Borosil Renewables Revises ₹950 Crore Expansion Cost to ₹1,100 Crore; Capacity to Rise to 1,600 TPD
Borosil Renewables Limited has revised the estimated cost and timeline of its ongoing capacity expansion project at Bharuch, Gujarat.
The company’s Board of Directors, at its meeting on September 22, 2026, approved a revised project cost of up to ₹1,100 crore, compared with the earlier estimate of ₹950 crore.
The project involves adding 600 TPD of capacity through two 300 TPD furnaces, SG-4 and SG-5. Once commissioned, the company’s total installed capacity is expected to increase from 1,000 TPD to 1,600 TPD.
Borosil Renewables Expansion: Key Details
- Project: SG-4 and SG-5 furnace expansion
- Location: Bharuch, Gujarat
- Capacity addition: 600 TPD
- Original project cost: ₹950 crore
- Revised project cost: Up to ₹1,100 crore
- Additional outlay: ₹150 crore
- Earlier commissioning target: December 2026
- Revised commissioning target: End of March 2027
- Existing capacity: 1,000 TPD
- Post-expansion capacity: 1,600 TPD
- Current capacity utilisation: Fully utilised
Project Cost Rises by ₹150 Crore
The estimated investment for the project has increased from ₹950 crore to approximately ₹1,100 crore, resulting in an additional estimated outlay of ₹150 crore.
Borosil Renewables said the additional cost is linked to an expansion in the scope of the project, along with supply-chain disruption, exchange-rate fluctuations and higher commodity costs.
The company stated that the additional ₹150 crore will be funded through internal funds without any increase in borrowings.
The company has also cautioned that the project investment remains an estimate and may vary depending on circumstances.
Commissioning Timeline Extended to March 2027
The project was originally scheduled to be completed by December 2026.
The expected commissioning has now been pushed to the end of March 2027.
Borosil Renewables attributed the delay to the ongoing conflict in the Middle East, which it said has disrupted supply chains and contributed to exchange-rate fluctuations and higher commodity costs.
Capacity to Reach 1,600 TPD
The two new furnaces will add a combined 600 TPD of capacity.
With the existing 1,000 TPD capacity currently fully utilised, the expansion is expected to take total installed capacity to 1,600 TPD once the new facilities become operational.
The company expects the additional capacity to support higher production volumes and sales revenues.
Viksit Gujarat Industrial Policy 2026
The Board also took note of the Viksit Gujarat Industrial Policy 2026, notified by the Government of Gujarat.
Borosil Renewables said it would be eligible to apply for various financial incentives under the policy, including:
- Interest Subsidy
- Power Tariff Subsidy
- Capital Subsidy
- EPF Reimbursement
The actual benefits will depend on the company’s eligibility and the applicable conditions under the policy.
Funding Plan
The company stated that the overall project may be financed through a combination of equity, debt and/or internal accruals, as considered appropriate by management.
However, the company specifically stated that the ₹150 crore additional project cost will be met through internal funds without increasing borrowings.
What Investors Should Watch
The key factors to monitor following the latest announcement include:
- Progress toward commissioning by March 2027
- Final project cost versus the ₹1,100 crore estimate
- Ramp-up of the new capacity
- Capacity utilisation after commissioning
- Production and sales growth
- Funding requirements
- Impact of commodity and supply-chain costs
- Potential benefits from the Gujarat industrial policy
Bottom Line
Borosil Renewables has revised the estimated cost of its 600 TPD Bharuch expansion to ₹1,100 crore from ₹950 crore, while the commissioning target has moved to March 2027.
The company expects the expansion to increase total installed capacity to 1,600 TPD and support higher production and sales. The additional ₹150 crore cost is planned to be funded through internal funds without an increase in borrowings.
Disclaimer: This article is based on Borosil Renewables Limited’s regulatory disclosure dated September 22, 2026. It is for informational and educational purposes only and should not be considered investment advice.
