Demand at pre-COVID levels; expect 35-40% margin in medium to long term, says Vinati Organics MD

Vinati Saraf Mutreja, managing director (MD) of Vinati Organics, a specialty chemical company, on Monday said that the demand for all products is now at pre-COVID levels.

Speaking in an interview to CNBC-TV18, she said, “Business is doing good and demand for all our products has gone up to pre-COVID level. In fact, at some places we have seen higher demand because of pent-up demand. Therefore, in the long-run 30-35 percent on average is quite achievable for margins.”

“However, raw material prices have gone up and some have gone up unexpectedly which can't be justified by the crude price increase. So let’s see whether those are to stick around, but as we see logistics situations easing out, maybe those prices will also ease out in the future,” said Saraf.

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