GANDHINAGAR: A Taiwanese public sector undertaking, CPC Corp, has proposed to invest around Rs 41,600 crore for setting up a naphtha cracker plant in Gujarat either at the Mundra
SEZ in Kutch or at the Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR) in Dahej.
Top officials of the Taiwanese oil refiner recently met chief minister Vijay Rupani and senior government officials to discuss the proposed investment. According to sources privy to the development, the prime minister's office is coordinating the project, announcement regarding which is likely to be made soon.
The Taiwan government's ministry of economic affairs had recently made an announcement about the proposed investment by CPC Corp in a new petrochemical park in India.
Taiwanese PSU prefers Mundra SEZ for its plant
The investment would include building a naphtha cracker plant and producing petrochemical products, such as ethylene and aromatics, to meet the rising demand in the Indian market.
The company is seeking an alliance with Indian petrochemical firms to jointly explore business opportunities in Southeast Asia and is reportedly in talks with the Gujarat-based Adani Group which owns the Mundra SEZ in Kutch.
A senior government officer close to the development said, "We suggested two locations — Mundra SEZ and PCPIR in Dahej — to the CPC Corp. The Taiwanese PSU has preferred the Mundra SEZ and is currently in talks with the Adani Group for a possible tie-up. Government of India is also very keen to promote bilateral relations with Taiwan and recently both the countries had very warm engagement. Taiwan is considering long-term business opportunities in India. Considering the business environment in India, they are pursuing to invest in Gujarat as the preferred destination."
"The state government has assured full cooperation to the company. Recently, an Indo-China company, Cromo Steel Plant, also laid foundation of its Rs 15,000 crore steel plant in Kutch. However,
the CPC Corp's investment would be the single largest foreign investment in Gujarat in the recent past," the official added.
When contacted, incharge principal secretary, industry and mines, Manoj Kumar Das, who had recently met the officials of the Taiwanese PSU, denied to divulge the details of the proposed project. He however admitted that the Taiwanese PSU is willing to invest in Gujarat in petrochemicals sector and talks are in advanced stage.
Source: timesofindia.indiatimes.com