INDIA - Approval for Gujarat joint ventures

The construction of three major specialty metal plants is set to begin in India’s northwest, after the projects received approval from the Gujarat government. The three joint venture projects have been proposed by the state-run Gujarat Mineral Development Corporation (GMDC), and include an aluminium refinery, zeolite beneficiation project and fluorspar plant.

GMDC has already secured land for two of the projects, with the specialty aluminium chemical plant in the Kutch district the first to be established. It will be constructed in collaboration with Alumina Refinery which will hold a 74% stake in the venture. The plant will have an annual production capacity of 18,000 tonnes, requiring 54,000 tonnes of bauxite.

The company’s second project, a zeolite dry beneficiation plant, will also be constructed in the Kutch district. Credo Industries will partner GMDC to establish the facility that’s expected to ramp up to an annual production capacity of 40,000 tonnes. GMDC will also hold a 26% stake in this project, with Credo holding the remaining 74%. Zeolite is used as a filler substitute in detergents.

The third joint venture is a fluorspar plant with Gujarat Flurochemicals and Navin Fluorine International. Fluorspar is used in the production of hydrofluoric acid which is used in electroplating, aluminium smelting and stainless steel. GMDC owns 50% of the venture and will provide the fluorspar ore on a 15% margin basis.

Construction of another major complex also in the Gujarat region began in January. Local manufacturer, Gujarat State Fertilizers Company (GSFC), is establishing a bio fertilizer complex at Vadodara which will produce water soluble fertilizer, plant growth promoters and liquid bio-fertilizers.

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