Aurangabad-based firm eyes greater share in European food wrapping segment
Aurangabad-based Specialty Polyfilms participated at interpack for the fourth time in 2017. The company makes polyethylene (PE) products such as cling and protective films under brand name WRAPit. This time the participation was special as the company is focusing on expanding its brand’s footprint in the branded cling film segment in Europe. Cling film is mainly used for wrapping food, meat, cookies, fruits, sandwiches, salads, vegetables and a range of other edible items.
“In Europe, there is a talk of banning polyvinyl chloride (PVC) films. However, there is no legislation yet but I think that a law will be enforced soon and that would create a good opportunity for us as we are trying to promote PE as a more environment-friendly replacement for PVC,” says Shantanu Deshpande, director – marketing, Specialty Polyfilms. The company has an active presence in the US where there is no regulatory pressure but there is much voluntary demand for PE films. WRAPit is certified as safe for food contact by India’s CFTRI and as per EU directives by SGS and Intertek Testing Services.
PE films are considered more environment friendly compared to PVC films as the latter is not easily recyclable. PE disintegrates in a given time period and, when annihilated, it burns to hydrogen and carbon with no polluting material. However, PVC still has a dominant market share in the food wrapping segment but there is a gradual shift happening towards PE, mostly in the developed markets.
In addition to cling and protective films, Specialty Polyfilms makes industrial wrap films and agricultural films as well but its major export product is cling films. In the overall business, exports are about 25% but the company exports almost 100% of the cling films that it makes.
“We expect a much faster growth in our exports of PE cling films once the European legislation on banning PVC films comes into effect,” Deshpande argues. In the US, the company has its own warehouse and is now in talks with big distributors for a tie-up to further expand in the market. More than 60% of Specialty Polyfilms’ cling film exports go to the US market.
In anticipation of growth in demand, the company will be expanding its overall production capacity from 500 tons per month to 1,000 tons per month by 2018. Out of the current capacity of 500 tons per month, cling films capacity is about 150 tons per month.
interpack always a great experience
Commenting on interpack, Deshpande says that the event has always been great, where the company gets a chance to meet its global clients and understand the latest trends in the industry. “This is our fourth interpack and all of them have been wonderful. We have to be here,” he says.