Chemfab Alkalis Ltd. (CCAL) has decided to defer the setting up of caustic soda project in Karaikal for the time being due to a sharp fall in the global prices of caustic soda, said a top executive.

“We have deferred our 250 tonne per day Caustic Soda project in Karaikal for now. We will keep evaluating the same and move forward at an appropriate time,” said its Chairman Suresh Krishnamurthi Rao in the annual report.

CCAL, the manufacturer of basic inorganic chemicals and PVCO pipes, which has plants in Karaikal and Sri City, announced that it will be doubling the production capacity of PCVO pipes plant in Sri City, during the current fiscal from the present capacity of two lines to four lines in FY25 which will become functional from Q2.

According to him, one of the lines is meant for manufacturing higher diameter pipes. This will enhance the product range offering to the market from 110 mm up to 630 mm against the current range of 110 mm to 400 mm.

“We further intend to add three more lines during FY26, increasing our capacity to seven lines by 2025-26 to meet the anticipated demand from government initiatives such as Jal Jeevan Mission,” he said.

Asserting that they have a strong presence in the PVCO pipes segment, he said: “We have successfully penetrated the market replacing traditional metal and ductile iron pipes with our superior products. The market outlook for PVCO pipes looks quite robust with more State Government Boards accepting and commencing usage of PVCO pipes, which is very encouraging.”

In February, CCAL’s wholly owned subsidiary Chemfab Alkalis Karaikal Ltd commissioned the aluminium chloride project. CCAL is expecting to gradually increase the production capacity to the optimum during the coming fiscal.