Last updated : July 06, 2024 10:24 am
Launching over 20 new products annually reflects our dedication to remaining at the forefront of market trends
2024 industry trends in printing inks, varnishes, resins, and pigments?
The publication industry is experiencing stagnation primarily due to the pervasive influence of digital media and the escalating use of mobile and IT devices, facilitated by affordable data costs. Conversely, the packaging sector, encompassing folding cartons, corrugated boxes, rigid cartons and flexibles is witnessing a notable uptick.
Particularly encouraging is the revival of volumes in rural India, approaching pre-COVID levels. A noticeable shift is observed towards sustainable ink systems within the flexible packaging domain. Innovations such as UV LED, EB, Sheetfed Mineral Oil Free (MOF) inks, Web MOF inks, and water-based inks are gaining traction among print buyers, emphasizing a growing commitment to eco-friendly solutions.
How has hubergroup performed during FY 2023-24 and what's your forecast for FY 2024-25?
In 2023-24, our Print Solution business recorded a significant YoY volume growth, accompanied by a remarkable recovery in business margins compared to the previous fiscal year. Forecasts for FY 2024-25 indicate a similar growth trajectory to that witnessed in FY 2023-24, suggesting continued momentum and positive trends for the company.
For the last 250 years, hubergroup has been providing innovative printing inks and printing aids such as coatings and additives for commercial, packaging and newspaper printing. How difficult was it to develop printing ink families?
Managing and maintaining a leadership position demands relentless effort. At hubergroup, we addressed this challenge by developing innovative printing ink products due to our culture of innovation. We have been constantly refining and expanding our product range to meet the ever-evolving needs of the printing landscape. We have also aligned our offerings to meet market demands. These have reinforced our standing as innovation leaders in the printing domain.
What's your India and Asia strategy for printing inks in FY 2024-25?
Our strategy is centered on two key pillars.
Continuous Innovation and Optimization: We are committed to consistently innovating and optimizing our printing ink product range with a global market perspective to ensure that we stay ahead of the curve.
Expanded Market Penetration: We aim to enhance our presence in specific segments such as Low Migration Low Odour Conventional & UV Inks for offset and web applications (MGA), Premium folding carton inks for Gravure, and water-based inks for Gravure applications. By strategically penetrating these areas, the company can better cater to the diverse needs of the customers and solidify our position in the market.
The Chemicals Division of hubergroup has competence in production of raw materials for printing inks and coatings and has an extensive product portfolio as it addresses customers all over the world. What's your India and Asia strategy for the Chemicals Division in FY 2024-25?
Our strategy showcases a balanced and forward-thinking approach. Our primary focus is to create new and advanced products, specifically tailored for the ink and coatings sector, to meet the needs of our valued Indian and Asian customers. Our portfolio diversification strategy showcases synergistic offerings tailored to rubber and adhesive applications, enabling us to capitalize on emerging opportunities. Recent successes, such as our advancements in lamination adhesives, demonstrate our expertise in the field.
We've also invested in contract manufacturing services for a couple of leading coating manufacturers to strengthen our industry partnerships and expand our presence. Looking ahead, we're committed to continued innovation and product development while maintaining our high standards of quality and customer satisfaction.
In India, hubergroup operates two production plants, which manufactures UV-curable oligomers, polyurethane resins, laminating adhesives (2K PU systems), modified rosin resins, PVB, ketone resins and polyamides as well as pigment concentrates, alkali blue, and adhesion promoters with a cumulative production capacity of almost 300 kilotons.
Industry where these products are being presently used and are you looking at new industry verticals for these products?
As you rightly highlighted, hubergroup stands at the forefront with an impressive manufacturing capacity exceeding 300 KTPA across two state-of-the-art plants. These facilities manufacture a wide range of products catering to an array of industries and sectors, spanning ink, coatings, construction, flexible packaging, and adhesives. Our commitment to innovation is evident in our continuous expansion of product offerings.
We prioritize sustainability and regulatory compliance, developing products that not only meet stringent industry requirements but also align with the growing emphasis on environmentally responsible solutions. Furthermore, we actively explore new industry verticals, seeking opportunities to deliver value and meet specific market needs. We aspire to continue to lead the market by anticipating trends and delivering innovative solutions that surpass customer expectations.
What strategy should India adopt to become a global manufacturing hub for printing inks, varnishes, resins, and pigments? And, what role does hubergroup see for itself in making India a global manufacturing hub?
