Surya Group to invest Rs 100 crore to set up a pipe manufacturing plant in South India

Chennai, India, August 20, 2010: To meet the increasing demands arising out of Tamil Nadu, Karnataka and Andhra Pradesh, Surya Global Steel Tubes Ltd, is planning to expand its presence in South India with the establishment of a new pipe manufacturing plant.

Surya Global Steel Tubes Ltd, a subsidiary of the Rs 2,000 crore Surya Roshni Group, will set up the plant at Shimoga in Karnataka with an investment of Rs 100 crore. The company has already imported a modern pipe plant with best technology for installing in the new unit.

The expansion will make Surya the largest G.I. pipes manufacturer in the country with its steel pipes manufacturing units spread over different locations at Bahadurgarh in Haryana, Gwalior in Madhya Pradesh and Bhuj in Gujarat producing over 3 Lakh metric tons per annum.

Apart from setting up a unit at Shimoga, the Surya group is adding fifth and sixth plants at its existing Bahadurgarh factory to augment the G.I. pipes production capacity to meet increasing global demand.

Commenting on the expansion plan, Mr.J.P.Agarwal, CMD of Surya Group said, “Our quest for expansion of the production facilities of steel pipes is a continuing process to meet the growing demand. With our constant stress on quality and rich experience of four decades we have naturally acquired a name as premium brand”.

Adding further, he said, “We have installed high speed mills of Japanese technology that ensures high quality and energy saving. We also use the perfect high frequency welding machines imported from England that offers 100% leak proof pipes. We have also installed a gas generator set, imported from England for continuous supply of electricity.”

Commenting on the choice of strategic locations for the units, he said, “The steel pipe plant located at Gwalior (MP) would meet effectively the demand of our customers in Central India. We have also set up in the same place a plant for making Steel High Mast & Pole with international technology. The steel pipe factory in Bhuj (Gujarat) would serve Western India market as well as exports. This plant situated near the port can also avail the benefits of cost effective imports of HR Coils to produce high quality steel pipes made out of imported materials. Eventually we envisage that this plant will become one of the largest manufacturing units of G.I. pipes with the gradual expansion proposal. Incidentally the steel pipe plant located at Bahadurgarh (Delhi-NCR) has the distinction of being one of the largest factories at a single location in India for G.I. pipes.

The Surya group also produces pipes for transportation of oil and gas conforming to the standards of American Petroleum Institute (API). The group has been manufacturing and supplying API quality pipes for a long time from NCR plant and has since commenced production of the same from its factory at Bhuj (Gujarat) as well. The unit at Bhuj would manufacture steel pipes in the range of 4″ inches to 100″ inches from grade B to X80 in API quality. Its products also conform to BIS, ASTM and European standards. Visit www.suryaglobal.com for more details.

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