The Union ministry of chemicals & fertilizers has urged the Odisha government to examine the possibility of establishment of a petrochemical complex at the state's PCPIR (Petroleum, Chemicals and Petrochemicals Investment Region) hub by UAE-based Uniplas Petrochemicals Ltd.
Uniplas is keen to set up a 150 kilo tonne per annum capacity petrochemical complex that will produce caustic soda, ethylene, chlorine, PVC (polyvinyl chloride) and PVC compounds. The project will cost around Rs 5500 crore and 100 per cent of the investment will be made through FDI (foreign direct investment).
"Uniplas Petrochemicals Ltd has expressed interest in investing in the various PCPIRs being set up in different parts of the country. In India, Uniplas is exploring the possibility of setting up grassroot complex to produce PVC for sale in the Indian as well as overseas market. While the company is at present examining the possibility of investing in the Gujarat PCPIR, your state government may also like to consider this offer in view of the fact that such an investment would provide tremendous value addition and pave the way for an integrated value chain to be developed as envisaged in the PCPIR policy”, Geeta Menon, director (PCPIR), Government of India wrote in a letter to Parag Gupta, Odisha industries secretary.
The petrochemical complex needs 400 acres of land Since India currently imports more than one million tonne of PVC, Uniplas has envisaged that domestic production will help save Rs 150 crore of foreign exchange through import substitution effect. The project will also contribute to exports of certain speciality PVC compounds.
Besides, the project is expected to generate direct employment of approximately 250-300 skilled people and indirect employment for more than 10,000 people.
The PCPIR project in Odisha would be set up on 284.15 sq km (70,214 acres) of land spread over Jagatsinghpur and Kendrapara districts. The PCPIR hub is expected to attract investments to the tune of Rs 2.74 lakh crore.
Phase-I work of the project is expected to be completed by 2015 while the entire project is scheduled for commissioning by 2030.
Of the expected overall investment figure of Rs 2.74 lakh crore, the lion's share would come from the petroleum and petrochemicals sectors at Rs 2.3 lakh crore followed by housing and allied infrastructure at Rs 23,500 crore, external infrastructure at Rs 13,634 crore and Rs 3,500 crore each for chemicals & fertilizers and ancillary sectors.
