JK Papers Ltd. said it will set up a new manufacturing plant in Gujarat at an investment of Rs. 1,500 crore.
A memonrandum of understanding (MoU) has been signed with the Gujarat government to set up the new pant that will have an annual capacity of three lakh tons annually at a cost of Rs. 1,500 crore, JK Papers Ltd. said in a statement.
The agreement would facilitate the expansion of JK Papers' Songadh unit in Tapi district. The Songadh unit will witness an increase in pulp processing capacity from 60,000 TPA (tonne per annum ) to 1,60,000 TPA and packaging board from 1,00,800 TPA to 3,00,800 TPA.
The plant will focus on producing multi-layer coated board paper and will produce some paper for the first time in India, it said, adding that the full expansion of the plant is expected to be completed by December next year.
Managing Director of JK Paper Ltd. Harsh Pati Singhani said,“The transparent policies of the government and the stable administration inspired us to invest in the state. Since Gujarat has been in the top 5 states in ‘Ease of Doing Business,’ an organization can think of long term investments in the state. I am thankful to the chief minister for encouraging and ensuring such a conducive environment.”