- The company intends to market around 20% of the production as exports and then increase the same to 30-40% within 2 years
- The company becomes the first south-based recycled paper mill to achieve the FSC certification.
Servalakshmi Paper Ltd, engaged in the manufacturing of printing and writing paper and newsprint gets an edge over 74 paper mills in operation in Tamil Nadu who contributes 40 per cent of South India’s production of paper and 12 per cent of India’s paper production. The certification of Servalakshmi Paper Limited from Forest Stewardship Council (FSC), an international certification and labelling system, guarantees that paper and wood products carrying its label, come from environmentally and socially responsible sources.
The eco-friendly tag for the paper products of the Servalakshmi Paper Limited is expected to command a premium in the overseas markets. Servalakshmi Paper Limited products are eco-friendly as the input raw material is 100% recycled. This will fetch additional money in exports. Availability of raw material is good throughout the year and it can plan the products as per demand.
The FSC certification will help the company to build the brand and reputation globally, as the certification acts as a mandatory requirement to access high environmentally sensitive markets like US and Europe regions, in which paper mills need to establish that the original source of product is from sustainable source.
The countries which company targets for its exports are Middle East, South Africa, Europe, USA and South East Asia. Servalakshmi Paper Limited has also commenced exports of the products and the major customers so far are from Singapore, Sri Lanka and Zimbabwe. Now the company intends to market around 20% of the production as exports initially and then increase the same to 30-40% within 2 years.
Based on the present order book, some of the leading Indian clients include The Times of India, Kerela Kaumudi Private Limited, Deccan Herald, Sakal Paper Limited, Perfect Coated India Private Limited, Manipal Press Limited, Mehra Computer System Limited and Arunodaya.
Mr. R. Ramswamy, Chairman & Managing Director of Servalakshmi Paper Ltd said that “the plant has locational advantage as it is located at Tirunelveli in Tamil Nadu, which is in close proximity to Tuticorin Port. Thus, import of coal and raw material, recycled paper or export of finished goods will have more advantage. The geographical advantage of proximity to port helps the company in reducing the inland transportation cost compared to competitors.”
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Servalakshmi Paper has many more technological advantages. Since it has opted for high speed bigger machines, coupled with better automation, the Company is able to manufacture high end products with reduced cost per ton of paper. Servalakshmi Paper Limited is the first mill in India to go for POM Technology from Finland in Stock preparation, which helps saving of energy and reduction in cost of production. Further, it has introduced “Intelligent MCC” in complete plant which is maintenance free and the best communicating system for DCS (Distributor Control Systems) from YOKOGAWA and QCS (Quality Control Systems) from HONEYWELL for improving its productivity.
About Servalakshmi Paper Ltd
Servalakshmi Paper Limited was incorporated in the year 2005 by Servall Group. The company carries the production through the state of art production unit located at Kodaganallur Village, Tirunelveli district of Tamil Nadu. The plant is located in an area covering about 340 acres of land that has a total production capacity of 90,000 tonnes per annum. The plant is considered as one of the largest single location plants in India and ranks within fifteen major plants in India.
To ensure consistent availability of power, the company has installed a co – generation power plant with a capacity of 15 MW to supply uninterrupted power and steam for their paper plant. The company has latest technology many of which are of first of its types in India. The company has gradually developed selling and distribution network over a period of time. The company is the first in India to go for POM Technology from Finland in Stock Preparation that saves energy and reduces production cost. The company has introduced Motor Control Centres (MCC) in complete plant which is maintenance free and the best communicating system for Distributor Control Systems (DCS) from YOKOGAWA and Quality Control Systems (QCS) from HONEYWELL for improving our productivity.