Lords Chloro Alkali Ltd. plans to double its Chlorinated Paraffin Wax capacity from 50 to 100 TPD at its Rajasthan plant by FY 2025–26. Driven by rising demand and over 80% utilization, the Rs. 30 crore expansion will be funded via internal accruals and credit lines, enhancing scale, efficiency, and chlorine usage.
Lords Chloro Alkali Ltd., a prominent player in the chemical manufacturing sector, has announced plans to significantly increase its production capacity for Chlorinated Paraffin Wax (CPW) at its manufacturing facility located in Rajasthan. Currently, the plant operates at an installed capacity of 50 metric tonnes per day (TPD). However, in response to robust market demand and optimal plant performance, the company is now set to double this capacity to 100 TPD.
The proposed expansion comes on the back of consistent demand growth for CPW, which is widely used as a plasticizer and flame retardant in various industrial applications, including PVC products, rubber, paints, and sealants. Lords Chloro Alkali has achieved over 80% capacity utilization at the current scale, indicating efficient operations and strong offtake from customers. The company’s management views the expansion as a strategic move not only to address the growing demand for CPW but also to enhance the overall efficiency of its production infrastructure.
The management has outlined that this expansion aligns with its broader strategic objectives, especially in leveraging the downstream value chains of chlorine and hydrogen — two critical by-products in the production of CPW. By expanding CPW output, the company expects to increase internal chlorine utilization, thereby reducing dependency on external chlorine sales and improving overall operational integration. The project also reflects the company’s commitment to maximizing the value derived from its existing feedstock and facilities.
To ensure timely execution, Lords Chloro Alkali is actively working towards securing all the statutory approvals and clearances necessary for the expansion. Procurement processes for machinery, materials, and other infrastructural components are underway. The company aims to complete the capacity enhancement project by the end of the current financial year, FY 2025–26.
The capital expenditure for the expansion is estimated to be approximately Rs. 30 crore. This investment will be financed through a combination of internal accruals and pre-approved credit lines, ensuring minimal financial strain on the company’s balance sheet. The management believes that this investment will contribute significantly to future profitability by allowing greater economies of scale, better absorption of fixed costs, and a higher level of responsiveness to the rising market demand.
With this move, Lords Chloro Alkali Ltd. not only strengthens its market position in the chlorinated paraffin wax segment but also reinforces its focus on sustainable, integrated chemical production. The expansion signals the company’s confidence in the long-term demand trajectory for specialty chemicals and its readiness to scale up operations accordingly.
