Graham Packaging Co. LP has established a footprint in India by acquiring a minority interest in plastic caps and containers maker PPI Blowpack Pvt. Ltd. of Mumbai. Terms of the deal were not disclosed.
India is the fastest-growing economy outside of China, and our depth and breadth of technology can help PPI Blowpack grow in India and beyond, Ashok Sudan, Graham's executive vice president and general manager, said in a news release. We have a large market share in Europe and South America, and this represents a logical next step into another dynamic, high-growth market, he said.
PPI has been blow molding rigid plastic containers since 1972, mainly from high density polyethylene and polypropylene, for the food, pharmaceutical, chemical and consumer products markets.
In the release, PPI Executive Director Puneet Deora said that Graham's technology portfolio, design strengths and focus on quality, along with its global relationships, were important factors in the deal.
We think that with Graham Packaging as our partner, we can extend our growth much farther than we could otherwise, Deora said.
The rigid plastic container market in India has been growing at 15-20 percent annually. Kapil Gami, Graham's business development manager, said in the release that PPI will provide local market knowledge and insights into the cultural aspects of doing business in India.
Graham runs 83 plants, 29 of which are outside the United States in Argentina, Belgium, Brazil, Canada, Finland, France, Hungary, Mexico, the Netherlands, Poland, Spain, Turkey, the United Kingdom and Venezuela.
Graham produces more than 20 billion containers annually. The company had sales of about $2.5 billion in 2007.