MCMA pins hope for the sector on new steel Minister

Metal Container Manufacturer Association (MCMA), the umbrella body representing the interest of companies involved in the production of metal containers, packaging and allied components has welcomed Ram Chandra Prasad Singh taking over as Union Minister for steel and is hoping that urgency will be shown to the pandemic-hit and cash-starved metal packaging sector.

21 Jul 2021 | By Rahul Kumar

Sanjay Bhatia, president of MCMA

A delegation led by Sanjay Bhatia, president of MCMA, met steel union minister on 15 July 2021 and briefed him about the importance of metal packaging industry and the issues currently faced by the industry in terms of acute shortage of its main inputs — tinplate/tin-free steel and various steel products like easy open ends, peel offs, aerosol can components, closures, etc.

The organisation further highlighted that the three months extension of QCO is not helping the industry at all. Keeping in mind the current Covid conditions in India and overseas, it should be extended till March 2022. MCMA also emphasized that for non-critical applications, the industry needs non-prime material. Therefore, it should be ensured that material is made available to that segment of industry.

The minister has given assurance to MCMA that the steel ministry will extend a helping hand and the best possible support will be extended to the metal packaging industry.

MCMA foresees a key role for metal packaging in future given the global focus on sustainable principles of reduce-reuse-recycle.  Tinplate demand is expected to grow at 4-6% and reach around 770-800 KT by 2024.

The industry provides packaging material and packaging solutions in the form of tin containers, component closures, etc to food, beverages and other household industries. Besides edible products, there is a large use of tin plates in SME industries engaged in manufacturing of lanterns, stationary boxes, mosquito coil-holders and so many other day-to-day low-cost utility items. Moreover, the industry provides direct and indirect employment to over 100,000 people as there are large number of MSME players in this sector.

Also, since metal packaging is 100% recyclable, environment-friendly and a sustainable packaging material, it has suggested the government to roll out a scheme to incentivise the user industry for encouraging use of such packaging material.

The rapid growth of the market is primarily driven by the pharmaceuticals and foods and beverages industries. Huge investments in the food processing, personal care, and pharmaceuticals end-user industries are creating scope for expansion of the packaging market. The end-user of such product includes food, beverage, healthcare, cosmetics, personal care, and household care and industrial segments.