INDIAN PAPER INDUSTRY AT A GLANCE IN 2018 - 2019Overview
The Indian paper industry accounts for about 3.7% of the world's production of paper. The estimated turnover of the industry is INR 60,000 crore (USD 8.5 billion approximately) and its contribution to the exchequer is around INR 4,500 crore. The industry provides employment to more than 0.5 million people directly and 1.5 million people indirectly.
The Indian Paper mills use a variety of raw material like wood, bamboo, recycled fibre, bagasse, wheat straw, rice husk, etc. In terms of share in total production, approximately 25% are based on wood, 58% on recycled fibre and 17% on agro-residues..
The per capita paper consumption in India is at a little over 13 kg, is way behind the global average of 57 kg. Paper consumption in India is approximately 15 million tonnes per annum (TPA) but is expected to reach 23.5 TPA by 2025. Forecasted demand for paper in 2025 is 23,5 million tons
The futuristic view is that growth in paper consumption would be in multiples of GDP and hence an increase in consumption by one kg per capita would lead to an increase in demand of 1 million tonnes. The Indian paper industry is expanding at a rate of 6-7 per cent which would drive the growth of the Industry.
Industry Forecast
• Paper consumption forecasted to increase by 7.6% per year in the coming years
• 10-year forecasted CAGR for Paper Industry is 7-8%
