Published: December 18, 2023 12:32 pm
Author: RT
The plans are contingent on the launch of Sibur’s new Amur GCC production facility
Russian petrochemicals major Sibur International is planning to significantly increase polymer exports to India, company CEO Andrey Frolov told the Economic Times in an interview published on Monday.
According to Frolov, the south Asian country could become a major destination for shipments from Sibur’s new polymer plant, the Amur Gas Chemical Complex (GCC), which is under construction in Russia’s Far East.
“India could become one of the target markets for Sibur after the plant is operational… Exporting polymers to India is currently challenging due to the long logistics route. Our existing plants are in the middle of Eurasia. However, when we launch the Amur GCC… we expect to significantly increase polymer exports to India,” Frolov stated. He added that the company is actively working on new transport routes to India, “taking advantage of the favorable geographic location of the Amur GCC in the east of the country.”
The Amur GCC is designed to produce 2.7 million tons of polymers (polyethylene and polypropylene) annually. Polymers are widely used in packaging, fiberglass, cable and wire insulation, epoxy glue, carpets, ropes, and plastic goods, including polyethylene cups, toys, buckets, and grocery bags.
READ MORE: Sanctions boosting Russia-India economic ties – trade mission head
According to company statements earlier this year, the plant’s construction is expected to be completed in 2026 and production is set to start in 2027. The facility is a joint project of Sibur and China’s Sinopec, which own 60% and 40% stakes respectively. The complex will become the main consumer of ethane and liquefied hydrocarbon gases from Gazprom’s Amur gas processing plant, which is also currently under construction.
Sibur has strong ties with India and has had a presence in the country for over a decade. The Russian company’s strategic partner in India is Reliance Industries, and it also has 25% stake in Reliance Sibur Elastomers Private Ltd, a joint venture producing butyl rubber, a product widely used in the tire and pharmaceutical industries.
For more stories on economy & finance visit RT’s business section
