Reliance group
has reportedly decided to shelve the new naptha-based cracker project at the Baroda
complex of IPCL. Reliance, which took over Indian Petrochemicals Corporation
(IPCL) over four months ago, has termed the project as unviable, as it would
use high-cost naptha as feedstock, which would in turn give the final product,
not able enough to compete in the
global market.
Reportedly, the
small capacity of the new project was another major impediment in the way of
the project.
The new project
had to replace the old cracker with a capacity of 1,70,000 MT with a capacity
of 3,50,000 MT, at a cost of Rs.3,000 crore.