Ehtesham Maqbool Elahi

Managing Director of Macpac Films

Compiled from 1 recorded interview. Every statement below is drawn from the passage cited beside it.

Ehtesham Maqbool Elahi is the Managing Director of Macpac Films Ltd. Macpac Films was started in 1993 by three friends and three partners. Elahi has described the company's rebuilding after a major fire on 30 October 2007 and its current focus on exports.

Early life and background

Elahi has said that his family business started with his father, who founded a packaging materials business in Pakistan. According to Elahi, his father worked in the pharmaceutical sector and created pharmaceutical products in several factories. His father later moved into pharmaceutical packaging because he knew that sector. [1]

In 1984, German suppliers offered Elahi's father a production line that a customer had backed out of. Elahi has said the family business began manufacturing BOPP film in Pakistan for the first time. BOPP film is used in biscuits, chips, candies and textiles such as socks, Elahi has said. [1]

Macpac Films

Macpac Films was started in 1993 by three friends and three partners. Elahi has said the company was a monopoly in its sector until competition arrived. He has said the company decided to expand to up to five times its size and needed growth capital, which is how it got listed. The company later posted its first gross profit quarter since it was listed. [1]

Elahi has said Macpac is professionally run and that the CEO runs the company. He has said the team led by the CEO managed things really well. Elahi has said Macpac was the only company in its sector that did not stop a day for shortage of materials. He has also said he is not involved in the company's daily decision making. [1]

Elahi has said that when the company's founder passed away, stakeholders doubted the company would survive. Elahi has said Macpac develops its own talent and trains its youth. He has said Macpac coined the term expenergy internally and used it in its annual report. [1]

The 2007 fire and rebuilding

A major fire hit the company on 30 October 2007. Elahi was called at 2:15 in the morning about the fire. He has said his father was at the biggest plastic show in Germany at the time. The fire burned down half of the factory. Elahi has said the main film plant survived, but the auxiliary equipment was lost. [1]

Elahi has said nobody was hurt in the fire, and that his first priority during the fire was human safety. After the fire, the company rebuilt the factory from its own resources, with help from a sister concern. Elahi has said the business was out of operations for two years. [1]

Elahi has said he started a digital transformation journey for the company, and that he started an ERP implementation in the company for the first time. He has said the company went live on SAP S/4HANA on 4 January. [1]

Exports

Elahi has said Macpac exports to the Middle East, has recently entered Europe, and has started exporting to North America. He has said Macpac created a UAE subsidiary, Macpac Middle East, to base its export activity. Elahi has said Macpac is focusing very aggressively on exports. [1]

Energy and raw materials

Elahi says Pakistan's energy prices are not comparable to the Middle East or China, so Macpac lacks a fair playing ground. He says an average UAE customer pays about 29 rupees per unit, while he pays 65 in Islamabad. Elahi says Pakistan has enough power capacity and the problem is distribution. He says that someone in the Middle East or elsewhere would be ready to give him a locked price for 10, 15 or 20 years. [1]

Elahi has said Macpac runs on 100% captive power, about 6 megawatts, which was gas based. He has said Macpac has added 1 megawatt of solar, due to its sustainability goals. [1]

Elahi says PP resin, the main plastic raw material, is not made in Pakistan, and that most of it comes from the Middle East. He says an effort to make PP resin in Pakistan a few years ago stalled. Elahi says Macpac imports its machinery because Pakistan does not manufacture capital goods. [1]

Products and sustainability

Elahi says Macpac's product is in the PP range and is 100% recyclable. He says Macpac has a biodegradable product line, which costs consumers a small premium. Elahi says Macpac created a sister concern that collects plastic waste and repurposes it, and that plastic waste is converted into eco bricks and eco tiles. [1]

Elahi says Macpac researched polylactic acid (PLA) as a product for the business. He says a global organisation patented the PLA process, and that killed the product. Elahi says Macpac did not go ahead with PLA because of a global reversal, and would otherwise have been first to do it. [1]

Views on business and governance

Elahi says he hires people who are better than him in their areas. He says he does not consider Macpac a family business, and that it has a majority shareholding with minority shareholders on the board. Elahi says succession planning should start early, with outside help where needed. He says his father advised him to decide for minority shareholders first. [1]

Elahi describes his preferred governance as a hybrid of a passionate shareholder and professionals. He says being listed has more advantages than disadvantages. Elahi says the SECP system helps companies structure themselves, and it is good in Pakistan. He says transparent companies that pay full tax have nothing to hide and should share what they do. [1]

