India’s Reliance to restart Vadodara LAB unit by end-March

20 March 2013 06:00  [Source: ICIS news]

SINGAPORE (ICIS)--India’s Reliance Industries plans to restart its linear alkyl benzene (LAB) plant at Vadodara in Gujarat state by the end of March after a maintenance shutdown, a source close to the company said on Wednesday.

“The plant was shut down in the third week of February, initially for just a month, but it got extended by a couple more weeks because of some technical issues that cropped up,” the source said.

The turnaround at the 60,000 tonne/year plant has resulted in a tightening of supply in the Indian LAB market, causing inventory levels to decline to 15,000 tonnes in March from 20,000 tonnes in February, market sources said.

Reliance also operates a 120,000 tonne/year LAB plant at Patalganga, in Maharashtra state.

The shutdown at Reliance’s Vadodara also caused the company’s exports to decline substantially in March, the source close to the company added.

“The company has been meeting its commitments to regular customers but spot exports have been affected,” he said.

India has an installed LAB capacity of 530,000 tonnes/year, an industry source said. Consumption of LAB totalled 500,000 tonnes/year in 2012, creating a shortfall of 40,000 tonnes/year.

Other LAB producers in India include IndianOil, Nirma and Tamil Nadu Petroproducts Ltd.

By: Prema Viswanathan
+65 6780 4359

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