IOL Chemicals and Pharmaceuticals Limited Geographical Location Map Barnala Board of Directors • Mr. Varinder Gupta - Aged 44 years is the Chairman and Managing Director. He has more than 24 years wide and rich industrial experience. He is an industrialist and associated with the company since inception. • Dr. M.A.Zahir - Aged 65 years is a Director since 1998. He has more than 41 years of experience in business management education and involved in imparting training to the senior executives. Presently he is on the Board of many reputed companies. He holds a Masters’ Degree in Commerce and Ph.D. • Mr. Chandra Mohan - Aged 75 years is a Director since, 2005. He has a experience of more than five decades in Indian Industry. He was instrumental in the designing and developing Indian tractor named Swaraj with totally indigenous technology which not only competed successfully with foreign technology but exceed them . He has been decorated with numerous awards including Padmashree for his contribution to the industry . He is B A (Hons) and B SC in Mechanical Engineering Board of Directors • Mr. Yogesh Goel - Aged 52 years is a Nominee Director of PSIDC since 1998. He has 31 year rich experience in his credit in the identification, promotion and implementation of chemical units in joint/assisted sectors. Presently he is the Chairman of Punjab Pollution Control Board. He is Graduate in Chemical Engineering from Punjab University, Chandigarh • Dr. (Mrs.) H K Bal - Aged 66 years is a Director since 2002. She had served many colleges and was head of Department of Business Management of Punjab Agriculture University, Ludhiana. She is Doctorate in Statistics . • Mrs. Lalita Kapur - Aged 51 is a Nominee Director of IDBI since 2002. She has more than 30 years experience in identifying and financing the projects . She is M A , B Ed and is currently working as an Assistant General Manager with IDBI. • Mrs. Dimple Gupta - Aged 40 years is a Director since, 2006. She is an Industrialist and having wide and rich experience in this field. Mile Stones Crossed • 1986 – IOLCP s Establishment Year • 1991 – Acetic Acid Manufacturing Started • 1996 – Ethyl Acetate Plant Commissioning Year • 1999 – Acetic Anhydride Production Started • 2000 – Ibuprofen Plant Came into Existence • 2006 – Cogeneration Operations Product Range Chemical Products Acetic Acid Ethyl Acetate Acetic Anhydride Active Pharmaceutical Ingredients Ibuprofen Our Products - Our Strength Acetic Acid • Acetic Acid or Ethanoic Acid Commonly Known as Vinegar • Sour Taste & Pungent Smell • Widely used as Chemical Reagent & Industrial Chemical • Derivatives application almost in all fields Applications & End Usage Application End use User As in preparation of Pharmaceuticals Eg. In the preparation of Sulphamethoxazole, Chloroquin, Metronidazole etc. IPCA, CADILA ,SR Drugs & Intermediates Ltd,Avon Organics Ltd As in Polyester Staple Fiber industries In making Purified telepthalic acid (PTA) Reliance , Indian Oil , Mitsubishi Chemical Corporation As Acidulant & Preservative Eg: Vinegar, Jams, Pickles, Ketchups etc Cremica , Nestle ,Bonn industries ltd, As a Chemical synthesize solvent For eg. Monochloroacetic acid (MCA), Vinyl Acetate Monomer (VAM) Farmson, Swati, Reliance Cellulose products Ltd,S.R.Drugs and Intermediates (P) Ltd,Sree Rayalaseema Hi-Strength Hypo Ltd,Karnavati Chemical As in preparation of Acetates Eg. Cellulose acetate, Ethyl Acetate, Zinc