Huntsman to invest Rs 45 cr FOR system house

The polyurethanes division of Huntsman Corporation said it has plans to expand its polyurethane production capabilities in India. Over the next year, Huntsman will invest Rs 45 crore (US $10 million ) in the construction of a world-class system house in Pune, India - an industrial area on the outskirts of Mumbai favoured by major Indian and multi-national companies.

The new facility - scheduled to be operational by the end of first quarter of 2012 will replace Huntsman's existing system house in Thane, Mumbai which has limited scope for expansion and occupies land that is due to transfer back to its owner shortly.

Construction of a purpose-built modern system house at Pune will enable Huntsman to capitalise on its leading position in the Indian polyurethanes market, enhance its range of services, and continue to supply local customers quickly and efficiently. Demand for Huntsman's Methylene Diphenyl Diisocyanate (MDI) products is rising across India's manufacturing sector. Fuelled by rapid social and economic development, established and emerging markets for MDI include innovative footwear technologies, tailor-made solutions for automotive and construction, retail and cold supply chain applications for the logistics sector and infrastructure build projects.

Plans for the eight-acre site at Pune include a modern development machine hall and large scale blending facilities to enable supply, both in bulk and in intermediate bulk containers. "India is the world's second fastest growing economy. We are predicting a large spike in demand for MDI across the region because of economic growth pattersn. The new system house will be optimised to meet our specific production and blending requirements. It will give us room for future growth, reflecting our long-term commitment to the provision of high-quality polyurethane products and first-class customer services across the entire Indian sub-continent," Nick Webster, vice president, Huntsman Polyurethanes said.