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Punjab Alkalies likely to record Rs 8-crore net profit this fiscal
Charanjit Ahuja
Chandigarh, May 4: The Punjab Alkalies and Chemicals Ltd, promoted by the Punjab State Industrial Development Corporation Ltd, may post Rs 8 crore net profit in the current financial year as against a net loss of approximately Rs 10 crore in 1999-2000. Incorporated in 1975, the company had suffered recession due to excess capacity in the market and because of cheaper imports for the last three years. Like many caustic soda manufacturing units, it suffered cash losses in the year 1997-98, 1998-99 and 1999-2000.According to an official spokesman, the company has taken various steps to increase its sales realisation and reduction in cost. It has enforced stringent cost cutting measures to bring down the cost in areas like power, raw materials, administrative costs and spares. As a result of various steps taken by the company, PACL is likely to post a cash profit of Rs 6 lakh for the month of April alone against an average cash loss of Rs 110 lakh per month during the last six months. The caustic soda industry in general has also started looking up because of better offtake and international prices are also firm at the moment. The caustic chlor industry has also asked the Government to levy an anti-dumping duty on import of caustic soda which is likely to give a further boost to this industry. All these indications point towards a better future for PACL. Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.
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