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GAEL CMD promoted co to set up distillery plant in Sikkim

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Kalpesh Damor Mumbai/ Ahmedabad
Last Updated : Jan 20 2013 | 8:02 PM IST

Co to invest Rs 60-70 crore in the project.

SVG Pvt Ltd, a company promoted by Gujarat Ambuja Exports Ltd (GAEL) chairman and managing director Vijay Gupta, is in the process of setting up distillery plant in Sikkim. The proposed plant is likely to go on stream soon.

"A new company called SVG Pvt Ltd has been floated to put up a distillery unit at Sikkim", said Vijay Gupta, CMD, GAEL while confirming the development. However, he also made it clear that Gujarat Ambuja Exports does not have any interest in the proposed distillery and SVG is entirely promoted by him.

The company is investing close to Rs. 60 to Rs. 70 crore for the project. The Sikkim plant will have a production capacity of 1 lakh litres per day.

The distillery is mainly aimed at manufacturing whisky from maize. "The distillery unit is almost ready and it will start operations by next month", Gupta added.

As per the market players, Sikkim is an ideal location for distillery plant as it houses more than 40 bottling plants. Apart from this, it enjoys proximity to Bihar, which is one of the largest maize producing states in the country.

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Though GAEL CMD promoted company is all set to start operations of its distillery at Sikkim, GAEL has recently shelved its plans to set up two maize processing units.

Ongoing recession and low demand of maize seem to have forced the company to shelve two of its upcoming processing plants.

GAEL had planned 500 tonnes per day maize processing plant in Bihar and it was to pump in close to Rs. 90 crore for the project.

The company had also acquired land for the unit in Patna. Similarly, one more maize processing unit of the company was to come up at Jalgaon in Maharashtra.

The processing capacity of the Jalgaon unit was around 400 to 500 tonnes per day and the investment pledged for it was in the vicinity of Rs. 80 to Rs. crore.

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First Published: Apr 03 2009 | 12:48 AM IST

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