Maharashtra signs MoU with Supreme Industries

Firm to invest Rs 1,415 crore in state to produce polymers.

Supreme Petrochem Ltd (SPL) and Supreme Industries Ltd (SIL) signed a memorandum of understanding (MoU) with the state government for investment of Rs 1,415 crore in the state to produce entire chain of styrenic polymers and alloys of polymers at Nagaothane in Raigad district and set up a plastic processing unit at Gadegaon village in Jalgaon district.

Industry secretary V K Jairath signed the MoU on behalf of the state government and M P Taparia, chairman, SPL, and managing director of SIL, and Rajan B Raheja, vice-chairman of SPL, signed the document on behalf of SPL and SIL.

Chief minister Vilasrao Deshmukh and industry minister Ashok Chavan were present on the occasion.

According to a press release issued by the company, SPL plans to invest Rs 1,115 crore to build a world-class styrenics complex, which will be a one-stop shop for the entire chain of styrenics polymers and alloys of polymers.

Besides this, the company proposes to make additional capital expenditure for development of the minor port at Amdoshi village, which will take care of logistics.

The proposed port will not only save transportation costs but also ensure that material are not carried through urban areas. It is expected that the entire complex will go on stream by 2013.

SIL will invest Rs 300 crore to set up the largest single site plastic processing unit in the country at Gadegaon. It will process nearly 15,000 tonnes of plastic annually. These projects will generate direct and indirect employment for over 2,000 persons.

SPL and SIL are also considering tie-up with local ITI units to train youth in technical skills.

SPL, promoted by SIL and R Raheja Group, has one of the largest single site polystyrene plants in the world accounting for around 2 per cent of the world's capacity.

SPL is the largest exporter of polystyrene in the country and has consistently achieved 25 per cent-plus export growth in the last three years.

Its exports cover over 80 countries around the world, the release stated.

SPL leveraging its strength proposes to set-up a large diversified styrenics complex at its existing plant site that will supply the entire product range from one source including EPS, ABS, SAN and speciality styrenics. Apart from these products, the company is planning to expand its PS capacity further.

The SIL is the country's largest processor of polymers processing over 1.16 lakh tonnes of polymers per annum. SIL currently employs directly 780 persons at its three processing plants in Maharashtra.