India's Paper Sector Gears Up for Major Expansion

India's paper industry is gearing up for a substantial expansion, aiming to boost production capacity from 24 million tonnes to 32 million tonnes by 2030, driven by a projected 7-8% annual demand increase. This growth aligns with national visions for self-reliance and environmental sustainability.

Sector Expansion and Demand

• Annual demand for paper products in India is forecast to rise by 7-8%.
• Production capacity is projected to increase significantly, from the current 24 million tonnes to 32 million tonnes by the year 2030.
• This expansion was highlighted by Union Minister of State for Power and New & Renewable Energy, Shripad Yesso Naik, at the 17th Edition of Paperex 2025.

Industry Contributions

• The paper sector plays a vital role in supporting rural employment.
• It contributes to the development of Micro, Small, and Medium Enterprises (MSMEs).
• Key areas like packaging and education are significantly supported by paper products.

Sustainability Focus

• The industry is actively shifting towards renewable energy sources.
• There is a concerted effort to reduce reliance on fossil fuels.
• Long-term carbon-neutrality plans are being developed, showcasing India's commitment to environmental leadership.
• Yogesh Mudras noted the industry's circularity, recycling nearly 68% of materials and investing in sustainable forestry.

Vision for Self-Reliance

• Minister Naik emphasized innovation, digitalization, recycling, and global collaboration as key drivers for a competitive and self-reliant industrial ecosystem by 2047.
• The Paperex conference aims to foster knowledge exchange, cooperation, and technological advancements for sustainable growth.

Bamboo Utilization

• Pawan Agarwal, President of the Indian Paper Manufacturers Association, stated that bamboo now constitutes 25% to 50% of the industry's wood-pulp mix.
• This increased use is facilitated by the government's deregulation of bamboo transportation from northeastern states.

Paperex 2025 Details

• The conference is scheduled from December 3 to December 6, 2025.
• It is being held at Yashobhoomi (IICC), Dwarka.
• Organized by Informa Markets in India, in collaboration with IARPMA and supported by the World Paper Forum.

Impact

• This expansion is expected to boost manufacturing output and create jobs within the paper and related sectors.
• Increased domestic production could lead to reduced import dependence for paper products.
• The focus on sustainability may drive investment in green technologies and processes.
• Companies in the packaging, printing, and stationery segments could see enhanced supply and potentially better margins.
• Impact Rating: 7

Difficult Terms Explained

• MSME: Micro, Small, and Medium Enterprises. These are small to medium-sized businesses crucial for employment and economic development.
• Carbon-neutrality: An state of net zero carbon dioxide emissions. This is achieved by balancing carbon dioxide released into the atmosphere with the amount removed from it.
• Circular economy: An economic system aimed at eliminating waste and the continual use of resources.
• Wood-pulp mix: The combination of wood fibers used to make paper.