Gujarat Alkalies forms joint venture with Dow Chemicals
24 Jul 2008
Mumbai: State-run Gujarat Alkalies and Chemicals Limited (GACL) has signed a joint venture agreement with Dow Europe GmbH for exploring a long-term and strategic business relationship in the area of chlorinated organics.
Under the agreement the two will set up a 50:50 joint venture company - Dow-GACL Solvdenture Ltd – which will be commissioned 2011, Guruprasad Mohapatra, managing director of GACL, said.
The plant, which will produce two lakh tonnes of chlormathan group of chemicals per annum, is GACL's first venture with a multinational company, Mohapatra said.
The Rs600 crore plant is being set up in six hactres of land at Dahej where GACL has three existing plants, Mohapatra said, adding, GACL has already approved an ambitious investment plan of Rs2,600 crore.
GACL, a company promoted by the government of Gujarat, and a leader in caustic chlorine in the country, has a basket of 26 diversified products.
The company, with an 18 per cent share in caustic-chloride market, has diversified into value added products such as sodium cyanide, chloromathane, hydrogen peroxide, potasium carbonate etc.
US-based Dow Chemicals, which now owns Union Carbide in India, is a world leader in chemicals, plastics and agricultural product services and has a presence in many countries.