Signs of recovery in the Indian economy have prompted Air Liquide to move forward with investments in the region, amounting to €30m.
The Indian economy is currently creating green shoots of recovery in most business segments. This vitality is reflected in strong GDP growth in Q3 2009 (+7.9%) versus a year earlier, and even stronger growth in industrial production (+ 9.2%).
This sustained manufacturing growth, plus rising automobile sales and growth in the steel industry, driven largely by domestic needs, is boosting demand for industrial gases.
Against this backdrop, Air Liquide is investing €30m in significant new production capacity of around 540 tpd of liquefied gases (oxygen, nitrogen and argon) in North and West India.
In Panipat, North India, the production of liquid gases will be increased by 400 tpd, and in Jhagadia (Gujarat), West India, it will be increased by 140 tpd.
Air Liquide is developing its production capacities in India to meet its customers’ rising demand in growth areas.
It will gain a leading position in the North and the West of India, two regions experiencing strong growth in the steel, automotive and pharmaceutical markets.
Air Liquide is also investing €6m in a new facility near Chennai (South India) through Cryolor, its subsidiary.
The new plant will produce cryogenic storage tanks starting this year, and will address the requirements of the growing market for cryogenic storage products in India and neighboring markets.
Jean-Marc de Royere, Senior Vice-President Asia-Pacific, said, “With five production sites covering the main industrial basins in the North and the West of the country, the Group will be able to better serve its Indian customers.”
“Air Liquide offers India a unique combination of technologies and services for both the industrial and medical worlds. Emerging economies are a growth driver for the Group.$quot;