FMCG, pharmaceutical segments to drive sales of packaging companies

Larger players such as Blackstone-owned EPL are expected to gain from the ongoing consolidation

Listed packaging companies have been among the big gainers over the past six months, rising between 50 per cent and 100 per cent. 

The gains came on the back of increasing demand for packaged food and products, especially from fast-moving consumer goods (FMCG) and pharmaceutical companies. 

While EPL, Huhtamaki India, and Mold-Tek Packaging have gained 48-76 per cent, Uflex has doubled in value over this period. In addition to higher demand from the consumption segments, the organised segment is expected to gain market share. 

Larger, organised players, according to PhillipCapital (India), are well-placed. The sector is moving towards consolidation, with smaller players facing