Chemical firm SRF Ltd today announced setting up of a plant in Thailand with an investment of USD 60 million (Rs 410 crore).
The company said it will set up Bi-axially Oriented Polyethylene Terephthalate (BOPET) film line and a resin plant in Thailand at an investment of about USD 60 million.
"This new plant will be put up at our existing manufacturing location in Rayong, Thailand by our wholly owned subsidiary - SRF Industries (Thailand) Ltd and is expected to become operational in close to two years," the company said in a statement.
Once operational, the new line will be capable of producing about 40,000 metric tonnes per annum, it added.
SRF's MD Ashish Bharat Ram said: "While our long-term strategy of investing into our chemicals business remains intact, we believe that we have adequate capacities in place to meet our customers' requirements on a short-to-medium term basis".
The investment into packaging films business makes good business sense as the global packaging films industry is witnessing improvement in capacity utilisation and hence provides us an opportunity to tap into this expected growth in demand, he added.
"Furthermore, with an existing strong customer base and a favorable tax and duty structure, Thailand presents itself as the best location for us to set up this new film line," the MD said.
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