By 2025, Asia Pulp & Paper intends to begin its enormous capacity in India to produce WPP, tissue, and packaging boards

By 2025, Asia Pulp & Paper intends to begin its enormous capacity in India to produce WPP, tissue, and packaging boards

- India Project is a strategic way forward for us to support APP’s operations in Indonesia.
- APP to produce 1.2 million MT of paper products including printing paper, tissue and packaging board.
- A state-of-the-art facility with technology considered the most advanced in India.

Jakarta, 1 December 2022, The Pulp and Paper Times

Asia Pulp & Paper (APP) Sinar Mas is considering the construction of a paper production facility in the Raigad district of the western Indian state of Maharashtra. The site in Dherand village identified for the facility will have a capacity to produce 1.2 million MT of paper products including printing paper, tissue and packaging board.

The letter of allotment and the incentives offer letter were granted to APP by the Chief Minister of Maharashtra Eknath Shinde and Deputy Chief Minister of Maharashtra Devendra Fadnavis to company representatives on November 29th. “We would like to assure that the state is very much in support of investors coming into Maharashtra and are helping us by opening up more employment opportunities for the people of the state,” said Chief Minister Eknath Shinde. The company was offered various incentives and the exclusive permission to receive 100% of its investment back by way of multiple incentives offered, with provision of a 40 year timeline for receiving the incentive benefits, he added.

A feasibility study is currently being undertaken by APP to ensure the facility meets operational requirements and global sustainability standards including social and environmental impact assessments. The company adds that the production facility in India will source its material from Indonesian operations and it will invest INR 10,500 CR (USD1.2 billion) to develop a state-of-the-art facility with technology considered the most advanced in India.

An APP representative commenting on the company’s decision to establish a production facility in India said: “The India Project is a strategic way forward for us to support our operations in Indonesia while marking our presence in the Indian market which offers bright prospects with its strong growth. With the support of the government we are sure to deliver positive impact to the communities and the industrial ecosystem.”

The facility is expected to benefit the local economy and positively impact 7,000 members of the community through direct and indirect employment. Infrastructure such as roads will also be created or enhanced to facilitate movement of goods and employees accessing the facility. 

Once the feasibility study is completed and all necessary approvals are in place, the mill is expected to be operational in stages, beginning from 2025 to full functionality by 2027.

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. Asia Pulp & Paper (APP) Sinar Mas is a trade name of pulp and paper manufacturing companies that delivers quality products to meet the growing global demand for tissue, packaging and paper
 

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