GW: What are the highlights of SCHOTT’s recent performance in the glass tubing sector in India?
Just a few months ago, SCHOTT launched an amber glass tubing production in Jambusar, Gujarat. With this strategic move, we now offer our entire pharmaceutical glass tubing portfolio produced in India to manufacturers of drug containment solutions. FIOLAX amber – SCHOTT’s premium packaging medium for light-sensitive drug formulations – is a globally sought-after product but until now, all the local demand was fulfilled by import. As of today, SCHOTT is the only company that manufactures amber glass tubing in India.
GW: What was the motivation for the recent investment into the glass tubing factory in Jambusar, Gujarat?
India’s pharmaceutical industry is growing at a rapid pace. India is becoming one of the key providers of medicines for the world, the storage of which cannot be overlooked. This is why a few years ago SCHOTT decided to expand in Asia. In the last three years, we have invested €75 million to expand our pharmaceutical glass tubing production in Jambusar. With the expansion, we have contributed to the Indian government’s vision of further strengthening India as a global pharmaceutical hub, while also supporting Germany’s commitment to increasingly investing in India.
GW: What were the key elements of the upgrades and what are the new manufacturing capabilities?
We ramped up additional capacity for our amber pharma glass tubing. Our facility in Jambusar is now SCHOTT’s second largest production hub for pharmaceutical glass tubing.
FIOLAX amber glass is a highly specialised product. In comparison to our clear glass tubing, amber glass production is much more complicated. This is due to the specific properties of the glass tubing that protect light-sensitive medications from sunlight and UV-radiation. FIOLAX amber, converted to pharmaceutical containers, is engineered to protect light-sensitive medications, and used to store many life-saving drugs to ensure that they remain safe.
To ensure the same high quality across the globe, we use smart manufacturing technologies such as perfeXion to detect even the tiniest deviations in glass tubing in order to ensure that the quality remains above the industry standard.
GW: How will the enhanced production facility assist SCHOTT to achieve its goals in India?
In the past, all the demand for the Indian market was fulfilled by imports. Now, manufacturers of drug containment solutions in the region can receive our complete pharmaceutical glass tubing portfolio produced in India. This will improve availability, planning reliability, and cost efficiency for them.
GW: During such a significant investment programme, what are the main advantages of being part of a vast global group like Schott?
With the SCHOTT network we have the advantage of global production close to our customers. Specifically for India, we increased our production capacity a few years ago to secure supply for the pharma industry. Furthermore, we have an integrated supply chain and ample supply of tubing through the SCHOTT network.
GW: Does your Indian operation contribute to SCHOTT’s business in the wider Asian region?
Success in India is vital to SCHOTT’s growth in the world market. The domestic Indian market represents one of the most attractive growth opportunities, and it is an excellent export hub to other Asian countries, such as Thailand, Singapore, and Indonesia among others.
GW: How would you summarise SCHOTT Glass India’s strategy for future investment into the production operations?
The overall investment of €75 million that SCHOTT announced in 2021 and that is spread across three years is meant to double the overall production capacity of the Jambusar facility and will create additional jobs. It is expected to be exhausted next year, so further expansions are already scheduled.
GW: What can you tell us about the recent agreement for the supply of renewable energy to the Jambusar factory?
To switch our electricity supply to 100% green energy, SCHOTT is also relying on power purchase agreements (PPAs). We purchase green energy from a wind-solar hybrid project in India. Such agreements support the clean energy transition and help to reduce carbon emissions. Furthermore, with a PPA, you and your energy partner lock in at a fixed electricity rate, so you can more accurately predict energy expenses over the short and long terms. Because you agree to a fixed rate upfront, you don’t have to worry about surprise energy expenses or the financial risk of traditional energy sources.
GW: In general, how would you describe prevailing market conditions for the tubing sector in India?
The pharmaceutical sector is expanding in India because of government initiatives. Pharmaceutical glass tubing is more in demand now than ever before because of the rise in chronic diseases and the use of self-injectable syringes to treat them.
GW: And your expectations for the next 12 months?
Looking forward to the easing up of increased raw material and energy prices, which will further improve the overall market condition.
GW: Are there any particular examples of recent or impending product innovations that you are particularly proud of?
Our fully automated inspection and measurement system perfeXion sets the benchmark for quality. We are the only supplier of glass tubing with a 100% process control. The system removes the need for manual interference in the entire production process – which is one of the most critical factors when it comes to eliminating risks of contamination in the primary packaging. Using this smart technology, every piece of glass tubing is fully traceable. This allows our customers to track issues and batches and ensures safety for the pharma packaging industry.
GW: To summarise, what are the main opportunities and challenges for SCHOTT’s tubing operations in India?
Our main opportunities are that we have a strong team with rich experience, favourable government policies, and the availability of raw material, packing material, and energy at our site.
A major challenge now is to train the new, additional workforce and at the same time keep performance at the desired level.
GW: What role does SCHOTT Glass India play in AIGMF activities?
I am part of the executive committee of the AIGMF. As an active member of AIGMF, SCHOTT Glass India plays a significant role in advancing the interests of the Indian glass industry and promoting industry growth and development through its participation in various activities and initiatives undertaken by the federation.
GW: How important is the overall role of the AIGMF in the furtherment of the Indian glass industry?
It plays a crucial role! The AIGMF is a representative body that works towards the development and growth of the glass industry in India by promoting research and development, providing technical and commercial assistance, and addressing industry-related issues.
It acts as a platform for glass manufacturers to collaborate, exchange ideas, and share best practices. It also represents the interests of the industry to the government, regulatory bodies, and other stakeholders. By working closely with the government and policymakers, the AIGMF has been successful in securing favourable policies, regulations, and incentives for the glass industry in India.
GW: What do you consider to be the main benefits of being a member of the AIGMF?
Being a member of AIGMF can offer numerous benefits that can help glass manufacturers in India stay competitive, grow their businesses, and succeed in the industry. This includes networking opportunities, advocacy and representation, access to information, training and education, as well as industry recognition.
GW: Glass Worldwide acts as exclusive preferred international journal of AIGMF in association with Kanch. What benefits does this longstanding cooperation bring?
Glass Worldwide’s exclusive preferred international journal status with AIGMF in association with Kanch brings a win-win situation for both parties, as well as for the global glass industry as a whole. It allows for a closer collaboration, exchange of knowledge, and mutual benefit that can foster growth and development in the sector.
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