Chennai-based co to set up Rs 515 cr integrated sugar factory

CHENNAI: The Chennai-based Empee Sugars and Chemicals Ltd is setting up its second integrated sugar factory at Ambasamudram near Tiruneveli at a cost of Rs 515 crore.

The new factory would start commercial production from next month, company's Chairman M Purushothaman told reporters here today.

The plant would have a crushing capacity of 5,000 tonnes per day, he said.

Further, a 50 MW co-generation plant and one lakh litre capacity of alcohol and Ethanol plant would also come up in the premises of the new factory, he added.

The company had already signed a power purchase agreement with Tamil Nadu Electricity board, which had agreed to purchase the surplus power generated at the plant at Rs 4.37 per unit.

It had also signed an agreement with the Power Generation Corporation, which would purchase power at Rs 5.90, he said.

The capacity of the sugar factory would be hiked to 8,000 tonnes in the next two years, he said.

The company already has an integrated sugar plant at Naidupet in Andhra Pradesh.

With the Centre easing restrictions on the import of raw sugar, the company had tied-up with Brazilian companies to supply 25,000 tonnes for refining which would be exported, Purushothaman said.