Unsurprisingly, Zhengrun has 15 installations across India, with all leading packagers, which makes the largest installation base in India. And Sodhi said, there are three more in the pipeline.
The Zhengrun rigid box machine can produce 15,000 boxes per day.
Rohit Khanna, director, Creative Offset Printers, said, “We started manufacturing rigid boxes with one fully automatic machine from Zhengrun. In less than a year, we have installed a second higher version fully automatic machine and a semi-automatic line.”
The reason why the company invested in three rigid box lines in quick succession is simple: The mobile handset retail market is booming and it will continue to do so for some time. “If you observe the market, you see a clear growth path,” said Khanna. “The mobile manufacturing industry in the country is growing rapidly. Now, mobile handsets are both an essential commodity and a lifestyle statement. So we don’t foresee the demand going down anytime soon.”
Several multinationals and local companies including Karbon, HTC, Gionee, Lava and Intex have setup assembling or manufacturing units for mobile handsets in India. This, in turn, is propelling the demand for rigid boxes. According to Khanna, mobile manufacturing companies use rigid boxes for high-end phones and mono carton boxes for mid and lower segment phones.
With the first installation, Creative was producing approximately 15,000 boxes per day. With the new installations, their production will go up to 35,000 rigid boxes per day.
The rigid box samples in the market are astonishing. From a box design – where the two levels swing out for the full display. To a purple packaging box with a clashing turquoise ribbon that makes the box look premium (and it is), and ensure the contents looks better than this suggests. A good box of chocolates at your elbow which makes Diwali even more special.
Sodhi said, "It's not about the cost per box. The packaging is evolving, so is the cost of boxes. With each installation, only the basic demand is being fulfilled. The cost will come down only when we have excess capacity. Right now, we are still building the bridge." He added, "Converters in India are learning that each type of box has a different utility, with special costs and customer appeal. Simultaneously, for each type of box, we need different kinds of machineries." This is where Sodhi feels, Zhengrun is the first entrant in Indian rigid box market at a competitive price.
The Zhengrun customer base includes: M Graphics, Vason Packaging, Nagesh Industries (Micromax), Mentor Printing and Logistics and Himanshu Industries with two machines a piece.
Sodhi concluded, "Till now Zhengrun is the most stable and productive machine made in China." He mentions how the first kit installed seven years ago is running three shifts without any problems. This, Sodhi points out, is the basic reason for customers to invest in Zhengrun machines.