acetate, Amyl acetate etc IOL Chemicals & Pharmaceuticals Ltd, Ester India ltd, Shatabdi Chem. Pvt Ltd, Kashyap Organics Ltd Applications & End Usage Contd.. Application End use User As an intermediate in Pesticides Eg. Chlorpyriphos, Acephate Aimco Pesticides Ltd,Bharat Rasayan Ltd,Meghmani Organics Ltd,Rallis India Ltd, Gujarat Ltd,United Phosphorous Ltd Diketene & its derivatives Eg. Monomethyl acetoacetamide, ethyl acetoacetamide, Methylaceto Acetate Colourchem Ltd.,Mumbai ,Indian Dyestuff Industries,Gujarat ,Avon Organics Ltd., Hyderabad As Tanning agent Laundry sour, printing calico & dyeing Nahar spinning , Vardhman , JCT As Reaction Solvents For gums, resins & volatile oils Turpentine and Oil Co, Camphor and allied Co Indian Scenario 700000 Capacity (In MT) 600000 500000 400000 PRODUCTION (MT) 300000 CONSUMPTION (MT) 200000 100000 0 2005-06 2006-07 2007-08 Years 2008-09 2009-10 Global Production 10000000 Capacity (In MT) 9000000 8000000 7000000 6000000 5000000 PRODUCTION (MT) 4000000 3000000 2000000 1000000 0 2005-06 2006-07 2007-08 Years 2008-09 2009-10 Acetic Acid Production Capacities - IOLCP 70000 66000 60000 Production (TPA) 50000 50000 40000 30000 30000 18000 20000 13500 7500 10000 4500 0 1991-92 1997-98 1998-99 2004-05 2005-06 2006-07 2008-09 Year Captive Consumption Vs Merchant Sales 100 Quantity Percentage 90 80 70 60 50 Captive Consumption 40 Merchant Sales 30 20 10 0 2004-05 2005-06 Years 2006-07 2007-08 Acetic Acid – Market Share Domestic Market JR Agro 6% Somaiya 7% Jubilant 28% Others 9% Global Market Wujing 4.4% Celanese 24% GNFC 39% IOLCP 11% Indian Market 3,70,000 MT per Annum Azot 3% BP Aramco Diacel 4% Eastman3% 23% Millennium 4% Global Market 92,00,000 MT per Annum Acetic Acid-Our Major Customers DOMESTIC EXPORT AARTI INDUSTRIES LTD LITUN FABRICS, BANGLADESH AUROBINDO PHARMA LIMITED M-L DYEING MILLS, BANGLADESH DUJODAWALA RESINS AND TERPENES LTD. MINAR INDUSTRIES, BANGLADESH RANBAXY LABORATORIES LTD. REDOX, AUSTRLIA HETRO DRUGS LTD BUILDING CHEMICALS, BAURUT J C T LIMITED CHEMCO LTD, MAURITIUS NAHAR SPINNING MILLS NEW AWA COMPANY, EGYPT SREE RAYALSEEMA HI-STRENGTH HYPO LIMITED MOHAMMED FATEH BAROUT AND PARTNERS CO, SYRIA SURYA PHARMACEUTICAL LIMITED NASSAQ ENTERPRISES, DAMAN VARDHMAN TEXTILES LTD GOPITECH, KENYA Ethyl Acetate • Ethyl Acetate or Ethyl Ethanoate – Fragrant, Colorless Liquid • Diverse Industrial Application as Solvent • Usage as Synthetic Fruit Essence • Flavor in Pharmaceuticals • Coextractant of Camphor, Fats, Oils & Antibiotics • Ability to replace Aromatic Solvents like Toulene, Xylene & Methyl Isobutyl Ketone. Applications & End Usage Application End use User As Lacquer sandling sealer, Glasswood lacquer, Lacquer thinner, LP inks, quickset inks, heatset & coldset inks etc Inks & Paints Industry Berger Paints India, Goodlac Nerolac Paints Ltd, Resins & Solvents,Camlin Ink Pvt Ltd,Kores India As a media Solvent / wraper shining and protection Flexible Packaging & lamination Uflex Ltd , Dharmapal Satyapal industries , PG foil Ltd ,Cosmo films ltd,Essel packaging For production of Glues etc. Adhesives Converter & Adhesives Chemicals Ltd In Pharmaceutical Rantidine HCL Sulphamethoxazole etc IPCA, CADILA ,SR Drugs & Intermediates Ltd,Avon Organics Ltd,Shasun For creating lustre in photgraphic films to last long Photographic Films & Plates Kodak Solvents for nitrocellulose lacquers , varnishes and thinners.Least toxic of organic solvents Surface