Chemplast Sanmar has partially restarted operations at its EDC manufacturing plant in Karaikal following the receipt of provisional revocation of the prohibition order. According to a regulatory filing made before market hours, the company received provisional revocation from the Inspector of Factories, Puducherry and the Puducherry Pollution Control Committee (PPCC), allowing it to restart operations at its Karaikal facility. The company has implemented required corrective measures and resumed operations subject to specified conditions.
The recommencement follows a fire incident at the facility in July 2026 and subsequent regulatory directions that had halted operations. As reported by Business Standard, the development represents a significant milestone for the company's manufacturing capabilities at this strategic location. The recommencement will remain under review by the PPCC before the final revocation order is issued, indicating ongoing regulatory oversight of the facility's operations. The plant experienced an operational disruption that led to prohibition and closure orders issued by local industrial and environmental authorities in July 2026.
Alongside the operational update, Chemplast Sanmar provided details regarding the financial and material impact of the disruption. The estimated damage to plant and machinery stands at approximately ₹5 crores. The company has formally intimated its insurance providers, and the assessment of the financial loss remains under progress. The total impact on production and financials will be fully quantified and presented once the final revocation order is issued by the regulatory authorities.
The scrip rose 0.28% to currently trade at ₹198.20 on the BSE following the operational restart announcement. As reported by Business Standard, the positive market response reflects investor confidence in the company's ability to resume operations at its Karaikal facility and the potential impact on future financial performance. The stock hit an intraday high of ₹202.40 and intraday low of ₹191.10 during the trading session, with a net turnover of ₹100.94 lakh. The total number of shares traded during the day was 51,223 in over 653 trades.
