![]() Financial Daily from THE HINDU group of publications Monday, May 16, 2005 |
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Corporate
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Outlook ITC sees growing demand for paperboards in textiles sector G. Gurumurthy
Our Bureau Coimbatore , May 15 SENSING a growth in paper products application in the country's apparel and textile sectors, ITC Ltd's Paperboards and Speciality Papers Division (PSPD) has launched an industry-level interface with the apparel sector. ITC has chosen Tirupur, the cotton knitwear capital, to press into action its first ever interface which, according to its officials, is intended to bring both the end-users of its paperboards, namely the apparel exporters, and the printing industry, the intermediaries consuming paperboards, to understand their needs. The arrangement, akin to the one ITC has forged with the pharma industry, would demonstrate ITC's capability in meeting the need for speciality papers/ boards and packaging material including the elemental chlorine-free (ECF) boards required by garment exporters. ITC also intends to work out product customisation/product development specially required by the readymade garment exporters thereby obviating the need for the latter to import paperboards used in their export merchandise, said Mr K.I. Viswanathan, Head (Marketing), ITC PSPD. Briefing presspersons here on the company's new initiative of partnering with the textile exporters, Mr Viswanathan said his company expected the volume of paperboards consumption in the textile/clothing sector to raise from the present estimated 30,000 tonnes to 1.20 lakh tonnes within the next four to five years. ITC, which is already catering to the Tirupur garment market, is set to go full throttle considering the pace of export manufacture billed for the region over the next few months. It is also building its infrastructure within Tirupur to enlarge its volume of operation. ITC markets around 300 tonnes of paperboards monthly in Tirupur and it expects this volume to double within three to four years. The broad areas of paperboards applications in the apparel sector are in accessories such as tags, photocards, inserts and cartons. The Rs 1,200-crore ITC PSPD which has ramped up its production capacity from 1.8 lakh tonnes to 3.50 lakh tonnes in anticipation of a surge in demands for boards looks at the prospects of paperboards demand from textile and food sectors upstaging the other sectors including the pharma and FMCG.
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