The Polyurethanes division of Huntsman Corporation (NYSE:HUN) announced plans to expand its polyurethane production capabilities in India. Over the next year, Huntsman will invest US $10 million in the construction of a world-class systems house in Pune, India – a city near Mumbai favored by major Indian and multi-national companies.
The new facility – scheduled to be operational by the end of Q1 2012 – will replace Huntsman’s existing system house in Thane (also near Mumbai), which has served the company well but has limited scope for expansion and occupies land that is due to transfer back to its owner shortly.
Construction of a purpose-built modern systems house at Pune will enable Huntsman to capitalize on its leading position in the Indian polyurethanes market; enhance its range of services; and continue to supply local customers quickly and efficiently. Demand for Huntsman's methylene diphenyl diisocyanate (MDI) products is rising across India's manufacturing sector. Fuelled by rapid social and economic development, established and emerging markets for MDI include innovative footwear technologies; tailor-made solutions for automotive and construction; retail and cold supply chain applications for the country's thriving logistics sector; and infrastructure build projects.
Plans for the eight-acre site at Pune include a modern development machine hall and large scale blending facilities to enable supply, both in bulk and in intermediate bulk containers.
Nick Webster, Vice President of Huntsman Polyurethanes, said: “India is the world’s second fastest growing economy. With an expanding middle class, increased urbanization and significant infrastructure development projects underway, we are predicting a large spike in demand for MDI across the region. The new systems house will be optimized to meet our specific production and blending requirements. It will give us room for future growth, reflecting our long-term commitment to the provision of high-quality polyurethane products and first-class customer service across the entire Indian sub-continent.”