The Indian government has imposed a Minimum Import Price (MIP) of Rs. 20,108 per tonne on Disodium Carbonate which is also known as Soda Ash until June 30, 2025. The Directorate General of Foreign Trade (DGFT) issued a notification outlining this policy change. The MIP would regulate imports of soda ash to protect domestic industries from cheaper foreign imports. After June 30, 2025, the existing free import policy will be reinstated. This key material is used for industries such as detergent, glass, and chemical manufacturing.
Listed below are some of the stocks that might benefit from the government’s announcement to restrict Soda Ash with minimum pricing
Tata Chemicals
Tata Chemicals Limited, part of the Tata Group, is a leading sustainable chemistry solutions company founded in 1927. It operates through two main segments: Basic Chemistry Products, including soda ash and sodium bicarbonate, and Specialty Products, such as agrochemicals and prebiotics.
With a market capitalization of Rs. 26,823.29 Crores, the shares of Tata Chemicals Limited were trading at Rs. 1,052.90 per equity share, up 2.04 percent from its previous day’s close price of Rs. 1,031.80.
Its Revenue from operations improved by 0.02 percent from Rs. 3,998 Crores in Q2FY24 to Rs. 3,999 Crores in Q2FY25, accompanied by a profit of Rs. 495 Crores to Rs. 267 Crores.
GHCL
GHCL Limited, established in 1983, is a leading Indian producer of soda ash and sodium bicarbonate, serving industries such as detergents and glass. The company operates in two main segments: Inorganic Chemicals, which focuses on soda ash production, and Consumer Products, which offers edible and industrial salts.
With a market capitalization of Rs. 6,968.55 Crores, the shares of GHCL Limited were trading at Rs. 727.75 per equity share, up 8.01 percent from its previous day’s close price of Rs. 673.80.
Its Revenue from operations declined by 1.49 percent from Rs. 805 Crores in Q2FY24 to Rs. 793 Crores in Q2FY25, accompanied by profits of Rs. 143 Crores to Rs. 155 Crores.
DCW Limited
DCW Limited, formerly Dhrangadhra Chemical Works, is a prominent Indian
chemical manufacturer established in 1939. It specializes in producing a diverse range of chemicals, including soda ash, caustic soda, PVC, and synthetic rutile. The company operates two manufacturing units in Gujarat and Tamil Nadu, serving various industries while focusing on innovation and sustainability in its operations.
With a market capitalization of Rs. 2,705.10 Crores, the shares of DCW Limited were trading at Rs. 91.65 per equity share, up 2 percent from its previous day’s close price of Rs. 89.85.
Its Revenue from operations grew by 18 percent from Rs. 414.09 Crores in Q2FY24 to Rs. 488.74 Crores in Q2FY25, accompanied by a profit of Rs. 2.66 Crores to a loss of Rs. 1.25 Crores.
Written by Santhosh S
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