Shree Pushkar Chemicals eyes over Rs 650 cr revenue by FY21

Dyes, dye intermediates and fertiliser manufacturer Shree Pushkar Chemicals & Fertilizers is eyeing over Rs 650 crore revenue by 2020-21 on the back of capacity addition and revamp of its existing units, a top company executive Thursday said. "We closed 2018-19, with Rs 454 crore revenue which includes the sales of Kisan Phosphates, a 100 per cent subsidiary of the company. However, this year we are expecting the revenue to decline by 5 per cent to Rs 425 crore as our unit one, which manufactures acids, dye intermediates and cattle feed, will be shut down for 10 months for a complete revamp. But we will regain the momentum after unit one becomes operational and will cross Rs 650 crore by 2020-21," the company chairman and managing director Punit Makharia told PTI here.

To increase capacity and to revamp the manufacturing units, the company has earmarked Rs 120 crore in phase one, which will be raised through internal accrual, he said. "We will use Rs 75 crore to increase the existing capacity and introduce new products under dyes and sulphur derivatives. We have kept Rs 28 crore to take over Madhya Bharat Phosphate in Jhabua in Madhya Pradesh and make it operational, a distressed asset and the matter is with NCLT," Makharia said.

We are investing another Rs 5 crore to complete revamp of our unit one manufacturing unit and Rs 12 crore in a solar park in Maharashtra, he added. In phase two, the company expect the capacity to go up to 18,000 tonne from the current 6,000 tonne with an additional greenfield unit by FY22, he said, adding that the capex for the second phase is under discussion.

The company, he said, which exports dyes and dye intermediates is scouting for new markets in line with its capacity expansion. "Currently we are exporting to Europe, China, Pakistan and Bangladesh. As we are going for huge capacity expansion, we have began looking for new markets for dyes and dye intermediates. We are looking at South America and Turkey as we believe there are huge potential for our products there," he added.

The company is also building up the domestic market slowly in phases. "There is huge potential in the country and we are present in Gujarat, the southern region and some parts of north as well," he added..