Balrampur Chini Mills Limited has informed the Exchange regarding a Press Release being issued with respect to the Poly Lactic Acid (PLA) vertical of the Company, titled as "Balrampur Chini Mills Signs MoU with Lucknow Cantonment Board; Secures First Institutional Order from Lucknow Cantonment Board".
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Balrampur Chini Mills' PLA subsidiary, Balrampur Bioyug, has signed an MoU with the Lucknow Cantonment Board (LCB) and secured its first institutional order for compostable products. The order includes compostable garbage bags (two sizes), 300 ml PLA bottles, 3D-printed PLA pens, and PLA folders, all made from 100% compostable, bio-based polylactic acid. LCB is a statutory body under the administrative control of the Director General of Defence Estates, Ministry of Defence, Government of India, making this a defence-linked institutional procurement. The order comes ahead of BCML's 80,000 TPA PLA plant at Kumbhi, Uttar Pradesh, which is expected to be commissioned in October 2026 as India's first domestic industrial-scale PLA manufacturing facility.
Positive development as it validates demand for BCML's upcoming PLA plant and gives the new bio-based vertical a credible reference customer from a government/defence institution. However, the order value is not disclosed, so the financial significance remains unclear and should not be overstated by retail investors.