Cabot Sanmar Announces $25 Million Investment for Plant Expansion in Mettur, India
Cabot Sanmar to invest $25mn in Mettur plant expansion
The Times Of IndiaImage: The Times Of India
Cabot Sanmar, a joint venture between Cabot Corporation of the USA and The Sanmar Group of India, will invest $25 million to expand its fumed silica manufacturing plant in Mettur, Salem district, India. The expansion aims to meet growing domestic demand across various sectors, including pharmaceuticals and chemicals, with completion expected by late 2027.
- 01Cabot Sanmar is investing $25 million in expanding its Mettur plant.
- 02The expansion will enhance the production of fumed silica, used in various industries.
- 03Completion of the expansion is expected in the fourth quarter of 2027.
- 04Approximately 30% of the fumed silica will cater to the pharmaceutical sector.
- 05The fumed silica market is valued between ₹400 crore to ₹500 crore.
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Cabot Sanmar, a collaboration between Cabot Corporation from the USA and The Sanmar Group in India, has announced a significant investment of $25 million to expand its fumed silica manufacturing facility located in Mettur, Salem district, India. This brownfield expansion is aimed at increasing production capacity to meet the rising domestic demand for fumed silica, which is utilized in various applications such as pharmaceuticals, food, paints, personal care, and crop protection. The expansion is scheduled for completion in the fourth quarter of 2027. According to Krishna Kumar Rangachari, director of Cabot Sanmar, nearly 30% of the output will serve the pharmaceutical sector, while the remaining 70% will cater to other chemical applications, which have shown robust growth over the past decade and a half. The overall market for fumed silica is estimated to be between 9,000 and 10,000 tonnes, valued at around ₹400 crore to ₹500 crore. Sean Keohane, president and CEO of Cabot Corporation, highlighted the potential for fumed silica in emerging sectors like semiconductors and battery applications.
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The expansion will create job opportunities and boost local economic activity in the Salem district, as well as enhance the supply of essential materials for various industries.
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