SRF Ltd. has approved a proposal to install additional spinning and textile capacity at its technical textiles plant in Manali and Gwalior at an estimated cost of Rs. 80 crores. The investment will be made over a period of three years. The company has also approved a project to debottleneck certain specialty chemical plants to further increase the production capacity at Dahej at an estimated cost of Rs. 140 crores.
Established in 1970, SRF Ltd., with an annual turnover of Rs. 5,600 crores ($860 million), is a chemical-based multi-business entity engaged in production of industrial and specialty intermediates. The company’s diversified business portfolio covers technical textiles, fluorochemicals, specialty chemicals, packaging films and engineering plastics. Anchored by a strong workforce of more than 6,300 employees working across 12 manufacturing plants in India, two in Thailand and one in South Africa, the company exports to more than 70 countries.
Equipped with state-of-the-art R&D facilities, SRF has filed 155 patents for R&D and technology so far, of which 23 have been granted. A winner of the prestigious Deming Prize for two of its businesses, namely, Tyre Cord and Chemicals, SRF continues to redefine its work and corporate culture with TQM as its management strategy.
SRF’s total revenue increased by 41% from Rs. 3,977 crores to Rs. 5,621 crores in the first 9 months of the current financial year. Commenting on this, the Managing Director, Mr. Ashish Bharat Ram, said: “In spite of inventory losses in the crude-based businesses, we have performed reasonably well. The Specialty Chemicals Business is now showing signs of a revival which will be visible from the next quarter onwards.”
Technical Textiles business
SRF continues to maintain its market leadership in nylon tyre cord fabric (NTCF) witnessing strong demand in the current year. The NTCF facility reached optimal production capacity. The company has its proposal to install additional spinning and textile capacity at Manali and Gwalior at Rs. 80 crores to be incurred over the next three years.
NTCF is expected to remain a key business in the segment and a generator of steady cash flow. Other sub-segments of Technical Textiles have started contributing to its performance. Also, improving macro-economic environment is expected to have a positive impact on the belting fabric segment, going forward.
In the coated fabrics business, SRF continues to maintain its domestic market leadership. In laminated fabrics, the company reported consistent sales in hot laminations. It has successfully commercialized two new products during the current year.