AkzoNobel and chemicals manufacturing company Atul formally agree on the joint venture partnership announced last year for the production of monochloroacetic acid (MCA) in India. The companies will establish a new plant at Atul's facility in Gujarat by first quarter 2019, with each partner holding a 50% stake in the joint venture.
The partnership will build on AkzoNobel's position in the MCA market with plants in the Netherlands, China, Japan and the US. It will also reportedly enhance Atul's status as a global supplier of the herbicide 2,4-D, which uses MCA as a key raw material.
The partnership will use chlorine and hydrogen manufactured by Atul to produce MCA, reportedly taking advantage of Atul's existing infrastructure and the eco-friendly hydrogenation technology of AkzoNobel. From an initial annual capacity of 32,000 tons per year at start-up, the plant is designed for future expansion to 60,000 tons per year, according to AkzoNobel.
MCA is an essential building block in the chemical industry and is used in a wide variety of chemicals. AkzoNobel customers use MCA to produce thickening agents for the food, oil, mining, personal care and detergent industries. It is also used in agrochemicals, adhesives, pharmaceuticals, thermo-stabilizers, surfactants and cosmetics.
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