Indian Label Industry Overview

8/6/2019 Indian Label Industry Overview

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What Does A CommercialWhat Does A Commercial

Packaging Converter Do.Packaging Converter Do.

Board CartonsBoard Cartons

Flexible PackagingFlexible Packaging(Film)(Film)

LabelsLabels Cups & ClosuresCups & Closures


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Indian Packaging Industry PieIndian Packaging Industry Pie

19%

10%

2%3%

19%12%

6%

10%

5%

14% Flexible

Labels

Cups, PoP

board tagsboard

corrugated

metal

glasscaps & closures

rigid plastic


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How Does The Converter Do ThisHow Does The Converter Do This

Offset is the predominant technology in India,Offset is the predominant technology in India,although gravure is still growing in India withalthough gravure is still growing in India withnew presses and electronic engravers beingnew presses and electronic engravers beingimported increasing in number each year.imported increasing in number each year.

Gravure in India is majorly used for FlexibleGravure in India is majorly used for Flexiblepackaging which is also growing at double digitpackaging which is also growing at double digitrates.rates.

Flexo Printing turnover in India is still at 20 toFlexo Printing turnover in India is still at 20 to25% of flexible packaging turnover although25% of flexible packaging turnover althoughgrowing fast with narrow web presses and alsogrowing fast with narrow web presses and alsowith import of wide web flexo mainly for thewith import of wide web flexo mainly for the

food processing industry.food processing industry.


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Operations Involved InOperations Involved In

Converting These ProductsConverting These Products

PrintingPrinting single sided/both sidessingle sided/both sidesVarnishingVarnishing

LaminationLamination

Value AdditionValue Addition Foiling/Screen/EmbossingFoiling/Screen/Embossing

Computer Sprocket PunchingComputer Sprocket Punching

Die cuttingDie cutting

Waste StrippingWaste Stripping


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Most Common Problem AreasMost Common Problem Areas Minimum 4 to 5 operations involvedMinimum 4 to 5 operations involved Raw Material is handled 8Raw Material is handled 8 --10 times10 times Wastages incurred at every stage of MaterialWastages incurred at every stage of Material

HandlingHandling More Capital investment required for differentMore Capital investment required for differentmachinery for various operationsmachinery for various operations

More Labor RequiredMore Labor Required Turnaround time is moreTurnaround time is more In SummaryIn Summary NET Cost of the product is higherNET Cost of the product is higher


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WELCOME TO THE DREAMWELCOME TO THE DREAM

WORLD..WORLD..

GO INLINEGO INLINE RAW MATERIAL TORAW MATERIAL TOFINISHED PRODUCT IN ONEFINISHED PRODUCT IN ONE

PASS!!!PASS!!!


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Offset VS. FlexoOffset VS. Flexo


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VARIOUS SUBSTRATE CAN BE CONVERTEDVARIOUS SUBSTRATE CAN BE CONVERTED

Plain paperPlain paper

Pressure sensitive stockPressure sensitive stock Board, Metallised boardBoard, Metallised board Film ( un supported)Film ( un supported)

Film Label stockFilm Label stock Foil, Metallised paper,Foil, Metallised paper,

Metallised filmMetallised film

Woven clothWoven cloth LaminatesLaminates Etc.Etc.


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AdvantagesAdvantages

Printing on both sides is possible withPrinting on both sides is possible withWeb Turn Bar in single passWeb Turn Bar in single pass

Delam / Relam (Printing on AdhesiveDelam / Relam (Printing on Adhesiveside) is possibleside) is possible

Printing, Lamination, Hot foil stamping,Printing, Lamination, Hot foil stamping,

Die cutting, Slitting, rewinding areDie cutting, Slitting, rewinding arepossible in line, in the same machinepossible in line, in the same machine


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AdvantagesAdvantages Reduced delivery timeReduced delivery time

Reduction in wastage, as all the printing,Reduction in wastage, as all the printing,converting is done In Lineconverting is done In Line

Reduction in Labor, Power, Floor spaceReduction in Labor, Power, Floor space Consistency within the same Run, andConsistency within the same Run, and

repeat orders.repeat orders.


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INLINE VS. TraditionalINLINE VS. Traditional Printing 8Printing 8 colourscolours

VarnishingVarnishing LaminationLamination Value Addition (2/3 Ops.)Value Addition (2/3 Ops.)

Die cuttingDie cutting Waste StrippingWaste Stripping Delivery in roll / sheetDelivery in roll / sheet

form/Individual productform/Individual product

All in one machineAll in one machine-- samesamepasspass

Reel cuttingReel cutting

CuttingCutting Printing 4Printing 4 colourcolour (Front)(Front) Printing 4Printing 4 colourcolour (Back)(Back)

VarnishingVarnishing LaminationLamination Value AdditionValue Addition Die cutting / cuttingDie cutting / cutting Waste StrippingWaste Stripping Multiple pass / MultipleMultiple pass / Multiple

machinesmachines


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FLEXO VS. OFFSETFLEXO VS. OFFSET Better colourBetter colour

consistencyconsistency Water less printingWater less printing Direct printingDirect printing

Less wastage due to allLess wastage due to allprocess in lineprocess in line

Inter station dryersInter station dryers

Easy to print non porousEasy to print non porousmaterialmaterial Less project cost

