Indian packaging manufacturer AGI Greenpac aims to upscale production, improve efficiency, and support demand in the beverage industry as it enters the aluminium can manufacturing segment with a new facility to be set up in Uttar Pradesh.
With an initial investment of Rs 1,000 crore, the Telangana-based company hopes to create synergy with the glass business by leveraging customer base, distribution, and supply chains, targeting the high-growth alcohol and F&B segments.
Rajesh Khosla, CEO, AGI Greenpac, told Packaging South Asia that production will happen in a phase-wise manner. “This new venture involves an investment of more than Rs 1,000 crore in the initial phase. At the new Uttar Pradesh plant, we will manufacture 1 billion cans in phase 1. In phase 2, we will produce 600 million cans. In phase 3, we will start producing can lids. In phase 4, we will again produce 1 billion cans and 600 million cans in phase 4,” he said.
Khosla explained that the company’s move into aluminum cans was driven by their strong alignment with trends in the beverage industry. Most beer brands, he noted, offer products in both glass bottles and aluminum cans, and the rising consumer demand reinforced this strategic decision. He added that current can production—whether sourced domestically or through imports—still falls short of meeting the market’s growing needs.
He says India produces nearly 3.5 billion and imports 500 million cans but the requirement is higher. Given the conditions, he thinks AGI Greenpac is on the right trajectory to capture a big market share.
“We don’t have to start a fresh relationship with any customer, as our glass solutions already reach the big names in the alcohol and F&B segments. We have a 60-65% market share in the Indian glass market. The who’s-who of the industry is already with us as customers, so capturing a market presence in the cans segment will not be a herculean task,” he said.
Khosla said raw material for aluminum cans will be sourced from South Korea and the USA. The suppliers will comply with all required standards necessary for can production in India.
At present, AGI has seven manufacturing plants in India for packaging. Besides the upcoming aluminum can plant in Uttar Pradesh, the company plans another plant to enhance the production of specialty glass.
The specialty glass facility, to be set up in Madhya Pradesh, aims to up production for glass containers across food, beverages and pharma — increasing container capacity by 25%.
The two new units will take AGI’s total manufacturing plants up to nine while strengthening the company’s footprint beyond Telangana.
