At present there's underutilization of existing capacity because of marketing problems after introducing of Jute packaging Mandatory Order 1986. The demand for woven sacks was sluggish for a variety of reasons. a couple of years back Flat looms were used for the manufacture of woven sacks. Now it's been manufactured on circular looms, which have high productivity. This helped in minimizing the value of production; however because of high cost of jute bags & also because of resistance to chemicals, moisture etc. most of industry prefer HDPE/PP woven sacks for packaging.
Lighter in weight & have more advantages than conventional bags. PP/HDPE woven sacks laminated with LDPE/PP liner have wider applications. HDPE woven sacks are much stronger & can withstand much higher impact loads due to HDPE strips elongation at break is about 15-25% as compared to 30% of Jute. These sacks are much cleaner & resist fungal attack. Jute prices are very unstable within the market since Jute is an agriculture product. These sacks have many advantages over other conventional sacks materials & are quite competitive in price. Woven Packaging Fabrics, Woven bags and fabrics are often used as an industrial packaging material. The packaging bags and fabrics are available mostly in HDPE (High Density Polythene) and PP (Polypropylene). Counting on end use these are either laminated, or supplied without lamination.
Based on material type, the worldwide plastic bags and sacks market is segmented into biodegradable and non-biodegradable. The biodegradable segment is further segmented into polyl actic acid (PLA), poly-hydroxyl-alkanets (PHA), and starch blend resins, while the non-biodegradable segment is further segmented into density polyethylene (LDPE), high density polyethylene (HDPE), polypropylene (PP), linear rarity polyethylene (LLDPE), and polystyrene (PS). Changes in consumer lifestyle, rapid pace of industrialization, rising commodity and retail sector, and declining prices of oil and gas in emerging markets are the factors accentuating market growth. the worldwide marketplace for plastic bags and sacks is forecast to expand at a CAGR of over 3.4% from 2016 to 2024. Thus, due to demand it is best to invest in this project.
Few Indian major players are as under
Aditya Polymers Ltd.
Ashok Polymers Ltd.
Ashoka Poly Laminators Ltd.
Bardanwala Plastics Pvt. Ltd.
Bihar Raffia Inds. Ltd.
Commercial Syn Bags Ltd.
Dhoot Compack Pvt. Ltd.
Eclat Industries Ltd.