Himadri Chemicals lines up Rs 1,200-cr investment

When most of the business groups are shying away from investing in West Bengal, Himadri Chemicals and Industries, one of the largest Indian coal tar pitch (CTP) manufacturers has now lined up investment plans worth Rs 1,200 crore in the state in the next four years.

The firm which has four plants in West Bengal — two in Howrah and one each in Hooghly and Falta — and has already invested above Rs 1000 crore here, with majority of the investments coming in the last two years.

“We are expanding our capacity in the state from 250,000 tonnes to 400,000 in next four years, possibly by 2015. Moreover, for carbon black also, we will be doubling the capacity to 100,000 tonnes, from the current 50,000 tonnes.

This will see an overall investment of above Rs 1,200 crore in the state only,” said Anurag Choudhary, Chief Executive Officer of Himadri Chemicals. The firm is planning to raise the money through internal accruals and debt.

Even after eight months of coming to power, the Mamata Banerjee-led Trinamool Congress was unable to bring any major investments due to the anti-industry image following its land policies, which had invited criticism from various corners. However, the state had claimed that during the same time it had seen an investment to the tune of Rs. 65,000 crore, though there are not too many major players in that.

Hence, Himadri’s investment may also act as a relief for the state, craving for investments.

China plans on track
The firm has already started its manufacturing unit in China of 50,000 tonnes. “We will start the second unit for another 50,000 tionnes in four months and it will be commissioned within 15 months after that. The total investment for the overall project is around $ 40 million (Rs 200 crore),” Choudhary said.

The project is being implemented through a joint venture with a local firm in which the Himadri’s subsidiary holds 94 per cent stake.

The firm wants to export CTP from China to other parts of the world — mainly Middle East, Australia and Europe.