Himadri Speciality Chemical investing Rs 220 Crore in West Bengal to expand its specialty carbon black capacity
Himadri Speciality Chemical Ltd, headquartered in Kolkata, is set to expand its specialty carbon black production with a substantial investment of Rs 220 crore in a brownfield project in West Bengal.
The expansion will be at their existing facility in Singur, Hooghly district, and is planned to increase their specialty carbon black capacity by an additional 70,000 tonnes per annum. This will bring the total capacity to 1.3 lakh tonnes per annum, a significant increase from the current capacity of 1.8 lakh tonnes.
The company’s decision to expand is driven by the expected rise in demand from European markets, especially due to the upcoming ban on Russian carbon black imports by the European Union. The project is fully financed through internal accruals and is expected to be operational within the next 18 months.
“We foresee a significant uptick in demand for speciality carbon black, especially with the impending ban on Russian carbon black imports into the European Union. The gradual increase in the proportion of high-margin speciality carbon black will undoubtedly enhance our profitability and diversify our product mix,”
Anurag Choudhary, CMD & CEO of Himadri Speciality Chemical Ltd said.
Himadri Speciality is also advancing its product offerings in specialized markets, including energy storage solutions like lithium-ion batteries, where specialty carbon black is used as a conductive additive due to its exceptional electrical conductivity. Additionally, the company is entering the production of lithium-ion phosphate (LFP) cathode active materials, marking it as India’s first such commercial venture.
This expansion will solidify Himadri’s position as a leader in the global specialty carbon black market, with one of the largest capacities at a single site worldwide. The expansion is also anticipated to enhance the company’s profitability due to the higher margins associated with specialty carbon black compared to the standard grades.
