The company said its unit, Birla Cellulose, has signed a letter of intent with Renewcell, Sweden’s textile-to-textile recycling innovator, regarding a long-term business collaboration for the production of man-made cellulosic fibers.
The agreement affirms the two companies’ intention to work together to supply high-quality Liva Reviva textile fibers made from Circulose, Renewcell’s 100% recycled textile raw material, to global fashion brands and the textile industry. in the years to come.
The shared ambition is to use 30,000 tonnes of Circulose per year. The deal was facilitated by Ekman Group, Renewcell’s exclusive global business partner.
The letter of intent signed between Renewcell and Grasim Industries provides the framework for a future offtake agreement between the parties. The future off-take agreement will define the commercial terms for the delivery of certain volumes of Circulose dissolving pulp to Birla Cellulose over a number of years.
Birla Cellulose intends to use Circulose as one of the raw materials in the production of synthetic cellulosic fibers under the Liva Reviva brand, which will be supplied to textile manufacturers and fashion brands around the world.
Birla Cellulose, the pulp and fiber business of the Aditya Birla Group, is a leading producer of man-made cellulosic fibers (MMCF). It operates 12 pulp and fiber manufacturing sites that apply environmentally efficient closed-loop technologies, including material recycling and better conservation of natural resources.
Grasim Industries is one of the world’s leading producers of Viscose Staple Fiber (VSF), the largest player in chlor-alkali, flax and insulation in India. Through its subsidiaries, UltraTech Cement and Aditya Birla Capital, it is also the largest cement producer in India and a major player in diversified financial services.
On a consolidated basis, Grasim Industries recorded a 26% increase in net profit to Rs 1,746 crore on a 16% increase in revenue to Rs 24,402 crore in Q3 FY22 compared to Q3 FY21.
Grasim Industries shares fell 0.09% to Rs 1666.10 on BSE.
Powered by Capital Market – Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)