ITC to ramp up paperboard production and exports

According to reports in leading business portals, ITC, a diversified conglomerate, wants to expand its paperboard and packaging production capacity. In the coming fiscal year, the company plans to boost shipments of value-added paper products by 20% annually, focusing on markets in the Middle East and Europe. As part of its growth strategy, ITC views the paper industry as a core sector, with strong, steady demand anticipated in the years ahead.

Currently, the company operates four plants in India, located in Bhadrachalam, Coimbatore, Tribeni, and Bollaram, with a combined production capacity of approximately 10.7-lakh tonnes per year. The Bhadrachalam facility, which covers 500-acres in Telangana, has been fully upgraded and is running at maximum capacity. ITC is now looking for a new site to expand further, prioritising proximity to raw material sources.

However, the domestic paper industry faces significant challenges. B Sumant, executive director at ITC, highlighted the growing concern over cheap imports from China and Indonesia to a leading newspaper, which are undermining local businesses. He urged the government to introduce anti-dumping measures to protect the industry.

Despite these issues, ITC remains optimistic about the sector’s potential. The per capita paper consumption in India is only 16-kg, far below the global average of 58-kg, suggesting significant room for growth. The company is also working to increase its exports, including developing specialty paper grades aimed at substituting plastic, and is expanding its presence in the US market.

With inputs from leading business portals.