India’s flexible packaging solutions provider UFlex is investing over $86.35m to establish a woven polypropylene bags (WPP) manufacturing unit in Mexico and a new recycling facility in Noida, India.
These operations are expected to commence within financial year 2025-26 (FY25-26).
The board of UFlex has sanctioned the construction of the WPP manufacturing plant in Mexico with a $50m investment. This facility aims to serve the North and South American pet food markets.
The Mexican plant is projected to produce 80 million bags annually, with the capacity addition planned for FY25-26. This expansion is a strategic move to tap into the growing demand in the Americas for high-quality packaging solutions.
Additionally, a recycling unit at Noida has been approved, furthering UFlex's commitment to sustainability and waste management.
UFlex's recycling initiative in Noida, valued at $36.4m, is a response to the Indian government's extended producer responsibility legislation.
The Noida recycling plant will comprise two units capable of processing a combined 39,600 million tonnes per annum (mtpa) of plastic waste.
The post-consumer recyclate polyethylene terephthalate recycling unit will handle 36,000mtpa while the mixed plastic unit will process 3,600mtpa of plastic bottles, demonstrating UFlex's dedication to addressing plastic waste challenges.
UFlex Group chair and managing director Ashok Chaturvedi said: “We are pleased to announce that we are setting up a woven polypropylene bags manufacturing plant in Mexico for pet food packaging.
“With an estimated investment of $50m, this plant will be the first WPP packaging plant in Mexico catering to the lucrative North and South American pet food market, estimated at approx. $90bn in 2025 and expected to reach approx $135bn by 2030.
“In line with our commitment to support the Government of India’s extended producer responsibility legislation, we are proud to announce an investment of Rs3.17bn [$36.4m] to strengthen our recycling business with significant investments in advanced recycling technologies.”
