The Future of Paints: Asian Paints Embarks on ₹2,100 Crore VAM/VAE Manufacturing Odyssey

Asian Paints Ltd has made an ambitious Vinyl Acetate Monomer (VAM) and Vinyl Acetate Ethylene Emulsion (VAE) production project worth much more now that it announced a huge capex expansion of the same. The board approved Rs 690 crore more as capex to make the entire investment worth an enormous Rs 2,560 crore. This new world-class plant to come up at Dahej in Gujarat will be of 100,000 tons capacity annually in the case of VAM and 150,000 tons of VAE every year.

 

The project, announced in October 2022, is Asian Paints' strategic foray into backward integration, making it a trendsetter among paint manufacturers. The expansion is in line with the company's focus on sustainable practices and cost savings, as VAE is regarded as the green emulsion of the future.

 

The plant will considerably lower Asian Paints' import dependence and give it a competitive advantage in the coatings segment.

 

Source: BSE Filings, Company Announcements