India’s first Styrene Butadiene Rubber Plant comes up at Panipat

India’s first Styrene Butadiene Rubber Plant has started operating at Panipat in Haryana. It was inaugurated by Petroleum Minister  M Veerappa Moily on November 29. It has been conceived and operated by Indian Oil Corporation.

The project is considered as a path breaking venture of national importance as there is no operating capacity in the country and the entire domestic demand is met through imports. Indian Oil Corporation Limited, M/s.TSRC Corporation, Taiwan and M/s.Marubeni Corporation, Japan are Joint Venture Partners in this prestigious project implemented under the banner of Indian Synthetic Rubber Ltd (ISRL). It is based on Butadiene available from Indian Oil’s Panipat Naphtha Cracker Complex.

Completed at an estimated cost of Rs.958 crore, the project is designed to produce 120 KTA of high quality styrene Butadiene Rubber which is currently imported for manufacture of automotive tyres and other applications. Commissioning of this prestigious project would significantly contribute to foreign exchange savings and also generation of employment opportunities in the state of Haryana.

India’s  Synthetic rubber consumption has increased due to the rapid industrialization of the Indian economy. The tyre sector is the largest end-use sector for synthetic rubber in India. Styrene Butadiene Rubber (SBR) which accounts for 40% of the total synthetic rubber demand is consumed mostly in the tyre sector. As the tyre production in India is increasing at a fast pace, the synthetic rubber consumption has also simultaneously increased. This manufacturing unit of SBR was planned in the backdrop of this increasing demand for synthetic rubber and to reduce India’s import dependency.