Asian Paints (APL) entered into a Memorandum of Understanding (MoU) with the Gujarat government to set up a manufacturing facility in Dahej on 20 February, 2023. The MoU was signed through its newly incorporated wholly-owned subsidiary Asian Paints (Polymers).

In October, 2022, the company had announced an investment of Rs 2,100 crore to be infused over a period of three years for the project.

The plant will manufacture vinyl acetate ethylene emulsion (VAE) and vinyl acetate monomer (VAM), wherein VAM will be a key input for manufacturing VAE for improved paint performance and environment-friendly attributes. The installed capacity of the said manufacturing facility would be 1,00,000 tonne per annum for VAM and 1,50,000 tonne per annum for VAE.

Moreover, it will serve as a key backward integration project for APL, which currently imports VAE & VAM for its internal consumption.