ITC to set up packaging unit in Uttaranchal

KOLKATA: ITC’s packaging and printing division is setting up a greenfield cartonboards and flexibles unit in Uttaranchal. The proposed venture will be in addition to the company’s plans to upgrade the existing Chennai unit to further strengthen its position in the value-added cartonboards and flexibles.

The proposed expansion-cum-upgradation plan will entail an investment of nearly Rs 200 crore in the financial year ’06-07. While the greenfield facility for cartonboards and flexibles in Uttaranchal will involve an outlay of about Rs 100 crore, the company has decided to invest a similar amount at its Tiruvottiyur unit in Chennai.

Though top company officials remained tight-lipped on the project details including the percentage increase in capacity post expansion, sources said efforts are on to make the project operational by March ’07. The company has already placed order for machines with suppliers like Bobst group, the source said.

While the new unit will augment capacities in packaging, upgradation of the Chennai unit will enhance the company’s capabilities to offer a range of value-added packaging solutions for the food & beverage, personal products, cigarette, liquor and IT industries. Currently, ITC annually converts over 35,000 tonnes of paperboards into value-added packaging.