Balrampur Chini Mills Ltd expects its new bio-based Polylactic Acid (PLA) business to generate annual revenues of around ₹2,000 crore once the facility reaches full operational capacity. The company is set to commission India’s first industrial-scale PLA manufacturing unit in Uttar Pradesh later this year, marking a major milestone in the country’s bio-based chemicals sector.
India’s First Industrial-Scale PLA Facility
The upcoming PLA manufacturing facility, located in Kumbhi, Uttar Pradesh, will have an installed production capacity of 80,000 tonnes per annum (TPA). According to the company, the plant is scheduled for commissioning in October. Following commissioning, Balrampur Chini Mills plans a rapid ramp-up in production, with the facility expected to reach full capacity utilisation within six months. This accelerated scale-up reflects strong demand potential for sustainable and biodegradable polymer solutions.
Strong Revenue and Profitability Outlook
Highlighting the project’s financial potential, Avantika Saraogi, Executive Director of Balrampur Chini Mills, stated that the PLA vertical could become a significant revenue contributor for the company.
“We envisage a peak revenue potential of ₹2,000 crore, with guidance indicating an EBITDA margin of around 35 percent,” she said. The strong margin outlook reflects the growing global demand for bio-based polymers and sustainable materials, particularly in packaging and consumer applications.
Strategic Diversification into Bio-Based Chemicals
Importantly, the PLA project represents a strategic diversification for Balrampur Chini Mills beyond its traditional sugar and ethanol businesses. By entering the bio-based and high-value chemical segment, the company aims to strengthen its long-term growth strategy. Moreover, the initiative aligns with global trends toward circular economy solutions and environmentally friendly materials. With the commissioning of the PLA plant, Balrampur Chini Mills is positioning itself as a key player in India’s emerging bioplastics and green chemicals industry.
Supporting Sustainable Industrial Growth
As reported by projxnews.com, the PLA project forms a key part of the company’s sustainability-focused growth roadmap. By producing biodegradable polymers from renewable resources, the facility is expected to contribute to reducing dependence on fossil-based plastics while opening new high-value revenue streams for the company.
