Canpac’s multipronged expansion – “We are innovating without charging the customer.”

Canpac signs for second KBA 106 UV carton press

698
Canpac signs for second KBA 106 UV carton press
Flexible packaging, cartons and corrugated transport cartons for a chocolate brand all produced at Canpac’s plant in Ahmedabad

Growth generally means new locations and capacity expansion for a carton manufacturer. In Canpac’s current modernization drive, it also means structured investment in new types of packaging and technologies such as gravure and flexo. Naresh Khanna reports.

Carton 5554
Cartons produced at Canpac’s plant
in Ahmedabad. Photo PSA

In its beautiful plant in Bavla, an hour from Ahmedabad city in the direction of Rajkot, Canpac has been able to sustain rapid growth in its brief existence of 7 years as a packaging printer and converter by adding new locations, technologies and packaging verticals. The current wave of modernization and expansion, which started about a year ago with the expansion of its plant in Tirupur in South India with the addition of a 7-color plus coater KBA Rapida 106 UV offset press, is still ongoing and features a much bigger and more diverse project at the mother plant near Ahmedabad.

With the addition of the 7-color plus coater KBA Rapida 106 UV press, the South plant was transformed from a corrugated box supply location to a comprehensive carton supplier. In spite of this freeing up of capacity at the mother plant, its three multi-color Heidelberg presses have reached 90% utilization, which made expansion imperative. And in January of this year, within just seven months of installing the new KBA Rapida, the company signed for another similar highly configured KBA Rapida, this time with even more automation including a QCC inline color matching and defect-detection system. The new press is likely to be shipped and commissioned within the first 120 days of FY 2018-19 and to substantially contribute to the company’s annual revenue growth as well as its ambitious but not unrealistic target of reaching Rs. 400 crore in the next three years.

Achievable target for 4 verticals

Canpac’s target in terms of turnover represents a slightly more than doubling of its current turnover but what makes it plausible or doable without undue stress, is that it is based on a large expansion program at Ahmedabad, which goes beyond just monocartons and will make the company one of the largest multi-packaging material suppliers in the country from any one site. Flexible packaging and pouches, monocartons, litho-laminated microflute cartons, transport and shipping cartons with flexo print, and paper-based shopping bags will be manufactured and delivered to customers by Canpac’s own fleet of 20 trucks.

IMG 5530
Bobst Rotomec 5002 8-color press fitted
with a movable turning bar for duplex
printing in any combination of the units.
Photo PSA

The company’s more than Rs. 150 crore expansion and modernization is already largely executed although several plant areas require rapid completion in order to receive the machines that await installation and are arriving each month. The last phase of the present construction will provide the integrated plant with a working area of 6,00,000 square feet, including designated spaces for future expansion as well as a 7,000 square foot creative module called Bank of Innovation, Research & Development (BIRD), for designing and prototyping packaging ideas, concepts and innovations.

The overall plan has four main threads, each with their new core and ancillary equipment and production workflow space. New assets in corrugation include a new 5-ply corrugator, a flute laminator, a 6-color flexo-printer-slotter and an automated Sakurai screen-printing machine in addition to the earlier three folder gluers.

The flexible packaging vertical or plant has a Bobst Rotomec 5002 8-color press fitted with a movable turning bar for duplex printing in any combination of the units and an E+L inline inspection system that was installed just three months ago. The accessories already installed for this vertical include a Nordmeccanica solvent-less laminator, Kalpavrux slitter rewinder and inspection machines, and several pouching combination machines.

nardmecanica 5525
Nordmeccanica solvent-less
laminator at Canpac in Ahmedabad.
Photo PSA

Canpac’s plant within a plant to produce both luxury and plain paper carry bags seems to be one of the most innovative interesting parts of the current modernization project. Machines for the brand new paper carry bag plant include a 7-color reel-fed flexo press and a European manufactured carry bag converting machine. Especially intriguing is Nilesh Todi’s idea of producing 5 million paper carry bags a month with paper handles that will compete in price with plastic carry bags apart from having the luxury feel of paper and the cache of being environmentally more benign.

The fourth thread is perhaps the core of the modernization because it takes Canpac’s well-established and recognized capacity for monocartons and litho laminated cartons to a new level with the addition of a fourth multi-color offset packaging press, namely the aforementioned KBA Rapida 106 7-color plus coater combination UV press that is highly configured with four interdeck and one end-of-press UV curing systems and automated camera-based registration system.

To be installed in July, this press will also be amongst the first in the country to feature the KBA QCC system for full sheet inline inspection of every sheet and a comfort anilox loader system that can store and bring into operation any of the three anilox rolls that is designed for the particular type of coating application as desired. New accessories in the converting section for monocartons include a Bobst Novacut installed in July of 2017, alongside the extensive and already existing battery of die-cutters and folder gluers.

Carry bag 5558
Printed paper carry bags to be
produced on new automated line at
Canpac, Ahmedabad. Photo PSA

We asked Canpac’s managing director Nilesh Todi what made him purchase his first KBA Rapida 106 for the South plant in spite of running three Heidelberg presses (two 6-color coaters and a 7-color coater) in the main plant and perhaps he was being tactful when he said it was the maximum sheet size of the press. He said, “In the 106 size, the Rapida 106 7-color plus coater UV press was extremely competitive.”

As far as the repeat order for the second Rapida 7-color plus coater press within six months to be installed in the Ahmedabad plant, Todi is more emphatic. He has found the Rapida 106 at Canpac’s South Plant decidedly more efficient by as much as 30% in operation in comparison to his earlier machines. “Even allowing for the fact that it is a new press, the average throughput in terms of the number of printed sheets after make-readies and stoppages is significantly higher.”

The impact, resilience, and growth of responsible packaging in a wide region are daily chronicled by Packaging South Asia.

A multi-channel B2B publication and digital platform such as Packaging South Asia is always aware of the prospect of new beginnings and renewal. Its 16-year-old print monthly, based in New Delhi, India has demonstrated its commitment to progress and growth. The Indian and Asian packaging industries have shown resilience in the face of ongoing challenges over the past three years.

As we present our publishing plan for 2023, India’s real GDP growth for the financial year ending 31 March 2023 will reach 6.3%. Packaging industry growth has exceeded GDP growth even when allowing for inflation in the past three years.

The capacity for flexible film manufacturing in India increased by 33% over the past three years. With orders in place, we expect another 33% capacity addition from 2023 to 2025. Capacities in monocartons, corrugation, aseptic liquid packaging, and labels have grown similarly. The numbers are positive for most of the economies in the region – our platform increasingly reaches and influences these.

Even given the disruptions of supply chains, raw material prices, and the challenge of responsible and sustainable packaging, packaging in all its creative forms and purposes has significant headroom to grow in India and Asia. Our context and coverage engulf the entire packaging supply chain – from concept to shelf and further – to waste collection and recycling. We target brand owners, product managers, raw material suppliers, packaging designers and converters, and recyclers.

In an admittedly fragmented and textured terrain, this is the right time to plan your participation and marketing support communication – in our impactful and highly targeted business platform. Tell us what you need. Speak and write to our editorial and advertising teams! For advertisement ads1@ippgroup.in , for editorial info@ippgroup.in and for subscriptions subscription@ippgroup.in

– Naresh Khanna

Subscribe Now
close
unnamed 1

NEWSLETTER

Subscribe to our Newsletter

LEAVE A REPLY

Please enter your comment!
Please enter your name here