New Delhi : The entire business sector of the country has been badly affected due to the Corona pandemic. But this news will give a sigh of relief to the traders working in the chemical sector. There is good news for the traders working in the chemical sector. N Chandrasekaran, chairman, Tata Chemicals, said that the demand for chemicals is seeing an increase at the global and domestic level. The demand for chemicals will reach the pre-covid level in the current financial year. Addressing the shareholders at the 82nd Annual General Meeting of the company, he said that in 2020 there was a sharp decline in its demand due to Corona, but till now there has been a lot of improvement.
Demand for chemicals increased in many countries
Not only in Asia, but also in the UK, Europe and US markets, the demand has improved, he added. This is expected to continue throughout the year. Gradually, the demand for chemicals will reach pre-pandemic levels. Let us tell you that the chemicals stock has gained momentum for some time now and it has given good returns in the last one year. Talking about Tata Chemicals itself, it has given returns of 7.2 percent in the last one week, 8 percent in a month, 60 percent so far this year and 148 percent in the last one year.
Here is the performance of Tata Chemicals
Shares of Tata Chemicals closed at Rs 767.70 this week. The 52-week high is Rs 833.95 while the low is Rs 273. The company’s market cap is 19,557 crores. Promoter’s stake in this company is 37.98 percent. Public holds 27.20 per cent, Domestic Institutional Investors 20.81 per cent and FIIs hold 14.03 per cent.
What is the status of chemical sector
The largest company in the chemical sector is Coromandel International. It has given a return of 21 per cent in a year. Tata Chemicals is the second largest company. It has given 148 per cent, Chambal Fert 100 per cent, Fert and Chem 181 per cent and GNFC 140 per cent.
Company’s revenue declined by 2%
He said the company’s consolidated revenue declined by two per cent due to fall in US soda ash prices. R Mukundan, Managing Director and Chief Executive Officer (CEO) of Tata Chemicals, who was present on the occasion, said that the demand for chemicals is returning and its prices are also reaching normal levels. Margins will also normalize by the fourth quarter of this year, he added.
Mukundan said that talking about the major achievements in the basic chemical industry, our salt sales were the highest. Between India and UK, we have crossed 1.5 million tonnes sales. He said additional storage capacity of 180,000 tonnes and salt capacity of 1.4 million tonnes are on track and are progressing as planned.