Shyam Steel on expansion spree

Hyderabad: Shyam Steel, producer and manufacturer of primary TMT bars, has announced its major plans to expand and revamp its retail operations across the Telangana and Andhra Pradesh markets followed by other States. The company reported a turnover of Rs 4,500 crore in the last fiscal year and looking to double it to Rs 9,000 crore over the next three years.

Currently, the company has a production capacity of 0.7 million tonnes a year, and it plans to expand its capacity to 1 million tonnes a year by April 2023.

For this, it is undertaking major brownfield investments of around Rs 1,000 crore in their state-of-the-art integrated steel plant in Mejia, Durgapur. The expansion work for the plant will be completed by April 2023.

Shyam Steel is also planning to invest another Rs 1,500 crore in its greenfield plant in West Bengal. The company has already acquired 600 acres of land in Raghunathpur, Purulia, and the work for the project will commence shortly. The plant will have a production capacity of 0.35 million tonnes per year and it will be fully operational by September 2025.

Shyam Steel plans to onboard more than 500 dealer distributor networks in the Telangana and Andhra Pradesh markets over the coming five years. Its business activity will also drive immense potential for employment generation which will increase as per the growth of the business in the region. It is bullish on its growth potential and planning to be a part of every dream home.

The group has roped in Indian actor Vijay Devarakonda as its brand ambassador. Vijay Devarakonda is the newest member to be added to the pantheon of famous endorsers for Shyam Steel. Lalit Beriwala, Director, Shyam Steel Industries Ltd said, "We are on a major expansion drive to revamp our retail business operations pan India with a more focused approach."

"We are aggressively looking to expand our production capacity from 0.7 million tonnes a year to 1.35 million tonnes a year in the next four years to cater to the demands for this market. We feel there is a huge demand for good quality TMT bars and we want to give our dealers and consumers the same quality of TMT bars that are used in the big infrastructure projects," he added.

The Southern India market has witnessed a steady economic growth in all the core sectors of the economy. Focus of the State governments on infrastructural development, construction of urban and rural housing, roads, bridges, and creation of more irrigation facilities will contribute towards the growth of steel business in the region.