05 September 2013 07:47 [Source: ICIS news]
SINGAPORE (ICIS)--Mitsui Chemicals said on Thursday it has agreed with Japan’s Itoh Oil Chemical and Mumbai-based Jayant Agro-Organics (JAO) to set up a joint venture plant in India to produce bio-based polyol.
The joint venture entity, named Vithal Castor Polyols, will operate an 8,000 tonne/year bio-polyol plant at Gujarat in India that is expected to begin commercial operations in January 2015, Mitsui said in a statement.
The plant will use plant-derived fatty acids as its primary raw material.
JAO holds a 50% stake in Vithal Castor Polyols, while Mitsui Chemicals owns a 40% share in the entity. Itoh Oil Chem holds the remaining 10% stake in the firm.
“The joint venture will make ‘bio-polyol’ cost competitive with fossil-derived polyol, allowing Mitsui Chemicals to target further expansion of automotive application sales on its own and through its six system houses strategically located throughout Asia,” the company added.
Financial details of the project were not disclosed in the statement.
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