The Hindu Business Line : FACT, Korean cos plan tie-up for gypsum based products

Kochi April 10 Fertilisers and Chemicals Travancore Ltd (FACT) and a consortium of South Korean companies are in the process of setting up a joint venture in Kochi to manufacture Gypsum-based building material.

A three-member delegation representing the consortium of Joongang Chemical Industry and Sigma Group of companies from Seoul has visited FACT and held discussions with senior officials of FACT on Monday, according to an official release.

Gypsum is the by-product in the manufacture of phosphoric acid and is used in small quantities for soil conditioning and as filler material for cement. FACT has a large volume of gypsum accumulated at its Udyogamandal and Ambalamedu premises.

According to the delegation, Joongang has the technology and patent for converting gypsum into building material such as gypsum boards and bricks. The proposed project is for the manufacture of gypsum boards. The plant will have four trains, each with a capacity of 30,000 boards per day. The project would require 30 acres and an investment of about $50 million. It will take 18-20 months for completion and three months of trial runs. The project would reach a break-even point within two years, the release said.

Joongang has indicated its readiness to market the product until break-even point. At prevailing prices, the project would generate returns in four years' time, the release said.

The delegation visited the company's gypsum yards at Udyogamandal and Ambalamedu and collected samples for detailed analysis. On return to Korea, the consortium is expected to submit a detailed project proposal to FACT, which would then seek requisite approvals from the Union Fertiliser Ministry for the joint venture, it added.

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