Page 128 - CW E-Magazine (29-10-2024)

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with the rest going into long-term use. for PVC and Vinyls at Argus, noted that the country, is not widely accepted by
The industry is working on using mi- standalone producers of PVC – not in- global converters, it is mostly con-
crowave irradiation for recycling of tegrated to ethylene dichloride (EDC) sumed domestically or also fi nds its
biomedical waste and packaging fi lm. and vinyl chloride (VCM) – are fac- way to some less-discerning markets
ing challenging times. The bulk of new (including India). “Excess supply will
Global market dynamics PVC capacity now expected is in the need to fi nd new homes such as Latin
China contributes ~48% to global US, Middle East, India and China. America, Africa and Europe,” he added.
PVC capacity and 45% of global con-
sumption, while the US has a 14% “India and Turkey are the demand hot In Europe, feedstocks costs remain
share of global capacity and 10% of spots, and the key driver of markets. But high, and it is diffi cult for producers
global consumption. import restrictions are making it diffi cult there to export the excess supply into
to absorb the new capacity,” he added, Turkey or Africa. “Margins are unlikely
Though a considerable chunk of referring to non-tariff measures such as to recover to pandemic levels, and non-
PVC capacity in China is based on the anti-dumping duties, quality control or- integrated producers are likely to close
carbide-route, no new carbide capacity ders (such as the one planned by India), in the medium term, which may allow
permissions are now being issued and lack of forex currency and problems with markets to rebalance,” he added. While
new capacity henceforth will be based letters of credit in some markets. recycled PVC is still a small market,
on ethylene, as is the case in the rest of there is potential for growth, as is the
the world. Mr. Vitiello noted that since case with bio-PVC, wherein the ethy-
carbide-based PVC from China, which lene comes from biological sources
Mr. Michael Vitiello, Global Editor accounts for about 70% of output from (bioethanol).

EXPANSION
DCW expanding CPVC capacity by 30-ktpa

Chemicals fi rm, DCW Ltd., has
announced plans to invest Rs. 140-crore
to expand its Chlorinated Polyvinyl
Chloride (CPVC) production capacity
at its Sahupuram site in Tamil Nadu.
Following the company’s board meeting
on October 17, 2024, it was announced
that the capacity would be raised by
30-ktpa, bringing the total capacity to
50-ktpa.

This phased expansion is projected
to be completed by FY26, with 20-ktpa
coming online in the second half of Q2
FY26 and another 10-ktpa by the end
of FY26. The expansion will be accom-
plished through new installations,
de-bottlenecking of existing facilities, bank loans and internal accruals. The has approved the resignation of Mr.
and process optimisation. enhanced capacity will take advantage Pramod Kumar Jain as Chairman and
of DCW’s existing infrastructure, re- Managing Director as on October 31,
CPVC is a versatile thermoplastic sulting in cost savings and operational 2024, and appointed the current Manag-
utilised in the production of hot and stability as it integrates its own Suspen- ing Director, Mr. Bakul Jain, as Chair-
cold water pipes, industrial liquid sion PVC (S-PVC) as raw material. man with effect from November 1,
handling, and other applications. 2024. It also approved the appointment
Leadership changes of Mr. Jain as the Chairman Emeritus
The investment will be funded by DCW also informed that its board w.e.f. November 1, 2024.

128 Chemical Weekly October 29, 2024

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