Irregular colourIrregular colour

consistencyconsistency Water and ink balanceWater and ink balance In direct printingIn direct printing

More wastage due toMore wastage due tomore no. of machinesmore no. of machines

Final dryer onlyFinal dryer only

Very difficult to print nonVery difficult to print nonporous materialsporous materials High project costLess project cost High project cost


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Opportunities Exist InOpportunities Exist In LabelsLabels

Flexible PackagingFlexible Packaging Films, Shrink sleevesFilms, Shrink sleeves

CartonsCartons


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The Indian Label & PackagingThe Indian Label & Packaging

IndustryIndustry The Industry as a whole is growing more than twice theThe Industry as a whole is growing more than twice the

GDP growth rate.GDP growth rate. Packaging and Converting growth in India is the leadingPackaging and Converting growth in India is the leading

segment. It has grown from 26% of the printing industrysegment. It has grown from 26% of the printing industry

in 1999 to about 34% of the total turnover of thein 1999 to about 34% of the total turnover of theindustry.industry.

The label Industrys size including wet glue, pressureThe label Industrys size including wet glue, pressuresensitive, flexible and wraparound labels in 02sensitive, flexible and wraparound labels in 02--03 was03 was

Rs. 18.42 Billion. It is expected that with the forecastedRs. 18.42 Billion. It is expected that with the forecastedgrowth trends, the Indian label industrys turnover willgrowth trends, the Indian label industrys turnover willsurpass the US$ 1 Billion mark in 2007surpass the US$ 1 Billion mark in 2007--08 and up to US$08 and up to US$

1.4 Billion in 20101.4 Billion in 2010


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The Indian Label IndustryThe Indian Label Industry Wet Glue labels will continue to grow at 11% but theWet Glue labels will continue to grow at 11% but the

same for pressure sensitive labels would be aroundsame for pressure sensitive labels would be around24%.24%.

Within pressure sensitive labels, the use of transparentWithin pressure sensitive labels, the use of transparent

and filmic labels is the hot segment. Flexible labelsand filmic labels is the hot segment. Flexible labelsproduced by gravure and flexography are increasing atproduced by gravure and flexography are increasing atmore than 25% annually from a small base of Rs. 680more than 25% annually from a small base of Rs. 680million in 02million in 02--03 to at least 3.24 Billion in 0903 to at least 3.24 Billion in 09--1010

Wet glue will decline in India to about 30% of labelWet glue will decline in India to about 30% of labelproduction by value in 2009production by value in 2009--10 while pressure sensitive10 while pressure sensitivelabels will rise to 65% and flexible labels will go from 4%labels will rise to 65% and flexible labels will go from 4%

to more than 5%.to more than 5%.


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Substrates In IndiaSubstrates In India

Present & FuturePresent & Future

India already manufacturers more than 600,000India already manufacturers more than 600,000tons of plastic based films and laminates with antons of plastic based films and laminates with an

annual growth in capacity of 10%.annual growth in capacity of 10%.

Leading suppliers of hot and cold foils such asLeading suppliers of hot and cold foils such asKurzKurz and API are already present in the country.and API are already present in the country.

Although India is a large manufacturer ofAlthough India is a large manufacturer ofchromo paper used for wet glue labels, the bestchromo paper used for wet glue labels, the bestface stock for pressure sensitive stocks needs toface stock for pressure sensitive stocks needs to

be imported.be imported.


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Substrates In IndiaSubstrates In India

Present & FuturePresent & Future

Label stock suppliers such as Avery DennisonLabel stock suppliers such as Avery Dennisonhave had a presence in the country for morehave had a presence in the country for morethan a decade and several other manufacturersthan a decade and several other manufacturersare due to set up plants in India. For the lastare due to set up plants in India. For the last

many years Domestic manufacturers like Weldonmany years Domestic manufacturers like Weldonhave been producing high quality label stocks.have been producing high quality label stocks.

World class adhesives are being manufactured inWorld class adhesives are being manufactured inIndia by multinationals such as Rohm and HaasIndia by multinationals such as Rohm and Haasand the local manufacturers such as Jubilantand the local manufacturers such as JubilantOrganosysOrganosys..


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This was just a summary onThis was just a summary on

LabelsLabels

Huge potentials remain in the label & TagHuge potentials remain in the label & Tagindustry alone. This industry is boomingindustry alone. This industry is booming

India is only starting to awaken to the demandsIndia is only starting to awaken to the demandsof short and medium runs of flexible packagingof short and medium runs of flexible packagingneeds. Inline presses are starting to show theirneeds. Inline presses are starting to show theireffectiveness in this area.effectiveness in this area.

Ditto for cartons.Ditto for cartons. The Boom is around the corner waiting for The Boom is around the corner waiting for

YOU!!YOU!!


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COME TALK TO US..COME TALK TO US..

THE LARGEST SINGLE WINDOWTHE LARGEST SINGLE WINDOWSOLUTION PROVIDING PARTNERSSOLUTION PROVIDING PARTNERS

FOR THE INDIAN NARROW WEBFOR THE INDIAN NARROW WEBINDUSTRYINDUSTRY

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Indian Label Industry Overview