Paper imports cross 2 MT in FY25, posing challenges for local players: IPMA

Paper and paperboard imports reached a record 2.05 million tonne in 2024-25 with a 33 per cent jump in volume from China, the Indian Paper Manufacturers Association (IPMA) said on Friday while expressing concerns over growing shipments.

This surge in imports has emerged as a significant challenge for the domestic paper industry, undermining its growth potential and threatening investments in capacity expansion, the association said in a statement.

Citing the Commerce Ministry data, the IPMA said paper and paperboard imports surged more than twofold in the past four years to hit 2.05 million tonne in FY25 from 1.08 million tonne in FY21.

Imports from China now account for 27 per cent of the total paper and paperboard imports into India, and the ASEAN bloc accounts for 20 per cent of the total imports, the IPMA said. 

In value terms, imports of paper and paperboard touched nearly Rs 15,000 crore in FY25.

The relentless surge in paper imports is a matter of grave concern for the domestic paper industry, which has invested substantially in capacity building and sustainability initiatives, IPMA President Pawan Agarwal stated.

Agarwal claimed that imports have made most small and medium paper mills in India commercially unviable. According to Department for Promotion of Industry & Internal Trade (DPIIT), out of over 850-900 paper mills in the country, only 550 are operational, Agarwal said.

We urge the government to implement stricter quality control measures, review trade agreements that lead to duty-free or low-duty access for paper imports, undertake trade remedial measures, and ensure a level playing field for the Indian paper industry.