BASF opens India polyurethane chemicals plant

BASF has inaugurated its new large-scale chemical production complex at Dahej in Gujarat, India, the company announced on Tuesday.

With a project cost of INR 1,000 crore (approximately €150 million), the site represents BASF’s single largest investment in India.

 

“As part of our investment plans of more than €10 billion in Asia Pacific between 2013 and 2020, we want to strengthen our production platform in India," said Michael Heinz, a member of BASF's executive board. "With our new Dahej site, we are enhancing our position as supplier with local production and can even better ‘create chemistry’ with our customers. With our advanced technologies and the commitment of our team in India, we will both contribute to and benefit from India’s huge market potential.”

 

The site includes an integrated hub for polyurethane manufacturing and production facilities for care chemicals and polymer dispersions. The care chemicals facility at the Dahej site hosts the first BASF sulfation plant in India, which will cater to customers in the fast-moving consumer goods sector.

 

The polymer dispersions plant will expand BASF’s production footprint in the dispersions business, complementing the Mangalore facility. It will serve paper and board, architectural coatings, construction, adhesives, and fiber bonding customers, located in northern and western India.

 

Meanwhile, he integrated polyurethane manufacturing facility will host a MDI (methylene diphenyl diisocyanate) splitter for processing crude MDI, a core component in the manufacture of versatile polyurethane products.

“With this production hub, including the first MDI splitter in South Asia, we are well positioned to increase our long-term competitiveness significantly in this key market," said Dr. Raman Ramachandran, BASF chairman in India & head of South Asia. "We will serve our customers in the Asia Pacific region even better through stable product supply in terms of both quality and volume.”

 

The site will also produce Elastollan TPU (thermoplastic polyurethane), Cellasto (microcellular polyurethane components) and polyurethane systems. The integrated hub will support the demand of industries in the appliances, footwear, automotive, construction, and furniture segment.

 

The site currently employs 200 people directly and 300 people indirectly. In the near future, the site will offer direct employment opportunity to 50 additional people. The site has recorded zero lost-time injuries during construction, according to BASF officials.