India's path to becoming a global manufacturing hub for printing inks, varnishes, resins, and pigments hinges on strategic initiatives. Embracing lean manufacturing, leveraging low-cost automation, harnessing data, and computing for proactive process control, upskilling the existing workforce, optimizing energy usage through advanced machinery, and adopting renewable fuels and energy sources are key strategies.
hubergroup envisions a pivotal role in this journey. By leveraging our expertise and global experience, we aim to contribute significantly to making India a global manufacturing hub. Through collaboration, innovation, and investment in cutting-edge technology, we aspire to drive efficiency, sustainability, and excellence in the manufacturing processes.
hubergroup research centers have been investing a lot of time and energy in development of product safety or the identification of environmentally friendly alternatives, and much more by launching more than 20 new products per year.
What's the reason behind this continuous innovation and bringing sustainable products? How will it increase the company's topline and bottomline?
Our steadfast commitment to continuous innovation and sustainability is driven by several key factors. Firstly, the rapid evolution of markets, coupled with an increasing demand for sustainable solutions, propels our drive to adapt and stay ahead of the curve. Moreover, stringent global regulations and the growing emphasis on a circular economy compels us to prioritize the development of environmentally friendly alternatives.
Launching over 20 new products annually reflects our dedication to remaining at the forefront of market trends and meeting the ever-changing needs of our customers. By enriching our portfolio with products that resonate with global demand, we aim to strengthen our market presence and enhance competitiveness.
hubergroup's collaborative R&D approach, epitomized by our dedicated teams in India and Germany, embodies our philosophy of "Designed in Germany, made in India”. We are confident that increased investment in R&D, through the addition of resources and equipment, will expedite our development process, enabling us to introduce innovative products to the market more swiftly.
While financial performance is essential, our ultimate goal extends beyond profit margins. We aspire to contribute meaningfully to India's societal advancement by delivering top-notch product offerings. We firmly believe that our strides in sustainable product development will not only drive long-term organizational success but also positively impact society and the environment.
Last year hubergroup launched three new solvent-based ink series - Gecko Platinum Plus, Gecko Platinum NT and Gecko Gold which are specifically tailored to the needs of the Asian market. How are you planning to position these products in the Asian and Indian market and what is the size of the Asian market?
Our products are strategically positioned as premium inks for the food packaging segment. The response from converters has been highly favorable, with most of our Toluene-free offerings gaining significant traction in the market. In India, the market size for toluene-free inks amounts to approximately 50–60 thousand metric tons annually. Safety and health to all stakeholders would always be a priority at hubergroup.
hubergroup is planning to expand its UV oligomer, monomer, and ketonic resin product range through its own manufacturing unit or custom manufacturing. What's the update on this front?
We've made substantial strides in expanding our UV oligomer, monomer, and ketonic resin offerings. For UV oligomers, we've boosted both our in-house manufacturing capacity and custom manufacturing capabilities. Looking ahead to FY 2024-25, further expansion is on the horizon to meet the escalating demand for energy-curing applications. The expansion of our monomer and ketonic resin product lines has been guided by market demand. We've enriched our portfolio with new monomers and intensified our marketing initiatives for ketonic resin, actively exploring new applications to maximize its utility.
In tandem with these expansions, we're also enhancing capacities for additional products like PVB and polyamide. These initiatives reflect our commitment to holistically address market needs and deliver a diverse array of premium-quality products to our valued customers.
Initiatives taken by hubergroup for enhancing process safety across all facilities/processes to make operation intrinsically safe?
We are implementing the "Building Defenses Program," which operates on a set of 16 leading indicators to improve safety outcomes. We are very proud of having one of the best effluent treatment and water treatment plants in the industry. We continue to set new standards in the safety of our employees and the society around us through a series of continuous improvement programs.
Sustainability roadmap of hubergroup and key sustainability initiatives of the company in India and Asia in 2024?
We are adopting the CSRD Initiative, which stands for Corporate Sustainability Regulation Directive. This directive will directly impact on our current reporting obligations. Originating from Germany, this initiative aligns with ESG requirements and is equivalent to the compliance standards of EcoVadis for the region.
When are you planning to become Net Carbon Zero? Milestones that you have set for achieving it?
We continue to build strategies and find innovative ways to minimize our carbon footprints. At our sites in India, we are reducing energy consumption through energy-efficient technologies and process improvements. We have implemented photovoltaic systems in our plants. We are also fostering the use of renewable energy sources like wind and solar.
Major CSR initiatives being undertaken by hubergroup in FY 2023-24? Plans for FY 2024-25 with respect to rural healthcare?
Our CSR initiatives span a spectrum of impactful endeavors targeting livelihood improvement specific to health and education, specifically in the neighboring regions of Vapi and Silvassa, where our factories operate. Teaming up with renowned NGOs, we're making a tangible difference in communities. Our Fartu Davakhanu (Mobile Medical Vans) equipped with doctors and nursing staff continues to visit the rural areas of Valsad and provide general healthcare, dental and eye care services.