The German multinational chemical company BASF is at an advanced stage of feasibility study for establishing a methylene diphenyl diisocyanate (MDI) production complex in the state of Gujarat.
The company has acquired industrial land in Dahaj for potential investments through its Indian subsidiary, BASF India Polyurethanes Private Limited. The final investment decision will depend on the results of the feasibility study and obtaining all necessary permits.
MDI is a crucial raw material for the production of polyurethane products, which are used in building insulation, refrigeration equipment, automotive components, furniture, and consumer goods.
Stefan Kotrade, a member of the Executive Board and Technical Director of BASF SE, noted that India represents one of the most attractive growth markets globally, with high demand expected across various sectors.
He added that the company is focusing on investments that strengthen its core business areas and create long-term value. According to Kotrade, potential investments in India would allow the company to expand its production capacity in a key growing market and enable the servicing of customers in India and neighboring regions using locally produced MDI.
BASF, whose annual sales amount to approximately 60 billion euros, currently has MDI production facilities in locations such as Geismar (USA), Antwerp (Belgium), Chunchin and Caojing (Shanghai) in China, and Yosu (South Korea).
BASF India Ltd already has several manufacturing sites in India, including an MDI separation complex and polyurethane production at its integrated chemical complex in Dahaj.
Kotrade emphasized that as urbanization, infrastructure development, and industrial activity accelerate in India, the demand for high-performance materials will grow.
