Deepak Chem Tech signs Rs. 5,000 crores MoU with Govt. of Gujarat

Deepak Chem Tech signs Rs. 5,000 crores MoU with Govt. of Gujarat

The company announces to set up manufacturing facility for Speciality Chemicals, Acetone, Phenol and Bisphenol

  • By ICN Bureau | May 24, 2023

Deepak Chem Tech Limited (DCTL), a wholly owned subsidiary of Deepak Nitrite Limited, has signed a Memorandum of Understanding (MoU) for manufacturing of Speciality Chemicals, Acetone, Phenol and Bisphenol with the Government of Gujarat (GoG). DCTL aims to invest around Rs. 5000 crores across these projects with aim to commence the first phase in 2024-2025 and aims to complete these projects by 2026-2027.

The MoU was signed in the presence of Industry Minister Balvantsinh Rajput and Minister of State (Industries) Harsh Sanghvi.

On the occasion, Gujarat Chief Minister Bhupendra Patel said that the state government would provide appropriate assistance to set up these proposed projects in Gujarat to support the Chemical & Petrochemical sector in the state.

Deepak C Mehta, Chairman & Managing Director, Deepak Nitrite Limited said, “The Indian Chemical & Petrochemical intermediates can be the catalyst to India’s 5 trillion-dollar economy dream.”

He also spoke about the dual value creation by these projects as they reduce import substitution as well as help strengthen the Indian economy.

Industry Minister Rajput said, “Gujarat has led the nation’s investment endeavors, and the Aatmanirbhar Gujarat Scheme for Assistance to industries has become a catalyst for attracting businesses to the State. We envisage further high value MoUs will be signed under the scheme in the near future.”

DCTL will generate around 1500 direct and indirect equal employment opportunities through the eco system of the three combined proposed projects. The company aims to generate revenue of approximately 1.5 times its Rs.5000 crores proposed investment, upon commissioning.

Additional Chief Secretary, Industries & Mines Department, S J Haider and Director, Deepak Chem Tech Limited, Shri Meghav Mehta signed and exchanged the MoU in presence of all the respected dignitaries

(DCTL) proposes to invest for setting up its state-of-the-art, technology driven and sustainable manufacturing plant at Dahej in Gujarat that is under PCPIR region, set up by the Gujarat Government, specifically, to cater to the Chemical & Petrochemical industry with all the necessary infrastructure.

According to the release issued by the company, the proposed investment will also help reduce India’s import bill. Products out of these projects have varied end use such as:

* Speciality Chemicals cater to the demand of Agro Chemicals and Pharma industries

* Phenol and Acetone are used in varied end-user segments like laminates, plywood, pharma, paint, adhesives etc

* Bisphenol caters to Epoxy and Adhesives and is the most important feedstock towards Polycarbonate which has various applications across Automotive, Electronic and Consumer Goods, Defence, Medical Equipment etc.

Chief Principal Secretary to the Chief Minister, Kailashnathan, industries Commissioner, Sandip Sangale, Managing Director, iNDEXTb Gaurang Makwana and senior officers and associates of Deepak Group were also present on this occasion.

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