In a booster shot for Meghmani Organics, competition has lessened as around 70 percent of factories in China have been shut down due to failure in meeting environmental standards.
In an interview to CNBC-TV18, Ashish Soparkar, MD of Meghmani Organics spoke about the latest happenings in the company and his outlook going ahead.
He said that basic raw material prices post Harvey has gone up by 10 percent.
"China constitute 40 percent of chemicals out of USD 3,500 billion market; 40 percent is China, 16 percent is US and US is facing problem because of Harvey and in China many plant are under environmental scrutiny so the production is considerably low. So demand-supply gap is very comfortably placed and prices are around 10 percent higher world over," he said.
According to him, agro-chemicals segment to do well this year due to good monsoon and good order book.
Will be able to maintain EBITDA and margin in pigment segment, he mentioned.
He further said that agro-chemicals will do better in Q2 because it is the peak quarter.
Chloromethane plant will start by July of next year, Soparkar added.
Watch accompanying video for more details.
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