MWV invests in Indian packaging market

- Global packaging supplier signs MOU with Indian state’s government

 

- MOU includes already announced purchase of Ruby Macons

 

MeadWestvaco (MWV) has agreed a deal with the Gujarat government to make substantial investments in the Indian packaging and paperboard industries.

 

A memorandum of understanding has been signed between the global packaging provider and the government for the Indian state of Gujarat that establishes MWV’s investment of INR1,000 crore (US$184 million) over a period of three to five years.

 

This includes the purchase of Vapi-based Ruby Macons, as well as additional plans to significantly expand current production at the facility with the installation of a new paper machine that will manufacture new paperboard products and grades.

 

The purchase of Ruby Macons was announced in November last year, and will expand MWV’s presence in industrial and agricultural packaging in India, which already includes a converting facility in Pune making rigid, humidity-resistant corrugated packaging for fresh fruits and vegetables, consumer goods, household appliances and pharmaceuticals.

 

MWV said the investment and expansion plan is already underway and should yield significant increases in production starting in the calendar year 2013.

 

John Luke, Jr., chairman and chief executive officer at MWV, said: ‘India is a very important market for MWV, and we are pleased to grow our presence with our acquisition and expansion in Gujarat.

 

‘We see significant opportunities for higher quality and more innovative packaging solutions in corrugated or industrial markets, as well as many consumer categories such as food, beverage, healthcare and personal care – largely due to the emergence of modern retail and a fast-growing middle class in India.

 

‘Through the investment, we are committing to develop globally competitive products that best suit India’s needs – and to bringing the highest standards for environmental and social responsibility to our local operations. ‘

 

Read more on MWV here

Read more news from India here