Tata Chemicals to Invest ₹515 Crore in Greenfield IVSD Manufacturing Facility in Tamil Nadu

Tata Chemicals is investing ₹515 crore in a new greenfield Iodised Vacuum Salt Dried (IVSD) manufacturing facility in Valinokkam, Tamil Nadu. This 210 KTPA plant, expected within 36 months, aims to strengthen its South India supply chain, address rising demand, and diversify its production footprint beyond Gujarat. The facility will improve logistics, reduce costs, and enhance delivery efficiency for southern markets, supporting the company's long-term growth and creating local employment.

Tata Chemicals Limited has announced a significant investment of ₹515 crore for a new greenfield manufacturing facility in Tamil Nadu. Located at Valinokkam in the Ramanathapuram district, this plant will produce Iodised Vacuum Salt Dried (IVSD), a crucial product in the company's portfolio, with an installed capacity of 210 kilo tons per annum (KTPA). The project is slated for completion within 36 months and will be financed through a combination of internal accruals and external funding.This strategic expansion aims to bolster Tata Chemicals' production capacity and strengthen its supply chain network, particularly in South India. By establishing a second major manufacturing base, the company intends to diversify its production footprint, reducing its regional dependency on its existing large IVSD unit at Mithapur, Gujarat. This dual-location strategy will create a more balanced and resilient manufacturing ecosystem, allowing Tata Chemicals to address rising demand and ensure uninterrupted supply across domestic markets effectively.A key benefit of the Tamil Nadu facility is its proximity to vital southern markets. This will enable Tata Chemicals to significantly shorten transit times, improve delivery efficiency, and lower logistics costs. Enhanced customer proximity will also facilitate faster distribution, elevate service levels, and boost operational agility, critical factors in the competitive FMCG and industrial salt segments. The investment aligns with Tata Chemicals' broader strategy to reinforce core businesses, build resilient infrastructure, enhance cost competitiveness, and meet sustained demand. Furthermore, the facility is expected to contribute positively to Tamil Nadu's industrial landscape by generating local employment opportunities and supporting regional manufacturing development. This move not only scales IVSD capacity but also strategically positions Tata Chemicals for stronger and more efficient growth in India's southern markets.