coatings and thinners Godrej,Schenectedy,Bakelite Hylam Extensively used in the preparation of synthetic fruit essences, flavours and perfumes Flavours and essences Privi Organics, Vadilal Industries Ltd , Narula foods Indian Scenario 300000 Capacity (In MT) 250000 200000 150000 PRODUCTION (MT) CONSUMPTION (MT) 100000 50000 0 2005-06 2006-07 2007-08 Years 2008-09 2009-10 Global Production Capacity (In MT) 2500000 2000000 1500000 PRODUCTION (MT) 1000000 500000 0 2005-06 2006-07 2007-08 Years 2008-09 2009-10 Ethyl Acetate Production Capacities - IOLCP 40000 33000 35000 Production (TPA) 30000 25000 18000 20000 15000 10000 5000 5100 6300 3000 0 1996-97 2000-01 2004-05 Year 2005-06 2006-07 Ethyl Acetate - Market Share Domestic Market Dhampur Others 4% JR Agro 3% 6% Somaiya 10% Laxmi Organics 15% Global Market BP Aramco Celanese 12% 13% Jubiliant 44% Shandang 6% Others 54% IOLCP 18% Indian Market 1,50,700 MT per Annum Showa Denko 9% Rhodia Brazil 6% Global Market 14,00,000 MT per Annum Ethyl Acetate-Our Major Customers DOMESTIC EXPORT RANBAXY LABORATORIES LTD. MANTEKA PRINTING ,BANGLADEAH ZYDUS ALTANA HEALTHCARE PVT LTD. ARBAB POLYPACK ,BANGLADESH NECTAR LIFESCIENCES LIMITED SAUDI MODERN PACKAGING CO LTD , SAUDI ARABIA KREBS BIOCHEMICALS & INDUSTRIES LIMITED AL AOUN FACTORY FOR COMMERCIAL LABELS , SAUDI ARABIA UFLEX LTD. ORIENT PRINT PACK ,SYRIA DSM ANTI-INFECTIVES INDIA LIMITED AL MOBIN CHEMICALS ,IRAN BLUE DIP PAINTS & CHEMICALS RAGAB EXPORT & IMPORT , EGYPT PENAM LABORATORIES LTD. AL NALDA , DUBAI ARCH PHARMALABS LTD SOLVOCHEM ,DUBAI VIJLAK PHARMA LIMITED Acetic Anhydride • Ethanoic Anhydride or Acid Anhydride • Declared As “Controlled Substance” under the Narcotics Drugs & Psychotropic Substances (NDPS) Act 1985 by Narcotics Control Bureau, India • Usage in Pharmaceutical, Agrochemical, Dyes & Pigments, Cellulose Acetate Production Applications & End Usage Application End use User Drugs & Pharmaceuticals Eg. In the making of Paracetamol, Aspirin, Caffeine, Theophylline, Ephedrine HCl Sri Krishna Pharmaceuticals Ltd ,Triton Laboratories Ltd, Ltd,Granules India , Kudos Chemie E.g. Acephate Aimco Pesticides Ltd,Bharat Rasayan Ltd,Meghmani Organics Ltd,Rallis India Ltd, United Phosphorous Ltd E.g. Acetanilide Maschmejir Aromatics (India) Ltd ,Hindustan Polyamide,Camphor & Allied Products, Gujarat Dyestuff & Intermediaries E.g. Acetyl Chloride Gujarat Industrial Chemicals Corporation,Gwalior Chemical Industries Ltd,Indu Organic Chemicals,Amarjas Chemicals,Praveen Organics As an reactive agent E.g. Vinyl Acetate Monomer Jubliant Organysys Ltd, Vinyl Chemicals Ltd Agrochemicals Perfume Industry Indian Scenario 80000 Capacity (In MT) 70000 60000 50000 40000 PRODUCTION (MT) 30000 CONSUMPTION (MT) 20000 10000 0 2005-06 2006-07 2007-08 Years 2008-09 2009-10 Global Production 300000 Capacity (In MT) 250000 200000 150000 PRODUCTION (MT) 100000 50000 0 2005-06 2006-07 2007-08 Years 2008-09 2009-10 Acetic Anhydride Production Capacities - IOLCP 18000 20000 18000 Production (TPA) 16000 14000 12000 12000 10000 7500 8000 6000 4500 4000 2000 0 1998-99 2005-06 2006-07 Year 2008-09 Acetic Anhydride - Market Share Domestic Market Dhampur 2% Luna 26% Global Market Jilin 5% Jubiliant 51% IOLCP 20% Indian Market 50,000 MT per Annum Rhodia 5% Eastman 33% Accordis 5% BP Aramco 10% Diacel 11% Celanese 24% Global Market 2,00,000 MT per Annum Acetic Anhydride-Major Customers DOMESTIC EXPORT HINDUSTAN POLYAMIDES & FIBRES