About Shreenath Paper Products Limited

Business Overview

Incorporated in 2011, Shreenath Paper Products Limited specializes in offering supply chain solutions to industries that utilize paper-based materials in their manufacturing processes. The company provides coated, food-grade, machine-glazed, and adhesive papers to clients across various industries.

The company operates as a paper sourcing and supply partner, ensuring that manufacturers receive customized paper solutions based on their technical requirements. It understands client needs, defines specifications, identifies specialized manufacturers, tests samples, procures materials in desired quantities, and supplies paper products.

Shreenath Paper Products primarily serves industries such as FMCG, textiles, pharmaceuticals, packaging, food & beverages, and e-commerce. Its key market presence is in Maharashtra, Gujarat, and Madhya Pradesh.

Product Portfolio

The company offers a wide range of paper products, including:

• Sublimation Base Paper
• Thermal Base Paper
• Straw Paper
• Cone Sleeves and Cup Stock Paper
• Security PSA Sheets
• High-Strength Paper, C2S and C1S Papers

Segment-Wise Product Offerings:

• Coated Paper and Board: Used in printing annual reports, brochures, magazines, posters, labels, stickers, and sachets, offering improved print quality and durability.
• Coating Base Paper: Supplies sublimation, thermal, and NCR base papers, ensuring high-quality prints for textile printing, thermal printing, and carbonless copy paper applications.
• Specialty Paper: Includes parchment, ledger, rail bond, cup stock, MG poster, carry bag, and natural shade paper, catering to baking, transportation, and packaging industries.
• Cream Wove Paper: Premium-grade papers like Optima, Kappa-G, and Fine Print, known for smooth textures and high printability, widely used in brochures, invitations, luxury packaging, and promotional materials.

As of December 31, 2024, the company had 9 employees.The Bankers to the Company is Hongkong and Shanghai Banking Corporation Limited and Kotak Mahindra Bank Limited.

Industry Analysis

Global Paper Industry Overview

The global paper and pulp industry is valued at approximately USD 370 billion (2023) and is projected to grow at a CAGR of 3.5% over the next decade. The demand for sustainable packaging, specialty paper, and hygiene products is driving industry expansion. The shift toward eco-friendly alternatives due to plastic bans and climate policies is also boosting paper consumption​.

Indian Paper Industry Overview

The Indian paper industry contributes 5% of global production and is currently valued at approximately ₹80,000 crore (~USD 9.6 billion). It has been growing at a CAGR of 6-7%, with packaging paper accounting for 55% of total production. This growth is fueled by e-commerce expansion, FMCG packaging needs, and increased government focus on sustainable manufacturing​.

Past Growth Trends & Future Projections

• India became a net exporter of paper in FY22, with exports reaching ₹13,963 crore (~USD 1.79 billion), growing 80% YoY​.
• Domestic demand is expected to grow at 7-8% annually, led by food packaging, pharmaceuticals, and security printing sectors.
• By 2030, the Indian paper industry is projected to reach ₹1.2 lakh crore (~USD 14.5 billion), driven by higher per capita consumption (currently at 15 kg in India vs. 57 kg globally)​.

Key Growth Drivers

1. Plastic Ban & Sustainability Regulations – Encouraging paper-based alternatives in packaging, FMCG, and food delivery sectors.
2. E-commerce Boom – Higher demand for corrugated packaging, security PSA sheets, and labeling paper.
3. Food & Beverage Sector Growth – Rising use of food-grade paper, cup stock, and straw paper.
4. Government Incentives – Policies like Make in India, National Green Tribunal (NGT) sustainability mandates, and MSME incentives.
5. Technological Advancements – Growth in biodegradable paper manufacturing, high-strength paper, and specialty packaging materials​

Competitive Landscape

The Indian paper industry is led by major players such as JK Paper, ITC Paperboards, and Tamil Nadu Newsprint and Papers Ltd (TNPL). Globally, International Paper, WestRock, and Oji Holdings dominate the market. Shreenath Paper Products competes through an asset-light model, diversified product portfolio, and strong supplier relationships​.

Position of Shreenath Paper Products in the Industry

Shreenath Paper Products specializes in coated, food-grade, and adhesive papers, primarily targeting industries such as FMCG, textiles, pharmaceuticals, and packaging. Unlike larger manufacturers, the company operates on an asset-light supply chain model, focusing on customized paper solutions and efficient sourcing​.

Business Strengths

Shreenath Paper Products has several key business strengths that differentiate it in the industry:

• Extensible Business Model: The company follows an asset-light and order-driven model, allowing flexibility and reduced operational risks.
• Strong Supplier Network: The company has long-term relationships with paper mills, dealers, and distributors, ensuring a steady supply of raw materials.
• Multiproduct Portfolio & Customization: The ability to identify customer requirements and provide customized paper solutions enhances its market positioning.
• Strong Customer Relationships: The company has repeat clients across multiple industries, ensuring stable revenue streams.
• Experienced Management Team: Led by industry veterans with an established track record in supply chain management and paper industry expertise.
• Track Record of Financial Performance: The company has demonstrated consistent revenue growth and profitability, reflecting strong financial fundamentals.

Business Strategies

• Product Expansion: The company plans to expand its high-margin product lines, particularly in industrial-grade and specialty papers.
• Geographic Expansion: Targeting new domestic and international markets to diversify revenue sources.
• Customization & Customer Retention: By offering tailored paper specifications, the company aims to secure long-term contracts with key clients.
• Sustainability Focus: Leveraging the growing demand for eco-friendly and recyclable paper products to strengthen market positioning.

Risk Factors and Concerns

• Supplier Dependence: Since the company does not own manufacturing facilities, it relies on third-party manufacturers, which can lead to supply chain disruptions.
• Raw Material Price Volatility: The company is vulnerable to fluctuating paper prices, which could impact profit margins.
• Customer Concentration Risk: A significant portion of revenue comes from a few key customers, posing risks in case of client loss.
• Intense Competition: The paper industry has large, well-established players, making it a competitive market.
• Regulatory Compliance: The company must adhere to environmental and government regulations regarding paper waste management, adding to operational costs.