Rana Sugars to up capacity

Looking at the good returns from the power segment, Amritsar-based Rana Sugars Ltd, a part of the Rana Group, is enhancing its co-generation power capacity from 20 Mw to 30 Mw, with an investment of Rs 40.8 crore.

The existing unit is an integrated sugar plant with a capacity to crush 5,000 tonne of sugarcane per day and facilities for the co-generation of 20 Mw, situated in Buttar Sevian village, Amritsar.

At present, out of its total installed co-generation power capacity of 20 Mw, the company is selling about 10 Mw of surplus power to the Punjab State Electricity Board (PSEB). The rest is used for its own consumption.

Therefore, the company is now enhancing its installed co-generation power capacity from 20 Mw to 30 Mw, out of which the company would be selling power capacity about 19.60 Mw of surplus power to PSEB.

Speaking to Business Standard, Rana Sugars Ltd General Manager (Finance) Manoj Gupta said, "The project would require a capital investment of Rs. 40.80 crore and would be funded through cash accrual and term loan from the banks and likely to be commissioned by October."

Last year, the company set up a distillery unit with a capacity to produce 60 kilolitres per day, with an initial investment of around Rs 39 crore at Patti, Amritsar.

The company is utilising molasses, a by-product of its sugar and grain products, for the manufacture of rectified spirit, ethanol and potable alcohol.

The company imported machinery from China, in which 50 per cent of wash and impurities is evaporated and the remaining is burnt in boilers, without polluting the environment, making it a pollution free unit.

The setting up of the distillery enabled the company to fully integrate its operations. Its existing sugar plant at Amritsar produces 200 tonne of molasses per day.

Also, the company's is setting up two sugar units at Moradabad and Shahbad, both in Uttar Pradesh, with a capital investment of Rs 418 crore. The proposed units will be integrated units each with a capacity to crush 5,000 tonne of sugarcane per day and facilities for co-generation of 20 Mw of power.

While the Shahbad unit has started the new plant at Moradabad (Uttar Pradesh) would be operational by October. Besides the sugar industry, the group has diversified into textiles, informatics and infrastructure.