India may soon see currency notes made of plastic or polymer. The Reserve Bank of India (RBI) has initiated preparations for field trials of 10 and 20 polymer currency notes. As part of this process, proposals have been invited from companies for the supply of materials required for polymer currency. For this project, domestic company UFlex has jointly submitted a bid with America’s Spectra Systems.
The government has already approved field trials for 10 and 20 polymer notes. This initiative regarding polymer notes comes at a time when plastic-based currency is already in use in several countries around the world, as these notes are considered much more durable compared to traditional paper notes. Let us explore the current preparations in India regarding polymer notes and the companies playing a role in this development.
What is Happening in the RBI Project?
- Initiative by BRBNMPL: The project has been launched by Bharatiya Reserve Bank Note Mudran Private Limited (BRBNMPL), which is a wholly-owned subsidiary of the RBI.
- Selection of Suppliers: Under this project, companies capable of supplying the specialized materials required to manufacture polymer notes are being selected.
- Material Requirements: A special polypropylene material called BOPP (Biaxially Oriented Polypropylene) is needed. This helps in note printing and ensures better ink adhesion. According to the proposed procurement, approximately 68,000 reams of material are required, which includes 34,000 reams each for 10 and 20 rupee notes.
UFlex and Spectra Submit a Joint Bid
According to reports, Indian polymer company UFlex has partnered with America’s Spectra Systems. Both companies have jointly submitted a bid for this polymer note project.
This partnership is expected to leverage UFlex’s polymer manufacturing capabilities alongside Spectra Systems’ technology for banknote security and authentication. However, when UFlex was approached for a response regarding its participation in the bid, no statement was issued by the company.
