Satia Industries Soars 4% on Rs 340-Crore Order Wins, Sign of Rising Demand for Writing and Printing Paper
Satia Industries: A Powerhouse in Paper Manufacturing Satia Industries Limited, one of India’s largest Wood and Agro-based paper plants, is making headlines. The company, which manufactures Paper using Wood Chips, Veneer Waste, Wheat Straw, and Sarkanda, has seen its shares trading over 4 percent higher on the afternoon of October 11. This surge came in response to the company’s announcement of securing contracts for supplying paper for printing textbooks from several clients.
Securing the Future: Satia’s New Contracts
The company, in a regulatory filing, revealed that it had received orders from Text Book Production and Marketing (Bhuvneshwar), MP Text Book Corporation (Bhopal), Rajasthan State Textbook Corporation (Jaipur), and Maharashtra State Bureau of Textbook Production & Curriculum Research (MSBT) Pune. These orders, amounting to 34,000 MT and valued at over Rs 340 crore, are for printing books.
Education Policy Fuels Paper Demand
The orders are indicative of a surge in demand for writing and printing paper. This increase is attributed to the implementation of the New Education Policy (NEP) across the country. At 12.50 pm, the stock was trading at Rs 135.20 on BSE, up 4.20 percent from the previous session.
Executive Insights: A Word from Chirag Satia
“These multiple order wins are reflective of our long-standing association with important customers and thank them for their trust in the quality and commitment of Satia Industries to deliver high volumes, well in time - both being imperative for delivery of textbooks to the students before the new academic year,” said Chirag Satia, Executive Director of Satia Industries.
He further added that orders from text-book boards also provide revenue visibility to the company at attractive prices. Such orders command higher operating margins as compared to the open market.
Satia Industries: A Closer Look
Satia Industries has successfully commissioned its PM 4 plant and augmented its installed capacity to 205,000 MTPA. It also has 540 acres of eucalyptus plantations that complement future wood raw material requirements. The company boasts a distribution network of more than 70 dealers and three branches in Delhi, Chandigarh, and Jaipur.
Conclusion
The recent order wins by Satia Industries Limited underscore the company’s commitment to quality and timely delivery. These contracts not only provide a significant boost to the company’s revenue but also highlight the increasing demand for writing and printing paper in the wake of the New Education Policy (NEP) implementation across India. With its robust infrastructure and strong customer relationships, Satia Industries is well-positioned to capitalize on these emerging opportunities.
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Keywords: Satia Industries, Shares Surge, Rs 340-Crore Contracts, Textbook Printing, Rising Demand, Paper Industry, New Education Policy