Kansai Nerolac Paints Limited, the country's second largest paint manufacturer, is setting up its second manufacturing facility in Tamil Nadu at Hosur with an initial investment of around Rs 90 crore.
The company has a similar facility in Perungudi at Chennai.
Speaking to Business Standard on the sidelines of the 24th Indian paint conference, which concluded here on Sunday, HM Bharuka, managing director, Kansai Nerolac, said the new facility would commence operations in October this year. It would manufacture decorative paints and paints for general industrial products.
The facility, to come up on 50 acre, would be a water-based paint manufacturing factory. Its initial capacity would be 15,000 tonne, which would be scaled up to 75,000 tonne in three phases.
“Investment in the first phase would be Rs 90 crore and will be funded through internal accruals,” he said
On the total investment for all the three phases, Bharuka said, “it will be based on the market demand.” The company would commence Phase two work after 18 months from the day phase I production starts.
The plant would cater to markets in Tamil Nadu, Karnataka, Andhra Pradesh, Kerala and parts of eastern India, he added.
