The new plant will help the company increase the production capacity for the printing and finishing of aseptic carton packs with high environmental standards
The proposed aseptic carton plant in India. (Credit: SIG)
Swiss packaging solutions provider SIG has unveiled its plans to build its first aseptic carton plant in India in the state of Gujarat to locally produce aseptic carton packs.
The new plant, located in Ahmedabad, will increase the production capacity for the printing and finishing of aseptic carton packs with high environmental standards.
SIG said that the construction of the plant is expected to start in Q1 2023 and commercial production is anticipated to begin by the end of next year.
The first phase of the construction is expected to generate around 300 jobs, the packaging firm added.
The facility will provide its expanding filler base, which now provides products to dairy and non-carbonated soft drink manufacturers.
SIG Asia-Pacific South president and general manager Angela Lu said: “India is fast becoming the world’s most populous country and has a very low per capita consumption of entry-level packaged food and beverage goods.
“Since entering the market five years ago we have grown exponentially. We are looking forward to further expanding our presence and driving our market share.
“An established local infrastructure will allow us to fast-track innovations and build strong and long-lasting partnerships with our customers.”
SIG will invest roughly €60m between 2023 and 2025 to establish a production capacity of up to four billion packets annually.
The additional investments have the potential to increase the capacity by up to 10 billion packs per year, the firm claimed.
The necessary land and building will be funded via a long-term lease with a net present value rule (NPV) of an estimated €30m.
SIG India and Bangladesh Markets head Vandana Tandan said: “We are thrilled to announce that soon we will have locally produced Made in India aseptic carton packs. With this plant, we will be able to further develop the range of products available to Indian consumers.
“Our long shelf-life packaging increases access to vital nutrition and avoids food waste through an array of sizes to suit all consumption occasions at affordable price points.”