The Hindu Business Line : Hindustan Paper pays maiden dividend to Govt

Future plans
HNL is seeking to add capacity for production of 1.8 lakh tpa finer papers making it close to a 3 lakh tpa capacity mill.
All these plans are under way and will be completed phase-wise by 2009.
HPC is also seeking to establish a greenfield three-lakh tpa mill in Northern India.

Kochi , Aug. 7

Hindustan Paper Corporation Ltd (HPC) has paid a maiden dividend of Rs 15.20 crore to the Union Government for the financial year 2005-06.

Mr Raji Philip, CMD, presented the dividend cheque last week to Mr Sontosh Mohan Dev, Union Minister of Heavy Industries & Public Enterprises, , according to an official press release here.

HPC's three operating mills — Cachar Paper Mill (CPM) and Nagaon Paper Mill (NPM), located in Assam and Hindustan Newsprint Ltd (HNL) Mill in Kerala have recorded a production output of 3,20,118 tonnes of paper/newsprint as against 3,09,514 tonnes in the previous fiscal.

HPC has exceeded the combined installed capacity of three lakh tonnes for the fourth time in succession. Production of printing and writing paper was 2,07,068 tonnes and 1,00,631 tonnes at CPM and 1,06,437 tonnes at NPM against 91,012 tonnes and 1,06,300 tonnes respectively in the previous financial year. Production of newsprint was 1,13,050 tonnes at HNL mill against 1,12,202 tonnes in the previous fiscal.

HPC has registered an all-time high sales volume of 3,24,259 tonnes with 2,11,209 tonnes of printing and writing paper and 1,13,050 tonnes of newsprint, achieving a sales turnover of Rs 1,045 crore against (Rs 855 crore).

Collection of receivables was also a record Rs 1,055 crore (Rs 947 crore).

HPC is aiming at a sales turnover of Rs 1,177 crore and a profit before tax of Rs 150 crore in 2006-07.

To position itself as a leading player in the Indian paper industry, HPC has embarked on a Rs 660-crore modernisation and technical upgradation plan covering CPM and NPM including, inter-alia, 30 per cent capacity expansion at NPM and an Rs 720-crore expansion-cum-diversification project at HNL to add capacity for production of 1.8 lakh tonnes a year finer papers making it close to a 3 lakh tpa capacity mill.

All these plans are under way and will be completed phase-wise by 2009.

HPC is also seeking to establish a greenfield three lakh tpa mill in northern India besides overseeing the Rs 550-crore scheme for revival of the non-operational mill under the Nagaland Pulp and Paper Company Ltd, Tuli, Nagaland by doubling the installed capacity to 66,000 tpa.

HPC has sought mini-ratna category I status on the strength of its performance track record for facilitating smoother and quicker investment decisions.

More Stories on : Dividend Announcement | Paper | rd & Newsprint | PSU

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page