Scholle IPN eyes to tap Indian aseptic packaging market with new plant

The US-based bag-in-box packaging expert sees huge opportunity in the growing fruit juices market

Scholle IPN's Palghar facility
Scholle IPN's Palghar facility
Rakesh Rao Mumbai
Last Updated : Apr 12 2017 | 12:46 PM IST
The US-based Scholle IPN, a leading player in the global bag-in-box packaging market, is eyeing to tap the expanding aseptic packaging market in India, especially the fruit juices segment, with the establishment of its new manufacturing facility at Palghar near Mumbai. While Scholle IPN primarily focuses on bag-in-box production, it is also a growing force for spouted pouch packaging and injection moulding of precision fitments for flexible packaging.

The Indian packaging industry has been showing robust growth with the central government predicting a climb from $25 billion to $35 billion over the next three years. From the product side, India is a very large producer of mangos and other tropical fruits which require aseptic packaging to effectively and economically distribute them throughout the supply chain. And this is an area of opportunity, which Scholle IPN aims to tap with the new facility. 

“Currently, all aseptic drum bags are imported. So, to resolve this difficult supply chain issue, we chose to install production capabilities in country. We already have facilities in other parts of Asia, and with the sizable market requirements and growing industry, India really seemed like the next, best place to build infrastructure,” commented Dhandutt Shah, managing director of Scholle IPN India Packaging Pvt Ltd, in a press statement.

The new 6,000 square meter facility is fitted with 25 injection moulding machines and has the ability to manufacture aseptic bag-in-box packaging. Till now, for Indian customers, Scholle IPN used to meet the requirements of bag-in-box packaging for aseptically-processed fruits & vegetables, and post-mix syrup for soft drinks through import. With the opening of new Palghar facility, these requirements will be fulfilled locally.

Shah informed, “Our location will help to build the industry within this area and those surrounding. But that’s not it. On top of creating bags, our new facility also plans to encourage and explore new flexible packaging applications and uses. Scholle IPN has a long history of pioneering unique, better packaging solutions and, in India, we are well-resourced to continue doing just that.”

The Palghar facility will be primarily focusing on making aseptic drum bags for the tropical fruit juice industry. The bag-in-box manufacturing machine at the facility will allow the company to manufacture bags ranging from 3-liters to 220-liters, with a variety of barrier layers including: aluminium foil, metallised polyester, and even co-extruded nylon. Additionally, the bag-in-box manufacturing machine will be equipped with special neck band and delta seal features required in this market.

“While we will primarily focus on aseptic drum bags, this facility is unique in that we will also manufacture spouts and even build our own product moulds for flexible packaging components like connectors, caps, and dispensing fitments,” explained Shah.

Through this new investment in India, Scholle IPN wants to be a vital ally in innovation and production of leading flexible packaging solutions in the country. He added, “By producing cost-effective fitments and bag-in-box packaging in regions where our customers are growing, we will support Scholle IPN’s overall strategy towards continued leadership in producing safe, natural, economic, and sustainable flexible packaging solutions.”

One subscription. Two world-class reads.

Already subscribed? Log in

Subscribe to read the full story →
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

Next Story