Smoke Clears, Cash Flows: SMVD Polypack Gets Lifeline After ₹462M Loss

SMVD Polypack Ltd has received ₹316.7 million from its insurance provider following a major fire incident that disrupted operations earlier this year. The payout marks a significant step in the company’s recovery efforts after the blaze caused damages estimated at over ₹460 million.

 

The fire, which broke out at one of SMVD’s key manufacturing units, led to a temporary halt in production and impacted supply commitments. The company had promptly filed a claim and worked closely with the insurer to assess the extent of the damage. With the ₹31.67 crore now credited, SMVD is expected to accelerate restoration and resume full-scale operations in the coming months.

 

This insurance settlement not only cushions the financial blow but also reflects the company’s robust risk management and compliance practices. SMVD has assured stakeholders that it remains committed to fulfilling customer orders and maintaining quality standards despite the setback.

 

The company, known for its FIBC jumbo bags and woven packaging solutions, serves a wide range of industries including cement, chemicals, and agriculture. It operates out of a state-of-the-art facility in West Bengal with an annual capacity of 4,000 MT.
 

While the full operational timeline for recovery hasn’t been disclosed, the insurance inflow is likely to ease working capital pressures and support infrastructure repairs.

 

Key Highlights:

 

₹316.7 million insurance credited post-fire

Estimated damage: ₹462.7 million

Operations expected to resume in phases

Strong focus on customer continuity and recovery

 

Sources: Stock Insights, Economic Times, SMVD Polypack official site