Pakka Ltd's Bold Rs 750 Crore Expansion for Compostable Packaging

Pakka Ltd plans a major Rs 750 crore investment to enhance its manufacturing facility in Ayodhya, Uttar Pradesh. The expansion aims to double production capacity for compostable packaging to 246 metric tonnes per day, boosting exports. Notably, this will be the largest project in the company’s history.

Pakka Ltd is set to make a significant leap with a Rs 750 crore investment aimed at expanding its manufacturing facility in Ayodhya, Uttar Pradesh. This strategic move will enable the company to double its production capacity to 246 metric tonnes per day.

This expansion marks the single largest investment in Pakka's 44-year history and represents the world's first compostable flexible packaging facility of its size. Managing Director Ved Krishna emphasized the facility's global significance.

The project, classified under the 'Super Mega' category by the Uttar Pradesh government, will be funded through equity, internal accruals, and institutional debt. The firm aims to further enhance its export market, which already accounts for 33% of its revenue, expanding in regions like Latin America, Europe, and Africa.