PI Industries has a plan of close to Rs 8 – Rs 9 billion capex this year and the company is moving in this direction, says Rajnish Sarna, Joint Managing Director, PI Industries Limited on August 8, 2024.

"Apart from fresh capex and building new capacities, we are also, as we have alluded to in the past, optimising plant capacities and improving throughput by adopting various technologies and that also gives us good room to maximise the capacity utilisation because so many new products are now getting commercialised", Sarna added. 

Sarna further said, "While in the initial phases, there will be relatively lower volumes of the new products, but our capacity optimisation helps us commercialise many number of new products in the existing plants without very heavily investing on the ground and that is a great achievement of the team over the last couple of years which is also helping us improve capital efficiency. For the current year we have Rs 8 – Rs 9 billion capex plan as of now, and we will keep reviewing it as we progress. The order book is mostly Agchem. Non-Agchem products are at the initial stages and there are purchase orders for the year or two and those are not a significant part of the order book position. More than 40% of the new products that we are commercialising are all non-Agchem. Even at R&D scale, if we look at our R&D pipeline, more than 40-45% of products are non-Agchem."

(Indian Chemical News)