Polyplast Begins Production at New Ahmedabad Facility to Boost Micro-Irrigation Capacity

Captain Polyplast Ltd has commenced production at its newly constructed manufacturing facility near Ahmedabad, Gujarat, marking an important step in the company’s expansion journey. The facility is expected to strengthen its manufacturing capacity for micro-irrigation products such as driplines, sprinklers and HDPE pipes.

The new plant spans around 70,000 sq. ft. and is located on a total land area of nearly 3,30,000 sq. ft., giving the company room for future capital expenditure. According to the company, the facility has been completed as per planned timelines and will support in-house production of critical components that were earlier sourced externally.

This move is part of Captain Polyplast’s backward integration strategy. By manufacturing key components internally, the company expects to improve cost efficiency, strengthen margins and enhance its overall profitability profile. The Ahmedabad facility will complement its existing manufacturing units in Rajkot, Gujarat, and Kurnool, Andhra Pradesh.

Captain Polyplast is engaged in the manufacturing and export of micro-irrigation solutions and has a diversified presence in Solar EPC and polymer products. The company has a distribution network across 16 states in India and exports to Africa, Latin America and the Middle East.

In recent years, the company has also expanded into solar water pumping systems and rooftop solar solutions, supported by government initiatives such as the PM-KUSUM scheme. It has also partnered with Indian Oil Corporation Limited for polymer product marketing in Gujarat. For FY25 on a consolidated basis, Captain Polyplast reported total income of Rs 289.77 crore, EBITDA of Rs 35.11 crore and net profit of Rs 31.32 crore.

Shares of Captain Polyplast have remained under pressure in the short term. The stock declined 2.77 per cent over the past one month. However, it gained 8.12 per cent during the last six months. On a one-year basis, the stock is down 3.31 per cent. 

The company stated that the new facility will help it serve growing demand in domestic and international markets while improving capacity utilisation. Going ahead, Captain Polyplast aims to increase the share of commercial sales, including non-subsidy micro-irrigation, PVC pipes and exports, to optimise working capital and diversify its revenue mix.

Disclaimer: This article is for informational purposes only and not investment advice.