Shree Gopinath Paper to Double the Production Capacity

Shree Gopinath Paper to Double the Production Capacity

Surendranagar | 28th September 2019 | The Pulp and Paper Times: 

The slowdown in the demand across all the sectors of the economy is creating sluggishness for the paper industry. The Order books of paper mills are having less order compared to the previous year. “Already facing immense pressure on account of duty-free imports of paper and paperboard from ASEAN countries, the mills are grappling with a slowdown in real estate, textile, automobiles and FMCG Sector. Digitization has also affected the demand for paper but the market will gain momentum after Diwali,” said Mr. Dharmendra Patel, Managing Director of Shree Gopinath Paper Mills Pvt. Ltd.

“Of-course, any slowdown is for time being that can't restrict you to expand. Yes, we have planned to double our production capacity from 100 TPD to 200 by year-end or early 2020. We will go for 15 days shut down to accommodate the critical components in the premises by December or January next year,” Mr. Sumit Patel, Sr. Executive of Shree Gopinath said.

Currently, Shree Gopinath Paper is producing Kraft and Corr-Board Paper of 100 to 400 GSM with 16-24 BF. The deckle of the machine is 3.2 Meter and speed is designed at 300 m/min.

“We have decided to install Head Box (pressurized), Calendar and Press Rolls with a total outlay of INR 5.5 Cr. The execution of work will be done by JMC Paper Tech Pvt. Ltd said Mr. Patel.

Mr. Patel further expressed his view on slowdown saying that more new capacities will bring cut-throat competition and right now we are not getting the desired price of paper as expected. Paper Mills need to sell their price at the bottom price. Also, some paper mills in Morbi are taking weekly shutdown in a month to avoid slowdown heat. 

“The business vibes are uncertain, wavering and facing rough waters worldwide. The global economy is expected to face downside risks that could serve as detrimental for development. This could inflict significant damage on longer-term development prospects. It raises concerns over the sustainability of global economic growth in the face of rising financial, social and environmental challenges. In spite of such uncertainties and looming risks, we are grateful to the government for providing policies such as keeping inflation in check and streamlining GST, bold initiatives for brighter horizons,” said by Mr. Kirit Patel, CMD of Astron Paper and Board Mill.

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