Tata Chemicals is investing ₹515 crore to establish a new greenfield manufacturing facility in Tamil Nadu. The plant, located in Valinokkam, Ramanathapuram district, will produce lodised Vacuum Salt Dried (IVSD) with a capacity of 210 Kilo Tons Per Annum (KTPA). This investment aims to expand capacity, strengthen the supply chain, and improve regional supply capabilities. The project is expected to be completed within 36 months.
Capacity Expansion in South India
Tata Chemicals Limited has announced an investment of ₹515 crore to set up a new manufacturing facility in Tamil Nadu. The facility will be a dedicated greenfield plant, increasing the company’s production capacity and bolstering its supply chain infrastructure within the southern region of India. The project was announced on February 6, 2026.
New Manufacturing Plant Details
The new manufacturing facility will be located in Valinokkam, in the Ramanathapuram district of Tamil Nadu. It will focus on the production of lodised Vacuum Salt Dried (IVSD) and will have an installed production capacity of 210 Kilo Tonnes Per Annum (KTPA). According to the company’s estimates, the project is expected to be completed within a timeframe of 36 months. The investment will be funded through a combination of internal accruals and potential external financing options.
Strategic Rationale
The investment in the Tamil Nadu facility is part of Tata Chemicals’ broader strategy to enhance supply chain efficiency and optimize logistics costs. By establishing a manufacturing presence closer to key southern markets, the company aims to improve distribution, reduce transit times, and enhance the operational efficiency of its salt business. In addition to enhanced efficiency, this new capacity aims to strengthen its core businesses and invest in opportunities for long-term growth.
Source: BSE
