Asian Paints Increases Capex for New Dahej Manufacturing Plant

31 Mar 2025 CW Team

Asian Paints announced that it had approved an additional capital expenditure of Rs 690 crore for its under-construction manufacturing facility in Dahej, Gujarat. This brings the total estimated cost of the project to Rs 3,250 crore, up from the initially proposed Rs 2,560 crore. The increase is attributed to pre-operative expenses and cost escalations in the overall project.

The facility is being developed by Asian Paints (Polymers) Private Limited (APPPL), a wholly-owned subsidiary, and will be involved in manufacturing vinyl acetate ethylene emulsion (VAE), vinyl acetate monomer (VAM), as well as incorporating an ethylene storage and handling system.

The financing of the project will be done through a combination of equity infusion by Asian Paints and external debt. The company stated it would continue to provide updates as significant developments occur.

Infrastructure Urban

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