Jindal Poly Films and DIC Reached a Consensus to Collaborate in the Area of Functional CPP Films in India

Jindal Poly Films Limited ("JPFL") has decided to enter into collaboration with DIC Corporation ("DIC"), Japan in the area of CPP films to cater the Indian and other export markets.

India is currently experiencing a greater need for products with better response from environmental point of view. In the food packaging field, demand for functional CPP film, which contributes to the realization of reducing plastics, mono-material packaging, is expected to expand in the future.

Anticipating growth in demand for functional CPP films, JPFL entered CPP films business in 2018 and started discussion with DIC for a collaboration.

From DIC point of view, working with JPFL would be an important first step in nurturing demand in the promising Indian market.

The Collaboration will mainly focus in the following three spheres, with concrete activities expected to commence within fiscal year 2021 at the earliest:

- Entering into a technology licensing agreement whereby DIC would extend packaging technologies to JPFL;

- Developing and mass-producing functional CPP film using DIC technologies at JPFL's plant in India; and

- Conducting joint sales of functional CPP film manufactured by JPFL in India with a view to establishing a joint venture.

Through this business JPFL has sought to improve the environmental performance of its products by making films thinner to reduce plastic use, and enhancing performance features such as easy peel, which makes packaging easier to open. Amid growing sustainability related needs, introduction of Japanese advanced technologies in Indian market is expected to see significant growth going forward.

Shares of JINDAL POLY FILMS LTD. was last trading in BSE at Rs.438.1 as compared to the previous close of Rs. 435.05. The total number of shares traded during the day was 3279 in over 96 trades.

The stock hit an intraday high of Rs. 448.15 and intraday low of 434.4. The net turnover during the day was Rs. 1430405.

Source : Equity Bulls

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