IG Petrochemicals, an established market leader in Phthalic Anhydride (PA) in India announced a capital outlay of Rs 600 crore ($82.6 million) to expand its Phthalic Anhydride capacity.
The Board of I G Petrochemicals at its meeting held on 09 February 2021 has approved the greenfield expansion of Phthalic Anhydride up to 80,000 MTPA & its Derivatives in Gujarat.
The capex will be financed through internal accruals and borrowings. The project will be completed within three years.
The company’s existing capacity is 220,000 MTPA with capacity utilization of 90%.
The company expects the demand for Phthalic Anhydride in domestic market is expected to increase due to Govt. focus on Infrastructure spending and demand growth in downstream products like Paints, Plasticizers Polyvinyl chloride, Unsaturated polyester resins (UPR) etc., led by good GDP growth in India.