German packaging ink major Siegwerk plans to double capacity in India as economy grows

Siegwerk plans to double packaging ink capacity in India to meet growing demand and focus on safe packaging.

With the demand of packaging ink growing in double digit in India in sync with the country’s economic growth, Siegwerk Druckfarben AG & Co, a 200-year-old German company clocking an annual turnover of over ₹1,000 crore in India, is planning to double it’s capacity in the country in 5 years as rising consumerism has given rise to growth in branded products needing safe packaging. 

To cater to the domestic demand and achieve it’s target, the company has decided to add capacity at it’s existing factory in Assam and plans a new factory in Western India to cater to the southern & western markets where packaging printing has picked up over the past years.

“In the last 5 years, we have grown at an annual compounded growth of more than 12% to 13 %. And we see the same continue in the future. We plan to double by 2030. In the next 5 years, we would cross ₹2,000 crore revenue,” said Ashish Pradhan, President, Asia, Siegwerk in an interview. 

“The macroeconomics is helping us. The GDP growth in India which is one of the largest and fastest growing economy in the world and the demographic dividend is helping us,” he said.

“The capita consumption is a fraction of what we have in the developed world and there is still a lot of head room to grow here,” he added. 

Stating that the market economics were favorable, he said the company was hopeful of achieving upto 20% market share from about 12% now in India. 

On the capacity expansion he said, “We have one large plant in Guwahati, which is the second-largest plant in the whole Siegwerk group. We are making it bigger now with more capacity, which will take us to 2027-28. And then, we will invest in a brand-new facility in the West either in Gujarat or Maharashtra.”