Borosil Renewables hits the roof after announcing 50% capacity expansion plan

Borosil Renewables hit an upper circuit of 5% at Rs 602.20 after the company announced plans to expand its solar glass manufacturing capacity by 50% of its present capacity in manufacturing of solar glass.

Solar glass, an essential component in the production of photovoltaic (PV) solar panels.

The expansion plans, which had been put on hold and now back on track after the company received approval from its board of directors on 18 December 2024. This decision came after the Ministry of Finance issued a notification on 4 December 2024, announcing a Reference Price for solar glass imports. which will act against cheap and dumped imports from China and Vietnam. With this expansion, the manufacturing capacity of the company will increase from 1,000 tons per day to 1,500 tons per day.

The Reference Price, which ranges between US$ 673 to 677 for imports from China, translates to a minimum price of Rs 143 per mm/square meter at the container yard, and will act as a minimum threshold for import prices from China.

It may be recalled that solar glass manufacturing in the country was thrust into a crisis of survival due to dumping of solar glass from Chinese owned companies, with import volumes sky rocketing coupled with a sharp drop of prices. With the Reference Price now in effect, the company is expected to see improved better margins which will support its expansion plans.

The company stated that the growth in domestic production of solar glass will create a more robust and dependable supply chain for domestic PV module manufacturers of this critical component. Virtually all raw materials, skilled manpower, and technology are available within India, which will help avoid unnecessary outflows of foreign exchange while creating much-needed local jobs.

Borosil Renewables is engaged in the business of manufacturing of extra clear patterned glass and low-iron solar glass for application in photovoltaic panels, flat plate collectors and green houses.

The company reported consolidated net loss of Rs 9.75 crore in Q2 FY25 as against net profit of Rs 25.05 crore in Q2 FY24. Revenue from operations was at Rs 372.42 crore in Q2 FY25, down 7.27% year on year.

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