IOCL, MCPI joint venture to develop polyester facility in Odisha

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Energy major Indian Oil Corporation (IOCL) and MCPI are constructing a mega-scale polyester and synthetic yarn manufacturing complex at the Bhandaripokhari Textile Park in the Bhadrak district of Odisha. Valued at Rs 4,382 crore, the equal equity joint venture features a core 900 tpd continuous polymerization unit designed to feed advanced downstream facilities producing Draw Textured Yarn, Fully Drawn Yarn, and polyester chips. Experts say, the project addresses a long term raw material deficit for domestic weaving and apparel clusters by shortening supply chains. Securing indigenous polyester feedstock locally reduces vulnerability to volatile import freight rates and protects manufacturing margins,. By linking eastern refinery outputs directly to technical textile and apparel production, the initiative aims to strengthen domestic self-reliance while driving industrial employment in the region.

A central public sector enterprise, Indian Oil Corporation is engaged in the exploration, refining, and marketing of petroleum products, alongside expanding petrochemical operations. Its primary markets span domestic energy and industrial chemical sectors across South Asia. The enterprise pursues aggressive downstream diversification to enhance its petrochemical intensity and secure long-term industrial demand. Financially, the corporation manages multi-billion-dollar revenues, though recent quarters reflect standard commodity margin fluctuations. Established in 1959, IOCL has historically driven India's strategic fuel distribution and is currently spearheading national self-reliance initiatives in synthetic fiber value chains.