In what is said to be India’s largest investment in the country, Haldia Petrochemicals Ltd (HPL) will invest over US$4 billion in setting up a mega petrochemical complex in Odisha.
The integrated refinery will include an aromatics complex for production of paraxylene and purified terephthalic acid (PTA), which is the feedstock for polyester fibres and polyethene terephthalate (PET). The refinery will be set up near Subarnarekha Port in Balasore district.
“The land requirement for the project is 2,000 acre which will be recommended for allotment post assessment by the Industrial Promotion and Investment Corporation of Odisha Ltd (IPICOL),” said HPL.
The groundbreaking on the port, which is being built by Tata Steel and the state government, was undertaken recently.
The port is expected to be built at an investment of Rs5,000 crore and will create employment opportunities for 12,000 people.
The first phase of HPL’s project is expected to be in operation within five years of allotment of land.
The firm says the considering the large population base and high GDP growth rate of Odisha and the country overall, the demand for these products is likely to be huge. It is worth considering that entire eastern India and nearby countries like Bangladesh are dependent on sourcing polyester fibres from the western part of India to meet the clothing demand of the region.
HPL adds that the setting up of the PTA unit will trigger investment in these products and will catalyse the growth of further downstream processing units along the value chain, driving economic growth of the region.
In addition to HPL, state-owned Indian Oil Corporation will also set up a 3 million-tonne/year polyester products manufacturing unit at the textiles park coming up at Bhadrak district.
The project will create employment opportunities for 209 people and is expected to be implemented within four years of land allotment.