Packaging cos cleared to work during lockdown

Pune | New Delhi | Kolkata: Food companies heaved a sigh of relief as the government has allowed packaging material makers to operate during the lockdown, but many said labour availability remains an issue and that it would take time to resume supply. "With availability of packaging material there will be no disruption in supply chain," said Angshu Mallick, deputy chief executive officer at Adani Wilmar.

However, packaging industry still faces hurdles. “While packaging has been classified as essentials, the challenges remain. Migrant labour and trucks for transportation remain in short supply,” said Vimal Kedia, chairman and managing director of packaging major Manjushree Technopack, which caters to FCMG companies operating in home care, personal care and the healthcare segments, and counts Reckitt Benckiser, Coca-Cola and Dabur among its clients. He said supplementary packaging material such as pigments, pumps, closures and caps and corrugated boxes which are sourced from small scale industries continue to be impacted. “We expect it will take three weeks to streamline processes back to capacity,” he said.

The relaxation given to packaging industry is a blessing for basmati rice industry, which was left with 5-10 days stock, said Gurnam Arora, joint MD at Kohinoor Foods. “This will enable us to ramp up production from 40% to 50%,” he said.