AGI Greenpac Limited to set up new Container Glass Plant in Madhya Pradesh

The Board of Directors of AGI Greenpac Limited at its meeting held today i.e. March 31, 2025 has approved the setting up a new Container Glass Plant (Greenfield Project) in Madhya Pradesh.

The proposed capacity addition of 500 TPD entails a capital expenditure of Land & Building, Plant & Machinery etc. of ~ Rs.700 Crores. The funds will be raised through Debt : Equity - 70:30. The rationale behind the expansion projects form the existing capacity of 2000 TPD (includes enablement of debottlenecking of furnace capacity of 246 TPD) which is running at around 95% capacity utilization are as below:

Addressing Demand and Supply Gaps: North India has a significant demand for glass containers across industries like food, Alco Bev, pharmaceuticals, and cosmetics. A local manufacturing plant would ensure a steady supply of high-quality glass containers.

Increasing Use of Glass Packaging as a Sustainable Solution: The global shift towards sustainable packaging has boosted the demand for glass containers, which are 100% recyclable, reusable, and non-toxic. Establishing a plant in North India would cater to the growing preference for eco-friendly packaging, aligning with sustainability trends and consumer preferences.

Strategic Location and Market Access: North India's strategic location offers access to major markets and transportation networks, ensuring efficient distribution. Proximity to raw materials and a skilled workforce further enhances the feasibility of setting up a plant in this region.

Premiumization: There is a growing trend among consumers towards premium products, especially in sectors like food and beverages, cosmetics, and pharmaceuticals. Premium glass containers offer superior aesthetics and functionality, which appeal to consumers looking for high-quality packaging.

Shares of AGI Greenpac Limited was last trading in BSE at Rs. 745.25 as compared to the previous close of Rs. 762.15. The total number of shares traded during the day was 14864 in over 1011 trades.

The stock hit an intraday high of Rs. 783.40 and intraday low of 741.35. The net turnover during the day was Rs. 11343181.00.

Source : Equity Bulls

Keywords

AGIGreenpac INE415A01038 Expansion NewPlant GreenfieldProject ContainerGlassPlant MadhyaPradesh