Indo Rama expands capacity, targets 100% jump in annual production

Butibori, Nagpur, May 6 (UNI) Indo Rama Synthetic India Ltd (Indo Rama) has launched its second plant here which will increase the company's production capacity to six lakh million tonnes (MT) per annum from the present three lakh MT.

With this launch, the Butibori plant becomes the world's largest single-location plant.

''Our new plant will double the production capacity from 800 tonnes per day to 1,600 tonnes by next three months (August) which means six lakh MT per annum,'' Indo Rama CMD O P Lohia told reporters on the sidelines of the launch yesterday.

The expanded plant, which was completed with a project cost of Rs 900 crore over a period of two and a half years, will increase the company's supply of raw materials in the domestic market and reach a target of Rs 3,500 crore turnover by next year against Rs 2,000 crore last year.

Mr Lohia said, ''As the demand for our raw materials are increasing day by day, the new plant will help us supply the products in the domestic market.'' When asked about the export market, he said, ''Our main objective will continue to be in the domestic market (80 per cent), due to high freight charges, we will continue to supply only 20 per cent export for the time being.'' However, he said once the government reduces the freight charges, the company will think of increasing the supply to the foreign market.

Other than expanding this new plant, the company has also set up a power plant of 72 MW, so that there will be no power constraint in the functioning of the facility 24X7.

While 50 MW will be exclusively for the facility, the company said rest 22 MW will be supplied to the state governement for the Vidarbha district.

The company also plans to set up another 15 MW power plant in the near future.

The facility plant was inaugurated by Union Minister of Textiles Shankarsingh Vaghela and state Chief Minister Vilasrao Deshmukh.

Union Minister of Renewable Energy Vilas Muttemwar was also present among other distinguished guests.

UNI