Navdeep Chemicals is a zero discharge company: Deepak Bhimani

Navdeep Chemicals Pvt Ltd, an ISO 9001: 2000 certified manufacturer of fine and speciality chemicals, is known for its zero discharge policy and developing & operating processes to conserve the resources in such a way that minimum wastes are generated during manufacturing. In conversation with Rakesh Rao, Deepak Bhimani, Chairman & Managing Director, Navdeep Chemicals, and President, Indian Speciality Chemical Manufacturers' Association (ISCMA), focuses on the importance of innovation and eco-friendly processes in the chemical industry.
 
How has Navdeep Chemicals evolved over the years?
Navdeep Chemicals was established in 1978 at Ankleshwar, GIDC, Gujarat, with an aim to manufacture specialty chemicals, a new category in those days. From start, the strategy was to focus on specialty chemicals, which are high-value, low-volume products and require high-level of investment in research.
 
Specialty chemicals go into various industries for specific effect/performance; without these chemicals the end-product would be devoid of desired functions/properties. These chemicals are knowledge driven and hence one needs to invest in extensive research. Therefore, we built our R&D centre, which is recognised by Department of Science and Technology, GoI, way back in 1980s.
 
Though, Navdeep started with chemicals primarily targeted at textile industry, which was booming at that time, today we cater to many other industries such as pharma, oil field applications, water treatment, plastics, paints, etc.
 
Today, we have manufacturing units in Ankleswar, and are building a new unit at Jhagadia, Gujarat, which should start operation by the end of this year. We have invested about Rs 22-23 crore in Jhagadia facility.
 
How important is innovation in your business?
In specialty chemicals industry, products can become obsolete very fast. A specialty may become a commodity (with many ‘me-too’ product in the market) in a short span of time or one specialty may replace another specialty. Hence, we need to continuously innovate and find new applications.

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Navdeep Chemicals has been investing in R&D since the inception of the company, as continuous innovation is the only way to survive and thrive in this knowledge-driven industry. In fact, to complement Jhagadia plant, we are augmenting our R&D capabilities to develop new products and expand business.
 
Could you please elaborate on some of the sustainable measures taken by Navdeep Chemicals?
We value environment and its importance for the betterment of the society, hence the company has committed itself to stringently look up to the needs of the environment. It has been developing eco-friendly products which are non-toxic and do not generate waste effluents. Navdeep Chemicals is a zero discharge company, which do not produce any liquid effluent and every bit of waste is recycled or utilised in our process in order to save environment.
 
How has exports grown over these years?
We started our exports in 1990s. Europe was once a major market for us, but now the demand from this market has slowed down. Navdeep Chemicals is seeing growing demand from Middle East, South East Asia, Japan, etc. We are looking to augment our business by increasing our presence in the US and exploring opportunities in new markets such as Africa, Russia and Brazil. We expect exports to contribute more in future, as we explore new territories.
 
You have been associated with the Indian specialty chemicals industry for over 45 years. How has the industry evolved over these years?
India’s GDP has been growing consistently at a healthy rate in the last few years. India’s per capita consumption of commodities has vastly improved and will continue to grow. Demands for products such as automotive, home & personal care, textiles, agriculture, etc have been increasing. All this has pushed up the demand for specialty chemicals in India.
 
The growth of specialty chemicals industry will be much more in future as the purchasing power of consumers increases.
 
What are the challenges before specialty chemical manufacturers in India?
Research is core to be successful in this industry, hence one has to invest in developing new products and applications. But, if there is a delay in launching these new products, the developer (ie, specialty chemical manufacturer) may not be able to optimise gains from their innovations. Therefore, the approval process for new products and applications should be done on fast-track, so that industry gains the necessary advantage.
 
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Second, there has been an increase in competition from Chinese imports. The government should take initiative to curb imports, which are damaging the domestic industry. 

(This was featured in Business Standard newspaper on September 27, 2013)