Simbhaoli Sugars Ltd is setting up a 1,000 tonnes per day sugar refinery in a joint venture with global agri-business group E D F & Man Holdings near the Kandla Port.
The 50:50 joint venture — Uniworld Sugars Pvt Ltd — will invest Rs 235 crore in the refinery for which construction at the project site began on Wednesday.
The project cost is being financed through long-term loans and promoters’ equity. The debt finance for the project has been secured from the banks, Simbhaoli Sugars said in a statement.
Both partners are initially investing Rs 68.95 crore each in the joint venture. Location of the facility near the Kandla port will eliminate transportation charges. This is going to be one of the least cost sugar refineries in the region, the company said.