GPIL to enhance capacity
Gontermann Peipers India Ltd has decided to embark on an expansion-cum-modernisation exercise to enhance its production capacities as well as produce value added rolls for the steel industry.
By TNN |
KOLKATA: Gontermann Peipers India Ltd has decided to embark on an expansion-cum-modernisation exercise to enhance its production capacities as well as produce value added rolls for the steel industry. Total outlay for the proposed expansion project is estimated at Rs 40 crore.
Completion of these projects, scheduled around end 2007, will enhance the company’s annual production capacity to about 18,000 tonne finished rolls, Gontermann Peipers said in a notice sent across to the stock exchanges on Tuesday.
Part of the PK-VK Mittal promoted Ispat group, Gontermann Peipers India is engaged in the manufacture of iron and steel base rolls. It is also one of the largest exporters of rolling mill rolls in the country.
In keeping with the future trend of business globally, Gontermann Peipers’ has decided to focus more on development of new products. It intends to foray into production of carbide rolls in ICDP (indefinite chill double poured) variety - specialised rolls used in rolling mills and high speed steel rolls.
With a number of new greenfield projects slated to come up over the next few years, the demand for such products is likely to increase in tandem as rolls are integral to steel production. Company officials too corroborated that the upturn in steel production has also resulted in increased demand for rolls. In particular, domestic demand for steel is slated to grow at the rate of 8-10% over the next few years. The National Steel policy is also targeting a capacity of 100 million tonnes per annum by 2019-20.
Market analysts closely tracking the group said that the company expects to benefit from the upsurge in the steel industry and the prospects for the rolls industry appears to be both promising and challenging in medium to long term.
Completion of these projects, scheduled around end 2007, will enhance the company’s annual production capacity to about 18,000 tonne finished rolls, Gontermann Peipers said in a notice sent across to the stock exchanges on Tuesday.
Part of the PK-VK Mittal promoted Ispat group, Gontermann Peipers India is engaged in the manufacture of iron and steel base rolls. It is also one of the largest exporters of rolling mill rolls in the country.
In keeping with the future trend of business globally, Gontermann Peipers’ has decided to focus more on development of new products. It intends to foray into production of carbide rolls in ICDP (indefinite chill double poured) variety - specialised rolls used in rolling mills and high speed steel rolls.
With a number of new greenfield projects slated to come up over the next few years, the demand for such products is likely to increase in tandem as rolls are integral to steel production. Company officials too corroborated that the upturn in steel production has also resulted in increased demand for rolls. In particular, domestic demand for steel is slated to grow at the rate of 8-10% over the next few years. The National Steel policy is also targeting a capacity of 100 million tonnes per annum by 2019-20.
Market analysts closely tracking the group said that the company expects to benefit from the upsurge in the steel industry and the prospects for the rolls industry appears to be both promising and challenging in medium to long term.
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