Monthly Archives: August 2014

Innovations of Flexible Packaging

Temperature variations in packed food can result in compromising its safety and quality. Driven by rapid advancements in time-temperature indicators (TTI), intelligent packaging is anticipated to witness a strong growth. This system could be able to detect food contamination and change of color incase the food is not fit for consumption by the consumer.
One of the most important points of consideration for the manufacturer of flexible packaging for the F&B have to take into is the consumer safety, health and hygiene. All data right from procurement, in-site manufacturing and supply chain are extremely important to be monitored and Coding and marking-barcodes/RFID and AIDC are helpful tools in this direction.
Uflex Ltd has been offering food packaging solutions for more than two decades now. The company offers packaging materials for food products made out if BOPET (Biaxially Oriented Polytthylene Terapthalate), BOPP (Biaxially Oriented Polypropylene) and CPP (Cast Polypropylene) films. The manufacturing of these products are in strict adherence to the international standards and norms. Flexible packaging at Uflex is known for excellent chemical resistance, strength, protection against moisture and odour and dimensional stability.

Sustainability:

Flexible packaging greatly reduces landfill discards. Innovation and technology have enabled flexible packaging manufacturers to use fewer natural resources in the creation of their packaging, and improvements in production processes have reduced water and energy consumption, greenhouse gas emissions and volatile organic compounds.
Flexible packaging is gaining market share from other packaging formats such as rigid packaging. This growth is projected to continue because flexible packaging, particularly pouch packaging, uses less energy and materials and has lower transport costs, environmental impact due to less carbon footprint than its rigid counterparts.

Key Issues of the industry:
In tougher economic times, pressure is on packaging. Undoubtedly keeping costs low is key in many areas, but other market drivers also create opportunities for new formats and innovation and knowing these is key to developing and offering further value, helping counter some of the economic pressures.
While the industry believes cost is key, the consensus is that impulse and convenience driven categories (such as confectionery and prepared meals) offer the greatest opportunities. The industry needs to effectively target these areas to combat the relentless focus on costs elsewhere.
Issues in Vacuum Packaging: Some pathogenic (illness-causing) bacteria grow in low-oxygen environments and reproduce well in vacuum-packaged foods. Therefore, do not store vacuum packaged moist foods at room temperature. Vacuum packaged foods need to be stored in the refrigerator or the freezer to remain safe.
Dairy Food, Bakery and Cereals, and Meat are the key Food sectors, while Asia will overtake Western Europe as the most valuable regional Food market. Packaging innovations in these areas, such as improvements in the oxygen barrier for milk bags in India, should be a focus for packaging companies. (F&B Q&A)

Indian Packaging Industry and emerging trends

Over the past decade flexible packaging has emerged as arguably the most dynamic and innovative of packaging formats. As a sector which is broadly resistant to economic cycles, the global flexible packaging market has been growing by around 5% per annum, reaching around $76 billion in 2013. By far the most dynamic individual markets have been China and India, currently growing by around 12% and 18% per annum respectively in value terms. Total demand for flexible packaging in India’s two-tiered flexible market in 2013 approached USD 4.6 billion, representing 6% of world flexible packaging sales. (F&B Q&A)

Flexible packaging and the F&B industry:

In the past few years the Indian food industry has grown from strength to strength. India comes second to China as food producer with a potential of being number one in the world. Packaged food has become the new preferred source of consumption especially in the urban areas. Packaged food saves both time and energy consumed in cooking a full blown meal from scratch.
Flexible packaging contains multi layered laminated sheets of single or a combination of substates such as plastic, paper or aluminium foils. It provides strength, moisture, resistance, aroma, retention, gloss, printability, low odour and better brand positioning as compared to rigid packaging.
Flexible Packaging fulfils the diverse role from protecting products, preventing spoilage, contamination, extending shelf life, ensuring safe storage thereby helping to make them readily available to consumers. Different norms are to be followed in food and beverage packaging in different regions in the world such as Food Packaging in Europe should be in compliance with European Union regulations on labelling of food items. In United States, food packaging should be in compliance with USFDA directives and in India, the food packaging norms need to comply with the FSSAI. (F&B Q&A)
Around the world, 50% of total packaging production is used up by the food sector. This sector has also benefitted from innovations and improvisations in packaging quality and design. The industry has witnessed trends where simple pre-packaging has given way to technologies like vacuum packaging, gas flush packaging, CAP/MAP (Modified-Atmosphere Packaging / Controlled-Atmosphere Packaging), smart and intelligent packaging, retort and asceptic systems, barcoding and RFID (Radio-Frequency Identification) etc.

UFLEX Ltd Q1 FY2014-15 Consolidated Net Revenue at Rs. 1530 crore; and Net Profit at Rs. 64 Crore

Uflex Ltd, the Bombay Stock Exchange (UFLEX: 500148) and NSE listed,
India’s largest flexible packaging company has registered the
Consolidated net revenue for the June quarter of F.Y. 2015 of Rs. 1530
crore as against Rs. 1398 crore for the same period last year, up
9%. The consolidated net profit for the quarter ended June 30, 2014 has
been higher at Rs. 64 crore as against Rs. 43 crore for the same period
last year up by 49%.

The higher revenue growth is attributed to increased uptake of
innovative flexible packaging solutions offered by the company across
sectors globally.

*According to Mr. Ashok Chaturvedi, Chairman and M.D. of
UFLEX**Ltd,* “Our continued commitment towards innovation and adding
value to clients’ businesses, which enables them to delight their
customers with bouquet of packaging solutions and adhering to time
sensitive operational practices has ensured strong relationships. This
growing relationship is reflected in our sustained growth over the years.”

*Expansion Plans*

UFLEX’s agenda of global expansion and consolidation of its position as
a truly Indian MNC (Multinational Corporation) is reinforced with its
strategy of capacity expansion and addingmanufacturing lines for various
product categories across existing and newer locations to increase
proximity to the markets, but also to bring broad portfolio of value
added products to its clients at competitive price points. Accordingly,
the Company has been working on its expansion plans and propose to
invest around Rs. 1800 crore (USD 300 Mln.) in next 3 years to achieve
its growth plans in future.

Uflex’s strong manufacturing base in India, Mexico, Dubai, Egypt, Poland
and USA caters to global markets spanning USA, Canada, South America,
UK, Europe, Russia, CIS countries, South Africa and other African
countries, the Middle East and the South Asian Countries.

The company offers its flexible packaging products and solutions
globally to clients including Unilever, Pepsi, Wrigley, Procter &
Gamble, Colgate, Palmolive, Nestle, Gillette, Ranbaxy, Perfetti, Joyco,
Monsanto, ITC, Godrej Pillsbury, Tata Tea, Hindustan Petroleum, Indian
Oil, Britannia, Dabur, Haldiram, Wockhardt, HUL, Parle Biscuit, Birla
3M, among others.