Cosmo Films Ltd., India's leading maker of biaxially oriented polypropylene and thermal lamination film, is scouting Africa for a plant location.
“We are still exploring a location for the proposed plant. It would be either in the north or east Africa. We hope to make the final decision by the end of June,” President Pankaj Poddar said in an interview at Plastindia, held Feb. 1-6 in New Delhi.
Cosmo expects the plant 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.
Cosmo also has production facilities for thermal lamination film in the U.S., the Netherlands and South Korea.
“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 site in Shindra, India, and expanding an existing plant in Karjan, India.
With the Karjan expansion and the new Shindra facility, Cosmo's combined annual BOPP and lamination films production capacity will be about 170,000 metric tons a year, Poddar said.
“We are investing about $6 million in the new plant and about $30 million in the expansion at Karjan,” he said.