Elahi says people in Pakistan do not like to share how much they earn. He has said trust is the core thing Pakistan misses in building collaboration. Elahi says his business philosophy is that speed matters more than current size, and that he manages the business by telling his people to be like water. He also says economic challenges can sometimes create opportunities. [1]

Views on packaging

Elahi says packaging preserves products and gives them a better shelf life. He says packaging carries labelling, such as allergy and recycling information. Elahi says marketing is the third purpose of packaging, making products presentable to the target market. He says packaging is a tool for safety and survival. [1]

Elahi says paper needs more water and energy to produce than plastic. He has said more than 30% of food produced globally is still wasted. Elahi says the product itself does not litter, so responsibility for disposal lies with people. He says sending the wrong packaging to Europe can mean extra tax. [1]

Elahi says Pakistan's packaging facilities and investment are world class. He says agricultural products can be packaged well, invested in and exported, and that potatoes turned into french fries before export can be worth five to ten times more. Elahi says young people could start small factories costing 5, 8 or 10 lakh rupees. [1]

Personal life and mentorship

Elahi is one of five siblings: three brothers and two sisters. He says his mother was alive at that time and was the family's backbone. Elahi says he is a diver and loves nature. [1]

Elahi says he met someone at a wedding who emailed him in the morning asking him to come and work with him. He says that man became a father-like figure for him and guided him. [1]

Timeline

1984
German suppliers offered Elahi's father a production line that a customer had backed out of.[1]
1993
Macpac Films was started by three friends and three partners.[1]
2007
A major fire hit the company on 30 October.[1]

Appearances

DateTitleWhere
2024-04-19 Pakistan's exports lose at the shelf, not the field Thought Behind Things

Frequently asked questions

Who is Ehtesham Maqbool Elahi?

Ehtesham Maqbool Elahi is the Managing Director of Macpac Films Ltd. He has spoken about his family's packaging background, the company's rebuilding after a major fire in 2007, and its focus on exports.[1]

What does Ehtesham Maqbool Elahi do?

Ehtesham Maqbool Elahi is the Managing Director of Macpac Films Ltd. Elahi has said he is not involved in the company's daily decision making, and that the CEO runs the company.[1]

What is Macpac Films?

Macpac Films was started in 1993 by three friends and three partners. Ehtesham Maqbool Elahi is its Managing Director. Elahi has said the company exports to the Middle East, has recently entered Europe, and has started exporting to North America.[1]

What happened in the 2007 Macpac fire?

A major fire hit the company on 30 October 2007, burning down half of the factory. Ehtesham Maqbool Elahi has said the main film plant survived, the auxiliary equipment was lost, and nobody was hurt. He has said the company rebuilt the factory from its own resources, with help from a sister concern.[1]

Does Macpac Films export?

Ehtesham Maqbool Elahi has said Macpac exports to the Middle East, has recently entered Europe, and has started exporting to North America. He has said Macpac created a UAE subsidiary, Macpac Middle East, to base its export activity.[1]

What has Ehtesham Maqbool Elahi said about the purpose of packaging?

Ehtesham Maqbool Elahi says packaging preserves products and gives them a better shelf life. He says it carries labelling, such as allergy and recycling information, and that marketing is the third purpose. He also describes packaging as a tool for safety and survival.[1]

What is BOPP film, according to Ehtesham Maqbool Elahi?

Ehtesham Maqbool Elahi has said BOPP film is used in biscuits, chips, candies and textiles such as socks. He has said his family business began manufacturing it in Pakistan for the first time.[1]

