India's no. 2 BOPP manufacturer to produce 1.36 lac tons by 2009-10

16-Aug-08

India's second largest manufacturer of Bi-axially Oriented Polypropylene (BOPP) films, Cosmo Films has envisaged an Rs.240 crore worth expansion plan to fuel the increase in BOPP demand due to retail boom. A major player in the 1.70 lakh tons Indian BOPP market expanding by 20% per annum, Cosmo Films wishes to develop a new line at Vadodra plant worth Rs.120 crore thereby augmenting the capacity form the current 56,000 tons to 96,000 tons which will see light by February 2009. Post commencement of this line, Cosmo Films will develop another line of 40,000 tons investing additional Rs.100 crore which is slated to be complete by 2009-2010 thereby totaling the BOPP output to 1.36 lakh tons by the period. As far as other value-added products are concerned, the firm plans to augment its capacities from 24,000 tons to 33,500 tons within the same time frame. Cosmo Films exports around 60% of the 21,000 tons of thermal lamination products to the Europe, US and West Asia. By adding a new line, the firm will augment its thermal lamination capacity by 3000 tons. Seeing the 4-5% increase per year of the BOPP per annum in the 4.7 mln tons global market, Cosmo Films is also eyeing new locations like Eastern Europe and Africa to expand.