| | JUNE 20218VANTAGE POINT T he In India, the packaging industry is a mix of both small- and medium-sized players. In the coming years, domestic demand for packaging will rise rapidly. FMCG companies are extensively using sustainable packaging technologies to reduce packaging costs and take measures for the recycling of the packaging materials, which protect the environment.India is the second-largest food producer and one of the biggest consumers of packaged food and drinks. Increased customer awareness and the increase in the processed food and beverage industry are important factors in changing from unpackaged sales to packaged sales. Overall, brand owners recognise the need for advanced solutions in packaging at low costs.Other factors, such as the exposure to new and improved packaging methods, easing of import standards of food and beverages, the addition of modern retail outlets and changing consumer preferences, are also important.Glass packaging is a major segment of packaging. It faces fierce competition from other types of packaging in India. India's global vision is that plastics will be replaced by green and environmentally sound products, which motivate the country to invest in glass. Although the key market drivers are glass bottles or containers in this region, growth has also encouraged the adoption of other forms, including syringe and ampoules, in the Indian healthcare and pharmaceuticals sector. MARKET WATCHThe Indian demand for consumer products is projected at INR1.170 billion between 20 and 21, at an annual growth rate of 11.3 per cent. Consumer packaging is ahead of the bulk packaging business within the industry, with a market share of 54 per cent. " In the past year, the packaging industry saw a modest rise, with industrial growth slowing and the demand for consumers falling. In the next 12 months, however, the growth prospects are promising. India's low per capita consumption of packaging in comparison with developed economies, the growing availability of income, growth in end-users ­specially packaged food ­ and a shift to organised markets are key growth factors.New investment prospects are also good, as most businesses plan to invest in new facilities to meet the demand. Packaging companies expect to concentrate on driving sales and profitability by focusing on exports, improving customer support and improving production efficiency.HOW INNOVATION IN THE PACKAGING SEGMENT CAN DRIVE THE GROWTH FOR INDIAN MANUFACTURERSBy Rajesh Khosla, President & CEO, AGI GlaspacRajesh Khosla,President & CEO
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