Chemplast Sanmar Enters Into JV with France-Based Kem One for Chlorinated PVC
Chennai, India: Chemplast Sanmar has announced that it has formed a joint venture with Kem One to set up a manufacturing facility for chlorinated polyvinyl chloride (CPVC) in Puducherry. With the JV, to be called Kem One Chemplast, will meet the increasing demand for CPVC in the country.

The new facility, for which sanctions are in the process of being acquired, will come up at Karaikal, Puducherry. The project, which is being set up at an estimated cost of Rs 325 crores, will have technology from Kem One and a capacity of 22,000 tonne per annum(TPA) of CPVC resins. It will also manufacture CPVC compounds. CPVC is principally used as a raw material to produce pipes and fittings for supplying water which entails heat resistance , pressure resistance and high tolerance for water treatment.

In recent years, there is a switch from metal to CPVC in pipes used in buildings in India, and in parallel, overall construction demand has also been witnessed. CPVC can also be used for industrial applications which require a high level of chemical resistance and for sprinklers. The demand for CPVC is expanding significantly and will continue to grow rapidly in India. The manufacturing joint venture company will thus provide the domestic answer to the Indian customers' needs that is currently being met through imports. The formation of the manufacturing joint venture company mentioned above as Kem One Chemplast will be subject to approval from the competent authorities.

Kem One is the second largest producer of PVC in Europe. Mainly located in France, it has 1300 employees and an annual turnover of € 800 million. Its eight industrial sites manufacture a wide range of PVC resins, caustic soda and chlorine derivatives. By starting CPVC resins and compounds production in the 70's in Europe Kem One has a strong expertise in CPVC industrial process. With this partnership with Chemplast Sanmar, Kem One is expanding its footprint in the rapidly growing Indian market.