India's Cosmo Films to ramp up BOPP film packaging by March 2010

Indian packaging film maker, Cosmo Films Ltd reportedly plans to outlay INR 2.2 bln by March 2010 to expand its bi-axially oriented polypropylene (BOPP) film packaging to 138,000 metric tons from the current 58,000 metric tons. The capacity expansion will help Cosmo twice its revenue in 2010-2011 from the year ended March 2008. By March 2009, the company also plans to augment its thermal films capacity to 22,000 tons from 18,000 tons. Competitor of Cosmo Films, Jindal Polyfilms is also envisaging doubling capacity for BOPP films to 180,000 tons in the current fiscal. Cosmo Films considers FMCG majors including Hindustan Lever, Nestle India, ITC, Britannia and Godfrey Philips among its customers. The expansion in BOPP films clearly underlines the increase in manufacturing capacity from the already matured markets to the emerging Asian markets. The expanding modern format retail and need for hygienically clean packaging has given way to increasing prospects for BOPP film market in India.