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Bombay Dyeing gives up DMT plant opting for PSF instead
02
Jun '08
The dimethyl terephthalate (DMT) plant of Bombay Dyeing situated at Patalganga has been sold off with an envisaged plan of switching over to manufacturing of polyester staple fibre (PSF).

The Nulsi Wadia managed company, has till date been the largest producer of DMT which serves as a key ingredient in the manufacturing of polyester. With a production capacity of 165,000 tons of DMT, the Patalganga unit serves various industries engaged in making polyester fibre, film, filament and yarn.

Sources from the company informed Fibre2fashion that so far, the unit fetched about 65 percent of the company's total revenues but now, this plant has been taken over by Gujarat based trading company Laxmiraj who will dismantle the DMT plant for its own purpose.

Bombay dyeing has other plans including venture into PSF which is expected to yield higher revenues and increase the present margins. Production has already been commenced in October 2007 and the move to modify the DMT plant to PSF is estimated to cost about Rs3500 millions.

Fibre2fashion News Desk - India


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