Materials supplier Ineos Styrolution has announced plans to increase production capacity at its Moxi plant in Gujarat, India
The Frankfurt-based styrenics producer will add 34,000 metric tonnes of annual compounding capacity for engineering plastics, growing its compounding capacity to 100,000 metric tonnes per annum at the site, the company said in an 8 August statement. Additionally, the company has sanctioned a detailed engineering study to evaluate doubling the overall production capacity for ABS in India over the next years.
The planned capacity expansion, which follows an earlier R&D facility upgrading investment in Moxi, is needed to meet the growing demand for styrenic polymers in India, and is expected to be completed in 2019, the company added.
The Moxi plant currently manufactures and supplies acrylonitrile butadiene styrene (ABS) and acrylonitrile styrene acrylate (ASA) for the Indian market.
As part of the €17m (INR 1300 Mio) expansion, two new extruders will be installed at Moxi, in addition to various infrastructure upgrades to support the additional site capacity.
These planned investments underline the company’s commitment to its Triple Shift growth strategy with emphasis on focus industries, ABS and Specialties and on growth markets. India is one of the key strategic markets in Asia where INEOS Styrolution plans to accelerate growth and expand its manufacturing footprint over the next years.
“This investment follows previous growth investments including the acquisition of the global K-Resin business and, most recently, the planned ABS and ASA capacity increase in the Americas,” said Kevin McQuade, CEO INEOS Styrolution. ”Our investments very much reflect our focus on the overall global market potential for styrenics as well as supporting higher growth regional markets.”