### **Overview** Astron Paper & Board Mill Limited, incorporated in 2010 and publicly listed on the BSE and NSE since December 2017, is one of India’s largest manufacturers of **recycled corrugated Kraft paper**. Headquartered in Ahmedabad, Gujarat, the company has established itself as a sustainable, technology-driven player in the packaging paper sector. With approximately 12 years of operations, Astron has grown rapidly through strategic acquisitions, operational efficiency, and a strong focus on innovation and environmental sustainability. The company is promoted by industry veterans **Kirit Patel**, **Ramakant Patel**, and **Karshanbhai Patel**, whose collective experience has been instrumental in scaling Astron into a major force in the recycled paper industry. --- ### **Operations & Manufacturing Capacity** As of 2025, Astron operates **three manufacturing units across Gujarat**, equipped with **four high-speed paper machines**, delivering an **annual production capacity of 222,000 metric tons**: - **Halvad (Two machines)**: Combined capacity of 144,000 MT/year – producing Test Liner, Kraft Liner, High RCT (HRCT), and Corrugated Medium. - **Bhuj (One machine)**: Capacity of 36,000 MT/year – producing Fluting Medium and Test Liner. - **Mehsana (One machine via subsidiary)**: Operated through **Balaram Papers Private Limited**, with a monthly capacity of 3,500 MT (42,000 MT/year), primarily for Fluting Medium. All facilities are located in strategically developed industrial zones, with proximity to **Mundra Port**, providing logistical advantages for raw material sourcing and export operations. --- ### **Subsidiary: Balaram Papers Private Limited** In **May 2024**, Astron completed the acquisition of 100% stake in **Balaram Papers Pvt. Ltd.**, making it a wholly owned subsidiary engaged in **Multiliner Kraft Paper** manufacturing at Mehsana, Gujarat. However, due to persistently low market demand, **Balaram Papers suspended operations in 2023 and has remained inactive for the past two years**, generating no revenue. Despite initial financial support from Astron—including loans and advances for expansion and working capital—the subsidiary later resorted to **bank borrowing** to meet its obligations. While trials of a new product line—**Absorbent Paper**—were successfully completed in 2022, operations remain on hold. Future restart plans are contingent on market recovery and strategic reevaluation. --- ### **Product Portfolio** Astron produces a diverse range of recycled packaging papers, including: - **High RCT (Rich Crush Test) Kraft Paper** - **Kraft Liner** - **Test Liner** - **Corrugated Medium / Fluting Medium** - **Virgin Top Liner (VTL)** **Specifications**: - Basis weight: **80–350 GSM** - Burst Factor (BF): **16–40**, suitable for high-strength packaging needs - Colors: Golden, natural, and custom shades Products are **pre-approved by major clients** across FMCG, pharmaceuticals, e-commerce, automotive, and ceramics industries. The company holds **ISO 9001:2015 (Quality Management)** and **ISO 14001:2015 (Environmental Management)** certifications, audited by SGS, and emphasizes **sustainable fiber sourcing** with recognition for responsible forest management practices. --- ### **Strategic Initiatives & Expansion** #### **1. Captive Solar Power Plant (Gala, Surendranagar)** To reduce energy costs and enhance sustainability, Astron is investing **₹45 crore** in a **10 MW captive solar power plant** in Gala village, Surendranagar district. - **Phase I (5 MW)**: Commissioned in **Q3 FY 2024–25 (late 2024)** - **Phase II (5 MW)**: Under development - **Annual Generation**: ~1.8 crore units - **Purpose**: Power supply to **Halvad and Bhuj** manufacturing units, significantly cutting electricity expenses and carbon footprint. This initiative aligns with Astron’s commitment to **clean energy and environmental stewardship**. #### **2. Vertical Integration – "Fibre to Container" Vision** Astron aims to become fully integrated across the paper packaging value chain: - **Backward Integration**: - Leasing waste paper collection sheds in **Odhav and Changodar (Ahmedabad)** to formalize sourcing from malls, industries, and vendors. - Objective: Ensure **consistent quality, supply, and cost control** of recycled raw materials. - **Forward Integration**: - Exploring downstream packaging solutions (corrugated boxes, containers). - Developing **paper-based alternatives to banned plastic products**, particularly for grocery and e-commerce segments. - A **dedicated R&D team** has been established to innovate new products and applications, supporting India’s green transition. --- ### **Market Position & Growth Strategy** #### **Domestic Market** - Serves a **pan-India customer base** via a strong dealer network. - Key sectors driving demand: - **E-commerce packaging** - **Grocery carry bags** (plastic ban tailwinds) - **Ceramics and industrial packaging** - Utilizing idle capacity through expansion in domestic applications; **PM2 at Halvad** is focused on **lower GSM paper** for **paper bag production**. #### **International Markets** - Exports accounted for **16–22% of sales (FY 2020–21)**, with growing traction. - Secured **long-term export contracts in Europe**, targeting **15–20% export contribution** to total revenue. - Dedicated export team participates in international auctions and global trade forums. Despite challenges from **freight volatility** and **post-COVID supply chain disruptions**, Astron has maintained competitiveness through **cost efficiency** and **strategic pricing**. --- ### **Financial & Operational Highlights** - **Revenue Growth**: From **₹267.27 million (FY 2012–13)** to **₹3,590.08 million (FY 2019–20)** — a compound annual growth rate exceeding 40%. - **Capacity Utilization**: Near full capacity (~100%) observed during peak periods (e.g., Sep–Nov 2020). - **Installed Capacity**: Remained stable at **222,000 MTPA** since 2020 after expansions in Bhuj and Mehsana. - **Cost Optimization**: Upgraded boiler and turbine at Halvad plant to reduce fuel and power costs and improve environmental performance.