Century Plyboards is planning to establish a new manufacturing unit in Uttar Pradesh for Plywood and Medium Density Fiber (MDF) boards. The company’s board considered the proposal on February 4, 2026. The proposed unit aims to leverage increasing demand and the availability of raw materials. The first phase is expected to be completed by Q3 of FY 2027-28.
New Manufacturing Facility
Century Plyboards has announced plans to establish a new manufacturing unit in Uttar Pradesh, focusing on the production of Plywood and Medium Density Fiber (MDF) boards. The decision was discussed and considered at a board meeting held on February 4, 2026.
Production Capacity
The new unit will significantly increase the company’s production capabilities:
- Plywood: Existing consolidated capacity of 400,800 CBM per year with 93% utilization. Planned additional capacity of 60,000 CBM per year in Phase 1 and 30,000 CBM per year in Phase 2.
- MDF: Existing consolidated capacity of 561,000 CBM per year with 85% utilization. Planned additional capacity of 330,000 CBM per year.
Project Timeline
The project will be rolled out in phases with the following timelines:
- Plywood: Phase 1 is targeted for completion by Q3 of FY 2027-28, and Phase 2 by Q2 of FY 2028-29.
- MDF: The expansion is expected to be completed by Q2 of FY 2028-29.
Investment and Financing
The project involves substantial investment:
- Phase 1 is estimated at approximately Rs. 200 Crores.
- Phase 2 is estimated at approximately Rs. 130 Crores.
The project will be financed through a combination of debt and equity.
Rationale for Expansion
The expansion is driven by several strategic factors:
- Increasing market demand.
- Proximity to primary sources of raw materials.
- Availability of manpower.
- Proximity to a large customer base.
Source: BSE
