17 March 2008 12:58 [Source: ICIS news]
TOKYO (ICIS news)--Japan's Mitsubishi Chemical Corp (MCC) has established a subsidiary in the northern Indian state of Haryana to manufacture and sell the group’s products, procure feedstocks and support its expanding resin compounding business, a spokesman said late on Monday.
The new company, Mitsubishi Chemical India, received approval from the Indian government on 10 March, and operations were scheduled to begin on 1 April, he said.
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The subsidiary in Gurgaon, Haryana, planned to initially sell elastomers, engineering plastics and functional products including acrylamide in India that have been produced elsewhere including Japan by the group companies, the spokesman said.
MCC aimed to make Mitsubishi Chemical India a manufacturing base of functional resins, polyvinyl chloride (PVC) and engineering plastics by building plants at a location adjacent to the company’s polypropylene (PP) compounding plant in Neemrana, Rajasthan, which was currently being built, he said.
However, the spokesman said the company was yet to decide what products would be produced, investment costs and when the plants would be built.
He added it would be after April 2009, when the 15,000 tonne/year PP compounding plant in Neemrana starts up.
Meanwhile, another subsidiary was also scheduled to be established at the same location by the end of March to operate the unit, MCC said.
The chemical producer targets sales of yen (Y) 2bn ($20m) by 2012 for Mitsubishi Chemical India alone and combined sales of Y10bn with the subsidiary in Neemrana.
($1 = Y101)
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