Largest Indian Acetone plant likely to save $400 mn foreign exchange on import front, annually

Largest Indian Acetone plant likely to save $400 mn foreign exchange on import front, annually

Agency News

Ahmedabad, Jun 29: The largest Indian Phenol and Acetone producing plant of Deepak Phenolics Ltd, situated in Gujarat, which began operations almost five months ago, would decrease the import figures of these chemicals by around 60 per cent and in the longer run, was likely to save around 400 million dollars, of valuable foreign exchange, each year.

This was announced by Deepak Mehta, CMD of the company's wholly-owned subsidiary - Deepak Nitrite.Addressing a press conference here on Saturday, Mr Mehta said that before the commencement of the operation of his plant set up in Dahej of Gujarat, with an investment of Rs 1400 crore, which has production capacity of 200,000 Metric Tonnes Per Annum of Phenol and 120,000 MTPA of Acetone, the only other two plants in India, including one of government sector, were only catering to 22 per cent of the total demand of around 300,000 MTPA.

Now, around 80-82 per cent of this demand is being produced in India, he added.
"Deepak Phenolics (DPL) has achieved a major milestone by manufacturing Phenol and Acetone with average capacity utilisation of around 80 per cent and peak capacity utilisation of 100 per cent during the last quarter of FY 2019, contributing Rs 927 crore to the consolidated turnover of Rs 2,715 crore.

''This mega, world-class plant is eight times bigger than all existing facilities and aligned with the Make in India initiative of the Government of India.''Our Phenol and Acetone and upcoming derivative projects are all -a step towards building India’s Chemical Security with import substitution. At full capacity and in the long run we anticipate that Deepak Phenolics will save around USD 400 million in value of imports for the country.
''Besides, a large number of small and medium enterprises will also benefit due to local availability of Phenol and Acetone. Further, this will lead to the quantum leap in Deepak Group revenue in the ensuing years, while additional DPL turnover propelling consolidated quarterly revenue past the 1,000 Cr. mark is just the beginning,'' he added.

Phenol and Acetone market is expected to grow at 8-10 per cent and has wide applications across industries, such as laminates, plywood, auto, foundry, pharmacy, agro chemicals, rubber chemicals, paints, resins. The state-of-the-art, largest, IoT-enabled, with the latest technology of KBR and Honeywell–uop (technology partner) Phenol/Acetone Plant located at Dahej (PCPIR zone) in Gujarat, meeting 2/3rd of India's demand has the lowest thermal footprint and over 12.6 million safe man hour record.

The plant, based on cutting-edge technology, is energy efficient and has transport safety and emergency response programme (TERP), as part of the advanced logistic management system, he added. (UNI)