Extensive SWOT Analysis of Jindal Poly Films – The Largest Manufacturer Of BOPET & BOPP Films In India

Quick Stats on Jindal Poly Films

Founder	BC JINDAL
Year Founded	2003
Origin	Nashik, Maharashtra
No. of Employees	1,800+
Company Type	Public
Market Cap	Rs 4,862.04 Crore (2022)
Annual Revenue	Rs 1.36T Crore (2021)
Net Income/ Profit	Rs 217.98 Crore (2021)

 

Products By Jindal Poly Films

• Packaging Films
• BOPP Films
• Metalized Films
• Coated Films
• CPP Films
• Thermal Films
• Medical X-ray Films

Competitors of Jindal Poly Films

• JBF Industries
• Poly-Med
• Polytronics Technology
• Vita

Now that we know everything we need to know about Jindal Poly Films, let’s start with the SWOT analysis of Jindal Poly Films.

SWOT Analysis Of Jindal Poly Films

SWOT analysis is like a formula for identifying Strengths, Weaknesses, Opportunities, and Threats (SWOT) that a market possesses for a company. The main objective of this analysis is to help us, as investors and the company, to make business decisions wisely.

By using this method, we analyze where the company is falling short, where it is excelling, and what needs to be worked upon.

To better understand the SWOT analysis of Jindal Poly Films, refer to the infographic below:

So let us first start by looking at the strengths of Jindal Poly Films from the SWOT analysis of Jindal Poly Films

Strengths of Jindal Poly Films

The strengths of a firm can be positive qualities that help the company to maintain goodwill in the market or give it a competitive advantage. Mentioned below are some of Jindal Poly Films’ strengths:

• Brand Portfolio: Jindal Poly Films are a piece of the pie in the BOPP and metallised film industry. Jindal Poly Films has a manufacturing unit in Nashik with a BOPP manufacturing capacity of 251,000 TPA and a CPP manufacturing capacity of 16,200 TPA.
• Premium Clients: Cosmo products are exported to more than 40 countries worldwide. Cosmo’s client base includes the leading label face stock manufacturers and global flexible packaging like Amcor, Constantia, Huhtamaki, Avery Dennison etc., which service brands like Pepsico, Coca Cola, Unilever, P&G, Britannia, Parle, CP, Reckitt Benckiser, Nestle, Mars etc.
• Solid Memorability: Jindal Poly Films items have solid memorability in the metallised and coated films industry. This has empowered the organisation to charge a superior contrast with its rivals in the container and packaging industry.
• Extensive Network of Channel Partners: Jindal Poly Films has a broad vendor organisation and partners network that not just assists in conveying productive administrations to the clients yet additionally help in overseeing serious difficulties in the production of BOPET and BOPP films, it has an extensive network of channel partners across the world for the distribution of its range of lamination films.
• Different Revenue Models: Over the years Jindal Poly Films has wandered into different organisations outside the basic materials area. This has empowered the organisation in all actuality to foster a differentiated income stream past the basic materials area, containers and packaging section.
• Range of Products: The company offers a comprehensive range of speciality films for flexible packaging, lamination, labelling and industrial applications, including films such as high barrier films, velvet lamination films, and synthetic paper.

Weaknesses of Jindal Poly Films

Weaknesses are the areas where the company is lacking behind and needs improvement. Let’s have a look at the weaknesses of Jindal Poly Films:

• High Cost of Technology: With the rising demand for packaging products, also comes the need of being constantly updated with technology. Businesses are adopting AI and machine learning to function on a day-to-day basis but they come at a hefty price.
• Lack of Loyalty: Since Jindal Poly Films is known to have a knack for innovation, suppliers are in a constant state of fear of being replaced by technology.
• Declining Revenue: Due to the Covid 19 pandemic, the packaging, lamination and labelling industry had hit a major dent as many activities were put at a halt resulting in huge losses.
• Limited Portfolio Diversification: The portfolio of Jindal Poly Films is not as diversified as compared to other industry leaders like Treofan and Cosmo Films etc.
• Non Availability of Raw Materials: Having fewer mines under its control affects the availability of primal materials. Hence at times, there is the unavailability of the raw material which is required.

Opportunities for Jindal Poly Films

Opportunities are uncontrollable external events a person can potentially leverage. These are favourable external factors that could give an organisation a competitive advantage.

• Neighbourhood Collaboration: Tie-up with nearby players can likewise give chances for development to Jindal Poly Films Ltd in global business sectors. The nearby players have neighbourhood aptitude while Jindal Poly Films Ltd can welcome worldwide cycles and execution mastery on the table.
• Government Support: With new policies already supporting local businesses to prosper in the country and an increase in regulations in the industry has proven to become a huge benefit for this company.
• Technological Advancements: Adoption of technological advancements can help curb additional costs which can be used to manufacture a new product line.
• Changing Preferences: With government policies supporting many startups, many businesses are in constant need of raw materials. Companies need to keep an eye on these customers as they are in their experimental stage.
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Threats to Jindal Poly Films

Threats are the external factors that may cause loss to the firm over time or all at once. Some of these are stated below keeping Jindal Poly Films in mind:

• Competition: Competition from existing and foreign players is a huge threat to Jindal Poly Films. Some of the competitors are Treofan, Cosmo Films etc. Cosmo Films is its biggest competitor and is the market leader. Due to this ongoing competition, there are price cuts which lead to a decrease in profit margin.
• Government & Environmental Regulations: The government has slightly different and more strict laws for the film industry because it is our natural core and to maintain their control over the consumption of natural resources. While on the other hand organisations concerned about the environment also have their eyes on the packaging industry due to its threat to natural resources and the environment.
• Unstable Environment: Due to the Covid 19 pandemic, packaging demand plummeted, and ever since the industry has been coping with the after-effects of the same.
• Shortage of Human Resources: As the company is focusing on becoming more technologically forward, the company might face a lack of human resources shortly.

This ends our extensive SWOT analysis of Jindal Poly Films. Let us conclude our learning below.