UFlex will invest more than Rs7bn ($78.5m) to expand its packaging film manufacturing operations in Dharwad in the Indian state of Karnataka, according to a senior company executive cited by the Press Trust of India (PTI).
The expansion will add 54,000 metric tonnes per annum (MTPA) of packaging film capacity at the Dharwad plant.
UFlex’s total global packaging film capacity is expected to rise to 690,160 MTPA from its current 636,160 MTPA.
In an e-mailed interview with PTI, UFlex group president and chief financial officer (CFO) Rajesh Bhatia stated: "This project will add 54,000 MTPA of new capacity, significantly strengthening our portfolio and enhancing our ability to serve customers with scaleable, high-quality packaging solutions.”
The investment is part of a broader capacity enhancement programme across the Noida-based group.
UFlex has recently finished expanding aseptic packaging production at its Sanand facility in Gujarat, increasing its capacity from 7 billion to 12 billion packs annually.
The flexible packaging solutions provider also has three projects under way: a 12-billion-pack aseptic packaging plant in Egypt, an 80-million woven polypropylene bags line in Mexico and a recycling plant in Noida with an estimated capacity of 40,000 MTPA.
“We expect these new capacities to start contributing from FY27 and reach their full impact in FY28, supporting steady and profitable growth,” Bhatia added.
Once fully operational, the new investments are projected to generate Rs30bn in additional revenue.
Bhatia added: “In FY25, we reported consolidated revenue of over Rs150bn, and these new capacities will strengthen our growth trajectory even further".
He further pointed to policy and regulatory trends in India such as goods and services tax rationalisation and the extended producer responsibility framework. These factors encourage increased consumption and greater demand for recycled packaging materials.
This follows UFlex’s collaboration with Morris Packaging to introduce a new line of woven bags in the flexible packaging sector.
