity is planned at approximately 150,000 tonnes per annum, with a paper machine designed for high efficiency and flexibility across a range of kraft paper grades.
PM: Can you tell us why you chose the specific location for the mill and how the UAE fits into your long-term strategic vision?
NJ: Our Promoter & Managing Director, Mr. Shiraz Hamirani, has been running his company, Paper Chase International, in the UAE and many other GCC countries for more than 35 years, which is now being jointly steered by our Managing Director, Ms. Farah Hamirani Jham. Paper Chase International is one of the largest collectors and exporters of waste paper in the Gulf. Our Managing Director’s experience in running the business in the Gulf for so long and his vision of the future growth potential of this region have been one of our major guiding forces in our selection of this location in the UAE.
Hence, the UAE was a natural strategic choice because of its excellent industrial infrastructure, logistics connectivity and position as a gateway between Asia, the Middle East, Africa and Europe. KEZAD Al Ma’mourah offers several important advantages, including proximity to major ports, road connectivity, availability of industrial infrastructure and access to a growing base of manufacturing and packaging customers.
The UAE is also developing rapidly as a manufacturing and logistics hub. Establishing the mill here allows Oryx Kraft Mill Industries to be close to our customers while also providing an efficient platform for exports across the GCC and other international markets.
Our long-term vision is to establish the UAE as an important production and distribution base for kraft paper and related packaging products in the region.
PM: How do you plan to source your raw materials–will you rely more on local supplies, imports, or a mix of both?
NJ: The recovered fibre will be sourced mainly through local supplies, which will be collected through our parent company, Paper Chase International. Some quantity of high-strength recovered fibre will be imported from Europe and the USA through our network.
For other raw materials, we plan to follow a balanced sourcing strategy, combining local and imported raw materials depending on availability, quality, consistency and commercial competitiveness.
A diversified sourcing model is particularly important for a large paper mill because raw-material availability and quality can vary between markets. Our objective is therefore to build a reliable and flexible supply chain rather than depend on a single geography.
Over time, we also expect the UAE’s recycling and recovered-paper ecosystem to develop further, creating additional opportunities for local sourcing and supporting the country’s circular-economy objectives.
PM: With over a decade of working in Indian paper mills and now moving from the Indian paper industry to setting up a mill in the UAE, what have been some of the biggest challenges so far? What are you most excited to work on in the future?
VS: Setting up a greenfield paper mill is always a challenging exercise, irrespective of the geography. Moving into a new country adds another dimension because we have to understand a new regulatory environment, develop local supply chains and establish relationships with contractors, suppliers and service providers.
One of the biggest challenges is bringing together the various elements of a large project – engineering, technology, procurement, construction, utilities, logistics, manpower and regulatory approvals – and ensuring that they progress in a coordinated manner.
At the same time, this is what makes the project exciting. The opportunity to build a modern paper mill from the ground up gives us the ability to incorporate the best practices we have learned from our experience in the Indian paper industry while adapting them to the requirements of the UAE and GCC markets.
I am particularly excited about building a strong technical and operational team in the UAE and creating a mill that can benchmark itself against the best kraft paper producers in the region.
Automation and digitalisation will be important components of the mill’s operating philosophy. Modern process control systems will be used to monitor and optimise critical parameters across stock preparation, approach flow, paper machine operations, finishing and utilities.
PM: With rapid digital transformation across industries, how do you plan to leverage automation and AI in mill operations to improve efficiency, quality, and cost control?
VS: Automation and digitalisation will be important components of the mill’s operating philosophy.
Modern process control systems will be used to monitor and optimise critical parameters across stock preparation, approach flow, paper machine operations, finishing and utilities. The objective is to achieve consistent product quality while improving energy efficiency, productivity and Overall Equipment Effectiveness (OEE).
We also see significant potential for AI and advanced analytics in areas such as predictive maintenance, process optimisation, quality monitoring, energy management and production planning.
Rather than treating AI as a standalone technology, we intend to integrate digital tools into the overall operating system of the mill. Reliable real-time data, disciplined process control and experienced operators will remain the foundation, with AI and analytics providing additional decision-support capabilities.
PM: Looking ahead, how do you envision the demand for kraft paper evolving in the Middle East, and what role do you see your mill playing in that growth?
NJ: We are very positive about the long-term outlook for kraft paper in the Middle East.
The region is experiencing structural growth in packaging demand, supported by population growth, urbanisation, e-commerce, food and beverage, logistics and industrial development. At the same time, there is a clear global and regional movement towards replacing plastic and other less sustainable packaging formats with recyclable paper-based alternatives.
We expect demand for kraft paper and containerboard products to continue growing over the next decade, particularly in the GCC.
Oryx Kraft Mill Industries aims to participate in this growth by providing reliable, consistent-quality paper from a strategically located manufacturing base. Our objective is to serve UAE customers efficiently while building a strong export presence across the GCC and wider Middle East.
Ultimately, we want Oryx Kraft Mill Industries to become a dependable regional partner for packaging manufacturers rather than simply another paper supplier.
Also Read: Paper Mart Emagazine Aug-Sep, 2026
PM: A transition is often enriched by learning. Could you please share what has been your biggest learning so far in the paper industry as you move ahead to take on new roles and challenges?
VS: One of the biggest lessons I have learned from the paper industry is that consistency is more important than short-term performance.
A successful paper mill is not built around one machine, one process or one individual. It is the result of disciplined operations, reliable equipment, good raw-material management, strong people and continuous attention to quality and cost.
Over the years, I have also learned that every mill and every market is different. Experience gives us a strong foundation, but we must always be willing to learn, adapt and adopt better technologies and practices.
The Oryx Kraft Mill project provides an opportunity to bring together that experience with a new environment, new technology and a new team. My biggest focus going forward will be to build a culture of safety, operational excellence, teamwork and continuous improvement.
For me, the most rewarding part of this project will be seeing the mill progress from engineering and construction into a stable, efficient operation and ultimately becoming a recognised kraft paper producer in the GCC.
A successful paper mill is not built around one machine, one process or one individual. It is the result of disciplined operations, reliable equipment, good raw-material management, strong people and continuous attention to quality and cost.
Oryx Kraft Mill Partners with Alliance International to Commission State-of-the-Art 180,000 TPA Packaging Paper Production Line
Oryx Kraft Mill Industries Limited has officially announced a strategic partnership with Alliance International to deploy a highly advanced, integrated corrugated packaging paper production line. Backed by 37 years of pulp and paper industry expertise, Alliance International will deliver an end-to-end manufacturing solution designed to optimize production efficiency, drastically reduce energy consumption, and secure long-term operational profitability for Oryx.
Following rigorous technical evaluations and multiple on-site factory verifications, Oryx selected Alliance International as its trusted partner for this foundational venture into raw paper production.
The project features a cutting-edge production line designed and manufactured by Sichuan Chengfa Paper Machinery Factory, China’s premier paper machinery manufacturer equipped with large-scale, advanced CNC tool capabilities. Machinery delivery is officially scheduled for mid-2027.
The new line will have an annual capacity of 180,000 tons of premium corrugated packaging paper, with a daily output of 550 tons. Featuring a wire width of 4,850 mm and a design speed of 1,000 m/min, the machine will incorporate advanced shoe press technology. In a significant shift from costly European imports, the project will introduce a highly mature, Chinese-manufactured shoe press, delivering world-class operating efficiency and low energy consumption at a significantly lower capital expenditure (CapEx). This is expected to accelerate Oryx’s return on investment while enhancing the overall efficiency and competitiveness of its operations.
