MoS MNRE cites rising demand, higher farm forestry output and energy transition as drivers of growth

India’s paper and paperboard industry is expected to raise its production capacity from 24 million tonne to 32 million tonne by 2030, supported by steady growth in demand and wider use of farm forestry.

Speaking at the seventeenth edition of Paperex 2025 in Yashobhoomi (IICC), Dwarka, Shripad Yesso Naik, Union Minister of State for Power and Minister of State for the Ministry of New and Renewable Energy, said the sector has maintained annual demand growth of about 7 to 8 per cent.

He said the industry plays an important part in rural jobs, small industry growth, packaging, education and wider social outcomes. According to him, plantations and farm forestry programmes now supply nearly 90 to 95 per cent of the wood requirement, reducing the strain on natural forests. The sector’s current mix uses between 25 and 50 per cent bamboo in total wood pulp.

Naik said companies in the field have begun to shift towards renewable energy to reduce fossil-fuel use and pursue carbon-neutral growth. He said these efforts strengthened India’s position on environmental policy at a time when the country’s industrial base is expanding.

He said future progress would rest on innovation, digital tools, recycling systems and cross-border partnerships capable of creating a competitive domestic market. He told the conference that such measures were central to industry development within the government’s long-term goals for a developed economy by 2047.