AksharChem India Limited has informed the Exchange about Capacity Expansion at Precipitated Silica plant of the Company.
AKSHARCHEM · price
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AksharChem India has expanded its Precipitated Silica facility at Dahej, Gujarat by adding 6,000 tonnes per annum (TPA) of capacity, taking total capacity to 18,000 TPA from the earlier 12,000 TPA. The regulatory authority approved manufacturing operations for the expanded capacity effective June 24, 2025, with the formal approval order received on June 30, 2025. The company says the expansion will help meet rising demand from tyre and rubber industry customers and improve access to raw materials for cost-effective production. Management described it as a step towards scaling up operations and strengthening its competitive position in the silica business.
Positive for shareholders as the 50% capacity increase supports revenue growth in the silica segment, which serves tyre and rubber customers. The expansion strengthens AksharChem's market position and could improve margins through better raw material access, though the actual financial impact will depend on how quickly the new capacity is utilized.