Tata Chem Q1 net jumps 5-fold; to enter customised fertiliser biz

Tata Group company Tata Chemicals, which posted a five-fold jump in Q1 profit at Rs 216 crore over the year-ago period, today said that it plans to foray into customised fertilisers and set up 10 units over the next two years.

The first such plant is expected to come up at Babrala in Uttar Pradesh by September this year.

"The first customised fertiliser plant will become operational at Babrala by September this year. Its annual capacity would be 1.3 lakh tonnes. We will be pumping in around Rs 57 crore in this unit," Tata Chemicals' Managing Director R Mukundan told reporters here.

After the first plant gets operational, the company will decide on the investment for the remaining units, he said.

The company has also lined up a capex of Rs 250-280 crore for this fiscal to expand its business.

"We have kept aside a capex of Rs 250-280 crore this fiscal to expand our business across verticals," he said.

The company today posted a five-time jump in its consolidated profit at Rs 216 crore in the quarter ended June 30, against Rs 42.5 crore in the year-ago period.

The company's consolidated income from operations stood at Rs 2,523.16 crore in Q1 FY10, against Rs 2,370.25 crore in the year-ago period.