Uflex invests $400 million to expand

India’s $1 billion film and flexible packaging maker Uflex Ltd. has given a nod to a plan that includes expanding plants and establishing new factories in India and overseas.

The firm, one of the largest and fastest-growing flexible packaging firms in India, has drawn up a three-year growth strategy.

“The expansion plan … envisages opening new plants in new locations inside and outside India,” said President R.K. Jain, in an interview with Plastics News at the company’s headquarters in Noida, near Delhi.

“We have earmarked an investment of $400 million,” said Jain.

The move is aimed at doubling the company’s annual revenue to $2 billion in four to five years.
In the past three years, Uflex has opened plants in Egypt, Poland and the U.S., besides India, and expanded its Mexico facility.

“We have now consolidated and stabilized our operations in these markets and we are now ready for next phase of expansion,” he said. Uflex has not identified sites for the proposed plants. “We have no plant in the Far Eastern market, so that could be one of the regions on our radar,” he said.

Uflex controls about a 30-35 percent share of India’s $4 billion packaging industry.

How Flexible Packaging Helps Manufacturers of Consumer Goods

In today’s age consumer goods manufacturers face tough competition as they all struggle to find methods to lure the consumer towards their products. Money is spent on marketing, advertising, publicity etc. New methods are devised to make the consumer use/try their product.  It’s not an easy task, since no matter what you manufacture there is already an existing competitor present in the market.

In this time of cut throat competition, a number of manufacturers are turning to flexible packaging of their products. This form of packaging offers a variety of exciting marketing opportunities to the producer without increasing the cost of production. The packaging can be tailored to suit the merchandising requirements.

The 3D / 4D stand up pouches are a popular style of packaging. It is made by blending several layers of plastic with aluminum. This combination allows for a new and sophisticated printing and designing techniques to be used on the packet. This fact alone gives the manufacturers to design attractive logos, designs, graphics etc on their package which can catch the eye of the consumer.

Flexible style of packaging can be customized into practically any shape or size. They can also incorporate a variety of colors and styles. A different looking packet is bound to attract the eye of the consumer.
Flexible packaging allows the usage of same style of pouches to store different items. For instance the basic pouch can be used to store food, beverage and non-food items. With the addition of a special feature the pouch can be even more customized. For e.g., if a spout is added to the basic pouch it can be used to store liquids. The addition of a zipper and diaphragm will make the pouch more convenient to store and restore dry items.

Flexible packaging helps businesses and brands gain recognizition. The process is cheap so even the most cost conscious business can afford it. It can be customized to suit a brand so that businesses don’t have to end up choosing between short term gains and long term recognizition.

Uflex believes that the greatest improvement in the packaging industry is the flexible packaging. Many of the innovations that have become a part of the FMCG industry are products of the flexible packaging industry.

Uflex pushes for new innovations and trends thanks to the breakthroughs in plastic research and raw material enhancements.

Flexible Packaging & Food Safety

‘It’s all in the packaging’ is a phrase most manufacturers swear by. Unless the consumer tastes the end product, he wouldn’t know the quality. But to convince him to pick up that packet from the supermarket shelf, a good and attractive packaging plays a major part.

The role of flexible packaging isn’t limited to just attract the consumer. It is also meant to protect the food items inside.  Protection from contamination and deterioration throughout its shelf life is also an integral part of good flexible packaging. It must also be informative of the nutrients and ingredients and other details in compliance with the labeling and packaging regulations.

Some of the basic features considered for good flexible packaging are:

· Compatibility with the product and storage conditions

· Protection of the product from deterioration of chemical, physical or biological nature

· Appropriate packaging intended for the final use of the product (e.g. - Microwavable packaging, resealable packets etc)

· Ability to sustain the stress of production and distribution - won’t crack/break or degrade

No material is inert. When a material like plastic is put into contact with edible products there will be a release of substances from the plastic into the edible content. The release will depend on 3 factors namely:

-The types of material

-Type of edible content

-Contact conditions

However, the release or ‘migrants’ as they are known into the food content doesn’t not render it toxic or dangerous to consume   because a shield layer of plastic which is food grade is used while forming the packaging material.  Even the   migration is taken into account by regulators while approving a new food contact substances. Studies on toxicology are carried out by regulators prior to approval.

Uflex Ltd., India’s largest flexible packaging company has been offering amongst others, the food packaging solutions for more than two decades now.  The company offers packaging materials for food products made out of BOPET (Biaxially Oriented Polytthylene Terapthalate), BOPP (Biaxially Oriented Polypropylene) and CPP (Cast Polypropylene) films. The manufacturing of these products are in strict adherence to the international standards and norms. Flexible packaging at Uflex is known for excellent chemical resistance, strength, protection against moisture and odour and dimensional stability.

Keeping up with the times and the dynamics of the packaging industry Uflex has been a pioneer in setting benchmarks for delivering innovative packaging concepts and to ensure the safety and viability of the packaged food in its life cycle. 

Packaging Trends to Look Forward in 2013

Last year had been a good one for the global flexible packaging industry. Emerging markets in Asia and Latin America led to a strong resurgence after the global recession, and it is projected that flexible packaging will be a $100 billion industry by 2016. 

This year, packaging industry players are looking forward to new efficiencies and economies of structure. Reorganizations, consolidations, lean manufacturing and sustainability are some of the measures they consider to tackle the current situation. Apart from this, flexible packaging industry is heavily relying on other areas such as performance metrics and looking more stringently at project proposals. 

Here we will discuss packaging trends to watch closely in 2013:

Smart Packaging: With changing lifestyles and consumers being more demanding, active and intelligent packaging focus more on consumer benefits such as food quality and safety, freshness and information rather than  specific retailer and manufacturer driven benefits.

Bio-Based Plastics: Recyclable PET made from renewable resource is projected to offer significant growth potential in long term. Hence the corporations involved in the soft drink industry, are investing heavily in the development of this material.

Stand-up Pouches: Bottles and cans have become the things of past. Stand-up pouches are preferred more because of their flexibility, sustainability and convenience. They are one of the most innovative marketing approaches to stimulate the sales of a stagnant brand.

Retail Ready Packaging (RRP), a method of packaging to make the products easier for the retailers to stock, continues to gain traction in North America more and more retailers have started to consider implementation, and others broaden the scope of existing initiatives into additional categories.

Social Media’s Role in Packaging: Marketing strategies are changing and internet continues to revolutionize how we find, buy, sell, and interact with brands and their products or services. While traditional marketing focused on pushing messages out, nowadays, it's more about getting found by customers. Hence, market players need to provide value and earning customer loyalty instead of simply conveying message to the consumers and hoping it will stick.

Along with this, packaging industry professionals must not ignore the consumer voice. Studying consumer culture will always reveal packaging trends and labeling needs in future. Considering the lifestyle changes and economic growth, Uflex Ltd. always follows a strategy with innovation, proximity to customers to provide better services and quick deliveries and focus on operational excellence.                                       

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