Usha Martin expects to complete expansion in 30 months

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 in Kolkata today.

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 in Kolkata on Tuesday.

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"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.