Usha Martin expects to complete expansion in 30 months

Kolkata, July 27 (IANS) Speciality steel and wire rope manufacturer Usha Martin Limited expects to complete its planned Rs.1,200-crore capital expenditure in the next 30 months, a top company official said here Tuesday.

‘The projects would be funded through a mix of debt and internal accruals,’ Chairman Prashant Jhawar said during the company’s annual general meeting.

The Rs.1,200-crore would be spent for setting up coke oven plant, a pellet plant, ore beneficiation plant, power plants and a direct reduced plant, the company had said earlier.

With the commissioning of the sinter plant, the company’s plan to achieve 1 million tonne steel making capacity would be completed by August. It is part of Usha Martin’s current Rs.2,100-crore expansion plan.

However, the company plans to gradually scale up actual production. In 2010-11, it would produce 600,000 tonnes of steel, which would be scaled up to 800,000 tonnes and 1 million tonne in 2011-12 and 2012-13 respectively, he said.

Talking about their interest in China, he said: ‘We have made a breakthough in the Chinese market recently with an order for wire ropes for oil and gas sectors.’

‘China would be our key focus market. We would be shortly visiting China for better understanding of that market.’

The company is exploring possibilities of setting up a sales and distribution office in China, he said.

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