The first step for establishment of Neopan Khalkhaal Company was taken in 1988 after buying machineries of 29th Bahman Match Company in March 1988, an agreement in principle was issued by Ministry of Industries in the name of Neopan Khalkhaal Institution. Subsequently the construction of factory was started on Sep. 01, 1990

In 1993 Neopan Khalkhaal Institution was changed to Neopan Khalkhaal Company and all assets of Institution was transferred to Neopan Khalkhaal Company.