4.5 billion rupees invested: India SPL to build new 80,000-ton polystyrene unit

India's leading petrochemical enterprise Supreme Petrochem Ltd (SPL) officially announces a new round of capacity expansion plans. The company will invest in the construction of a brand-new polystyrene production line to further consolidate its position as the leader in India's polystyrene market. The funding for this expansion project comes entirely from the company's own funds, and the new capacity is expected to be commissioned by the end of 2028.

As India's largest domestic producer and exporter of polystyrene, SPL holds a market share of over 50% in the domestic polystyrene market, wielding significant influence in the industry. The company has received approval to build a new polystyrene production line with an annual capacity of 80,000 tons at its Amdoshi production base in Maharashtra. The total investment for the project reaches 4.5 billion rupees. Upon completion and commissioning, the company's total polystyrene capacity will increase from the current 300,000 tons/year to 380,000 tons/year, achieving a substantial leap in production scale. According to the plan, this new production line is expected to officially commence commercial operations in December 2028.

SPL Executive Director Rakesh Nayyar has publicly confirmed this expansion plan, clarifying that the project has received formal approval from the company's Board of Directors. The construction cycle, investment amount, funding source, and capacity increase have all been finalized. The entire investment will be completed using the company's internally accumulated funds without the need for external financing, ensuring high stability in project execution.

In addition to the core polystyrene capacity expansion, the company is simultaneously advancing multiple supporting capacity upgrade projects to perfect its product matrix and production system. The company will build a new 150,000 cubic meter wide-width EPS board production line, while expanding its existing compounding capacity from 50,000 tons/year to 80,000 tons/year. The progress of these supporting expansion projects is faster, with production and commissioning expected as early as June 2027. Furthermore, the company's previously completed Phase II EPS capacity expansion project has been successfully finished, with all capacity increments coming online.

Industry analysis indicates that SPL's continuous investment in polystyrene and supporting EPS and compounding capacity demonstrates the company's long-term confidence in the Indian and global plastic raw material markets. As a leading enterprise holding over half of the market share in India, its capacity expansion will directly impact the supply-demand dynamics and export trade system of polystyrene in South Asia. It is necessary to continue monitoring the project's construction progress and changes in regional raw material export prices.