Hind Paper investing Rs 1,380 cr to expand

Hindustan Paper Corporation (HPC) has embarked on a Rs 660 crore modernisation and technical upgradation plan (MTUP) for Cachar Paper Mill (CPM) and Nagaon Paper Mill (NPM) including 30% capacity expansion at NPM, following good performance by HPCs three paper mills - CPM, NPM in Assam and Hindustan Newsprint (HNL) in Kerala, which together produced 320,118 tonne of paper and newsprint in FY06 as against 309,514 tonne in the preceding fiscal.

In parallel, a Rs 720 crore expansion-cum-diversification project (EDP) is being executed at HNL to add a 180,000tpa fine paper line, making it a 300,000tpa capacity mill, a release issued by HPC said.

These projects are under way and due for completion in phases by 2009.HPC is also looking to set up a greenfield 300,000tpa mill in northern India. The HPC team is overseeing a Rs 550 crore scheme for revival of a closed paper mill under the Nagaland Pulp & Paper Company (NPPC) at Tuli in Nagaland by doubling installed capacity to 66,000tpa.