Page 113 - Tata_Chemicals_yearly-reports-2019-20
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Integrated report            Statutory reportS            FInancIal StatementS
                                               Management Discussion and Analysis


            with supplies across South-east asia after product qualification   the  Company  is  evaluating  significant  expansion  of  its  existing
            from the new facility. there has also been considerable progress   silica  capacity with a  focus on  next-gen  HdS  products  and on
            in the qualification process by  major  global consumers of   exploring product and market growth adjacencies to build a larger
            FoS  (fructo-oligosaccharide)  and  the  feedback  has  been   Material Sciences portfolio.
            encouraging. the qualification is in progress and is expected to
            be favourably concluded soon.                      Nano Zinc Oxide
                                                               under the Specialty products portfolio, the Company has entered
            due to Covid-19, many  tCl customers are likely to defer   into the production of  nano Zinc  oxide, which was developed
            new product introduction, particularly the Food & Beverage   at the Innovation Centre in pune and has multiple applications
            customers, while additional sales opportunities are expected   for its anti-microbial, anti-fungus and  uV-blocking properties.
            from  nutraceuticals  companies,  particularly  in  the  area  of   the Company collaborated with a customer to harness the anti-
            immunity and gut health. the Company is re-calibrating its plans   microbial and anti-viral properties of nZno amidst the pandemic.
            as the situation evolves.                          Currently, it is finding use in face masks as an added layer of
                                                               protection against Covid-19. the Company is at present working
            Material Sciences                                  with paints, Coatings & adhesives, plastics & polymers and personal
                                                               Care & Cosmetics industries to build the portfolio. It would be
            Silica & Highly Dispersible Silica (‘HDS’)         focussing on nano-materials linked to nano-adhesives and nano-
            precipitated silica is a highly versatile product that finds application   formulations aimed at anti-viral and antimicrobial application.
            in a wide range of industries, including tyres, non-tyre rubber
            goods for industrial (e.g. conveyor belts and hoses), consumer   Energy Sciences
            applications  (e.g.  footwear)  and  several  non-rubber  essential   lithium-ion cells are one of the most critical components in an
            products like packaged food, feed, oral care, agro-chemicals,   electric Vehicle, which is seen as the preferred mode of transport
            detergents, etc.                                   for a less polluted future. With its inherent strengths in chemistry,
                                                               tCl  is  creating  a  platform to become  a  world-class  provider
            tCl’s wide range of conventional silica and HdS products allows   of cutting-edge and disruptive electro-chemistry solutions for
            it to participate in this large domestic and global market poised   energy Storage. It has a unique opportunity to build a truly circular
            for  significant  growth. While  FY  2019-20  witnessed  some  short-  economy around  lithium-ion technology, starting from active
            term challenges in select application segments, the overall market   materials to cell and battery manufacturing and finally to recycling
                                                               critical materials from used batteries.
            demand growth remained healthy in line with  gdp growth.
            the Company believes that long-term trends, like tightening   the Company is partnering with leading battery makers around
            automotive emission standards, would drive demand for high-  the world for contemporary commercial cells, global  r&d labs
            performance and fuel-efficient green tyres, which need superior   for next-generation technologies and Indian  r&d centres (like
            materials like HdS.  the Company has seen a similar demand   ISro and Council of Scientific and Industrial  research - Central
            growth for high-performance silica products in other application   electro Chemical research Institute [CSIr-CeCrI]) for indigenous
            segments, like non-tyre rubber goods and non-rubber segments,   development of actives, cells and recycling. tCl also has interests
            many of which are supported by a robust demand base of essential   in some of the newer chemistries that are under development in
                                                               the labs and it is working actively with some of the leading global
            products.
                                                               players in the segment.
            In this business, FY 2019-20 marked the start of commercial   For manufacturing, it has invested in a plant site of over 127 acres
            production and subsequent ramp-up of sales volumes, driven   of land in dholera, gujarat. this site can house the manufacturing
            by the launch of several new product grades and expansion of   of actives, cells and batteries up to 10 gWh per annum, as well
            customer base and distribution network. tCl expects to accelerate   as recycling operations. the lithium-ion cells and battery packs
            this growth momentum in FY 2020-21 despite significant market   with lithium Iron phosphate (lFp) and lithium nickel Manganese
            headwinds related to Covid-19. It plans to do so by broadening   Cobalt oxide (nMC) chemistry in cylindrical and pouch forms will
            and deepening its customer base and delivering on its unique   find application in the automotive sector, as well as stationary
            value proposition: a cutting-edge portfolio leveraging its HdS   energy storage.
            platform technology; consistent product quality enabled by strict   tCl has established a Battery pack engineering Centre in pune, in
            process and quality control; post-sales application support out of   collaboration with tata technologies. Its scientists at the Innovation
            its r&d lab, with deep materials knowhow; and a quick and reliable   Centre in pune are working on the cell and active manufacturing
            order fulfilment, leveraging the larger SCM and customer service   technologies. Making use of its capabilities, tCl has also launched
            capabilities of tCl.                               battery recycling operations.


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