References

  1. Pakistan's exports lose at the shelf, not the field . Thought Behind Things , 2024-04-19.
Show the source passages (86 statements)
  1. Ehtesham Maqbool Elahi is the Managing Director of Macpac Films Ltd. Ehtesham Maqbool is the Managing Director of Macpac Films Ltd.
  2. Ehtesham has said his family business started with his father, who founded a packaging materials business in Pakistan. we started off as a family business. My father is is was the founder of packaging materials in Pakistan
  3. Ehtesham has said his father worked in the pharmaceutical sector and created pharmaceutical products in several factories. he was basically from the pharmaceutical sector and he used to create pharmaceutical products in multiple factories
  4. Ehtesham has said his father moved into pharmaceutical packaging because he knew the pharmaceutical sector. because he knew the sector, he got into pharmaceutical packaging.
  5. In 1984, German suppliers offered Ehtesham's father a production line that a customer had backed out of. so he was approached surprisingly in 1984 and he was called by the suppliers, Germans, ke Mr. Maqbool, we have an available line which a customer backed out of
  6. Ehtesham has said his family business began manufacturing BOPP film in Pakistan for the first time. we got into manufacturing of the same product for the first time in Pakistan. It's called BOPP film.
  7. Ehtesham has said BOPP film is used in biscuits, chips, candies and textiles such as socks. It's basically used in all in our daily lives, in the biscuits, chips, candies, beetle nut, and and and textiles, socks.
  8. Macpac Films was started in 1993 by three friends and three partners. 1993 three friends and three partners started this company called Macpac Films.
  9. Ehtesham has said the company was a monopoly in its sector until competition arrived. So until then also we were a monopoly in the sector. Later on, competition came in and the industry grew.
  10. Ehtesham has said the company decided to expand to up to five times its size and needed growth capital, which is how it got listed. the company decided to expand to up to five times its size and we needed growth capital. So that's how we got listed
  11. Ehtesham has said the company posted its first gross profit quarter since it was listed. The company had their first gross profit quarter ever since it was listed.
  12. Ehtesham has said the company had zero working capital and used toll manufacturing to keep production going. We had zero working capital. So we used our other companies and our friends and family to create a system that they could purchase materials for us and we did toll manufacturing for them
  13. Ehtesham has said the company reached 70% capacity utilization for the first time in five years. we got onto 70% capacity utilization for the first time in five years in those six months.
  14. Ehtesham has said that, with his father's support, he was the face of sales, of purchasing and supply chains, and of the banks. So the idea was mine. I was supported by my father obviously, but yes, I was the face of the sales, I was the face of the purchasing and supply chains, I was the face of the banks.
  15. A major fire hit the company on 30 October 2007. unfortunately 30th October 2007, we had a major fire incident.
  16. Ehtesham was called at 2:15 in the morning about the fire. when that call came at 2:15 in the morning to me, my GM production at that time called, sir yeh aag lag gayi hai.
  17. Ehtesham has said his father was at the biggest plastic show in Germany at the time. my father at that time was at the biggest plastic show in Germany called the K Show.
  18. The fire burned down half of the factory. So that half of the factory was burned down.
  19. Ehtesham has said the main film plant survived the fire, but the auxiliary equipment was lost. So the main machinery Alhamdulillah got saved which was the film plant and all the auxiliary equipment was gone.
  20. Ehtesham has said nobody was hurt in the fire. Aur Allah ka shukar log sab kisi ko kharash nahi aayi
  21. Ehtesham says his first priority during the fire was human safety. my focus was all human safety.
  22. After the fire, the company rebuilt the factory from its own resources, with help from a sister concern. So yes, we then restarted that from our own resources. Our sister concern helped us to bring back the machinery, we rebuilt the factory.
  23. Ehtesham has said the business was out of operations for two years. because business khatam ho gaya tha us waqt. Do saal out of operations the.
  24. Ehtesham has said he started a digital transformation journey for the company. us waqt maine apna digital transformation journey start kiya
  25. Ehtesham has said he started an ERP implementation in the company for the first time. phir maine company mein ERP implementation shuru kiya first time.
  26. Ehtesham has said the company went live on SAP S/4HANA on 4 January. we went 4 Jan ko SAP S/4HANA live Alhamdulillah.
  27. Ehtesham has said Macpac is professionally run, and the CEO runs the company. aaj the company is professionally run. The CEO runs the company.
  28. Ehtesham has said the team led by the CEO managed things really well. So our team led by the CEO really managed things really well, Alhamdulillah.
  29. Ehtesham has said Macpac was the only company in its sector that did not stop a day for shortage of materials. Macpac was I can say proudly the only company in the sector which did not stop a day for shortage of materials.
  30. Ehtesham has said he is not involved in the company's daily decision making. main daily decision making mein micro level pe zero involved hun.
