Emerging Role of Emerging Role of Corrugated Packaging in Corrugated Packaging in

Global ScenarioGlobal Scenario

Harish MadanPast-President,

Federation of Corrugated Box Manufacturers of IndiaDirector, SnS Containers Pvt. Ltd., Dehradun

Historical PerspectiveCorrugatedPackaging

• 50 Year old industry.

• Initially Corrugated Boards were imported from Japan.

• Over a few Years, 8 – 10 Automatic Board Making Plants were imported.

• These Plants are still in operation at various places in India.

• Fragmentation of the industry.

• Mushrooming of box units all over India.

• Manual and semi automatic machines set up.

• Industry reserved for SSI Sector.

• Resulted in constraints of technology development.

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Present Scenario

• Wave of Globalization sweeping the industry.

• Many global brands entering India.

• Demand for high quality boxes of international standards increasing.

• Consolidation taking place.

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Technology Development

• Integrating Manufacturing Processes.

• Indian Machinery Mfrs’ takes on the challenge and start making Automatic Plants.

• 25 to 30 Indigenous Automatic Plants installed in last 10 years B U T….. s p e e d s < 50mtrs/mnt

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• Printing Processes on corrugated transform from screen…to offset… to Flexo….High Speed Flexo

• Ceramic Anilox Rolls upto 400dpi.

• PLC Controlled High speed, Multi Colour FlexoPrinting Machines with Slotter, Die Cutter units

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The China Factor• Enter – Chinese Corrugating Lines • Speeds > 100mtrs/mnt to 4 5 0 mtrs/mnt ! !• Converting Machines-Printers, Slotter, Diecutters• Machine manufacturers capable of producing

almost 300 plants in a year ! !

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• Initial resistance to high cost of the Plants gradually being overcome.

• More and more progressive Corrugators opting for sophisticated Chinese plants.

• 10 to 12 Chinese plants already installed.

• Another 10 plants in pipe line.

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Quality

• Awareness for the need of Systems to maintain Consistency in Quality for our Customers.

• Corrugators started implementing Quality Systems and attaining ISO Certification.

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• Modern Quality Systems like ISOs, Six Sigma, 4M, etc., are being put in place, resulting in higher Productivity and Consistency in Quality.

• Streamlined Shop Floors.

• Material Handling Systems are being put to use.

Future Outlook

• Educated and enlightened entrepreneurs entering the industry.

• Indian Corrugated Industry ready for a quantum leap in terms of Quality, Productivity and Technology.

• Box making industry will endeavor to be at par with international standards.

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Benefits

• Improved Management Practices.

• Better Quality Boxes with good graphics > Value Add

• Capability to deliver large volumes at short lead time.

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Future Outlook

• On the machinery side, technology upgradationis imperative, to match the speeds and sophistication of Chinese machines.

• Some alliances between Indian and Chinese/Taiwanese machinery manufacturers are on the anvil.

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Constraints

• Quality and fluctuating prices of Kraft Paper.

• High Import duty.

• Excise Duty Structure.

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Efforts by F C B M

• FCBM appealing to concerned authorities to remove constraints.

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• Corrugated Box continues to be the most preferred mode of Packaging because of its versatility, strength, cost-effectiveness and eco-friendliness.

• As shipping container or secondary package the box has few rivals.

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• Emerging as a Primary Pack, POP, Pallet, etc.

• Box is also being effectively used as a marketing tool.

• Consumer friendly packages.

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• Innovative Designs• Value Engineering for Cost Innovations.• Improved Graphics, great Value Addition• Eco-friendly material fitments are making

corrugated boxes the preferred choice for packing fresh fruits, vegetables, electrical, electronic equipments and a host of other applications.

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Customer sees better value-addition in a corrugated box

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Future Challenges

• Higher Strength

• Lesser Weight

• Better Graphics

• Lower Tolerances

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Future Challenges

• Shorter lead times

• JIT Deliveries

• Quality Certifications

• Incorporation of Bar Codes,RFID as part of Box

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