Nachiketa Paper is gearing up to bang the market with a mega capacity of high RCT paper in 2022

Nachiketa Paper is gearing up to bang the market with a mega capacity of high RCT paper in 2022

Derabassi | 22nd March 2021 | The Pulp and Paper Times:

Corrugated packaging industry has been adequately meeting the packaging requirements of the country by successfully substituting wooden and plywood boxes, thereby contributing to environmental protection and the ecological balance. 

The reusable and recyclable nature of corrugated boxes reduces packaging waste. This has resulted in an increased demand for corrugated boxes in various industries such as food & beverages, building & construction, clothing, freight forwarding, logistics, cosmetics & personal care, and pharmaceuticals.

"On the basis of application, the market can be classified into writing and printing paper, paper board and Kraft paper for packaging and newsprint. Of this, the biggest share is accounted for by the paper board and Kraft paper packaging segment, which is expected to grow on the back of rising growth in the e-commerce sector. The growing use of paper in food packaging is also expected to strengthen off-take," said Mr. Harish Jindal, Managing Director of Nachiketa Paper Limited.

Talking to The Pulp and Paper Times, Mr. Jindal exclusively discloses the expansion plan of the company, "the projection of kraft paper demand in coming years is very prominent, and we expect to have a good return on our investment. We have planned to invest approx. INR 55 crore on paper machine- III (PM) and power plant installation.

"First we will complete the installation process of power plant of 5 MW in phase I and then embark upon the erection of machinery of PM-III from December 2021 onwards, Mr. Jindal said.

Nachiketa Paper is going to install a 200 TPD new paper machine of high RCT paper production. “We have already bought the most of the machinery from elite suppliers, like head box is from Europe, Pulp mill is supplied by Yunda Machinery, China and Dryers is also from China.

"PM-3 will be a triple wire machine with all critical components including automation to get high RCT quality paper. We are expected to roll out the production on new machine in April 2022, Mr. Jindal said.

The Kraft paper market is projected to grow from USD 15.6 billion in 2019 to USD 18.7 billion by 2025, recording a CAGR of 3.0% during the forecast period. The rise in demand for Kraft paper in various end-use industries, such as food & beverages, building & construction, cosmetics & personal care automotive, and consumer durables, is a key factor that is projected to drive the growth of the Kraft paper market across the globe. In addition, factors such as rapid urbanization across regions and the recyclability feature of Kraft paper are projected to contribute to the growth of the Kraft paper market during the forecast period.

Currently, Nachiketa Paper is producing 250 TPD paper. “We are manufacturing Absorbent Kraft on PM-1 and Core Board on PM-2. We are planning to produce 120 to 250 GSM kraft paper for the manufacturing of corrugated Box and paper carry bags on PM-III,” Mr. Jindal informed.

The deckle of PM-III is 3.1 meters (Finished) and the paper mill is also planning to redesign its wastewater treatment plant to absorb the new paper machine’s waste water.

The booming Indian economy and flourishing organised retail have raised the expectations that consumption of corrugated packaging will begin to expand again as the number and volume of goods packaged in corrugated increase.

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