Magnum Ventures is expanding the capacity of its paper division from 85,000-metric tonnes per annum (MTPA) to 1,00,000-MTPA as it sharpens its focus on value-added packaging grades and sustainable paper products.
The move forms part of the company’s broader strategy to strengthen operational resilience and improve financial efficiency while capitalising on growing demand for recyclable packaging materials.
In its annual report for FY2024-25, the company said its paper segment generated revenue of INR 296.57-crore, compared with INR 357.08-crore in the previous year. The decline was attributed to subdued demand and lower realisations in the market.
Despite the fall in revenue, the company continued to invest in its paper business, which manufactures rigid paper board used in smartphone boxes, food packaging, cup stock, crockery-grade paper and speciality kraft products.
Parveen Jain, chairman of Magnum Ventures, said the company is increasingly prioritising margin-accretive products such as Royal Rhino grey board and crockery-grade kraft paper. “To cater to rising demand across packaging, food service and industrial applications, we are actively upgrading and expanding our manufacturing infrastructure,” Jain said in the annual report.
As part of this programme, the company carried out a planned six-week shutdown of its paper unit in June 2024 to implement machinery upgrades and process enhancements aimed at improving product quality and restoring long-term production efficiency.
The company is also shifting away from commodity grades toward higher-value products including cup stock, rigid board and special kraft varieties, which offer better margins and stronger repeat demand.
Sustainability remains central to Magnum Ventures’ strategy. The paper division is based entirely on recycled wastepaper and the company has expanded its use of solar power while securing approval for biofuel-based operations.
Magnum Ventures exports paper products to markets including the Middle East, Sri Lanka and several European countries, and expects the capacity expansion to strengthen its position in both domestic and overseas packaging markets.