Co to invest $100m, eyes JVs & buyouts

NEW DELHI: DSM has drawn up major expansion plans for India. The company is planning to invest over $100 million by 2010 and is looking for partnerships and acquisitions.

In India, the company started operations in 2001 and plans to triple its revenues in three years. “We have done the market survey and expect our turnover to grow to $600 million by 2010, from the current $200 million,“ DSM India president NK Ramanan told ET. Globally, the company has a turnover of $12 billion.

To start with, the company is setting up a $20-million engineering plastics unit in Pune. “Our plant in Pune would be one of the largest in the country. The plant will be operational by the second quarter next year. We are also in talks with various companies for partnerships and acquisitions for our other business divisions,” Mr Ramanan added. For its greenfield projects for other business divisions, the company is planning to set up plants at the same location in Pune.

At present, the company has an anti-infective manufacturing plant in Punjab and a nutritional products plant in Mumbai. Currently, the company has a staff strength of 800, which will be substantially hiked as the company expands operations.

The company produces ingredients for pharma products to leading Indian companies, including Ranbaxy, Dr Reddy’s and Nicholas Piramal. In India, DSM has 70% share of the anti-infective segment and 40% share of engineering plastics market.The company is also planning to start a R&D division with an Indian partner.