Indian Oil to start polypropylene output at Gujarat Refinery

Indian Oil Corporation (IOCL) plans to begin producing polypropylene at its Gujarat Refinery by the end of the current fiscal year, with initial output of 500,000 tonnes a year. The move adds a third domestic PP source alongside IOCL's Paradip and Panipat refineries, as imports currently meet 25-30% of India's polypropylene demand.

Why this mattersNew domestic PP capacity could reduce India's import reliance for a key packaging resin and affect supply and pricing for converters.

• Gujarat Refinery to start polypropylene production by end of current fiscal year
• Initial capacity set at 500,000 tonnes per year
• Imports currently account for 25-30% of India's domestic polypropylene demand
• IOCL already produces polypropylene at Paradip (Odisha) and Panipat (Haryana) refineries
• Gujarat Refinery is also expanding total refining capacity to 18 million tonnes per year under the LuPech project
• Gujarat Refinery, established in 1966, is marking its diamond jubilee year

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