Mumbai, Feb. 2
RIDDHI Siddhi Gluco Biols Ltd, starch and starch derivatives major, has completed the Rs 30-crore expansion that has raised its overall maize crushing capacity by 73 per cent to 2,85,000 tonnes a year. The company said in a statement here on Friday that it had bagged a Rs 6-crore order from Heinz India.
The capacity of starch and allied products has also been raised by 35 per cent and will now stand at 1,92,000 tonnes a year. The benefits of the increased capacity will fully accrue in 2006-07.
The company said that it had completed the expansion in seven months, a full month ahead of schedule.
"I'm glad to announce that the RSGBL team could pull off a major coup by completing the expansion drive before time. The benefits of this expansion will help Riddhi Siddhi consolidate its market leadership. Besides, the order from Heinz comes at a very opportune time. Our marquee clients such as Heinz, Dabur, Wipro, ITC, Nestle & Lotte are in massive growth phase and our expanded capacity will fulfil that commitment," Mr Ganpatraj Chowdhary, Managing Director, RSGBL, said.
Globally, starch and starch derivatives is a multi-billion dollar market and India is emerging as a key player. RSGBL is the country's largest starch and starch derivatives company its annual turnover exceeded Rs 200 crore in 2004-05.
For the nine-month period ended December 31, 2005, RSGBL's net profit stood at Rs 7.3 crore, up 176 per cent from Rs 2.6 crore a year ago. Sales for the period were 30 per cent higher at Rs 179.6 crore (Rs 137.6 crore).
RSGBL produces variety of starch and its derivatives such as liquid glucose, dextrose monohydrate, maltodextrin, dextrose syrup, high maltose corn syrup and the by-products such as corn gluten meal and enriched fibre.
In terms of value added products, the company is increasing its capacity of items, including sweeteners, paper grade, and textile grade starch.