India Advances Polymer Currency Plans: Two Major Firms Bid for RBI’s Plastic Banknote Pilot

The Reserve Bank of India (RBI) is moving forward with plans to introduce polymer-based currency notes, initiating ground-level preparations for field trials of ₹10 and ₹20 denominations. As part of this rollout, proposals were solicited from specialized suppliers for the advanced substrate materials required to produce plastic banknotes. In response, domestic packaging major UFlex has teamed up with US-based Spectra Systems to submit a joint bid for the project.

The central government has already sanctioned field testing for ₹10 and ₹20 polymer currency. The transition mirrors international currency practices across several global economies that leverage plastic banknotes for their durability, longer lifecycle, and superior resistance to wear and tear compared to traditional cotton-rag paper.

Scope of the RBI Polymer Currency Initiative

The procurement drive is being spearheaded by Bharatiya Reserve Bank Note Mudran Private Limited (BRBNMPL), a wholly owned subsidiary of the RBI responsible for printing Indian currency.

Key technical requirements for the trial include:

• Substrate Material: Sourcing of a specialized Biaxially Oriented Polypropylene (BOPP) polymer substrate engineered for precision printing and optimal ink adhesion.
• Volume Requirements: The initial tender outlines an estimated requirement of approximately 68,000 reams of substrate material, split equally at 34,000 reams each for the ₹10 and ₹20 denominations.

UFlex and Spectra Systems Partnership

The joint bid pairs UFlex’s large-scale polymer manufacturing infrastructure with Spectra Systems’ specialized security, authentication, and covert banknote technologies. While inquiries were directed to UFlex regarding their participation in the bidding process, the firm has not yet issued an official comment.