Electrosteel ties up with Chinese firm for technical aid
Chinese steel giant Laiwu Steel Group will provide technical assistance for Electrosteel Steel Ltd's upcoming 2.5-million-tonne (mt) steel plant at Bokaro in Jharkhand that is expected to start production next month.business Updated: Nov 15, 2011 22:24 IST
Chinese steel giant Laiwu Steel Group will provide technical assistance for Electrosteel Steel Ltd's upcoming 2.5-million-tonne (mt) steel plant at Bokaro in Jharkhand that is expected to start production next month.
The plant is being set up at an investment of Rs 9,500 crore and is spread over 200 acres.
"Laiwu Steel Group Ltd will be involved from the start-up of the plant, commission and ramp the production from the plant to its designed level of 2.5-mt production capacity within the shortest possible timeframe of six months and ensure that the plant achieves 90% production level," said Tian Kening, vice chairman, Laiwu Group.
Laiwu produces more than 15 mt of steel in China, the world's biggest market for the commodity, and is known for quickly ramping up production to the peak capacity. This is the first time that manufacturing process from China is being used in India.
"This arrangement will help us in a big way," said AV Shah, chief marketing officer, Electrosteel Steels Ltd (ESL). "China is accepted as factory for the world and we will have access to their best manufacturing practices."
The employees of ESL would be trained by Laiwu with special operational practices prevalent in China to ensure that the plant achieves the desired capacity in six months. Construction of the plant is almost complete.