Piramal Glass on trial runs for dual furnace firing to beat high fuel cost
View(s):Piramal Glass Ceylon PLC (PGC) is carrying out trials for dual furnace firing in its glass-making factories in an attempt to beat the high cost of furnace oil, officials say. Having recorded its highest ever turnover this year of Rs. 6,755 million and a profit after tax (PAT) of Rs. 654 million for the year ending March 31, 2016, the company still has concerns on furnace oil costs. They had lobbied for a pricing formula for fuel in which furnace oil also is considered under the formulae pricing linked with global crude oil price.
“We are hopeful that this will be done, but in the meantime to manage our costs, we are doing trial runs for dual furnace firing which is both furnace oil and LPG,” Sanjay Tiwari CEO/Managing Director PGC told the Business Times. “This expansion also includes further investment in more sophisticated down-stream facilities,” he said. Revenue achieved for the year by PGC was Rs 6,755 million, showing a growth of 17 per cent as against Rs. 5,792 million of the previous year and this growth was mainly due to domestic sales which saw growth of 23 per cent from Rs. 4,422 million to Rs. 5,436 million, according to a company media release.
The major portion of the growth came from food and beverage segments. The export market remained constant for the year under review as the focus was to service the growth in the domestic market. The release said that some mid mass export orders were deferred to make available capacity for the domestic production. “Yet amidst these constraints it was motivating to see several new products being designed and launched in the USA market. In the export portfolio USA is now amongst the top three exporting locations of PGC”.