Convert
To Gain
The
Indian economy is growing and so is the Packaging industry.
As growth rides on increased industrial production and international
trade, demands on package converters has become more demanding
and sophisticated. There are close to 5,000 box plants scattered
throughout the subcontinent in classic developing-country
industry fashion: mostly fragmented and family-owned. So
how does the country meet this ever increasing demand?
The
larger Indian converters have been adopting the latest technologies
and several high-end machines have been installed in the
country in the past few years. These machines are largely
imported from the western countries, with Germany and Italy
accounting for almost 45% of the total packaging machinery
imports. However, as the need to upgrade is felt by the
smaller converters and corrugators and many commercial printers
diversify into package printing, there is an increasing
focus on machines made in Taiwan, Korea and also China.
Meantime, the Indian machinery manufacturers have also geared
up and are today making machines that are lapped up by the
growing industry in India. Some of these machinery manufacturers
are also making inroads in the export markets and are moving
beyond the traditional Asian neighbours and the countries
in the Gulf to South Africa, East Europe and even South
America.
However,
the present per capita consumption of packaging in the country
is dramatically lower than the global averages. All the
pointers indicate that the packaging industry is set to
move to a higher level of growth between 20-25% from the
present level of around 12-15 percent. The potential of
growth is much larger and unrealized.
World over, Flexography
has become the pre-dominant medium for package printing.
The use of flexo has also been growing in India. Several
sophisticated CI flexo presses have been installed in
the past six months. The booming label industry is riding
a narrow web flexo invasion as folding carton manufacturers
also take a look at this technology. The Indian corrugators
have been increasingly adopting flexo printing with water-based
inks. The coming years should see a larger share of printing
going to flexo in the converting and corrugating industries.