West Coast Paper Mills: sequential investments aimed at elevating paper quality and introducing cutting-edge specialty products

West Coast Paper Mills: sequential investments aimed at elevating paper quality and introducing cutting-edge specialty products

- The production of Paper and Paperboard was 314919 MT (98% capacity utilization) during FY 22-23 against 296785 MT in the last year (93% capacity utilization) i.e., higher by 18134 MT.

- WCPM is continuously working by phase wise investment at Paper Division, Dandeli for improving paper quality, produce new speciality products and reduction of usage of steam, power, chemical, water and also minimize the Additionally. 

The Pulp and Paper Times:

West Coast Paper Mills Limited (WCPM) is one of the oldest and the largest producers of paper for printing, writing, and packaging in India. Established in 1955, the Mill is located at Dandeli in Uttara Kannada district in Karnataka. The global quality paper produced by the Company serves the needs of innumerable industries in printing, writing, publishing, stationary, notebooks and packaging sectors in India, in the process contributing to the development of the nation.

West Coast Paper Mills Ltd. enjoys a vast foothold in India’s writing and printing paper segment on account of extensive experience, pan-India dealer network and technical expertise. The Company’s paper plant enjoys a production capacity of 3.2 lakh MTPA in Dandeli; the APL plant comprises a capacity of 2.5 lakh MTPA, resulting in a visible market position. The Company’s focus is to develop new value-added products, that will support to enhance the product basket as well as market share.

The annual report of West Coast paper for FY 22-23 states, In Paper and Paper Board segment, West Coast Paper Mills achieved a remarkable year-on-year production increase of approximately 6.11%. This growth can be attributed to its ability to meet the rising demand for paper and paperboard products. With production volumes reaching 314,919 tonnes in FY2023, up from 296,785 tonnes in FY2022, WCPM has demonstrated its agility and responsiveness in addressing market demand. This significant increase positions WCPM favourably in the industry, allowing it to capture a larger market share and expand its customer base.

The production of Paper and Paperboard was 314919 MT (98% capacity utilization) during the year against 296785 MT in the last year (93% capacity utilization) i.e., higher by 18134 MT. The Sale of Paper and Paperboard was 310349 MT during the year against 303715 MT in the last year i.e., higher by 6634 MT. Turnover during the year was INR 2,605 Crores as against INR 1,858 Crores in the last year, i.e., higher by INR 747 Crores. The Operating EBITDA margin was 33.90 % during the year.

Export of Paper and Paperboard in foreign currency during the year was 2204 MT worth INR 18 Crores (FOB) as against 3606 MT worth INR 21 Crores (FOB) in the last year. Similarly, Export of Cable was at INR 10 Crores (FOB) same as last year.

WCPM is continuously working by phase wise investment at Paper Division, Dandeli for improving paper quality, produce new speciality products and reduction of usage of steam, power, chemical, water and also minimize the Additionally. 

“Paper consumption in India was approximately 22.05 MT in FY23. Carton boards and container boards (corrugated boards) account for 55%, followed by writing and printing paper at 25%, specialty paper at 10% and newsprint at 10%. The country is expected to grow 6-7% a year to reach 30 million tonnes by FY 2026-27, catalysed by robust growth in the packaging board. The consumer packaging segment is expected to grow by 9.5% CAGR, driven by increased volumes of household appliances, FMCG products, ready-made garments, pharmaceuticals and e-commerce.” The report says.

“Quality printing and writing paper addresses the needs of modern print houses and the education sector (60%). This market segment is growing nominally following digitalisation even as the country’s share of the global writing & printing paper segment is expected to increase from 7% to 11% by 2024.

“Paper cups are single use disposable small container products, popular owing to biodegradability and environmental friendliness. The paper cup market is expected to increase at a 3.10% CAGR from 2023 to 2030, reaching USD 13.55 billion, up from USD 10.61 billion in 2022. The growing popularity of takeaway services and ready-to-eat meals has catalysed demand.” The report stated.
 

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