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Higher costs squeeze margins for acrylic fibre producers.
(From Chemical Business NewsBase - Chemical Week)
The acrylic fibre industry in India, which has a production capacity of 117,000 tonnes, is likely to be adversely impacted by the high price of basic raw material acrylonitrile. The four major units ie Indian Acrylic, Pasupati Acrylon, Consolidated Fibres and Chemicals, and Vardhman Fibres, which together import 900,000 tonnes/y of acrylonitrile, are likely to incur a combined losses of over Rup 1.5 bn for 2002-2003, since the prices of acrylonitrile have increased to $1000/tonne from $650/tonne in the international market. The production cost of acrylic fibres would reach over Rup 90/kg taking into account that the four companies owe financial institutions more than Rup 5 bn. ...
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