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E.I.D.-Parry hopes to start operating the 2,000-tonne-a-day sugar refinery in Kakinada in the first half of 2014.
The refinery Silkroad Sugar Pvt Ltd is a subsidiary of the Murugappa Group after the acquisition of a 49 per cent stake from Cargill Asia Pacific announced earlier this week.
Company officials said that following the Rs 34-crore deal, E.I.D.-Parry owns 99 per cent of the stake and the balance is with New Ambadi Estates, another company within the group.
The $100-million joint venture with Cargill for the 600,000-tonne a year sugar refinery was announced in 2006. However, following protracted delays in getting natural gas fuel linkage for a 35-MW cogeneration plant, the company has decided to set up a 10-MW coal-based boiler.
Earlier this year, company officials had explained that following the delay in gas allocation and SEZ status clearance, the unit started commercial operations in August 2010.
According to the company official, over Rs 400 crore investment has gone into the project and an additional Rs 50 crore will be spent on the coal-based boiler.
E.I.D.-Parry has the capability to go it alone on importing raw sugar and refining it for exports.
The company has experience in imports and exports of the commodity and, if required, can bring in the needed talent.
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