NEW DELHI (Feb. 7, 2 p.m. ET) — Cosmo Films Ltd., India's leading maker of biaxially oriented polypropylene and thermal lamination film, is scouting for a location for a plant in Africa.
“We are still exploring a location for the proposed plant. It would be either in the North or East Africa. We hope to take the final decision by the end of June,” said President Pankaj Poddar, in an interview at Plastindia in New Delhi.
The plant would likely to be operational by March 2014.
Poddar said the company will consider either a joint venture with a local partner or a wholly owned subsidiary.
In addition to India, Cosmo Films has production facilities in the United States, the Netherlands and South Korea. “All the overseas plants comprising single line for manufacturing thermal lamination film,” Poddar said.
“Africa is a price-sensitive market and we plan to manufacture BOPP films there as it is the suitable product for that market,” he said.
The company is on an expansion spree, setting up a new production facility in Shindra, India, and expanding an existing plant in Karjan, India.
“With the expansion at the Karjan plant and the new facility at Shindra, combined annual production would be raised to 170,000 metric tons annually,” Poddar said.
“We are investing about $6 million in the new plant and about $30 million in the expansion at Karjan plant,” he said.