Production begins at BASF’s largest Indian investment to date South Asia’s first MDI splitter will help make Gujarat a hub for value-adding industries INR 1,000 crore investment project creates 500 direct and indirect jobs Zero lost-time injuries during construction phase.
BASF India Limited on 7 October inaugurated its large-scale chemical production complex at Dahej in Gujarat, India. With a project cost of INR 1,000 crore (approximately €150 million), the site represents BASF’s single largest investment in India.
The site was jointly inaugurated by Anandiben Patel, Chief Minister of Gujarat; Saurabhbhai Patel, Minister for Finance, Energy and Petrochemicals, Government of Gujarat and Michael Heinz, Member of the Board of Executive Directors, BASF SE.
Heinz said: “As part of our investment plans of more than €10 billion in Asia Pacific between 2013 and 2020, we want to strengthen our production platform in India. With our new Dahej site we are enhancing our position as supplier with local production and can even better ‘create chemistry’ with our customers. With our advanced technologies and the commitment of our team in India, we will both contribute to and benefit from India’s huge market potential.”
Raman Ramachandran, Chairman, BASF Companies in India & Head South Asia, said: “With this production hub, including the first MDI splitter in South Asia, we are well positioned to increase our long-term competitiveness significantly in this key market. We will serve our customers in the Asia Pacific region even better through stable product supply in terms of both quality and volume.”
The site includes an integrated hub for polyurethane manufacturing and production facilities for care chemicals and polymer dispersions.
The care chemicals facility at the Dahej site hosts the first BASF sulfation plant in India, which will cater to customers in the fast-moving consumer goods sector. The polymer dispersions plant will expand BASF’s production footprint in the dispersions business, complementing the Mangalore facility. It will serve paper and board, architectural coatings, construction, adhesives, and fiber bonding customers, located in northern and western India. The integrated polyurethane manufacturing facility will host a MDI (methylene diphenyl diisocyanate) splitter for processing crude MDI, a core component in the manufacture of versatile polyurethane products. They are used extensively for cold as well as heat insulation applications and are the preferred material for improving safety in transportation, and enhancing energy efficiency and comfort at home.
The site will also produce Elastollan TPU (Thermoplastic Polyurethane), Cellasto® (microcellular polyurethane components) and Polyurethane Systems. The integrated hub will support the demand of industries in the appliances, footwear, automotive, construction, and furniture segment.
The site currently employs 200 people directly and 300 people indirectly. In the near future, the site will offer direct employment opportunity to 50 additional people. Supporting state-of-the-art environment, health and safety facilities, the site has recorded zero lost-time injuries during construction.
