In a remarkable story of legacy, innovation, and commitment to sustainability, Pakka Ltd has emerged as a major player in eco-friendly packaging, driven by a desire to create a greener planet. Founded in 1981 by K K Jhunjhunwala in Ayodhya, the company has grown from humble beginnings to an enterprise valued at over Rs 400 crore. This journey is a testament to resilience, adaptation, and a commitment to sustainable business practices.
The Origins: A Family’s Vision for Sustainable Manufacturing
In 1981, K K Jhunjhunwala envisioned a paper mill powered by sugarcane waste, inspired by his experience in his father’s sugarcane mill and keen awareness of the waste generated in the industry. With limited resources, his wife’s sacrifice of selling her jewelry became the stepping stone that brought this vision to life as Yash Papers, a small paper mill focused on sustainable practices from the start.
Over the years, K K carved a niche in the paper industry, specializing in low-grammage kraft paper. However, in the mid-90s, a heart surgery reshaped his goals, as he began to imagine passing his business legacy to his sons. Ved Krishna, the elder son, was reluctant, having seen the struggles his father faced. But fate had other plans. By the late 1990s, K K’s efforts to sell the business were unsuccessful, which eventually brought Ved back to India, ready to take up his father’s mantle.
Ved Krishna’s Return: From Turmoil to Triumph
In 1999, Ved stepped into a business riddled with challenges — falling revenues, disorganized operations, and an unhappy workforce. Determined to turn things around, he devoted the next few years to stabilizing the company and expanding into new opportunities. The company soon focused on specialty-grade paper for the food and pharmaceutical sectors, paving the way for its future evolution.
In 2010, Ved’s path hit a setback with the sudden loss of his father and mistakes that almost led to the company’s downfall. Yet, the goodwill K K had built helped Ved through tough times, as suppliers and customers stood by them. This period prompted Ved to re-evaluate his purpose, recognizing a shift from merely running a business to building one with an ecological mission.
The Pivot to Sustainability: From Paper to Purpose
In 2014, Ved made a transformative decision to steer Pakka Ltd into the realm of compostable packaging. The company shifted from producing conventional paper products to a sustainable vision, aligning its efforts with the growing demand for environmentally friendly alternatives. Ved’s goal was clear: create packaging solutions that leave a minimal environmental footprint. The company launched CHUK, a brand specializing in compostable tableware made from sugarcane residue, with clients like Haldiram’s, Rebel Foods, and Café Coffee Day.
This move towards sustainability didn’t just redefine Pakka Ltd’s purpose; it also set the stage for financial growth. By FY 2018, the company’s turnover surged to Rs 200 crore, and in 2019, Yash Papers rebranded to Pakka Ltd, marking its transformation into a fully sustainable packaging enterprise.
Building a Legacy of Green Operations
Pakka Ltd’s commitment to sustainability extends beyond its products. In 1995, K K set up a power plant fueled by rice husk, enabling the company to generate energy independently. This legacy continues under Ved’s leadership, with the factory in Ayodhya powered entirely by biomass-based energy. Their 8.5 MW plant relies on locally sourced materials, demonstrating a full-circle commitment to eco-friendly practices.
The company also takes pride in its efficient chemical recovery system, established in 2005, allowing it to recover 95 percent of the chemicals used in manufacturing. Recycling solid waste and using minimal effluents, Pakka Ltd exemplifies sustainable operations at every level.
Expanding Horizons: A Sustainable Future
Today, Pakka Ltd operates with an annual production capacity of 50,000 tonnes, with plans to scale to 80,000 tonnes. Looking beyond India, the company is setting up a facility in Guatemala, with an expected production capacity of 130,000 tonnes per year. This international expansion signals Pakka Ltd’s ambition to bring eco-friendly packaging solutions to a global audience.
Innovations and Future Goals
Ved’s unwavering focus on research and development has driven Pakka Ltd’s success, allowing the company to innovate with nature-based materials for products that require longer shelf life, such as potato chip bags and chocolate wrappers. Looking ahead, Ved envisions growing Pakka Ltd into a Rs 1,400 crore company by 2025, with continued investment in cutting-edge technologies and sustainable practices.
As Ved reflects on his journey, he emphasizes that finding purpose was the driving force behind Pakka Ltd’s transformation. His dedication to creating a lasting impact serves as an inspiration to all, highlighting that the true essence of business is not just profit but a commitment to improving the world.
