Key Highlights

The merger with Positive Packaging is fully complete and all the synergies are well in place. Expects the benefit to come in form of lower procurement costs and higher productivity.

Exports account for around 25% of total consolidated sales. Going forward exports should remain around the same level or may be lesser, as exports uncertainty still continues. Post the acquisition of Positive packaging, Huhtamaki has become a strong packaging player in Asia and Africa market.

The company has completed capex of around Rs 50 crore in CY 2016 which has resulted in green field manufacturing facilities in Eastern part of India.

Nearly 198 new product brands were added to company's portfolio in CY 2016. The company has further widened its packaging solution offerings, which though is a continuous process.

Expects some slowdown in near term due to GST implementation in CY 2017. However a good normal monsoon which the IMD has projected should help H2 of CY 2017.

Expects GST benefit to help in long run and any lower sales due to the GST effect will be compensated by the positive benefits in terms of a common tax regime, more business shifting from unorganised players to organised etc .

Increase in spending power among the consumers is very much visible. More attention is given to the quality of packaging which has resulted in customers asking for more value added products.

Overall, for CY 2017, while GST implementation will result in lot of challenges, a normal monsoon should help the year to sail through positively.