Greenply Industries eyes mkt tie-ups abroad

Behror (Rajasthan), Dec 6: Interior infrastructure company Greenply Industries is in talks with various companies for a marketing tie-up for its laminate brands abroad, even as it is ramping up the laminate production by 34.84 per cent at an investment of Rs 40 crore.

Under the proposed tie-up, the yet to be finalised companies will market the company's 'Greenlam Laminates' and 'Green Decowood' in their countries.

''As part of our brand building initiative, we will tie-up with companies abroad that will market our products in their countries.

The talks are on and we will soon make an announcement,'' Greenply Joint Managing Director and Cheif Executive Officer Saurabh Mittal told UNI here.

Greenply is increasing the laminate production to 53.40 lakh sheets from 39.60 lakh sheets at Rs 40 crore, which involves the setting up of a fourth production line at its Behror plant to be operational by July next year, he added.

Facing competition from domestic players like Century Plywood and Century Laminates, the company claims to exceed its competitors in volumes and expects to garner Rs 230-240 crore as revenues -- with the first half year revenues standing at Rs 150 crore -- from the Behror plant at the end of the current fiscal post the ramp up.

''We will become India's largest laminate producers after the ramp up which aims at both the domestic as well export markets including US, Australia, Malaysia, Singapore, the UAE, Russia, Israel and New Zealand among others,'' Mr Mittal said.

Greenply's laminate exports grew by 40 per cent in April to September this year, while domestic sales grew 38 per cent.

In addition, the company has also signed a five million dollar carbon emission purchase agreement with an US-based hedge fund which is expected to add Euro 5,00,000 to company's topline every year.

The deal, signed under the clean development mechanism of the Kyoto protocol, has been facilitated by New York-based Aeneas Capital Management which holds about 14 per cent stake in the company.

The agreement for delivery of certified emission reductions (CERs) is valid till 2012, where CERs shall be delivered every year, starting this fiscal.

The company engaged in the laminate and plywood business rolled out its fourth plant at Rudrapur, Uttaranchal in July this year for manufacturing plywood and particle boards at a capacity of seven million square metres and 1.8 million square metres respectively.

The company's exports contribute to 10 per cent of the its total turnover with the US alone accounting the major share of 30 per cent in them.

UNI