KIZAD wraps up $15m deal with Indian packaging firm
Shrinath Flexipack Pvt Ltd, an Indian leading manufacturer of plastic packaging materials, has finalised an agreement to build its first factory in the Middle East at KIZAD.
The investment of AED 55 million ($15 million) will allow the Hyderabad plastics player to set up on a greenfield site within KIZAD’s Polymers Park.
The new facility will serve Shrinath Flexipack’s clients in the Middle East, while also enabling the firm to expand its reach into African and European markets.
Khalid Al Marzooqi, Director Commercial, KIZAD, said: “The setting up of a packaging company like Shrinath Flexipack setting up in the KIZAD Polymers Park, shows the true value of our cluster-based approach which enables companies within the zone to benefit from each other’s products and services in close proximity, leading to lower cost of production, faster production cycles, and quicker shipment to market.
“KIZAD’s multimodal connectivity including Abu Dhabi Ports’ flagship deep-water port, Khalifa Port, is a boon for companies such as Shrinath Flexipack who plan to export and import out of Abu Dhabi.
“The benefits and ease of setting up, combined with our ability to offer the region’s lowest utility rates ensure KIZAD is the ideal location for a business to grow and succeed.”
Shrinath Flexipack is part of the Shree Group of Industries, a leading Indian supply chain, logistics and warehousing group with operations in flexible packaging, masterbatches, poly bags, stretch and speciality films, laminated woven sacks, and pharmaceutical products.
Upon completion, Shrinath Flexipack’s newly constructed Abu Dhabi site will produce up to 30,000 metric tonnes of plastic goods per annum.
Ashish Malani, CEO, Shrinath Flexipack, said: “We anticipate great success in Abu Dhabi, and we appreciate KIZAD’s support in helping us set up and connect to its integrated polymer-centric logistics hub.
“Our presence in KIZAD emphasises our determination to strengthen and expand our offering and ensure our business breaks into new markets.
“Having swift access to key raw materials from within the KIZAD Polymers Park and the ability to ship faster to market thanks to the world-class infrastructure available at KIZAD, is a major advantage to companies such as ours.”
Once in operation, the new factory is expected to use ultra-modern European extrusion lines to produce stretch and cling films.
Serving as the largest producer of PE stretch and cling films in India, Shree Group of Industries today employs more than 1,200 workers and reports annual sales of up to $150 million.