Inox to invest US$275 million to build eight ASUs in India
India’s largest manufacturer of industrial and medical gases, Inox Air Products is to invest up to US$275 million to build eight new air separation units (ASUs) across the country. This will be India’s largest greenfield investment plan in the industrial gases sector. This follows a manifold increase in demand for medical oxygen because of the Covid-19 pandemic and the government’s push for the manufacturing and infrastructure sector.
With a combined capacity to make more than 1500 tonne a day (TPD) of liquid gases, the expansion will take Inox’s total liquid gases production to 4800 TPD by 2024.
The new plants will be strategically located in proximity of high demand growth areas in Gujarat, Maharashtra, Tamil Nadu, Madhya Pradesh, Uttar Pradesh, Andhra Pradesh and West Bengal. The plants will produce liquid oxygen, liquid nitrogen and liquid argon and will be commissioned during the course of FY22-24. The bulk availability of industrial and medical gases will ensure constant supplies for the electronic manufacturing, pharmaceutical sector, besides helping iron, steel and automobile industries to ramp up their production capacities. The projects will generate more than 1,000 direct and indirect employment opportunities in their respective regions.
Complementing the critical boost provided in Budget 2021 to the healthcare sector, Inox’s expansion would also augment its liquid medical oxygen production capacity by 50%, said the company.
Inox currently manufactures 3300 TPD of liquid gases across 44 locations in the country. During the pandemic, the company has been catering to more than 60% of the total medical oxygen demand in the country.
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Inox is the largest manufacturer of Industrial & Medical Gases in India. The company offers a portfolio of gases, equipment and services and has a vastly diverse client ecosystem including more than 1800 small, medium and large manufacturing organisations.
