Asia Pulp and Paper, Asia Pulp and Paper in India, New Big Paper Mill in India

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Asia Pulp And Paper (APP) Mulls Over To Set Up 10 To 15 Thousand TPD Paper Plant In India. Read Full News on

Asia Pulp And Paper (APP) Mulls Over To Set Up 10 To 15 Thousand TPD Paper Plant In India

Gurgoan, 19 Feb 2018, TPPT: One of the world’s largest Pulp and Paper Company, Asia Pulp and Paper (APP) is eyeing at Indian soil to set up country’s largest paper mill ever. The management of APP has evinced interest to set up India’s largest paper mill in coastal area of India. Exclusively Talking to The Pulp and Paper Times over phone, Mr. Suresh Kilam, Executive Director of APP reveals that “Yes, we are exploring India for the new paper plant somewhere near to Coastal area for the better connectivity. It could be Andhra Pradesh, Gujarat, Orissa or South India, depends on the good deal over the land and incentives from the Government. It’s too early to say anything about the plant as soon as we ascertain the land acquisition. After 3 to 5 months, we hope to have something “concrete” in our hand.”         

APP is now exploring the viability in different state for the land and other resources. “APP is known for the setting up of State-of-art plant all over the world and we will follow this legacy in India also. Our plant will be one of the biggest paper plant in India, producing paper and paper boards of all grades except the newsprint segment. We are planning to manufacture 10,000 to 15,000 Tonnes-per-day (TPD) Writing-Printing, Kraft, Copier and Paperboards of all segments.” Mr. Kilam said.

Started in 1972 with Tjiwi Kimia producing caustic soda, now APP run operations across Indonesia and China with an annual combined pulp, paper, packaging product and converting capacity of over 19 million tons per annum.

Today, APP markets its products in more than 120 countries across six continents span across banking, infrastructure, agribusiness communications, cooking oil, palm oil, real estate and telecommunications.

“The proposed plant will have 3 to 5 million tonnes per annum capacity with the State- of-Art plant and machinery structure.

This will be fully automatic and modernized plant generating 5000 to 7000 direct employments in India. We are happy to contribute in ‘Make-in-India’ programme by investing few billion dollars.” Mr. Kilam said.

APP will purchase some Hi-tech equipment from overseas suppliers and some from Indian suppliers, like dryers to save the import duty. As concern to raw material availability, APP would source the virgin pulp from Indonesia and waste paper from all over the world.

On the question of cheap import of paper from ASEAN countries to Indian Market due to low custom duty rate, do you find the viability of APP’s project on Indian soil? Mr. Kilam confidently answered the question “We will stop exporting, won’t bring paper from Indonesia and China. We will make paper here (India) and sell it to Indian market as well export to other countries also. If we start plant here we stop importing the paper.”   

India has a (Free Trade Agreement) FTA with ASEAN under which, import duty on most paper and paperboards has been progressively reduced from a base rate of 10 per cent to 7.5 per cent on January 1, 2010 to five per cent from January 1, 2011 to 2.5 per cent from January 1, 2013 and to nil rate from January 1, 2014.

The current demand for paper and paperboards in the Indian market is 14.4 million tonnes per annum (MTPA), which constitutes about 3.6 per cent of global demand and is expected to increase to 20 MTPA by 2020, thereby, clocking a compounded annual growth rate (CAGR) of about seven per cent.

APP will earmark it production partially for the Indian and overseas market. He said.

Key Points:

Expected Investment will be in few Billion Dollars.

Proposed Production in Tonnes per day (TPD) will be 10K to 15 K.

Expected Manpower requirement will be 5000 to 7000.

Manufacture all paper variants except newsprint.

Raw Material will be wood based (virgin) and imported waste paper based.

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