Chinese firm to invest $400 mn in Gujarat

Chinese firm to invest $400 mn in Gujarat
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First Published: Fri, Aug 17 2007. 11 07 AM IST
Updated: Fri, Aug 17 2007. 11 07 AM IST
PTI
Yinchuan: China’s second largest aluminium maker Qingtongxia Aluminium Group will make the country’s biggest investment so far in India by pumping in $400 million (Rs1600 crore) in a joint venture in Gujarat to produce alumina, senior Chinese officials said here today.
“The Qingtongxia Aluminium Group’s proposal to invest in India has received approval from the National Development Reform Commission (NDRC),” Vice Governor of Ningxia Hui Autonomous Region, Qi Tong-Sheng told PTI here.
Qi, also a senior member of the ruling Communist Party of China, said the NDRC, China’s top planning body has approved the Chinese company’s planned investment of $400 million in two phases in its joint venture with Mumbai-based Ashapura Minechem Co to produce alumina.
In the first phase the 50:50 joint venture project plans to produce 500,000 tonnes of alumina which would be go up to one million tonnes.
This is the Ningxia-based Chinese company’s first investment in alumina, the main raw material for aluminium production. The investment is set to be China’s biggest investment in India so far, officials said.
The Ashapura Group is India’s largest mine owner, processor and exporter of bentonite, bauxite, allied minerals and their multi-application, multi-industry value added products. It is also among the five largest bentonite producers in the world.
However, officials with the Ningxia government said the project is facing “trouble” in getting approvals from the Indian government.
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First Published: Fri, Aug 17 2007. 11 07 AM IST
More Topics: China | Investment | Gujarat | alumina | Corporate News |