Security Paper Mill, Narmadapuram is an institution for making high quality bank notes and Security documents required by other Security Printing Presses. It is a unit of Security Printing and Minting Corporation of India Limited (SPMCIL). Independent India’s dream was to free the country from the burden of imports of currency paper for years, self-reliance in the production of currency and bank note paper and to save foreign exchange in the import of paper, the dream project of Security Paper Mill was realized in the early sixties. Narmadapuram (Hoshangabad) was chosen as the most suitable option keeping in view of the pre-requisite needs of any paper industry such as land, water, power, transport and man power etc. Narmadapuram was founded in the early fifteenth century by Sultan Hoshang Shah Gauri, the second king of Mandu (Malwa). Narmadapuram is situated on the banks of Holy River Narmada. Satpura Mountain is located on its banks.

The design and construction work of the factory building was started by the Central Public Works Department in the year 1962. The work on the 500 meter long and 50 meter wide main building of the factory started on October 28, 1963. The western part of this building has been made of two stories and the remaining part of on part of one storey. The installation of the first pair of paper making machines was completed on June 27, 1967, while the installation of the second pair of machine numbers 3 and 4 was completed on November 27, 1967. The factory was formally inaugurated and dedicated to the nation on March 9, 1967 by the then Hon’ble Deputy Prime Minister Shri Morarji Desai. In the year 1968, the production of currency notes and non-judicial stamp paper was started at the Security Paper Mill, Narmadapuram.

The factory manufactures high quality bank notes and other security products. This factory was under Central Government. After corporatization in 2006, it is now a unit of Security Printing and Minting Corporation of India Limited (SPMCIL) which functions under the ownership of Government of India.

In view of the increasing demand for currency paper, the foundation stone of the new bank note paper line equipped with state-of-the-art technology was laid in December, 2011 by the then Hon’ble Finance Minister Pranab Mukherjee. In June, 2015, the then Hon’ble Finance Minister Shri Arun Jaitley inaugurated the latest new plant of 6000 MT capacity PM#5 for new bank note paper production. On that day itself 1st consignment of Rs. 1000 bank note paper which is indigenously manufactured was flagged off to Currency Note Press, Nashik for printing. Since then, SPM has been continuously producing quality bank note paper.

The Security Paper Mill has created record production many times in the production of various security papers. Security Paper Mill, Narmadapuram continues to be at the forefront of manufacturing of quality security products through the use of new technologies and innovative processes.