Indian Reliance Industries has bought between 60,000 and 90,000 tonnes of heavy full-range naphtha for March arrival to fulfill demand due to its budding petrochemical capacity.
Reliance, which has only sporadically imported heavier types of naphtha in the past, may become a regular importer because it has build additional capacity to produce the petrochemical paraxylene. While it operates two massive refineries in Jamnagar in Gujarat, production of naphtha is insufficient for both petrochemicals and gasoline production.
The Indian refiner recently started up 800,000 tonnes per annum out of a total of 2.2 million tonnes of new paraxylene capacity and will commission capacity by March.
As per source close to petrochemical industry this will augment its total paraxylene capacity to 4.2 million tonnes per annum.