  31. Ehtesham says he hires people who are better than him in their areas. I only hire people in the company who are better than me in those areas.
  32. Ehtesham says he met someone at a wedding who emailed him in the morning asking him to come and work with him. I got lucky in the process that I met someone at a wedding and in the morning he first emailed me ke tum mere saath aake kaam kar lo.
  33. Ehtesham says that man became a father-like figure for him and guided him. Uh this man became a father-like figure for me and he kind of guided me.
  34. Ehtesham is one of five siblings: three brothers and two sisters. we're five siblings, uh three brothers, two sisters.
  35. Ehtesham says his mother was alive at that time and was the family's backbone. My mother my mother was alive at that time. She was our backbone.
  36. Ehtesham says he is a diver and loves nature. And I I love nature. I'm a diver.
  37. Ehtesham says he does not consider Macpac a family business, and it has a majority shareholding with minority shareholders on the board. Macpac we do not consider it a family business, we have a majority shareholding but we have other shareholders which are minority shareholders which are on the board
  38. Ehtesham says succession planning should start early, with outside help where needed. Toh businesses mein succession planning ki taiyaari pehle honi chahiye, succession planning ke liye help le leni chahiye.
  39. Ehtesham says his father advised him to decide for minority shareholders first. So when my father told me ke tum jab position pe aaoge toh tum jo faisla karoge na toh yeh soch ke karna ke tum uska haq wahan tak pahunchana padega jo jisko tum dhoond nahi sakte. So always decide for that minority shareholder first of all.
  40. Ehtesham has said the company's founder passed away, and stakeholders doubted the company would survive. Ek risk tha jab founder ka inteqal hua toh our stakeholders, bankers, everybody or even competition probably, they thought ke we will not survive. But Alhamdulillah we survived and we thrived.
  41. Ehtesham describes his preferred governance as a hybrid of a passionate shareholder and professionals. Which is not a sethiya system. You know, but a hybrid of a shareholder uh who's passionate in the business and overviewing the business and professionals which are much better than me in doing their jobs.
  42. Ehtesham says being listed has more advantages than disadvantages. Um being listed in my view hardly has its disadvantages. There are more advantages to it than disadvantages.
  43. Ehtesham says the SECP system helps companies structure themselves, and it is good in Pakistan. what it's really helped us do is structure, the guidelines it gives you, the the system SECP gives you is really good in Pakistan.
  44. Ehtesham says transparent companies that pay full tax have nothing to hide and should share what they do. So, um if you're transparent, if you're doing things with value and giving tax fully, if you're if you don't have anything to hide, then share.
  45. Ehtesham says people in Pakistan do not like to share how much they earn. we're a shy economy, we're not extroverts. We don't want to share hum kitna kama rahe hain
  46. Ehtesham has said trust is the core thing Pakistan misses in building collaboration. Peeche hain I think jo core jisko main kahunga na jahan hum miss karte hain woh trust hai.
  47. Ehtesham says his business philosophy is that speed matters more than current size. In my business philosophy, it really doesn't matter how big you are today. What really matters is how fast you are.
  48. Ehtesham says he manages the business by telling his people to be like water. So the way I manage the business and tell my people is listen, be like water.
  49. Ehtesham has said Macpac exports to the Middle East, has recently entered Europe, and has started exporting to North America. Macpac bhi Alhamdulillah Middle East, we recently stepped into Europe, we recently Alhamdulillah started exporting into North America.
  50. Ehtesham has said Macpac created a UAE subsidiary, Macpac Middle East, to base its export activity. We've recently created a whole new own subsidiary in UAE which is called Macpac Middle East. So we're going to base a lot of export activity from there.
  51. Ehtesham has said Macpac is focusing very aggressively on exports. Macpac is is is is focusing on exports ahead very strongly, very aggressively.
  52. Ehtesham says exports are inevitable because the local market will not use all of Macpac's capacity. plus the local market obviously there is enough capacity that we're not going to use all the capacity in in the country. So export is inevitable.
  53. Ehtesham says exports earn dollars that both the country and the company need. One, the country needs dollar, the company needs dollars or foreign currency if I'm if I correct myself.
  54. Ehtesham says he will use his technological expertise for Macpac's export plan. we're going to leverage my technological expertise in order to do that.
  55. Ehtesham says Pakistan's energy prices are not comparable to the Middle East or China, so Macpac lacks a fair playing ground. The biggest challenge I do also want to share is that the energy prices in Pakistan are not comparable to Middle East or our our our counterparts in neighborhood or even let's say China has been a global player present. So there we don't have a fair playing ground.
  56. Ehtesham says an average UAE customer pays about 29 rupees per unit, while he pays 65 in Islamabad. for an average customer in the UAE, I pay uh 29 rupees a unit jiska main idhar Islamabad mein 65 rupees a unit de raha hoon.
