Inoflex buys new Pelican Cerrutti rotogravure press
Indore-based Inoflex is on an investment drive. The company recently ordered a new ix-color Pelican Cerrutti shafted rotogravure printing press. The installation of the press was delayed considering of the Covid-19 lockdown. For converting, Inoflex purchased a solvent-less laminator from Pelican Rotoflex and an SP Ultraflex 700 meters a minute rewinder-slitter.
"Nosotros were exploring both CI flexo and rotogravure options and looking at market feedback. Based on the feedback and our evaluation, we ended that a CI press is even so a couple of years away from becoming a viable option in Indian atmospheric condition," says Saurabh Doshi, owner-director of Inoflex. "Currently, FMCG brands in the Indian marketplace prefer rotogravure printing. Hence, we decided to become alee, although we will not hesitate a re-wait at market place conditions and consider an investment in flexo applied science in the future.
"Our monthly product has fallen past more than fifty% since the lockdown. There was a brief rise in demand from FMCG majors during the initial days when people were stocking up groceries. However, the situation normalized inside weeks. We supply to pharma, FMCG, confectionary, and non-nutrient segments. While the demand for packaging in pharma and FMCG segments is holding, in the other 2 sectors, it has dropped considerably. We used to supply 1,000 tons of packaging every month earlier the Covid situation, which fell to around 250 tons a month in Apr. This drop in demand is because of the country-wide lockdown.
"Notwithstanding, we accept no complaints. We laud the government for taking the correct step at the right time. I'm sure the lockdown must take saved many lives in our country."
Labor exodus a challenge to re-scaling production
Presently later the lockdown, many packaging companies faced a turn down in demand or a loss in business organization. While the authorities took steps to open up or allow specific manufacture segments to operate, there were still gaps in the supply chain. Converters were on tenterhooks correct from raw textile sourcing to the logistics of supplying their client'due south plants.
Doshi says that while most of March and April saw less need, the marketplace showed precipitous signs of recovery in May. By and so, much migrant labor had left, posing severe challenges for Inoflex to scale-up product. "Getting permission to operate during the lockdown was not a trouble at all. However, near 40% of our employees returned to their hometowns or villages during the lockdown, although we were gear up to pay and retain them despite having less or no piece of work.
"The fear of falling casualty to this mystery-virus made workers abscond in a matter of days. Most of them left because they were agape and had no clue about the disease. Yet, we continue to pay them based on their past operation. Labor migration didn't touch on us in March and April since there was hardly whatever piece of work. Nonetheless, as nosotros are witnessing a precipitous increase in demand in May, the lack of skilled labor is condign a trouble for us. I believe many of them will come back to bring together us in July," Doshi explains.
Modify in consumers' consumption pattern
The Covid-nineteen situation led to many task losses and pay cuts across the country. While the common-man was in a state of distress, packaging converters experienced an interesting change in consumer behavior. "Before, the big quantity packs were consumed more than. However, exist it because of the job-losses or less spending due to pay-cuts, we accept witnessed a growth in the consumption of smaller packs. This pattern may continue till the terminate of this year or until the situation normalizes," adds Doshi.
Smaller brands reluctant to pay for toluene-gratis packaging
Inoflex uses inks from the Flint Group and Sakata INX for its food packaging materials. "Toluene is non safe for nutrient packaging. India is a vast state that has still not placed any ban on toluene-based inks. On the other hand, a smaller state like Sri Lanka has successfully banned toluene inks. No FMCG brand in Sri Lanka, large or small, is allowed to use toluene-based inks.
"The alter has to come from the consumers' terminate. One time the consumer asks for it, regulatory regime volition take the matter more seriously, and brands will focus on eliminating toluene from their packaging. While many major brands have made significant developments to discourage toluene, smaller brands are still hesitant considering of the price gap. There is a large five% departure in cost in toluene-based and toluene-gratis packaging. The bigger brands are willing to pay the difference, but the smaller ones aren't. Although we educate them about the importance of toluene-complimentary packaging, the higher price is a major roadblock right now," Doshi concludes.
Source: https://packagingsouthasia.com/type-of-packaging/flexible-packaging/inoflex-buys-pelican-cerrutti/
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