"The formation of this sub-committee follows the reconstitution of HOCL board by inducting three non-official members as per the terms of its mini-ratna status," a statement said here on Monday.

A five-year R&D plan was being reviewed with emphasis on value-addition, Hindustan Organic said, adding that the committee had met and taken stock of the present status, discussed future growth plans and directions required in R&D.

The sub-committee has the director of the National Chemicals Laboratory as its chairman.

HOCL had set aside 30 per cent of its R&D budget for sponsoring certain schemes at a number of national institutes aimed primarily at developing new molecules and processes for products with established application to respond to new markets,the statement said.

The company's R&D thrust had led to overall recurring savings to the organisation worth Rs 6 crore per annum in the last three years and a one- time saving of Rs 2.6 crore, it said.