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Atul Ltd | Annual Report 2010-11
Bulk Chemicals & Inters
Products
Sodium Hydroxide, Chlorine, Sulphuric Acid, Oleum, Sulphur Trioxide, Chlorosulphonic Acid, Resorcinol, Others
Bulk Chemicals & Inters product group mainly comprises
Sodium Hydroxide, Chlorine, Sulphuric Acid, Oleum, Sulphur
Trioxide, Chlorosulphonic Acid and Resorcinol. Barring
Chlorosulphonic Acid and Resorcinol, the rest of the products
are used for captive consumption. The group comprises 15
products.
During the year, sales of the product group remained
unchanged at
`
65 crores. Export sales formed 29% of the
total.
World market for bulk chemicals is growing at about 2%
and Indian market is growing at about 4%. World market
for Resorcinol is estimated at US$ 275 mn and is growing
at about 2%; Indian market for the product is estimated at
US$ 14 mn and is growing at about 5%.
The captive consumption of bulk chemicals is expected to
grow as the Company expands manufacturing capacities of
its various product groups. Tyre industry is expected to grow
further because of increasing population on the one hand and
improving standard of living on the other. It will participate
in this growth by i) increasing and modernizing capacities
of the bulk chemicals, ii) increasing capacity and efficiency of
Resorcinol and iii) introducing new and down stream products.
The demand and prices of bulk chemicals are cyclical in nature.
Fluctuations in foreign exchange will impact sales realizations.