HYDERABAD: A Leap Towards Sustainable Packaging

Container glass manufacturer AGI Greenpac Limited has taken a significant step towards sustainability with its board of directors approving a Rs 700 crore investment for a new greenfield manufacturing facility in Madhya Pradesh. This initiative is set to enhance the company's container glass manufacturing capacities by approximately 25%, addressing the surging demand for high-quality glass packaging.

Boosting Production to Meet Diverse Industry Needs

The upcoming plant will specialize in producing commercial glass for key sectors including alcoholic beverages, pharmaceuticals, and food, boasting a production capacity of 500 tonnes per day. With commercial production expected to begin within the next 24 months, AGI Greenpac is poised to significantly contribute to the eco-friendly packaging movement.

Strategic Expansion Through Debt and Equity

Currently operating with a container glass capacity of 2000 TPD, AGI Greenpac plans to finance this expansion through a balanced mix of debt and equity (70:30). The strategic choice of North India for the new plant underscores the region's high demand for glass containers across various industries and its advantages in terms of raw material proximity and skilled labor availability.

Aligning With Global Sustainability Trends

"Establishing a plant in north India not only caters to the growing preference for eco-friendly packaging but also aligns with global sustainability trends and consumer preferences," the company stated in a regulatory filing. This move is expected to ensure a steady supply of high-quality glass containers, leveraging North India's strategic location for efficient distribution to major markets.