Century Plyboards is on an expansion spree in the MDF sector. With an estimated investment of around Rs 850 crore, the company aims to add twice the size of its present capacity. It is already known that Century plyboards greenfield plant for MDF at Kadapa, Andhra Pradesh is expected to start by September 2023, whereas the additional line of MDF at existing unit in Hoshiarpur, Punjab is expected to begin by October this year itself.
With an investment of around Rs 600 crore, AP plant will be a boost for century plyboards in next year, second half. The Hoshiarpur unit will also double up with an additional continuous line by the beginning of 3rd quarter this year.
The company is also planning to establish a plywood plant of 1lac sq meter per day production capacity in Punjab. The estimated investment of around Rs. 200 crore will be made for the new plywood manufacturing set up. The plywood plant will come in two phases, the first phase will have 50,000 sq.mt a day and the rest 50,000 sq.mt a day in 2nd phase.
Century Ply’s MDF & Particle board segments have performed very well lately. The 4th quarter for FY 21- 22 was phenomenal with 32% EBITDA margin in MDF followed by 29 % in Particle board. With further rise in demand for particle boards and MDF, the company is very bullish on growth and performance in the wood panel segment.
Speaking to The Ply Reporter, Mr Sajjan Bhajanka said that despite some imports opening up, the domestic product acceptance will continue to grow in the Indian market for many years to come.