Abu Dhabi-based industrial zone KIZAD announced on Sunday that Indian plastic packaging material manufacturer Shrinath Flexipack has finalised an agreement to build its first factory in the Middle East in the UAE.
The Indian company will set up its plant on a greenfield site within KIZAD's Polymers Park at an investment of 55 million UAE dirhams ($15 million), Abu Dhabi-headquartered industrial zone said in a press statement.
The new facility will enable the company to serve its local and regional clients and expand its reach into African and European markets, the statement said.
It said the plant will use ultra-modern European extrusion lines to produce stretch and cling films with a total production capacity of up to 30,000 metric tonnes of per annum once it commences operations.
KIZAD's commercial director Khalid Al Marzooqi said in the statement that the zone's multimodal connectivity including Abu Dhabi Ports' flagship deep-water port, Khalifa Port would benefit companies such as Shrinath Flexipack who plan to export and import out of Abu Dhabi.
Shrinath Flexipack CEO Ashish Malani underlined KIZAD's support in helping the firm set up within the zone's integrated polymer-centric logistics hub.
"Having swift access to key raw materials from within the KIZAD Polymers Park and the ability to ship faster to market thanks to the world-class infrastructure available at KIZAD, is a major advantage to companies such as ours," he noted.
Serving as the largest producer of PE stretch and cling films in India, the Hyderabad-based Shree Group of Industries employs more than 1,200 workers and reported annual sales of up to $150 million, according to the KIZAD statement.
(Writing by Madhura Deulgaonkar; Editing by Anoop Menon)
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