Renewable glycols JV in India
Clariant has agreed a strategic partnership to establish a 51-49% joint venture with India Glycols (IGL) in renewable ethylene oxide (EO) derivatives, subject to regulatory approvals. U.S. Bhartia has been designated chairman of the JV, which will employ about 200 people in India.
IGL specialises in green technology-based chemicals and claims to be the world’s largest maker of ‘green EO’ from bioethanol. It will contribute its Bio-EO Derivative business, including a multi-purpose production facility with an alkoxylation plant at Kashipur (pictured), and has also agreed to a long-term EO supply agreement.
Clariant, meanwhile, will contribute its local Industrial & Consumer Specialties business in India, Sri Lanka, Bangladesh and Nepal, plus an unspecified cash payment to make itself the majority owner and sole shareholder. The JV will market all of the products of this business in these four markets, while Clariant itself will serve all other markets.
The company said that combining their production and distribution capacity will both enable the JV to became a major supplier of renewable materials to the burgeoning consumer care market in these South Asian markets and give it the ability to use EO derivatives across home care, personal care and industrial applications.