HomeBUSINESSShyam Steel to invest ₹2500 crore in greenfield, brownfield projects

Shyam Steel to invest ₹2500 crore in greenfield, brownfield projects


NEW DELHI: TMT bar manufacturer Shyam Steel on Wednesday announced plans to expand its retail operations across northern India and invest 2,500 crore in greenfield and brownfield projects to boost production capacity.

Northern India has huge growth potential for the steel sector, and Shyam Steel will aim to be one of the leaders in the primary TMT bar segment across the region, the company said in a statement.

“We are on a major expansion drive to revamp our retail business operations across North India. We will be expanding our dealer distribution network across Delhi, Punjab, Haryana, Jammu & Kashmir, Himachal Pradesh, Rajasthan, and the NCR region. We are also looking to expand our production capacity from 0.7 million tonnes a year to 1.35 million tonnes a year in the next four years’ time to cater to the demands in the North India market,” said Lalit Beriwala, Director, Shyam Steel Manufacturing Limited.

Shyam Steel plans to obtain around 250 dealers in each of the above-mentioned states by next year. The company also hopes to generate employment for 200-300 people in each of the states, and generate business of around 1,000 crore from its northern India operations in the next two to three years.

Currently, Shyam Steel has a production capacity of 0.7 million tonne a year, and by April 2023, it plans to expand this to 1 million tonne a year. For this, the company is currently undertaking brownfield investment of around 1,000 crore in its integrated plant in Mejia, Durgapur. The expansion work will be completed by April 2023.

The company plans to invest another 1,500 crore in its greenfield plant in West Bengal for which it has acquired 600 acre of land in Raghunathpur, Purulia.The plant will have an estimated production capacity of 0.35 million tonne per year and will be fully operational by September 2025.

Shyam Steel reported a turnover of 4,500 crore last fiscal year and will be looking to double this to 9000 crore over the next three years.

“We have done an extensive survey across North India in the last six months and have found that there is a huge potential and demand for good quality TMT bars. We want to give our dealers the same quality of TMT bars that are used in the big infrastructure projects, and our team is conducting awareness drives for the dealers across North India to make them aware of the need to use good quality TMT products. Shyam Steel Apna Ghar app will also be an added advantage for us to actively engage with our target audience and business partners,” said Beriwala.

The group has four integrated steel plants located in Durgapur, Mejia, Bamunara, and Howrah.

Catch all the Corporate news and Updates on Live Mint.
Download The Mint News App to get Daily Market Updates & Live Business News.


Subscribe to Mint Newsletters

* Enter a valid email

* Thank you for subscribing to our newsletter.

Post your comment


Source link


Most Popular

Recent Comments