India's Reliance Industries in major polyester capacity expansion

13 April 2011 17:34  [Source: ICIS news]

TORONTO (ICIS)--Reliance Industries has started to implement a major expansion of its polyester capacities in India as it seeks to benefit from tightening supplies, the Indian energy and petrochemicals major said on Wednesday.

“The global supply constraints, substantial price increase and uncertain outlook for cotton availability is creating considerable substitution opportunities for polyester products like polyester filament yarn (PFY) and polyester staple fibre (PSF),” Reliance Industries said.

Polyester is expected to capture about 80% of incremental global fibre demand of around 2.9m tonnes/year over the medium to long term, the Mumbai-headquartered company said.

Reliance Industries’ plans, mainly focused on its site at Dahej in Gujarat state, western India, include:

– 2.3m tonnes/year of purified terephthalic acid (PTA) capacity at Dahej, with an option to increase this by another 1.15m tonnes/year at a later stage;

– 395,000 tonnes/year of PFY and 140,000 tonnes/year of polyester texturised yarn at Silvassa in Dadra and Nagar state, western India;

– 540,000 tonnes/year of polyethylene terephthalate (PET) at Dahej, with the option to add another 540,000 tonnes/year of PET at the site at a later stage;

– 290,000 tonnes/year of PSF at Dahej.

For more on Reliance Industries and other producers, visit ICIS company intelligence

By: Stefan Baumgarten
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