The Hindu Business Line : KMML titanium dioxide exports set to cross 10,000 t

EXPORT of titanium dioxide pigment rutile grade by Kerala Minerals and Metals Ltd (KMML) at Chavara in Kollam district is to cross 10,000 tonnes valued at over Rs 80 crore, for the first time in its history and probably from the country, during the current fiscal.

With this and improvement in domestic sales, the company's turnover during the current fiscal would cross Rs 300 crore compared to Rs 256 crore in 2003-04, and the profit is estimated at Rs 65 crore, Mr K.P. Rajendran, Managing Director, told Business Line.

The company, which is the only such unit producing titanium dioxide pigment rutile grade in the country, had exported 7,200 tonne of titanium dioxide last fiscal valued at Rs 54.4 crore.

KMML has already signed a contract to supply 6,200 tonnes of the chemical to China.

During the last six months, it was able to add 10 more countries including Japan and New Zealand to its export market, which has now gone up to 33.

So far, the company has been exporting to 23 countries with South Korea, South Africa, Italy and Turkey topping the list of buyers, he said. The demand growth varies from country to country. However, it is estimated at 18 per cent in China, he added.

KMML has chalked out a long-term strategy to build up a solid export market spread over several countries, which could absorb at least 50 per cent of its production that is being gradually raised to one lakh tonnes a year, according to Mr Rajendran.

Total sales during the current fiscal are estimated to cross 31,000 tonnes and the turnover would be around Rs300 crore, he added.

"Our sales as on December 31, 2004 will be about 23,000 tonnes valued at around Rs 230 crore against 25,746 tonnes worth Rs 256 crore last year. Given this trend, total sales are expected to cross 31,000 tonnes."

Domestic sales as of December-end would be 21,000 tonnes against 19,500 tonnes during the whole of 2003-04.

The company's de-bottlenecking operations in certain areas to expand the capacity, so as to make its product competitive in the domestic and international markets, has already been completed at an investment of Rs 60 crore.

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