The Board of Directors of Balrampur Chini Mills has approved setting up of a new distillery unit.
The company has approved the proposed capacity addition of 320 KLPD. The existing capacity of the unit was 520 KLPD. With the proposed addition, the total capacity will stand augmented to 840 KLPD. The existing capacity utilisation of company’s distilleries stands at 97 percent.
The investment required for the project is around Rs 320 crore, of this Rs 220 crore will be funded through bank project loans and the balance amount of Rs 100 crore will be from internal sources.
The proposed capacity will be added within a period of 24 months from the date of in-principle approval from the concerned Ministry.
The company has decided to set up its fifth distillery at its Maizapur unit in Uttar Pradesh. The unit will produce ethanol directly from sugarcane syrup during the crushing season and from grains during off season.
Moreover, the Maizapur unit will not be producing any sugar on commencement of the above distillery.