Tata Chem expects biofuel plant to be operational in 18 months

New Delhi: Tata Chemicals (TCL) said its biofuels manufacturing unit at Nanded, Maharashtra is expected to be operational within the next 18 months.

'The plant, which will mark our foray into biofuels, is expected to commence production within the next 18 months,' Tata Chemicals Executive Vice-President R Mukundan told reporters.

He said a majority of the 100 million dollar raised by the company earlier this year would be utilised for the biofuels project.

The company had raised 100 million dollar through a private placement in the United States in August this year.

'Initially, the company would focus on the domestic market but in the long run, we are eyeing overseas market for our product. Biofuels is the major thrust area for the company in future,' Mukundan said.

Tata Chemicals is setting up a fully integrated, commercial scale plant for ethanol production from sweet sorghum with a capacity of 30,000 kilo litres per day.

The company today launched a low sodium salt - Tata Salt Lite - targeted at consumers suffering from lifestyle ailments like high blood pressure.

'Our research showed that the available salt brand does not cater to low sodium salt users. We therefore felt the need of introducing this speciality salt brand,' Mukundan said.

Tata Chemicals reported a turnover of Rs 6,000 crore in 2006-07. Inorganic chemicals, which include salt, soda-ash and cement, contribute 50 per cent to its turnover while the remaining 50 per cent comes from fertilisers.