STATUS OF FIBC INDUSTRY IN INDIA A presentation by G S ANIL KUMAR, PRESIDENT IFIBCA HYDERABAD THURSDAY 08TH APRIL 2010 1
ABOUT IFIBCA Indian Flexible Intermediate Bulk Container Association (IFIBCA) was started in the year 2002 IFIBCA has its office managed by the PHD Chamber of Commerce at Delhi IFIBCA currently has 22 members who are all manufacturers spread across the country IFIBCA s role is to promote the usage of FIBCs in India and act as a catapult to promote FIBCs across the globe HYDERABAD THURSDAY 08TH APRIL 2010 2
ABOUT IFIBCA IFIBCA takes up matters of common interest to members on various legislations, trade requirements. The combined turnover of this member group is about Rs.2000 crores HYDERABAD THURSDAY 08TH APRIL 2010 3
SUBJECTS COVERED PACKAGING NEED FOR BULK PACKAGING FACTORS THAT DETERMINE SELECTION OF FIBC FIBC TYPES PROCESS STANDARDS AND CERTIFICATIONS MARKET INDIA VIS-À-VIS THE WORLD POTENTIAL MARKETS HYDERABAD THURSDAY 08TH APRIL 2010 4
PACKAGING SIZES Small Packages 1 kg to 50 kg Intermediate Packages 51 to 250 Bulk Packaging - > 250 Kgs Full Container w/o without container liner. Packaging medium transition and scale HYDERABAD THURSDAY 08TH APRIL 2010 5
WHY BULK PACKAGING? Changing Global Scenario Multifold increase in capacity Forward and Backward integration Ready mix concrete Man power shortage and ease of handling Cost Effectiveness Environmental advantage pollution free Closed loop operation no contact with material in process. Increased Productivity HYDERABAD THURSDAY 08TH APRIL 2010 6
BASIC QUALITY PARAMETER OF BULK PACKAGING Aesthetics Non Toxic / Contamination free Strength to with stand transportation Provide Shelf Life Easy Filling / Discharge Facility Minimum bulging for better storage planning Full fill the SAFETY norm as per standard. Fulfill the required volume storage Dimension stability and Stackability HYDERABAD THURSDAY 08TH APRIL 2010 7
KINDS OF MATERIAL TRANSPORTED IN FIBCs Free flowing powders, granules etc., HYDERABAD THURSDAY 08TH APRIL 2010 8
Factors that determine the selection of FIBC Bulk Density of the product Dangerous and Non dangerous goods Flow characteristics of the product Particle size and shape lamination, liner sift proof Compatible with the material used for construction of fibc pvc chemical reaction HYDERABAD THURSDAY 08TH APRIL 2010 9
Factors that determine the selection of fibc contd.. Is it a food contact application Filling temperature of the product Method of filling, storage, handling Number of trips that it is used single trip, multi trip Environmental consideration recycling Hazardous Material HYDERABAD THURSDAY 08TH APRIL 2010 10
Jumbo bag / FIBC various options HYDERABAD THURSDAY 08TH APRIL 2010 11
TYPES OF FIBCS HYDERABAD THURSDAY 08TH APRIL 2010 12
Jumbo Bag - baffle HYDERABAD THURSDAY 08TH APRIL 2010 13
Conductive Bag HYDERABAD THURSDAY 08TH APRIL 2010 14
Dissipative Bag HYDERABAD THURSDAY 08TH APRIL 2010 15
Form fit liner designed to hold shape HYDERABAD THURSDAY 08TH APRIL 2010 16
PROCESS FLOW CHART Raw Material Tape Plant 8 Shuttle 6 Shuttle 4-Shuttle Narrow Loom Twisting Raw Material Lamination Braiding Cutting Printing Raw Material Liner Plant Component Making Stitching Insertion of Liner & Bag Folding Baling HYDERABAD THURSDAY 08TH APRIL 2010 17
Primary Process of making FIBC HYDERABAD THURSDAY 08TH APRIL 2010 18
Conversion of fabric to Bag HYDERABAD THURSDAY 08TH APRIL 2010 19
Various test equipment needed for fibc HYDERABAD THURSDAY 08TH APRIL 2010 20
International Standards for FIBC s EN 1898 JIS Z 1651 AS 3668 ISO 21898 : 2004 ISI 14738 IEC 61340-4-4:2005 for Electrostatic applications HYDERABAD THURSDAY 08TH APRIL 2010 21
Testing requirement of fibc s Cyclic top lift Load to failure Stacking Drop Tear propogation Righting Toppling HYDERABAD THURSDAY 08TH APRIL 2010 22
UN Certified Bags It is the responsibility of the person offering a hazardous material for transportation to ensure that such packaging are compatible with their lading Corrosive Permeability Softening Premature aging Embrittlement HYDERABAD THURSDAY 08TH APRIL 2010 23
Certifications by Indian FIBC Producers American Institute of Baking (AIB) British Retail Consortium (BRC) ISO 9001 ISO 14000 ISO 22000 HYDERABAD THURSDAY 08TH APRIL 2010 24
Indian FIBC in the Global Centrestage Indian FIBC Industry is the third largest producer in the world Indian producers are supplying to virtually every country across the globe While the primary mode of selling overseas is through resellers, direct supply to end users is increasing. Indian companies are now participating in worldwide bids for supply across continents. HYDERABAD THURSDAY 08TH APRIL 2010 25
Potential Markets As Jumbo bags gains prominence in the existing markets in India, there is a lot of effort already being made to penetrate new markets which have huge potential in the future. High Potential Markets Cement: Infrastructure is growing at a phenomenal rate in India and Cement being the basic raw material offers a huge potential as more and more manufacturers start to adapt bulk transportation that will facilitate cost savings, practical advantages as a result of lesser unit cost of packing and substantial reduction in wastage. Food: Several food and related products are being packed and transported in Jumbo Bags. These include Organic and Regular Rice exported in Jumbo Bags. Other significant developments are Sugar, Cashew, Coffee, Gelatin, which are also exported in Jumbo Bags, and has potential to reach huge volumes. Alumina: The Country is today producing surplus alumina, which is being exported. This trend is likely to continue with the establishment of green field export oriented alumina refineries. HYDERABAD THURSDAY 08TH APRIL 2010 26
FIBC consumption in the Packaging Universe HYDERABAD THURSDAY 08TH APRIL 2010 27
Manufacturers and capacity About 50 HYDERABAD THURSDAY 08TH APRIL 2010 28
Current Indian Market Size Source: PP/HDPE Woven Sack News, Company Data. HYDERABAD THURSDAY 08TH APRIL 2010 29
World wise consumption and production data Source: Freedonia, PP/HDPE Woven Sack News, Company Data. HYDERABAD THURSDAY 08TH APRIL 2010 30
India is one of the top 3 Countries in Manufacture of FIBCs. HYDERABAD THURSDAY 08TH APRIL 2010 31
What Should the Customer Look For Quality Good and not so good Delivery Service Infrastructure Quality systems and test facilities? Price While Price is always an important factor, customer should be conscious about his choice of supplier and his ability to meet the safety standards. HYDERABAD THURSDAY 08TH APRIL 2010 32
CHALLENGES OF INDIAN FIBC INDUSTRY Infrastructure Port and other facilities to handle inbound and out bound cargo Internal transportation more road dependent, poor rail cargo facilities Power Severe shortage in most of the states Labour Development in all areas increasing demand for labour and labour shortage Finance Cost of finance @ 10-12% HYDERABAD THURSDAY 08TH APRIL 2010 33
THANK YOU HYDERABAD THURSDAY 08TH APRIL 2010 34