India to lead global caustic soda capacity additions through 2028

India is set to register the highest caustic soda capacity additions globally by 2028, contributing about 40% of the total capacity additions, according to GlobalData, the data and analytics company.

GlobalData’s latest report, Caustic Soda Industry Capacity and Capital Expenditure Forecasts with Details of All Active and Planned Plants to 2028, shows that India is likely to witness caustic soda capacity additions of 2.55 million tonnes per annum (mtpa) between 2024 and 2028 through seven new build plants and two expansion projects.

Nivedita Roy, Oil and Gas Analyst at GlobalData, Comments: “The caustic soda industry in India has been experiencing robust growth because of its versatile applications across various sectors such as textiles, soaps and detergents, and water treatment.”

In India, the major capacity additions are from a planned project, Mundra Petrochem Mundra Caustic Soda Plant, with a capacity of 1.30mtpa. Mundra Petrochem Ltd has a 100% stake in the plant and is also the operator of the project. Located in the state of Gujarat, it is expected to commence production in 2027.

The Grasim Industries Bikkavolu Caustic Soda Plant represents another significant addition to India’s caustic soda production capacity. The facility is anticipated to commence operations in 2024, with an initial capacity of 0.07mtpa. Plans are in place to augment this capacity by an additional 0.15 mtpa in 2025. Grasim Industries Ltd., holding full equity, will also serve as the operator of this plant situated in the state of Andhra Pradesh.