Chennai, India – India’s southern Tamil Nadu province has signed a memorandum of understanding (MoU) with Haldia Petrochemicals Ltd for the construction of a petrochemical plant in the region, according to local officials.
Amongst others, the Rs500 billion (€6.5 billion) investment will see the installation of a synthetic rubber production plant for local tire companies, Indian press quoted Tamil Nadu chief minister K. Palaniswami 12 Feb.
Speaking at the opening ceremony of a new Ceat Tyres’ production plant in Kanchipuram, Tamil Nadu, Palaniswami said Haldia had submitted a bid for Nagarjuna Oil's refinery unit in Cuddalore, which is facing liquidation.
Once acquired, the refinery will be converted to a petrochemical unit, the minister was quoted by IANS news agency as saying.
According to the minister, Tamil Nadu currently contributes 40% of India’s tire production, ranging from two-wheeler to aircraft tires.
In addition to the new Ceat tire plant, MRF Ltd, Apollo Tyres, JK Tyres and Michelin have manufacturing facilities in the province.