Co to invest Rs 20-25 crore for the project
Edible oil companies in Gujarat seem to have embarked on an expansion drive. Vimal Oils and Foods Ltd, too, has firmed up its plan to expand its production capacity. The Ahmedabad-based company intends to set up a new refinery involving an investment of Rs 20-25 crore.
The company has chosen Maharashtra for its greenfield edible oil refinery. "As part of our expansion drive, we are mulling a new unit with a capacity of 300 to 400 tonnes per day in the neighbouring state," said Jayesh Patel, chairman and managing direct, Vimal Oils and Foods Ltd.
"For the proposed project, the investment would be in the range of Rs 20 to Rs 25 crore and we aim to make the refinery operational within one year," he added. The Maharashtra unit will process and produce edible oils such as cottonseed oil and sunflower oil.
"Considering the logistics facility we have selected Maharashtra for our new units," he stated. The company is in the process of identifying land for the proposed unit.
Vimal Oils currently owns 300 tonnes per day edible oil unit at Mehsana in North Gujarat. Post expansion, the company will double its edible oil production capacity. Apart from Gujarat, the company has markets in Madhya Pradesh, North and North Eastern parts of the country. In addition to edible oil segment, Vimal Oil also has its focus on other business such as dairy and ceramic.
Ahmedabad-based, another edible oil major, Gokul Refoils and Solvents Ltd is also expanding its capacity. The company has planned a new castor seed crushing plant at Gandhidham in Kutch with a capacity of 600 tonnes per day. The investment for the project is around Rs 30-35 crore.