Chemplast Sanmar Ltd. Managing Director Ramkumar Shankar
Specialty chemical substances maker Chemplast Sanmar Ltd. is planning to speculate ₹1,000 crore for increasing capacities of Speciality Paste PVC unit at Cuddalore and Customized Manufactured Chemical compounds Division’s (CMCD) unit at Berigai, managing director Ramkumar Shankar mentioned.
“As we forge forward, propelled by the strong progress momentum, we’re investing over ₹.1,000 crore in the direction of increasing our capacities within the Speciality Paste PVC and CMCD,” he mentioned within the newest annual report.
In line with him, these enlargement initiatives are at present in progress. The 41 ktpa Speciality Paste PVC mission is on observe and can be commissioned throughout the second half of FY24 whereas Part 1 of the CMCD will go on stream by the primary half of FY24 and subsequent section by the top of FY24.
On the medium to long-term outlook, he mentioned the demand for all of the merchandise appeared very robust and the power prices had began dropping.
Whereas there are rapid challenges, the corporate is optimistic concerning the general enterprise situation and the capital investments will enhance the margins and aggressive place even additional, he mentioned.
Asserting that they might proceed to considerably develop within the CMCD enterprise, he mentioned: “We plan to additional develop into nice chemical substances and prescription drugs sectors, broaden our portfolio and entry new markets and prospects. We may also make investments opportunistically to retain our management place within the Chlorovinyl area.”
Speaking concerning the proposed enlargement, CFO N. Muralidharan mentioned: “These strategic investments function testimonials to our dedication to remain focussed on innovation, enabling us to grab alternatives that come our manner.”
He additionally mentioned the Suspension PVC chain is one other potential space for progress. Nonetheless, the capital allocation will depend upon securing steady feedstock provides.
“Shifting ahead, we are going to regularly try for enchancment, innovation, know-how funding, collaboration and embrace rising developments to keep up our aggressive edge, mentioned chairman Vijay Sankar.