Friday 13 July 2012

Birla spending $2bn on Viscose Fibres

Mumbai: Indian billionaire Kumar Mangalam Birla plans to spend $2 billion (Dh7.35 billion) in the next three years to add capacity and maintain his group’s position as the world’s largest producer of viscose staple fibre.
The Aditya Birla Group plans to raise its ability to produce the fibre used to make rayon, wipes and nappies by as much as 43 per cent to 1 million tonnes by 2015, Krishna Kishore Maheshwari, director of the pulp and fibre business, said in an interview.
Last week, Aditya Birla agreed to buy Terrace Bay Pulp, a paper pulp mill in Canada, to secure raw material supplies.
Birla, who runs businesses from cement to telecommunications, is betting his plan to acquire suppliers and add capacity will help the company control costs and enable it to profit from rising demand in Asia, home to the world’s two most populated nations. The investment in the fibre business will aid the group in boosting combined revenue by 63 per cent to $65 billion in three years.
Read the full article at Gulf News

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