Assam's Brahmaputra Cracker and Polymer Limited earns net profit of Rs 690.53 crore, pays dividend worth Rs 212 crores

Brahmaputra Cracker and Polymer Limited (BCPL) has generated a revenue of 2,3243 crore, making net profit of 690.53 crore. 

On the other hand, BCPL has also paid a dividend of Rs 212 crores for the FY 2021-22 to the promoters.

Notably, Brahmaputra Cracker and Polymer Limited (BCPL) has been steadily and consistently improving performance generating operating profits from FY 2017-18 onwards and enhancing capacity utilization. 

The plant has been operating at more than 100 per cent capacity for the last four financial years. 

Efforts are on to sustain 100 per cent capacity utilization in this current year also. The company maintained a positive financial performance in the fiscal though there is a rise in international Gas prices and Crude Oil prices.

During the FY 2021-22, the company successfully and safely operated the plant on a sustained basis at 100.46 per cent capacity utilization producing 2.72 Lakh MT of Polymers and 55,923 MT of liquid hydrocarbons. 

The products were marketed to downstream industries achieving Polymer sales of 2.75 Lakh MT. The authorized share capital of BCPL is 2000 Crores and the paid-up capital is 1417.67 Crores as on 31 March 2022. 

Reep Hazarika, Managing Director, BCPL addressing the media persons in a press meet at Dibrugarh said that the market share of the company is steadily increasing with growing credibility amongst the customers. 

The two major ongoing flagship projects at a cost of 386 crore are Butene -1 and HPG-2. He also shared with the media that an amount of 19.10 crore for the FY 2021-22 was earmarked for CSR activities.

BCPL has constantly endeavoured to overcome challenges related to feedstock supply. The company is exploring all possibilities for ensuring naphtha availability and also a number of measures have been taken to augment natural gas sourcing both from PSUs and private parties. BCPL has signed an MoU with AGCL for supplying additional natural gas to the BCPL Lakwa plant.

BCPL has also initiated actions for de-bottlenecking & expansion for high-value products and boosting gross margin. For the enhancement of polymer production capacity, the debottlenecking study is being carried out in consultation with M/s EIL and the licensors. 

Further, the company is also exploring avenues for diversification of business.

The Managing Director, speaking on recent developments said that BCPL entered into an agreement with Syama Prasad Mookerjee Port, Kolkata (SMPK) in February 2022 As per the MoU, a streamlined logistic chain movement of feed as well as product will be set up at Haldia Dock Complex. The second MoU was signed in April 2022 with the Inland Water Authority of India (IWIA). 

The purpose of this MoU is to establish a framework of cooperation between IWAI and BCPL where BCPL expressed its willingness to use the National Waterway-2 (River Brahmaputra) and Indo-Bangladesh Protocol Route for transportation of their feasible products / raw materials through waterways.

The Company has been vigilant about the health & safety of both man & machine and committed to the protection of the environment to ensure a sustainable future. The company has been certified under the Integrated Management System comprising of ISO 9001:2015, ISO 14001:2015 and ISO 45001:2018 standards for Quality, Environment & Occupational Health and Safety Management Systems. 

Safety audits are regularly conducted both in-house and through the third party to ensure implementation of the Health, Safety and Environment (HSE) standards and to check emergency preparedness. Utmost care has been taken to avoid incidents inside the plant complex. BCPL Laboratory is accredited in accordance with latest NABL standard and BIS license obtained for polymer product.

BCPL has commendably and consistently won laurels and bagged several awards in areas of operations, safety, environment, energy, workplace culture and other fronts.

As on date, the primary products produced by BCPL are various grades of LLDPE, HDPE and PP. There are few by-products that are also being produced by BCPL namely Hydrogenated Pyrolysis Gasoline (HPG), Carbon Black feedstock (CBFS), Wash Oil and Slop Oil.

As far as exports are concerned, BCPL has been exporting certain quantity of LLDPE to Bangladesh (approx. 120 MT per month during FY 2021-22 and 160 MT per month for FY 2020-21). Presently average sales of BCPL polymer in Assam is approx. 2700 MT per month and that in the NER is 3100 MT per month. 

In order to promote the plastic processing units in NER, BCPL apart from the normal trade, offers a special scheme called the Northeast Entrepreneur Development Scheme (NEEDS) specifically to the processors of Northeast.

Briefing the media on company's commitment to Corporate Social Responsibility (CSR) activities, Hazarika said that BCPL has taken up many projects in consultation with the District Administration and will focus on Health & Nutrition in the financial year 2020-21 and 2021-22 which is the theme declared by Department of Public Enterprises for implementation of CSR. 

Projects like infrastructure development of AMCH and local PHC is underway. Under skill development, BCPL is imparting training & assisting in setting up of various weaving units, commercial farms & fisheries to ensure employment generation and permanent income source. He said that the company extended best possible aid to combat COVID pandemic including providing oxygen cylinders to government hospitals, distribution of PPE kits and essential commodities to local people. Further, BCPL also contributed to CM relief fund and PM Cares fund to fight the pandemic.

In order to create a meaningful industry academia collaboration in various shared domains, BCPL signed MoUs with CSIR NEIST, Assam Institute of Management (AIM) and DHSK College, Dibrugarh to work jointly in various areas of research, education, social awareness and career enhancement of students.

Speaking on the engagement of manpower, Hazarika said that adequate care is being taken in recruitment to have major representation of the local population. Most of the skilled / semi-skilled/unskilled workers engaged in the construction work are from Northeast. The Company has a vibrant manpower team of over 600 permanent employees and around 2600 manpower under contract.

He further said that as a responsible corporate entity, through its CSR & CER initiatives, the company is taking up socially relevant programs promoting wholesome & sustained growth of the general populace. 

Various awareness programme towards environment protection and conservation, energy conservation, swachhta etc. are being organised from time to time in nearby educational institutes.

The Managing Director extended his thanks to the local media, District Administration. stakeholders and associates for their support and cooperation in various company affairs.