Ecoline Exim Ltd (NSE SME)

Company Financials ( In ₹Crore)

About Company

Established in 2008, Ecoline Exim Limited is a manufacturer of sustainable packaging solutions, specializing in cotton and jute bags. The company serves international markets as an OEM, providing tailored products for both functional and promotional use.

Core Business & Products
The company specializes in the manufacturing of:

• Sustainable cotton and jute packaging bags.

• Promotional bags for global retailers and brands.

Global Reach & Clientele
Ecoline Exim has a significant international footprint, successfully exporting its products to over 25 countries, including key markets in the European Union, the USA, Japan, Southeast Asia, and Mexico. Its client base includes:

• Supermarkets and retail chains

• Wholesalers

• Promotional firms
  As of September 30, 2024, the company had served 48 functional clients and 24 promotional clients.

Financial Snapshot & Operations

• Outstanding Order Book (as of Dec 31, 2024): Valued at ₹ 97.44 Crores (₹ 9744.37 Lakhs) from approximately 60 customers.

• Manufacturing Facilities: Operates three plants strategically located in Ahmedabad, Gujarat, and West Bengal (as of January 2025).
  Ecoline Exim IPO Objectives

  The Company Ecoline Exim IPO proposes to utilise the Net Proceeds from the Issue towards the following objects:

  1. Funding the capital expenditure towards construction of building, mechanical and electrical works and procurement of plant and machinery for setting up a new manufacturing facility at Ahmedabad (“Proposed Factory V”): ₹ 50.00 Crores.

  2. General Corporate Purpose.

Strength

Sustainable Eco-Friendly Model: The company manufactures cotton and jute bags as a sustainable alternative to plastic and paper, focusing on Reduce, Reuse, and Recycle. These bags are durable, reusable, biodegradable, and recyclable.

Stringent Quality Control: With strict quality checks at every production stage, the company ensures standardized, durable, and reliable products. Adherence to customer-prescribed standards has helped secure repeat orders, especially from multinational clients.

In-House Manufacturing & Design Expertise: The company has end-to-end in-house capabilities—from raw material sourcing to design, production, and packaging—ensuring efficiency, quality control, and low rejection rates while strengthening supply chain reliability.

Weakness

Changing Consumer Preferences: The business is exposed to demand fluctuations in cotton and jute bags, and failure to adapt to evolving fashion trends and designs may impact growth and profitability.

Raw Material Dependency: The company relies on a few key suppliers for cotton and jute without long-term agreements. Any supply disruption or price increase could adversely affect operations and margins.

Manufacturing Risks: Operations depend on company-owned facilities, and any unplanned slowdown, shutdown, or prolonged disruption could negatively impact business performance and cash flows.