The 52nd Annual Meeting and Exhibition of the Federation of Corrugated Box Manufacturers (FCBM) was inaugurated in Bengaluru on 21 December 2024, marking a significant milestone for India’s rapidly growing corrugated packaging industry. With a market size of approximately INR 50,000 crore annually and a growth rate of 10-12%, the corrugated box manufacturing sector is poised to continue its upward trajectory for the next 5 to 10 years.

Noted Defence Economist and Senior Fellow at the Institute of Peace and Conflict Studies, Abhijit Iyer-Mitra was the chief guest and delivered the inaugural address. C Arun Kumar, CEO of Consumer Business, Signify Innovations India (Formerly Philips Lighting India) delivered the key-note address. The inauguration ceremony saw participation from leading industry experts, manufacturers, and policy makers, who discussed the key drivers and future trends shaping the industry. Keynote addresses highlighted the significant role of the sector in driving sustainability, efficiency, and innovation across various industries, including food and beverage, e-commerce, and more.

India is home to more than 600 automated plants and approximately 7,000 semi-automatic plants in the corrugated box manufacturing space. The industry employs over half a million people and processes about 2 million tons of Kraft paper annually into corrugated boxes. This vibrant sector has become crucial for improving product safety, particularly in the food and beverage industry, while also catering to the booming e-commerce market.

“The corrugated box industry in India is witnessing unparalleled growth, driven by strong demand in key sectors and the adoption of cutting-edge technologies. The global corrugated packaging Industry is estimated to be at USD 300 billion and is growing at a CAGR of 4.3% fueled by expansion of e-commerce consumer preference for biodegradable packaging and innovations in lightweight materials. The Indian packaging industry is estimated to grow at 22 to 25% annually and the corrugated packaging Industry is expected to grow at 10-12%. As we look ahead, we anticipate significant shifts toward larger automatic plants and advanced machinery, which will not only enhance productivity but also meet the evolving needs of consumers and businesses alike.” said Dharmendra V Pandya, president of FCBM.

Factors driving growth

Some of the key factors fueling the growth of the industry include the increasing demand for packaging solutions in the food and beverage industry, the rapid rise of e-commerce, and favorable government initiatives aimed at boosting manufacturing capabilities and sustainability. The ongoing shift towards automation, particularly with the deployment of Inline Automatic Board and Box Making Plants, is expected to streamline production and eliminate existing bottlenecks in the semi-automatic processes.

Trends

Other anticipated trends include a rise in the use of folder gluers and rotary diecutters, advancements in multicolor flexo printing, and an increased focus on display and promotional packaging. Flexo printing, in particular, is expected to revolutionize in-house printing operations, reducing reliance on screen printing and offset presses.

The future of the corrugated packaging industry is also expected to see a growing consolidation of large-scale units to meet the rising demand for high-volume production and cost competitiveness. Large corporates and bulk users are increasingly seeking single or multiple alternative vendors capable of delivering stringent specifications, alternative designs, and just-in-time deliveries.

The rise of reverse bidding, coupled with the concept of First Pak, will further enhance the competitiveness of large units, while the trend of locating corrugated box units closer to user locations may see a shift. With the growing interest in machinery from China, Taiwan, and other Asian countries, collaborations and alliances between local manufacturers and international suppliers are expected to shape the future of the industry.

The FCBM’s Annual Meeting serves as a vital platform for stakeholders across the industry to come together, share insights, and discuss the future of the corrugated packaging sector. As India’s corrugated packaging industry continues to evolve, the focus on innovation, sustainability, and technological advancement will remain key to maintaining its competitive edge.