  57. Ehtesham has said Macpac runs on 100% captive power, about 6 megawatts, which was gas based. Yes, so we have 100% captive power. We do about 6 megawatt but it's it's was gas based.
  58. Ehtesham has said Macpac has added 1 megawatt of solar, due to its sustainability goals. due to our sustainability goals, we've added a big chunk of solar which will get active in March uh and then so on. So we've we've added 1 megawatt of solar right now.
  59. Ehtesham says Pakistan has enough power capacity and the problem is distribution. One, we have enough capacity, we need to just work on the distribution.
  60. Ehtesham says that someone in the Middle East or elsewhere would be ready to give him a locked price for 10, 15 or 20 years. If I talk to someone in the Middle East or elsewhere, they are ready to give me 10, 15, 20 years of a locked price.
  61. Ehtesham says PP resin, the main plastic raw material, is not made in Pakistan. So iska jo major plastic raw material hota hai, which is the PP resin, it's not made in Pakistan.
  62. Ehtesham says most of the PP resin comes from the Middle East. woh resin sara zyada tar Middle East se aata hai
  63. Ehtesham says an effort to make PP resin in Pakistan a few years ago stalled. Some people were trying to create it a few years ago but policies, petrochemical policies pe kaam ho raha tha but woh ruk gaya.
  64. Ehtesham says Macpac imports its machinery because Pakistan does not manufacture capital goods. unfortunately we are not a capital goods manufacturer in the country so we import that
  65. Ehtesham says Pakistan's packaging facilities and investment are world class. Pakistan mein jo packaging ki facilities aur investment hai na, they are world class.
  66. Ehtesham says Macpac develops its own talent and trains its youth. every big industry including Macpac nurtures their talent, creates their pipeline, trains them and and and take it forward.
  67. Ehtesham says Macpac coined the term expenergy internally and used it in its annual report. So we created a term internally. I have a ex IBA graduate, Hassan. He created this term called expenergy and then we later used it in our annual report.
  68. Ehtesham says economic challenges can sometimes create opportunities. And dusra also I also feel like ke the challenges sometimes create opportunities as well.
  69. Ehtesham says agricultural products can be packaged well, invested in and exported. aap ek agricultural product ko uthaiye, aap usko acha sa package kijiye, uski packaging mein invest kijiye aur usko export kar dijiye.
  70. Ehtesham says potatoes turned into french fries before export can be worth five to ten times more. usko french fries bana ke agar export kar dein toh uski value 5x aur 10x upar ho jaati hai.
  71. Ehtesham says young people could start small factories costing 5, 8 or 10 lakh rupees. youth ko sirf aur sirf shayad chota sa karkhana lagana hoga 5, 8, 10 lakh rupaye ka
  72. Ehtesham says paper needs more water and energy to produce than plastic. Paper on its own needs more water and more energy to be created as compared to plastics.
  73. Ehtesham has said more than 30% of food produced globally is still wasted. globally more than 30% food is still wasted that we produce.
  74. Ehtesham says packaging preserves products and gives them a better shelf life. One, the first purpose is that it preserves that product and gives it a better shelf life.
  75. Ehtesham says packaging carries labelling, such as allergy and recycling information. Second is labeling that we we give allergy information, we give the packages recycling information.
  76. Ehtesham says marketing is the third purpose of packaging, making products presentable to the target market. Third is the marketing aspect that it must be presentable and look good to the market you're trying to target.
  77. Ehtesham says packaging is a tool for safety and survival. Toh it is actually a tool for safety and survival also.
  78. Ehtesham says Macpac's product is in the PP range and is 100% recyclable. Hamara product jo hai woh PP range mein aata hai, uske peeche five hota hai, 100% recyclable.
  79. Ehtesham says Macpac has a biodegradable product line, which costs consumers a small premium. ek hamare paas biodegradable ki product line hai MacPack ke paas. But the consumer has to pay a little premium for that.
  80. Ehtesham says Macpac created a sister concern that collects plastic waste and repurposes it. we also created a sister concern jo is trash ko collection system se uthaye aur usko hum repurpose karte hain into better products.
  81. Ehtesham says plastic waste is converted into eco bricks and eco tiles. usko eco bricks mein aur eco tiles mein convert kar dete hain
  82. Ehtesham says sending the wrong packaging to Europe can mean extra tax. Europe mein agar aap galat product bhejenge aapko extra tax hoga.
  83. Ehtesham says the product itself does not litter, so responsibility for disposal lies with people. Hum samandar mein jaake kachra wahan phenk dein woh hamari zimmedari hai. Product khud nahi jaata kahin.
  84. Ehtesham says Macpac researched polylactic acid (PLA) as a product for the business. So in that process, we found a product which was very good R&D, uska naam tha polylactic acid, PLA.
  85. Ehtesham says a global organisation patented the PLA process, and that killed the product. Usmein ek global idaray ne us product ki process ko patent kara liya. That killed it.
  86. Ehtesham says Macpac did not go ahead with PLA because of a global reversal, and would otherwise have been first to do it. humne isliye nahi kiya because duniya mein reversal aa gaya. Otherwise MacPack would have been the first in doing it.