Ruchi Soya Industries said its capacity utilisation is expected to more than double this year with the Government announcing higher export sops in its mid-term review of the foreign trade policy (FTP).
The Government had on December 5 raised incentive by 2 per cent under the Merchandise Exports from India Scheme (MEIS) across the board for labour intensive/MSME sectors.
“This (export incentive) will help Ruchi Soya s oilseed extraction business with an increase in capacity utilisation as well as increased output of value-added products,” the leading agri and food FMCG company said in a statement.
With increase in crushing operations, the capacity utilisation is expected to more than double in the current year to 30-35 per cent, the company said.
COO, Ruchi Soya Industries, Satendra Agarwal said higher crushing with enhanced export viability will further augment the capacity utilisation to the extent of 20 per cent with a consequent increase in overall margins.
The company had utilised only 15 per cent of its total oilseed extraction capacity of 3.72 million tonnes in the last two years owing to bad crop, the statement added.