The Tamil Nadu Newsprint and Papers' production capacity is set to increase by about 60 per cent next month, with the commissioning of its third paper machine. The new machine will add 1.55 lakh tonnes a year of printing and writing paper capacity to its present capacity of 2.45 lakh tonnes.This will mark the completion of the Rs 1,000 crore expansion plan launched in 2008.The third paper machine is supplied by Voith Paper, Germany, at a cost of about Rs 800 crore.

TNPL's total production capacity will be 4 lakh tonnes of printing and writing paper, making it one of the largest production facilities at a single location. It is targeting high-growth segments in printing and writing paper, including copier paper and the launch of new products such as pigment printing paper for multicolour printing, a novelty in the domestic market.

Copier paper output this year is estimated at about 58,000 tonnes and will grow by 50 per cent next year. The company has also charted out an export plan for over 90,000 tonnes this year against about 51,000 tonnes done in 2009-10.The company has been on a concerted expansion path, with the latest addition in capacity launched close on the heels of a Rs 565 crore pulp mill expansion.

Following the latest expansion, its next phase of growth will be from the ongoing deinking line being set up at a cost of Rs 175 crore with equipment supplied by Andritz AG, Austria. This will be a 300-tonne a day pulp line that will strengthen its raw material availability by using recycled paper.crackcrack

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