Epigral to focus on derivatives, speciality chemicals to reduce import dependence

Epigral Ltd., an integrated chemicals manufacturer, is embarking on its next phase of growth by capitalising on India’s rising demand for construction, infrastructure and renewable energy.The company is anchoring its growth strategy on a sustained capital expenditure programme, capacity additions in Chlorinated Polyvinyl Chloride (CPVC) Resin and Epichlorohydrin (ECH), and a sharper focus on high-value derivatives and speciality chemicals, a top executive said.

It is doubling its CPVC Resin capacity to 1,50,000 tonne per annum (TPA) and Epichlorohydrin capacity to 1,00,000 TPA, with both projects expected to be commissioned during H1 FY27. Upon completion, Epigral will become the world’s largest CPVC Resin manufacturer and operate India’s largest ECH plant, strengthening its leadership in import-substitution chemicals. India continues to remain a net importer of CPVC, while domestic demand is expected to grow at around 12% annually, driven by increasing use in plumbing, residential, commercial and industrial infrastructure.

The company expects derivatives and specialty chemicals to contribute over 70% of its revenue over the next two years, compared with just over 50% in FY26, while targeting sustained double-digit growth through FY30 and double the revenue as against Rs 2,500 crore in FY26. The expansion will be funded largely through internal accruals generated from rising operating cash flows, supported by annual capex investments.“India’s chemical consumption is evolving rapidly with increasing demand for high-performance and import-substitute products,” said Maulik Patel, Chairman & Managing Director, Epigral Ltd.

“Our strategy is to continuously move up the value chain through downstream integration and specialty chemicals, while building leadership positions in products where India continues to rely on imports,” he said. The company has expanded its portfolio through forward and backward integration, enabling better resource efficiency, improved margins and lower business cyclicality, it said.Today, its products cater to sectors including pharmaceuticals, agrochemicals, water treatment, textiles, construction, paints, electronics and specialty chemicals, reducing dependence on any single end market.

According to Mr Patel, Epigral’s ongoing investments are already sufficient to drive growth over the next three to four years, while the company has simultaneously started evaluating projects that will fuel expansion beyond FY30.“We are already working on projects that will define our post-2030 growth because in chemicals the planning cycle is over three years. Every investment is evaluated on three parameters — import substitution opportunity, industry demand growing at 10-15% annually, and the ability to generate healthy returns on capital,” Mr Patel added.

Epigral plans to maintain annual capital expenditure in the range of ₹400-600 crore, with nearly 70% of funding expected through internal accruals and the balance through debt. Published - July 04, 2026 07:58 pm IST Read Comments Copy link Email Facebook Twitter Telegram LinkedIn WhatsApp Reddit READ LATER SEE ALL Remove