UFlex's Rs 700 Crore Expansion Boosts Global Packaging Capacity

UFlex Ltd plans to expand its packaging film manufacturing line in Dharwad, Karnataka, by investing over Rs 700 crore. This expansion will increase its global packaging film capacity significantly, adding 54,000 MTPA. The move is part of a broader strategy, including projects in Egypt, Mexico, and India, projected to enhance growth and revenue.

UFlex Ltd, a leader in flexible packaging solutions, is set to inject over Rs 700 crore into expanding its packaging film manufacturing operations in Dharwad, Karnataka, a senior official confirmed. This investment aims to bolster their global presence by adding 54,000 metric tonnes per annum (MTPA) to their existing capacity.

According to UFlex's Group President and CFO, Rajesh Bhatia, the expansion in Dharwad is synchronous with their strategic initiatives, such as boosting their aseptic packaging line in Gujarat and new projects in Egypt, Mexico, and Noida. These efforts are expected to ramp up global capacity and capabilities significantly by the late 2020s.

The substantial expansions across various locations are projected to contribute an additional Rs 3,000 crore in revenue once fully operational. Moreover, adjustments in GST and India's EPR framework are anticipated to spur further demand for recyclable materials, underpinning sustained growth for UFlex.

(With inputs from agencies.)