Insecticides India to set up two new plants in J&K, Gujarat

Insecticides (India) Ltd (IIL) will commence production in two new plants in Jammu and Kashmir and Gujarat in the next two months.

"We have invested Rs 55 crore on setting up plants at Udhampur and Dahej. When they start production, our production capacity of technical grade pesticides would go up by six times to 12,000 tonnes per annum (tpa) from 2,000 tpa,” Mr Rajesh Aggarwal, Managing Director and Chief Executive Officer of IIL, said.

Turnover target

Addressing a press conference here on Tuesday, he said the company expected a turnover of Rs 550 crore in 2010-11 and Rs 750 crore in the following year when the benefits of expansion could be seen in full. In 2009-10, it registered a turnover of Rs 400 crore.

Stating that chemical pesticide market is expected to grow to Rs 10,000 crore in 2015 from the present Rs 6,500 crore, he said exports will go up to Rs 7,000 crore from Rs 3,500 crore during the period.

Southern focus

The company would focus on the Rs 2,000-crore Southern market this financial year. “We expect the South to contribute Rs 135 crore this financial year, growing at 35 per cent over the last years figure. We will have a market share of 6.8 per cent in the region. Last year, out share in the region was 6 per cent,” he said.

Andhra Pradesh, which dominated the market with Rs 1,300 crore, would chip in Rs 87 crore as against Rs 65 crore last year.

On concerns on usage of chemical fertilisers, he said there were tracts where one could grow organised crops and there were others where it was not feasible to grow them.

"We have tied up with a multi-national company to market a fungicide product for the Indian market. We will announce the specifics of the arrangement shortly,” he said.