The Netherlands-based global leader in the industrialised paper, Honicel Worldwide, has set up its facility near Chennai to cater the growing local market.

The company planned to cash in on the booming construction activities across the country coupled with surging exports of various products, including pharma, auto components and FMCG goods.

Honicel India, the Indian arm of the company, in its first phase, would produce 9,000 tonne of Honeycomb core per annum and 60% of the production will go to the packaging industry viz., the pallets, container packing, pharma, food and automobile industries and 40% for the rest of construction industry namely for internal doors and furniture making needs.

Honicel pallets are environment-friendly replacement for plywoods, MDF (medium density fibre boards), particle boards, solid woods and corrugated boards. The products are recyclable, renewable, and bio-degradable. Currently, it costs around one-third cost of the conventional construction and packaging materials. Being in usage for over 60 years all over Europe, Honeycomb products are made of recycled paper, certified by forest stewardship council (FSC).

?In the backdrop of growing township property developments, the Honeycomb doors among other products have in great demand and are being currently imported. Our plant would be a good relief and domestic source point providing the seekers imported quality at Indian price,? said Giridhara Raj, director, Honicel India Private Limited.

Apart from producing the base products, the company would also be training the people in carpentry, machining and calibrations, with the techniques of Honeycomb door making, he added.

?We have been the pioneers for infill products across the Europe for over a few decades and has brand equity for our products. We have number of customers in India over the years, including Godrej. We are targeting construction industry, door and furtinure manufacturers, pharma, automobile industries, kitchen/wardrobe manufacturers in India where our products will provide huge benefits for them. Our product is one-third of the cost of basic particle board and offers much more benefits than that of plywood,? Raj said.

?The thickness of boards would range from 10 mm to 100 mm, while the conventional plywoods are available only in 3 mm to 19 mm thickness. One palette, weighing about half a tonne, can be used to produce about 400 doors of standard sizes. The company expects a turnover of R300 crore in 2012-13,? he added.

Honicel will be setting up packing solutions units in Chennai, Bengaluru, Hyderabad in the next few months and would expand the same across the country to cater to the local packaging needs.

and to avoid logistics constraints.? Going forward, the company would also set up a R&D unit in India to produce customised products

Honicel spent many years in R & D, by trying all shapes like Squares, Triangles and Circles to base this fundamental concept of highest strength with lowest materials and has applied it for practical applications. Honeycomb products are known for their huge pressure resistance; high shearing resistance; tensile strength, low weight (savings on handling, packaging and transport); flexibility in shapes; durability effects and saving on raw materials (like wood) resulting from the use of 100% FSC recycled paper; achieving environmental friendliness; easy processing, and lowest cost.