Kolkata based ferroalloy manufacturer SKP Group plans to increase the share of exports through its new unit at Visakhapatnam in Andhra Pradesh, which is likely to be operational by June end.

The plant is being built at a cost of INR 153 crore. It will manufacture bulk ferroalloys such as ferromanganese, ferrochrome and ferrosilicon.

According to Mr Ankit Patni the group’s joint managing director, rupee devaluation has helped boost export values while volumes have remained subdued. Exports account for half of the group’s turnover, which stood at INR 4,000 crore in 2011-12.

Mr Patni told Business Line that “Impex Metal and Ferro Alloys Ltd, a group company primarily into trading of alloys, has set up two furnaces of 18 MVA each for manufacturing of ferroalloys at Visakhapatnam.”

Depending on the kind of ferroalloy to be produced, manufacturing capacities would vary between 30,000 and 80,000 tonnes of end product. He said that “Nearly 100% of the production at Visakhapatnam will be exported.”

The group has lined up investments worth INR 1,000 crore for expanding its manufacturing capacities over next two years.

Plans are afoot to set up ferroalloy plant for manganese in Raipur and a 1.8 million tonne pellet making plant at Orissa.

He added that “We will invest about INR 200 crore in putting up five 9 MVA ferroalloy plants in Raipur. We have already purchased the land, the financial closure will happen soon.”

For the pellet making plant, the process of land acquisition is likely to be complete by September. The company will pump in INR 1,000 crore over next three years for this plant.

Source – Hindu

source: http://www.steelguru.com / Monday, June 11th, 2012