Bulk Pack International Conference8-9th April 2010Hyderabad

Deepti Prakash MoharanaBusiness Development Group

Industrial product for Industrialized NationsFIBC Consumption – IndiaProduction – For Domestics consumptionDomestic consumer - Current ScenarioGrowth Prospect Customized OfferingIndustry's NeedConclusion

Business Development at HPL

◦ Helps End users to reap benefits of plastics

◦ Catalyses growth of plastics industry

◦ Concept promotion

◦ Entrepreneurship development

Majority of domestic usage for packaging of export oriented items

Untapped potential in domestic market2009-10

Ranking Country1 USA2 China3 Japan4 Germany5 Rep of Korea6 France7 Italy8 UK9 India

Source:- UNIDO’s International industrial statistics database

India – one of the top 10 industrialised nations

But…is India exploiting its full potential in terms of FIBC usage?

Ranking Countries/ Subcontinent1 North America2 Europe3 China, Far East & South East Asia4 Australian Subcontinent5 Central & South America6 Middle East7 Indian subcontinent8 Africa

India’s FIBC consumption - one of the lowest… in spite of being one of the top 3 FIBC manufacturing nations

0

2

4

6

8

10

12

14

16

18

2007‐2008 2008‐2009 2009‐ 2010 2010‐ 2011(E)

34

566

10

15

18

2 2 2 2

45

67

East

West

North

South

In KTA 

15 KTA 21 KTA 28 KTA 33 KTA(E)

Domestic share grew from 16 % in 2008-09 to 21 % in 2009-10

09-10 – FIBC Domestic Demand 28 KTAGrowth Projection – 22% in coming years

• PET/PTA• Carbon Black• Al Hydrate• Clay

• Ferro Alloy• Mining• Refractory• Mica• Sand / Minerals• Starch• Food Grain• Salt• CP Coke

FIBC already in use

Full FIBC potential yet to be explored

Cont …

Cont …

Cont …

Cont …

Cont …

Industry Issue Solution

Steel Industry Dosage of alloy One time discharge

Ferro Alloy Measurement Unit count

Minerals Storage/ warehouse Stackable

Alumina Transit Wastage Reduced by 7 to 10 %

Refractory Dust Spout for clean filling

Srl No Requirement Profile of Industry

1 Induced demand from buyer Mostly Exporter

2 Reduced Labour cost Labour intensive industry

3 Faster movement of materials High production line

4 Space management Warehousing

5 Industrial pollution control -compared to bulk dumping To Avoid air Pollution

6 Quick & accurate discharge General need

7 Product durability Compared to bulk dumping

Hurdles Suggestion

FIBC Handling Joint efforts with Bag Handling system developer

Skilled labour Training school needed with joint efforts

Reluctance to change Motivate by Cost benefit analysis

Enquires handling Equal priority to customers

FIBC Industry… at the onset of growth phase

IntroductionGrowth

Maturity

Decline

India

Market Size

Time15 to 20 Years

For Manufactures

Joint efforts with Handling system manufactures to help the end-users for the implementation

Offer Appropriate and accurate bag design

Understand the user need and develop the product

For Users

Develop the Product to fit with supply chain

Ensure the handling facility

Create synergy among the beneficiary◦ FIBC Manufactures◦ Handling System Manufactures◦ Current End Users◦ Potential Users

Efforts to debottleneck the issues and spread awareness. ◦ Meeting with associations & end users

FIBC is a industrial product & approach should be for – “End to end solution”

India’s FIBC is an emerging market, projected growth is about 22 %

There is a Knowledge gap between Manufacture and final user – needs knowledge sharing platform

“Let us work closely for widespread usage of FIBC”