Hindustan Paper Corp to set up unit in Uttar PradeshApril 22nd, 2008 - 9:48 pm ICT by admin
Kolkata, April 22 (IANS) State-owned Hindustan Paper Corp Ltd (HPCL) will set up a greenfield venture in Uttar Pradesh with a capacity to produce 300,000 tonnes of paper annually. “The first phase of the unit will be on stream by the middle of 2010 and the total outlay of the project would be around Rs.27.42 billion ($685.5 million),” HPCL chairman-cum-managing director Raji Philip told reporters here Tuesday.
He said land has already been allotted for the factory near Sultanpur in Uttar Pradesh.
“We need 500 acres to set up our unit there. The name of the mill has already been finalised - Jagdishpur Paper Mills Ltd. The subsidiary unit will be promoted by HPCL with a holding stake of 51 percent. It will be a public sector enterprise,” Philip said.
The unit will create about 600 direct employments in the area, he added.
The company is also poised to become a Rs.30 billion group by 2013 with an installed capacity for production over 800,000 tonne per annum. It has also undertaken expansion and technological upgradation plans at all its three units in India.
HPCL has two directly managed units in Assam - Nagaon Paper Mill (NPM) and Cachar Paper Mill (CPM). It has a wholly-owned subsidiary, Hindustan Newsprint Ltd (HNL), in Kerala that produces newsprint.
“We have taken up modernisation and technological upgradation plans at CPM and NPM units with 30 percent capacity expansion at NPM. The total project outlay for both these units would be around Rs.6.6 billion and it would be implemented by 2010,” he said.
Philip said the capacity expansion of HNL unit would be completed by 2009 at a total investment of Rs.7.19 billion.
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