Viscose Staple Fibre
Efforts to consolidate pole position in the VSF business where Grasim enjoys leadership status continue. Through a Greenfield project at Vilayat (Gujarat) - 120,000 TPA and Brownfield expansions at Harihar (Karnataka) - 36,500 TPA, Grasim intends to benefit its leadership position. Collectively, these project will ramp up capacities by 50 per cent to 498,000 TPA.
Grasim is India's pioneer in Viscose Staple Fibre (VSF), a man-made, biodegradable fibre with characteristics akin to cotton. As an extremely versatile and easily blendable fibre, VSF is widely used in apparels, home textiles, dress material, knitted wear and non-woven applications.
Grasim's VSF plants are located at Nagda in Madhya Pradesh, Kharach in Gujarat and Harihar in Karnataka, with an aggregate capacity of 454,425 tpa.
Nagda is its largest unit producing a wide range of VSF to suit customer requirements in terms of length, denier and colour and also second and third generation fibres like Modal, Excel and Solvent Spun fibres, respectively. Nagda is also the largest producer of spun-dyed specialty fibre in the world.
The Harihar unit houses facility for manufacture of both VSF and rayon grade pulp, the basic raw material for VSF. The company's Rayon Grade plant was the first in India to use totally indigenous wood resources with in-house technology for producing rayon pulp with an innovative oxygen bleaching
process to reduce the use of chlorine.
The VSF plant at Kharach, set up in 1996, employs the most modern technology giving it a competitive edge in the export market.
Joint Ventures (JV)
Grasim has the following joint ventures overseas:
AV Cell Inc. and AV Nackawic Inc. in Canada
AV Cell and AV Nackawic supply dissolving grade pulp to the Group’s VSF units in India, Thailand and Indonesia.
Domsjö Fabriker AB in Sweden
Grasim acquired one-third stake in Domsjö Fabriker AB, a leading Swedish speciality pulp and bio-refinery company in June 2011. With this acquisition, Grasim is assured of high-quality dissolving grade pulp.
AV Terrace Bay Inc. in Canada
In line with the strategy to secure key inputs, Grasim acquired assets of Terrace Bay in July 2012 in JV with Thai Rayon, a Group company. This will help in meeting the increasing pulp requirement for VSF business after the mill is converted into a dissolving grade mill.
Birla Lao Pulp & Plantation Limited in Laos
To further strengthen the backward integration in pulp, Birla Lao has been formed as a JV with other associate companies for raising captive plantations at Laos. This will provide a low cost source for wood to meet future requirements of a green field pulp plant in due course of time.
Birla Jingwei Fibres Company Limited in China
Through Birla Jingwei, Grasim has its footprint in China, the largest VSF market globally. Plant capacity was doubled in 2012 and currently the capacity is 72,000 TPA.
This spread and scale of operations make the Group's VSF operations very cost competitive. Moreover, vertical integration into manufacturing of rayon grade pulp and horizontal integration into production of principal raw material required for VSF production, namely, caustic soda, intermediate inputs namely CS2, sulphuric acid along with captive power and steam generation facilities, further enhance its competitive edge.
Research and development
Grasim has established a very strong research and development (R&D) base covering different stages of the value chain.
Grasim Forest Research Institute, Harihar is involved in R&D of forestry. Birla Research Institute for Applied Sciences (BRI), Nagda is involved in the development of different generations of cellulosic fibres. Textile Research Application Development Centre (TRADC) at Kharach, a NABL accredited laboratory, is involved in addressing R&D related to downstream textile value chain comprising various fibres, yarns, processing, garments, etc.
With the capability to offer the entire range of cellulosic fibre under the umbrella brand of “Birla Cellulose”, Grasim has positioned itself as a dependable supplier of cellulosic fibres for “Feel, Comfort and Fashion” across global markets. To penetrate into niche market segments and to grow further, the division has ventured into the production of high performance viscose fibres aptly named Viscose Plus, High Wet Modulus Fibres (Modal) and new generation Solvent Spun Fibres and Birla Excel.
Grasim is also the largest producer of Sodium Sulphate, a by-product of VSF manufacture. This chemical is widely used in the paper and pulp, detergent, glass and textile industries.
at a glance
|Viscose Staple Fibre (VSF)
||Birla Jingwei Fibres Company Limited
|Rayon grade pulp
||AV Cell Inc (Atholville, New Brunswick in Canada)
||AV Nackawic Inc. (Nackawick, New Brunswick in Canada)
||Domsjö Fabriker (Sweden)
||AV Terrace Bay Inc. (North Western Ontario, Canada)
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