Kolkata: Tide Water Oil, an associate company of Andrew Yule Group, is in the process of setting up a Rs20 crore worth lube blending unit in Chennai.
Tide Water Oil Chairman Kallol Datta told shareholders at the company’s annual general meeting that the Tamil Nadu (TN) government had allotted 10 acres of land for this purpose, adding that the new unit would come up at an investment of Rs20 crore.
Datta also said that the company’s plant at Deonar in Mumbai would also be shifted to Navi Mumbai. The cost of the relocation would be around Rs10 crore.
Tide Water Oil, which manufactures lubricants under the Veedol brand name, enjoys a market share of 6%-7%.
On the company’s market outlook this financial year, he said the topline was expected to grow by 20%. In the last fiscal the company grew by 25% in terms of value, against the industry growth of 12%.
Production volumes in the current fiscal would also go up from 55 kilolitres to 60 kilolitres.
Andrew Yule controls 26% stake in Tide Water.