LIMITED ALTA LABORATORIES LIMITED KUDOS CHEMIE LTD MERIDIAN CHEM BOND LTD. TEMAD CO , IRAN PARA PRODUCTS PVT LTD. HIGH PURITY ,IRAN RELIANCE CELLULOSE PRODUCTS LIMITED REDOX PTY LTD, AUSTRALIA. ROHINI CHEMICALS (P) LTD WBG, AUSTRIA SATYADEEPTHA PHARMACEUTICALS LIMITED CONSULATE CHEMICALS , AUSTRALIA SREE RAYALSEEMA HISTRENGTH HYPO LTD. ZYDUS ALTANA HEALTHCARE PVT LTD. Ibuprofen • Non-Steroidal Anti – Inflammatory Drug (NSAID) • Reduces Hormones Causing Inflammation & Pain in Body • Usage in Treatment of Variety of Ailments • Grades Available - IP - BP - USP - EP - Micronized Applications & End Usage Application Pharma Industry as an NSAID ( Non- steroidal Anti inflammatory Drug ) End Use User Inflammation Aristo Pharmaceuticals Ltd Acute / Chronic Pains Sri Krishna Pharmaceuticals Ltd Rheumatoid Pain Tablets India Limited Primary Dysmenorrhea Indoco Remedies Limited Post Operative Pain Fourrts Lab Limited Fever Strides Arcolabs ltd Indian Scenario 10000 Capacity (In MT) 9000 8000 7000 6000 5000 PRODUCTION (MT) 4000 CONSUMPTION (MT) EXPORT FROM INDIA 3000 2000 1000 0 2005-06 2006-07 2007-08 Years 2008-09 2009-10 Global Production 30000 25000 In MT 20000 15000 PRODUCTION (MT) 10000 5000 0 2005-06 2006-07 2007-08 Years 2008-09 2009-10 Ibuprofen Production Capacities - IOLCP 8000 7200 Production (TPA) 7000 6000 5000 3600 4000 3000 1800 2000 1000 600 720 0 2000-01 2005-06 2006-07 Year 2007-08 2008-09 Ibuprofen - Market Share Domestic Market Global Market Satyadeept Others ha 7% 5% IOLCP 33% Others 16% Hubei,China 13% Shasun 51% Satwik 4% Indian Market 7,500 MT per Annum Albemarle, USA 17% IOLCP 11% Zhongtianheng di,China 7% BASF, UK 20% Shasun,India 16% Global Market 24,000 MT per Annum Ibuprofen- Our Major Customers DOMESTIC EXPORT BIOLOGICAL E. LIMITED BETALACTAMICOS S.A.,COLOMBIA CIPLA LTD ELSAAD PHARMACEUTICALS INDUSTRIES ,SYRIA FOURRTS (I) LABORATORIES PVT LTD KUWAIT SAUDI PHARMACEUTICALS IND CO,KUWAIT INDOCO REMEDIES LTD. QUIMIZA LTDA, BOLIVIA JOHNSON & SMITH CO. RESEARCH PHARMACEUTICALS , HONGKONG SRI KRISHNA PHARMACEUTICALS LTD. YU YU INDUSTRIAL CO LTD , KOREA ZEST PHARMA WINGS PHARMACEUTICALS PVT LTD ARISTO PHARMACEUTICALS LIMITED EVA PHARMA FOR PHARMACEUTICALS ,EGYPT KAMPALA PHARMACEUTICALS LTD,UGANDA AVALON NUTRIMART CO. LTD,SINGAPORE. Growth Potential • The potential of growth of these products is elicited from their usage in various industries. • Also, the increase in the production capacities speaks for the increasing demand for these products in the market. • Ethanol, major raw material, available in abundance from Distilleries of Punjab & UP. • Secure Growth Prospective for Future Products with commencement of IOC Refinery at Panipat & also from the Upcoming HPCL Refinery at Bhathinda Co-generation IOLCP has its own 4 MW Captive Co-generation Presently IOLCP has both Steam and Power generation of its own. The Proposed Expansion is for additional 10 MW Global Presence The various international markets catered till date include: 1. BANGLADESH 10 .IRAQ 19.PAKISTAN 2. BELGIUM 11.AUSTRALIA 20. MALAYSIA 3. CHINA 12. KUWAIT 21.BOLIVIA 4. EGYPT 13.AFGHANISTAN 22. AUSTRIA 5. IRAN 14.COLOMBIA 23. DAMAN 6. SINGAPORE 15.VIETNAM 24. BAURUT 7. SYRIA 16.NAMIBIA 25. KOREA 8. THAILAND 17.MAURITIUS 9. UAE 18.MYANMAR Our Technical Specializations REACTION SEPARATION DISTILLATION Process Efficiencies Process Automization Distribution Control Based Operations -Complete Automation of Process - Computerized Parameter recording - Better control of Process Parameters - Operations on single mouse click Energy Saving Measures • Energy Conservation - Major Emphasis Area • The most cost effective way for sustainable energy development is by improving end-use efficiency. • We Utilize Waste Process Energy to produce 660 TR/Day of Chilled Water generated through VAM Machines. Recognization Awarded with “National Energy Conservation Award” Consecutively For the Year 2005 & 2006 By Ministry of Power, Government of India Quality • The most up to date technology for manufacturing, processing and quality control. • High Quality Products with Quality Checks at each and every stage, starting from Raw Material to Finished products with latest Technology Instruments . Research & Development Equipped with latest infrastructure Highly competent research team Manufacturing technology for all the products developed in-house Capacity to produce single to multi-kilogram quantities of organic compounds Pilot plant studies for new products / molecules ChemCAD (Simulation Software) Environment Friendly Plant Untreated Effluent pH TDS (mg/L) Treated Effluent Standard 4.0 - 5.0 7.0 – 8.0 7.0 - 8.0 2100 - 2500 1600 - 1800 <2100 BOD (mg/L) 10000 - 12000 COD (mg/L) 14000 - 18000 20 - 30 175 - 200 < 30 < 250 Manpower 100% 80% Professionals 60% Post Graduate 40% Graduate 20% Diploma & Others du ct RM Pr o H io Si n m ul Q at ua io lit n y & R & D A cc & Fi na nc C om e m er ci al 0% Corporate Ethics The company believes that adherence to the corporate ethics and transparent working results in substantial and sustainable improvements in the performance. The Company has adopted the following practices : • • • • Code of Corporate Governance & Conduct Code to Prevent the Insider Trading Code of Corporate Disclosure of Insider Trading Whistle Blower Policy Turnover 300 231.71 Rs in Crores 250 170.43 174.47 200 150 96.53 100 50 0 2004-05 2005-06 2006-07 Year 2007-08 (Half Yr) Export Turnover 25 21.08 17.26 Rs in Crores 20 15 11.14 10 5 2.34 0 2004-05 2005-06 2006-07 Year 2007-08 (Half Yr) Operating Profit 25 19.14 18.22 20 Rs in Crores 15.63 15 10 8.57 5 0 2004-05 2005-06 2006-07 Year 2007-08 (Half Yr) Net Profit After Tax 10 Rs in Crores 7.55 7.26 8 6 4 4.59 2.55 2 0 2004-05 2005-06 2006-07 Year 2007 - 08 (Half Yr) Half yearly Performance Half yearly performance ended 30th September, 2007:• Turnover increased by 76% to Rs 170.43 crores. • Operating profit crores. increased by 89 % to Rs 15.63 • EPS increased by 55% to Rs 4.23 on the increased capital. Upcoming Business Plans The company has planned for further Expansion of existing Capacities, Forward & Backward Integrations & Cogeneration Plants in the next two years. The total amount of Capital Expenditure will be about Rs 180 Crores. Upcoming Business Plans Contd… UOM EXISTING CAPACITIES PROPOSED CAPACITIES Acetic Acid TPA 50000 66000 Acetic Anhydride TPA 12000 18000 Ibuprofen TPA 3600 7200 Cogeneration MW 4 14 TPA - 6000 TPA - 6600 TPA - 4800 Product Capacity Enhancement Backward Integration Iso Butyl Benzene (Used as RM For Ibuprofen) Forward Integration Monochloroacetic Acid Acetyl Chloride Acetic Anhydride as RM End use in Ibuprofen Invitation You are invited to visit our plant situated at Village Fatehgarh Channa, Barnala, Punjab. You are most welcome to contact:Mr. Rakesh Mahajan Vice President +91 98729 99990 rakeshmahajan@iolcp.com For seeking any clarification