Perstorp evaluates India for plant for PU base chemical

Speciality chemicals maker Perstorp has signed an MoU with MIDC (Maharashtra Industrial Development Corporation) to initiate the process of evaluating the opportunity to invest in a new world scale production plant for Penta (Pentaerythritol) in India. The related market for coatings is growing fast in the country. Building a world scale production plant would be yet another important part of the ambitious plan to strengthen the position in the Asian Market. In July 2015, Perstorp acquired the Penta business from Koei Chemical Company Ltd., a Japanese chemicals producer.

The company participated in the Make in India initiative. It was launched by Prime Minister Modi in September 2014 as part of a wider set of nation-building initiatives. The initiatives was set to simplify doing business and invest in India, this in order to turn the country into a manufacturing hub. Since then India has seen an increase in FDI of 48% on an annual rate and India is today enjoying the highest growth in the world closing 2015 at GDP +7.3% with a projection of 7.5% for 2016.

“Perstorp has for a longer period successfully been building its position in Asia. The “Make in India” initiative gives Perstorp an arena to further evaluate opportunities within this exciting region. Ultimately our intention is to develop existing and new customer relationships to further support their success and growth,” said Ulrika Andersson, Vice President Business Unit Penta.

Pentaerythritol (Penta) is a white crystalline polyhydric alcohol containing four primary hydroxyl groups. Applications are building blocks in alkyd resins for coatings, radiation curing monomers, polyurethanes, rosin esters, synthetic lubricants and explosives. Perstorp is currently producing Penta in three different production plants in Germany, the US and Sweden.