Page 136 - CW E-Magazine (18-2-2025)

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FORWARD INTEGRATION

Balrampur Chini plans capacity increase for proposed

PLA plant in UP

Balrampur Chini Mills Ltd. ment’s pioneering bioplastic policy
(BCML), one of the largest integrated strengthens the viability of our PLA
sugar manufacturing companies in project by offering an attractive incen-
India, has decided to increase the capa- tive framework,” he said.
city of its proposed polylactic acid
(PLA) plant in Uttar Pradesh from Ms. Avantika Saraogi, Executive
75,000-tpa to 80,000-tpa. Director, BCML, said the PLA biopoly-
mer plant sets two global benchmarks –
The company’s board had approved cluding on account of the increase in fi rst to produce PLA from sugarcane at
a capital expenditure of Rs. 2,000-crore capacity of the plant from 75,000-tpa the same manufacturing site and also
for the greenfi eld PLA plant in February to 80,000-tpa with lower conversion the fi rst PLA plant operating on 100%
last year, based on conceptual plan- cost,” the company said. The revised renewable energy.
ning. “The board has approved higher capital expenditure will be funded
capacity of PLA project optimised from through a mix of Rs. 1,650-crore in “With cutting-edge technology
75,000-tpa to 80,000-tpa with a revi- debt and Rs. 1,200-crore from internal and industry-leading partners, we are
sion in the project’s capital expenditure accruals. driving effi ciency and performance.
from Rs. 2,000-crore to Rs. 2,850-crore Our goal is to lead India’s biopolymer
(gross). The net capex of the project Mr. Vivek Saraogi, Chairman and revolution and make Balrampur Chini
will be Rs. 1,750-crore post expected Managing Director, BCML, said the Mills the market leader. This PLA ven-
capital subsidy of Rs. 1,100-crore as progress of the PLA project remains ture is risk diversifi cation in the end so
per UP government scheme,” the com- on-track as per schedule. that the company has more possibility
pany informed in a stock exchange to maximise the value stream,” she
fi ling. “The upcoming PLA bioplastic said, adding the company would like
project aligns seamlessly with our core to remain as the fi rst mover and size-
“This higher investment is deter- philosophy of maximising value from able player in the Indian bioplastics
mined after detailed engineering in- every cane stick. Uttar Pradesh govern- market.

Godavari Biorefi neries posts higher revenue in Q3

Godavari Biorefi neries Ltd. (GBL), a these goals, we have expanded capacity
leading producer of ethanol and ethanol- of 1,3-butylene glycol, licensed a tech-
based chemicals, has reported a 12% nology to make bio-butanol and higher
year-on-year revenue growth in the third alcohols, placed an order for a corn/
quarter ended on December 31, 2024 grain-based distillery, and used our IPO
(Q3-FY25). Revenue from operations proceeds to reduce term debt which will
during the quarter rose to Rs. 447.3-crore, reduce our fi nance costs going forward.
up from Rs. 398-crore in Q3 FY24, even In January 2025, the Government has
as net profi t dipped to Rs. 5.8-crore from allowed a million-ton export of sugar
Rs. 38.4-crore in the same year-ago quarter. ing our ethanol division through the from India. This has improved sugar
exploration of multiple feedstocks. The prices and will help the industry that
Commenting on the results, Mr. bio-chemicals and ethanol segment is was facing pricing pressures in the last
Samir Somaiya, CMD of the company poised to become a key driver of our quarter. With this, we are well on the
said, “We are continuing to diversify our future expansion, reinforcing our vision path of driving effi ciencies, optimizing
revenue streams, with a strategic focus of building a sustainable, innovation-led costs, and ensuring long-term sustain-
on bio-based chemicals and strengthen- bio-refi ning business. In the pursuit of able growth.”

136 Chemical Weekly February 18, 2025

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