RPG Group’s engineering and infrastructure services company KEC International’s new cables plant in Baroda will start its production in April. The project launched in April last year is on the track said, Ramesh Chandak, managing director and chief executive officer, KEC International. The company has invested Rs 175-crore in the new Baroda cables plant.
The facility designed by international consultants will manufacture high tension and extra high tension wires. “The machines are best in class and have been brought in from Germany and Italy,” said Chandak. “It’s a green facility and will help us attract carbon credit conscious western customers.”
The overall cables business, which is currently valued at Rs 12,000 crore, is expected to grow to Rs 20,000 crore during the latest five-year plan. The cables business accounts for Rs 500 crore of KEC’s total business and they will expand this business in 20 countries once the Baroda plant starts production. KEC International expects its order book to grow 35-40% and will be a big boost to the group’s extra high voltage business. The return on investment, Chandak said, would be reasonably good. “The returns won’t be abnormally high but the future prospects of this business are extremely bright,” Chandak said.