Corrugated Box Industry Seeks Relief Amid Rising Costs, Production Disruptions

New Delhi, May 8 (KNN) India’s corrugated box industry is facing mounting financial pressure due to rising input costs, fuel price hikes, labour shortages and GST-related challenges, industry bodies have said.

It is a key support segment for the e-commerce, fast moving consumer goods (FMCG) and manufacturing sectors.

The Federation of Corrugated Box Manufacturers of India (FCBM) and Uttar Pradesh Corrugated Box Manufacturers Association (UPCBMA) have warned that without immediate government intervention, the sector could face disruptions in production, employment and broader supply chains.

According to UPCBMA President S K Chauhan, the industry is currently facing a shortage of nearly 70 percent of its workforce, significantly affecting production capacity.

He added that prices of kraft paper, a key raw material used in manufacturing corrugated boxes, have increased by 15 to 20 percent.

In addition, the cost of consumables such as adhesives, ink, staple wire, strapping wire, lamination materials and stretch film has risen by 40 to 50 percent, further impacting manufacturers’ margins.

FCMB President Rajendra Bhati, as quoted by a media report, said that rising prices of LPG and PNG, along with delays in GST refunds, have worsened the financial condition of the industry.

Industry representatives said timely policy support is required to stabilise the sector, which plays a critical role in packaging and logistics across multiple industries.

(KNN Bureau)