The Economic Times in India reports the company is establishing a 75,000 tonnes per annum greenfield carbon black manufacturing unit in the west Indian state of Gujarat, along with a 16 megawatt power plant. It also intends to increase capacity at its facility in the state of Kerala by 50,000 tonnes per annum to 85,000 tonnes.
RPG Enterprises vice chairman Sanjiv Goenka told the Indian financial daily, “The move is expected to catapult PCBL globally to the sixth rank in terms of the manufacturing capacity over the next two years from ninth now.” The total outlay for the proposed projects, at both greenfield and established sites, is estimated to be Rs 5,500,000,000 (£67.3 million) and will be funded by a mix of debt, equity and internal accruals, Goenka added. The greenfield facility alone will require an investment of Rs 3,500,000,000 (£42.8 million).
Post-expansion, the company will have a total carbon black manufacturing capacity of 445,000 tonnes per annum – 390,000 tonnes in India and 55,000 tonnes in Vietnam, where it is currently setting up a facility. Some 95% of this output will be taken up by the rubber industry, and PCLB, with a domestic market share of around 40%, is a regular supplier to all of India’s tyre manufacturers.
