Expansion of Viscose Staple Fibre in existing plant premises
At Plot No. 1, GIDC Industrial Area, Vilayat, Taluka: Vagra, District: Bharuch (Gujarat)
Pre - Feasibility Report
M/s. Grasim Industries Ltd. 4
(Grasim Cellulosic Division)
M/s. Grasim Industries Ltd. has its VSF Plant at Nagda (Madhya Pradesh), Harihar (Karnataka),
Kharach & Vilayat in Bharuch District of Gujarat.
(ii) Brief description of nature of the project
M/s. Grasim Industries Ltd. (Grasim Cellulosic Division) has obtained Environment Clearance for
expansion of Viscose Staple Fibre (VSF) Unit at Plot No. 1, GIDC Industrial Area, Vilayat, Taluka:
Vagra, District: Bharuch (Gujarat) vide MoEFCC letter no. J-11011/321/2016-IA-II(I)Pt dated 15
th
Jan.,
2018 (copy enclosed as Annexure - 1).
S.
No.
Name of Products (Unit)
Existing Capacity
(as per EC dated
20.12.2007)
Additional Capacity
Total Capacity
after Expansion
Status
1. Viscose Staple Fibre (TPA) 1,27,750 1, 27,750 2,55,500 CTO obtained from
GPCB for expansion
of Debottlenecking
Debottlenecking: 36,500
New Machines: 91,250
The company has already obtained Consent to Establish & Operate for Expansion of VSF (36,500
TPA) by debottlenecking from GPCB vide letter no. GPCB/BRCH-B-CCA-70(4)/ID-36507/453503,
dated 27
th
April, 2018. However, remaining expansion of VSF, as per earlier granted EC, through
new machine installation (91,250 TPA) has not been started yet.
In the meantime, there have been significant developments i.e. the market conditions have
improved considerably providing an opportunity to produce and sell more fiber and secondly,
bigger sized equipments are available having technological developments, leading to better
quality and economics.
Consequently, the company intends to install new machines of higher capacity i.e. 2 x 375 TPD
instead of 2 x 125 TPD; thereby, proposing expansion of Viscose Staple Fibre at Plot No. 1, GIDC
Industrial Area, Vilayat, Taluka: Vagra, District: Bharuch (Gujarat).
As per EIA Notification dated 14
th
Sep, 2006 as amended from time to time; the project falls under
Category “A”, Project or Activity ‘5(d)’.
(iii) Need for the project and its importance to the country and or region
The Indian man-made fibre manufacturing industry is not only one of the rapidly growing sectors
in the economy, but also a critical enabler of the largest export earner - the textiles industry. The
profitability of the man-made fibres industry is linked to the performance of the petrochemicals
industry at the global level, and of the textile industry at the domestic level.
The most optimum plant configuration involves setting up largest capacity that the market can
absorb, level of participation in the man-made fibres chain, and the most cost-effective
technology. To a large extent, these factors determine the profitability and cost structure of a
man-made fibre company, while later efforts are focused on managing the facilities efficiently and
effectively.