Hisar-based Vibhor Steel Tubes is looking forward to increasing its total manufacturing capacity to 3.41 lakh tonnes by setting up a new unit in Odisha planned to be commissioned by the first quarter of FY24-25.
Feb 07, 2024
Vibhor Steel Tubes Ltd (VSTL) aims to enhance its total manufacturing capacity to 3.41 lakh tonnes by venturing into an offbeat territory with the establishment of a new unit in Sundargarh, Odisha. The Hisar-based steel manufacturer currently operates two plants-one in Mahabubnagar, Telangana, and another in Raigad, Maharashtra-with a combined installed capacity of 2.21 lakh tonnes. As per the company’s Chairman, Mr. Vijay Kaushik, the new project in Odisha will enhance their capacity from 1,20,000 MT to 3,41,000 MT. The company has already acquired the land and has placed orders for acquiring machinery and equipment funded through internal accruals and aims to commission the plant by the first quarter of FY24-25.
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The new facility will focus on manufacturing value-added products like crash barriers and monopoles, aimed at enhancing margins. The company also unveiled its plans to extend its reach by tapping the foreign markets once the facility becomes operational, leveraging proximity to raw material supply to reduce freight costs post-expansion. Additionally, Vibhore Steel Tubes has renewed its agreement with Jindal Pipes to manufacture and supply finished goods under the Jindal Star Brand with a tenure of six years.
