JV between Cabot Corporation and The Sanmar Group—Cabot Sanmar—has announced a ₹220 cr investment to expand its fumed silica manufacturing facility in Mettur, Tamil Nadu.
The same is expected to go operational in 2027 .This will to strengthen domestic supply capabilities in the high value speciality chemicals segment .
Why is this important!
Fumed silica is a high-performance material used across pharmaceuticals, personal care, paints, coatings, food, and crop protection.
As per reports by Confianca, a business consulting firm; It is estimated to have total market size of around 12k tonnes, a lot of what gets imported today.
The current investment signals import substitution to have better control on availability and pricing .
The product has a multi sector demand tailwinds as are several of its end user industries are in the middle of their capex cycles – and for many fumed silica growth is deeply linked to their own prospects .
For eg : high-growth sectors, like pharmaceuticals, chemicals and other industrial applications like
growing next-gen applications (EVs, electronics, semiconductors).
Cabot Corporation is a global specialty chemicals and performance materials company. It has strong presence in reinforcement materials, performance additives, and advanced carbons.
Sanmar Group is a Chennai-based industrial group with strong footprint in chemicals,engineering and shipping in India.
