SRF Limited is reportedly investing close to $58m in building a new biaxially-oriented polyethylene terephthalate (BOPET) film production plant in the Indian state of Madhya Pradesh.
Of the total investment, around $40m will be provided in financing by World Bank Group member International Finance (IFC).
The proposed greenfield BOPET film plant, to be situated in Indore, will have a capacity of 30,000 tons per annum (TPA) and a metallisation capacity of 8,000 TPA, according to media sources.
More than 60% of the plant's output will be used in the packaging of food and beverage products.
The facility is expected to create nearly 200 jobs, VCCircle reported.
IFC was quoted by VCCircle as saying: "The proposed investment will strengthen the relationship as IFC and SRF continue to engage on opportunities within and outside India."
Made out of stretched polyethylene terephthalate (PET), BOPET film offers high tensile strength, chemical and dimensional stability, transparency, reflectivity, gas and aroma barrier properties, and electrical insulation.
Earlier in 2012, IFC provided $85m in financing for SRF's green-field projects in Thailand and South Africa.
Established in 1970, SRF manufactures intermediates. Its business portfolio covers technical textiles, fluorochemicals, specialty chemicals, packaging films and engineering plastics.
The company has operations in Madhya Pradesh, Rajasthan, Uttarakhand, Tamil Nadu and Gujarat.
SRF exports packaging films to around 70 countries.