Investor Centre : Press Releases
Simbhaoli Sugars commissions Greenfield sugar unit at Brijnathpur
New Delhi, December 15, 2006: Simbhaoli Sugars Ltd (SSL) today announced commissioning of its Greenfield sugar unit at Brijnathpur (Ghaziabad, UP) on trial basis. Set up at a project cost of approx. Rs 127 crore, the plant has a capacity of 4,000 TCD (expandable to 5,000 TCD). The sugar produced from the plant would be very high quality sugar of less than 45 ICUMSA. The quality standards will enable Brijnathpur to export entire sugar to replace EU vacated refined markets.
The Brijnathpur sugar unit will produce sugar of the quality equivalent to EC grade and will operate through a Distributed Control System (DCS). Because of the extra-refined quality of sugar, the product from this unit will be used to cater the pharmaceutical and premium institutional clients of the Company. This sugar unit will set high standards in sugar manufacturing by producing top quality sugar with minimum wastage and high energy efficiency.
“We have given extra care to the quality of sugar being produced at our Brijnathpur unit. We would be using complete automation at this plant with an additional melting of all the sugar produced to ensure best standards of hygiene and quality to serve our clients, particularly the pharmaceutical and premium institutional clients which we have added in the past few months,” said Mr G. S. Mann, Chairman & Managing Director, SSL.
Simbhaoli and Brijanthpur sugar plants of SSL will form a contiguous sugarcane area of over 1 lac hectare, starting form Garh Ganga to Dadri, which will have enormous opportunity to develop cane and multiple cropping systems within the entire cane command area.
The location of the plant is excellent for cane production and growth. With close proximity to the sugarcane hinterland and Simbhaoli sugar unit, the Company expects to enjoy synergies of operation. The plant is situated within the NCR and has proximity to the high consumption centers. The plant is having complete automation system supplied by Honeywell Corporation.
“We foresee substantial revenue generation from the ongoing crushing season with the commissioning of the Brijnathpur sugar unit. The Company is also starting production of sugar from its expanded capacity at the Chilwaria sugar unit. With this, the total sugarcane crushing capacity of Simbhaoli Sugars would reach to 20,100 TCD with an objective to produce 2,70,000 MT of sugar in a season”, added Mr. Mann
The new sugar unit is a part of Rs 423 crore capex plans chalked out by SSL to avail the benefits of the UP incentive policy, 2004 of the Government. It will also be integrated with an 8 MW co-generation plant and an ethanol unit of 60 KLD by the end of FY07. This will make Brijnathpur, the India’s most energy efficient integrated sugar complex. Through these projects and expansions, the Company is actively derisking its business model by seeking additional revenue earners.
Simbhaoli Sugars Limited:- Simbhaoli Sugars Limited (SSL) (BSE SCRIP ID: SIMBHALS, NSE SYMBOL: SIMBHSUGAR), is one of India’s leading producers of high quality sugar and operates one of the largest integrated sugar complexes in India. It produces and sells international standard refined, pharmaceutical-grade and specialty sugars to the retail and bulk institutional consumer segments. Its sugar brand, Trust, commands a significant share of the north Indian market. SSL is a major supplier to a multinational and domestic customer base that includes Indian railways and Indian Airlines, Coca-Cola, Heinz, PepsiCo, GlaxoSmithKline, Haldiram’s, Oberoi Hotels, Taj Group of Hotels, Jet Airways and Kingfisher Airlines. Currently, SSL operates two technologically advanced sugar-manufacturing facilities in Simbhaoli and Chilwaria, both located in Uttar Pradesh. The company’s facilities have a total installed sugarcane crushing capacity of 13,300 TCD and are capable of manufacturing up to 200,000 MTPA of sugar. With the ongoing growth plan in place, the sugar crushing capacity will go upto 20,100 TCD from December 2006 onwards. The Company also utilizes a significant proportion of the by-products from the sugar production process to co-generate power and manufacture ethanol, alcohol and bio-manure for sale to third parties. Simbhaoli Sugars Ltd (SSL) has recently announced commissioning of its new Ethanol plant at Chilwaria (District Bahraich, UP) with an installed capacity of 60 KL/D. For more information, visit http://www.simbhaolisugars.com.