Nath Industries, a prominent Indian paper manufacturer, has expanded its MG (Machine Glazed) paper range by adding sublimation base paper and masking paper — while simultaneously achieving a cost reduction of ₹12.24 crore on power and fuel expenses, marking a significant operational efficiency milestone for the company in 2026.
The dual development — product range expansion alongside Nath Industries sublimation base paper addition — positions the manufacturer to capture growing demand in the specialty printing and industrial masking segments, which are increasingly sought after by textiles, ceramics, and packaging companies across India and export markets.
What Is Sublimation Base Paper and Why Does It Matter?
Sublimation base paper is a speciality paper used in dye-sublimation printing, a process widely employed in the apparel, home decor, sportswear, and promotional products industries to transfer high-resolution designs onto fabrics and surfaces. The global sublimation paper market is growing at a CAGR of approximately 7-8%, driven by fast fashion cycles, customised printing demand, and the boom in polyester-based textile manufacturing. For Nath Industries, adding Nath Industries sublimation base paper to its MG range aligns with the national trend of Indian paper mills moving up the value chain from commodity paper to higher-margin specialty grades, where import competition is less intense and pricing power is stronger.
Masking Paper: Capturing High-Demand Industrial Segment
Masking paper, the second new addition to Nath Industries’ MG range, is used in industrial painting, automotive finishing, construction, and electronics manufacturing as a protective layer during painting and coating processes. With India’s automotive production at record highs and construction activity surging in FY26, domestic demand for quality masking paper is rising — and was previously largely met by imports. Nath Industries’ entry into masking paper production offers an import substitution alternative, especially for mid-tier manufacturers who require consistent quality at competitive prices without the lead times associated with import sourcing.
Market Reaction and Industry Response
Nath Industries’ achievement of cutting ₹12.24 crore in power and fuel costs while simultaneously expanding its product range is being seen as a model for operational excellence in a sector under margin pressure. The savings were achieved through a combination of energy efficiency upgrades, fuel mix optimisation, and process improvements at the manufacturing facility. This dual achievement — cost reduction plus product diversification — strengthens Nath Industries’ competitive position at a time when the broader Indian paper industry is grappling with rising input costs and competition from low-cost Chinese imports. Specialty paper peers including Pudumjee Paper and International Paper India are similarly investing in value-added products to escape the commodity paper margin trap.
What Happens Next?
Nath Industries is expected to ramp up Nath Industries sublimation base paper production volumes through the remainder of FY 2026-27, targeting both domestic textile and apparel printers and export markets in South and Southeast Asia. The masking paper addition is similarly expected to scale through H2 FY27, with initial focus on automotive OEM and ancillary suppliers in Maharashtra and Gujarat. Industry watchers will monitor whether the ₹12.24 crore energy cost saving reflects a sustainable efficiency gain through operational restructuring as the company expands its specialty paper footprint.
Frequently Asked Questions
What new products has Nath Industries added to its MG paper range?
Nath Industries has added sublimation base paper and masking paper to its MG (Machine Glazed) paper range. Sublimation base paper is used in dye-sublimation printing for textiles and home decor, while masking paper is used in industrial painting and automotive finishing applications.
How much did Nath Industries save on power and fuel costs?
Nath Industries achieved a cost reduction of ₹12.24 crore on power and fuel costs through energy efficiency upgrades and fuel mix optimisation at its manufacturing facility, significantly improving the company’s operational margins.
What is MG paper used for?
MG (Machine Glazed) paper is characterised by a smooth, glazed finish on one side and is widely used in food packaging, grease-proof wrapping, kraft paper applications, labelling, and as a base substrate for specialty papers like sublimation and release papers.
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