MUMBAI — India's flexible packaging major Uflex Ltd. has put on hold its expansion plans in the Latin American market.
The company was planning to establish a production facility, most likely in Brazil, in 2013.
“The global as well as home market conditions have become tough, forcing us to put on hold further expansion in the international market,” said CEO Amit Ray, at the Speciality Films and Flexible Packaging Global Conference in Mumbai. “We are now focusing on consolidating our business and optimizing the operation in the five overseas facilities in 2013 and 2014.”
Currently, Uflex has five overseas plants located in the United States, Mexico, Poland, Egypt and Dubai.
Uflex would likely to build the sixth overseas film plant in 2015. “It could be a greenfield facility either in Russia or South America,” Ray said.
Despite a gloomy economic scenario on the domestic front, Uflex is going ahead with its fourth facility in India. The converting plant will be in western or southern India, according to N. Siva Shankaran, vice president for business development.
“We have not decided on the plant location as yet. It would likely to be decided early next year,” said Shankaran.
Uflex claims to control around 30-35 percent of the $3 billion annual flexible packaging industry in India. Its products include PET and polypropylene films, laminates, pouches and holographic films.