The Linde Group is understood to be interested in investing in the seafood industry in Andhra Pradesh, southeast India.
Andhra Pradesh is the top state in fisheries production in India. According to an official statement from the Government of Andhra Pradesh, Linde is keen to invest up to $200m in the region, primarily citing the freezing of seafood.
It states that a Linde delegation including CEO Dr. Wolfgang Buchele and Member of Executive Board, Sanjiv Lamba, met the Government’s Chief Minister in Vijayawada on 21st August.
During the meeting, Dr. Buchele explained The Linde Group’s expertise in the cryogenic freezing of food, the international gases market, and its engineering expertise in supporting olefin plants, natural gas plants and air separation plants, as well as hydrogen and synthesis gas plants.
Büchele added that the company also has a base in Gujarat and is looking for a strong base in Andhra Pradesh, the statement added, attributing the following quote to the CEO:
“Andhra Pradesh has a long coast and has strong production of sea food. We want to support you in [the] freezing of seafood and add value to exports. We are looking to invest over $200m.”
The Chief Minister explained the advantages of Andhra Pradesh and said that the government is planning to make it the logistics hub of South East Asia, adding that The Linde Group can also work with Andhra Pradesh on cold storage facilities in 13 food parks that are coming up across the state.
Linde has extensive expertise and technologies in the field of food chilling and freezing, and in the area of seafood processing in particular.
Earlier this year, for example, the company’s Linde LLC division in the US exhibited at the 2015 Seafood Processing North America Show in Boston, Massachusetts, demonstrating its proprietary freezing and chilling solutions that boost productivity while maintaining or improving process and seafood quality.
Meanwhile, Lamba is understood to have expressed The Linde Group’s interest in Petroleum, Chemical and Petrochemicals Investment Region (PCPIR) and auto components.
The industrial gas community is known to be increasingly attracted by the emerging Indian market. According to gasworld Business Intelligence, the Indian economy expanded at an impressive rate from 2004-2014, with average GDP growth of 7% per annum (p.a.).
By end-use sector, the metallurgical sector dominates in India, accounting for upwards of 40% of total industrial gas revenues. The refining and chemical industries account for a further 12% and 8% of the market, respectively, while manufacturing and food & drink end-users account for a further 11% each.
Statement from Government of Andhra Pradesh, 21st August 2015.