Asian Paints Ups Dahej Bet to ₹3,250 Crore

Asian Paints' Board of Directors, in its meeting on March 27, 2025, approved an additional capital expenditure of ₹690 crore for its upcoming manufacturing facility in Dahej, Gujarat. This revision raises the total project cost to ₹3,250 crore, up from the initial estimate of ₹2,560 crore.

The cost escalation is attributed to pre-operative expenses and rising project costs. The facility, being developed by Asian Paints (Polymers) (APPPL), a wholly-owned subsidiary, will manufacture vinyl acetate ethylene emulsion (VAE) and vinyl acetate monomer (VAM), along with an ethylene storage and handling unit.

The project will be funded through a mix of equity infusion by the company and external debt.

News by Rahul Yelligetti.