VOLUME I | ISSUE I | JANUARY 2010
Rs. 125
WIRE BULLETIN India’s Quarterly Bulletin Dedicated to the Wire and Cable Industry
ASK THE EXPERT Q: What are the common methods used to test wire springs?
See answer on p. 11
Q: How are the correct dimensions
determined in the production of extension springs?
See answer on p. 11
NEWS BITES • China-Asean treaty threatens Indian exporters
Tata Communications launches Gulf cable project Tata Communications, as part of its strategic intent to participate and assist in the rapid development of the Middle East region, has signed strategic partnership agreements with several of the major telecommunications operators in the Middle East to construct a new cable system into the Gulf. The new cable will connect the region directly to the world’s major business hubs and city centres via Tata’s Global Network (TGN). The partners, Bahrain Internet Exchange in the Kingdom of Bahrain, Nawras of Oman, Qatar Telecom of Qatar, Mobily of the Kingdom of Saudi Arabia and Etisalat of the United Arab Emirates will each be the exclusive landing party for the TGN Gulf Cable System in their respective geography. The cable and the
relationships with the landing parties will be further developed to provide an extended portfolio of value-added services for local and global enterprise customers who are active in this rapidly expanding emerging market. Commenting on the development, Vinod Kumar, President and COO of Tata Communications, said: “This partnership with the top operators in the Middle East to build the TGN Gulf Cable System underscores our aspirations to be a key player in the emerging markets space. Each of these partnerships will create mutual benefits that will multiply steadily as companies in the Middle East expand out to the rest of the world and as global MNCs seek connectivity to expand their operations to this fast growing region.” continued on p. 3
• Going green: Tata’s new mantra • GM drives in ‘Beat’ at Rs 3.34 lakh • Marico acquires Colgate-Palmolive’s ‘Code 10’ brand
ABB wins order for Namma Metro in Bangalore
• Ranjitsinji’s cricket bat stolen from ancestral palace
ABB has won an order worth Rs 506 crore from Bangalore Metro Rail Corporation Limited to provide power solutions for a metro network in Bangalore, India’s leading technology hub. The first phase of the Bangalore mass rapid transport system comprises two main lines covering 42 kilometres, about one-fifth of it underground and serving 41 stations. ABB will design, supply, install and commission four substations that receive and distribute electricity, each rated at 66/33 kilovolts, as well as the auxiliary and traction sub-stations. Products to be supplied include transformers, capacitors, relays and the associated cables and switchgear as well as an integrated network management or SCADA system to monitor and control the installations. Equipment will be supplied from ABB’s Vadodara, Nashik, and Bangalore units. “Transformers and switch gear, which are critically important com-
• Diamond Cables raised Rs 30 crore from Tata Capital as a long-term working capital loan.
QUOTEABLE QUOTES is an immutable law in business “thatIt words are words, explanations are explanations, promises are promises but only performance is reality.” ~ Harold Geneen waste time learning the “tricks “of Don’t the trade.” Instead, learn the trade.” ~ James Charlton
ponents, will be manufactured and supplied from Makarpura, which is our largest facility in India,” a company official said.
Bangalore’s population has grown significantly in recent years, to about 7 million, as the economy and businesses have expanded and created new jobs. The urban population is expected to rise to more than 8.5 million by 2011.|WB
KEC International expands its wings
IN THIS ISSUE: Editorial .............................. 2 World Calendar ................... 3 Industry News ..................... 4 People ................................ 6 Featured Concepts .............. 7
KEC International, engaged in the business of power transmission engineering, procurement and construction (EPC), recently announced winning six international contracts totaling Rs 550 crore. The orders include five in Algeria for Rs 474 crore and one in Abu Dhabi for Rs 76 crore. The last also happened to be the second big international order for the company in the December quarter, after the Rs 470 crore order it won in October.
Production Tips ................. 10 Products, Media, & Technology..................... 11 Technical Papers ............... 12 Classified & Ad Showcase.......................... 16
The Algerian orders are for laying transmission lines, the company’s core business, whereas the Abu Dhabi order is for modification and reallocation of existing lines, the first such order for the company
internationally. These orders take the total orders received during this quarter to more than Rs 1,300 crore, or about a fourth of its order backlog as of the end September 2009. While they are marginally lower compared to the orders received during the September 2009 quarter, the pattern is more distributed considering geographies and the scope of the work. “In Algeria, for CEEG Spa, KEC will undertake five turnkey projects of 400 KV, 200 KV and 60 KV, covering both single and double circuit transmission lines worth Rs 474 crore. The total length of these five projects is 858 km and the completion period ranges from 12 to 18 months. In Abu Dhabi, KEC will execute a project of modification and reallocation on existing lines with design and supply of emergency line restoration system (ERS) in Ruwais and Shuweihat for Abu continued on p. 3
Ramsarup Industries seeks to double its steel wire capacity
Kolkata-based Ramsarup Industries plans to invest Rs 500 crore to double its steel wire making capacity in West Bengal over the next three to four years, a top company executive said. The expansion will be funded through a mix of internal accruals, debt and fresh issue of shares. The company that clocked revenues of Rs 2,000 crore for the year ended March 2009, had recently announced plans to raise Rs 100-125 crore through issue of new shares to institutional investors to meet its expansion plans. Currently, the company operates two steel wire plants in Kalyani and Durgapur with production capacities of 0.22 million tonnes and 0.07 million tonnes, respectively. “We intend to add another 0.3 million tonnes to our Durgapur plant in a phased manner by 2013,” said Ashish Jhunjhunwala, Managing Director, Ramsarup Industries. As part of a backward integration strategy, the company is also setting up a 0.7 million tonne steel plant in Kharagpur that is for production of steel billets. Meanwhile, Ramsarup Industries has signed an agreement with the West Bengal State Electricity Distribution Company (WBSEDCL) to supply surplus electricity generated by its waste heat, gas-based 22 MW power plant at Kharagpur. The plant was set up using technology from Outokumpu, a German firm. “This is likely to generate additional revenue of Rs 60 crore every year,” Jhunjhunwala said. The company will set up another 50 MW power plant at the same location in the next 18-20 months, which would generate power from char produced in the steel plant. Involved in the manufacture of steel wires and TMT bars, the company commenced production of its 500 tonnes per day (TPD) direct reduced iron (DRI) plant in June 2009.|WB
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