Union Minister for Petroleum & Natural Gas M. Veerappa Moily speaking at the dedication of India’s first Styrene Butadiene Rubber Plant to the mation, at Panipat, Haryana on November 29, 2013.
New Delhi, November 30, 2013
Union Petroleum & Natural Gas Minister M Veerappa Moily dedicated to the nation India's first styrene butadiene rubber (SBR) plant at Panipat in Haryana yesterday.
Speaking on the occasion, he said this was a milestone achievement by Indian Oil Corporation (IOC), which will provide the country with a product that it is importing from other countries at present and, thus, help save considerable amounts in foreign exchange.
He congratulated and thanked Marubeni of Japan and TSRC of Taiwan for coming to India and joining hands with IndianOil in setting up of this state-of-the-art plant at Panipat.
SBR is used to produce various products like tyres, conveyor belts, hose, shoe soles, industrial goods, and so on with superior processing properties like flexing resistance, tear and cracking resistance and improved abrasive resistance.
The project is considered as a path breaking venture of national importance as there is no operating capacity in the country and the entire domestic demand is met through imports.
IOC, TSRC and Marubeni are partners in the joint venture called Indian Synthetic Rubber Ltd (ISRL). It is based on butadiene availabe from IOC's naphtha cracker complex at Panipat.
Built at a cost of Rs. 958 crore, the project is designed to produce 120 KTA of high quality SBR.
The tyre sector is the largest end-use sector for synthetic rubber in India. SBR, which accounts for 40% of the total synthetic rubber demand, is consumed mostly in the tyre sector.
As the tyre production in India is increasing at a fast pace, the synthetic rubber consumption has also simultaneously increased.
Mr Moily noted that, with the delicensing of the refining sector, the country's refining capacity had grown from a modest 62 MMTPA in 1998 to about 215 MMTPA at present, comprising 22 refineries - 17 in the public sector, two in the joint sector and three in the private sector.
With grass-root refineries at Paradip (15 MMTPA) and NOCL (6.0) and expansion of some of the existing refineries, the total refining capacity is expected to touch around 271.2 MMTPA by the end of the 12th plan. It is expected to go up to 332.9 MMTPA at the end of 13th Plan.
He said India had exported 63.4 MMT of petroleum, oil and lubricant (POL) products in 2012-13, registering a growth of 5 per cent over 2011-12.