BANGKOK (Jan. 26, 12:30 p.m. ET) - Indorama Ventures Public Co. Ltd. (IVL) plans to build an integrated purified terephthalic acid), PET resin and polyester staple fiber plant in India, with a third-party paraxylene producer.
Bangkok-based IVL announced Jan. 25 that it has signed a memorandum of understanding to form a joint venture that would construct the $700 million complex. Details of the capacity and location will be made public once formal negotiations have been completed, IVL said in a statement.
The agreement was signed during a visit to India by Thailand Prime Minister Yingluck Shinawatra.
IVL CEO and founder Aloke Lohia, “India today is a fast-growing market that is demanding attention from the world's fast moving consumer goods companies, who are our customers. It is imperative that we are there to serve these customers and the emerging local producers who will be consuming more and more PET and [polyester staple fiber] over the next decade.
“We are looking at the long term double digit growth in demand for such products and feel this is the right time to move into the market,” he said.