A Publication on World Pulp, Paper & Allied Industry

April-June'2001 - Vol. 5 Issue 3



Indian Paper Industry needs modernisation, says
Mr. S K Bangur, President, Indian Paper Manufacturers Association

Q. What changes are taking place in Indian Paper Industry and what steps do you suggest for becoming globally competitive ?

Ans. Indian scenario has been effected by general opening of economics and the paper industry is gearing up to meet the challenges of globalization. Openness will bring entrepreneurship in the Indian industry. Competition should be met by looking into interest of the customer with regard to quality improvement and competitive price. Globally it will be difficult for small size units to compete and hence expansion and modernization of existing mills is necessary.

Cost reduction measures with respect to raw material, power, human resource and high interest rates have to be looked into and brought down.

It may be pointed out that even with tough competition, India is able to export paper which is creditable. We should have awareness of brands, instead of commodity.

Q What do you think on acquisition of paper industry ?
Ans. It is easier method to add to capacity if it clicks economically. We are open to it. Establishing green field project need huge capital expenditure and current margins do not justify such huge expenditure. Thus, the only way is either to acquire or expand the existing events.

Q What Plans do you have of the WCPM by the end of 2001?

Ans. The existing annual production of 1.2 lakh tonnes is being augmented to 1.8 lakh tonnes by the end of the year by installation of a new board machine and modernization of existing paper machines. New evaporator plant has already been commissioned. New recovery boiler of 550 t/day solids is under erection. New pulp washing, screening and oxygen delignification plant of 425 t/d capacity is under processing. Total investment will be of Rs 250 crores. Besides this, we are going for value added products and cost cutting measures. WCPM is also looking into various possible acquisitions.

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