VOLUME I | ISSUE IV | OCTOBER 2010
Rs. 125
WIRE BULLETIN India’s Quarterly Bulletin Dedicated to the Wire and Cable Industry
Bangladesh strikes power deal with India
ASK THE EXPERT Q: Our central-India-based company processes enameled wire products in which pinholes are detected 7-10 days after production, a problem that is compounded when the material is sent to humid areas, particularly during the monsoon season. Is there a solution?
See answer on p. 11 A view of Dhaka city, the largest in Bangladesh.
NEWS BITES • Tata Steel plans to invest Rs 4,500 crore this fiscal for various projects, followed by Rs 7,000 crore in 2011-12. The company is also in the process of placing orders for the six-million tonne Orissa project and should start production in three to four years. • Steel Authority of India Ltd.’s Ranchibased R&D Centre for Iron and Steel (RDCIS) proposes to develop 18 new products in 2010-11, in collaboration with SAIL’s manufacturing units.
QUOTABLE QUOTES I have been a great believer in the “India growth story.” ~ Wilfried Aulbur, MD & CEO, Mercedes Benz India India seems to be one of the only few “bright beacons in the otherwise dark and confused global economic scenario.” ~ Prashanth Narayan, VP & Head (PMS Investments), ING Investment Management India
Bangladesh has signed a landmark 35year power transmission deal with India paving ways for import of 250 megawatt electricity starting at the end of 2012. The state-run Bangladesh Power Development Board (BPDB) inked the bulk power transmission treaty with Power Grid Corporation of India Ltd. (PGCIL) at a ceremony
witnessed by Bangladesh’s Finance Minister Abul Maal Abdul Muhith, the prime minister’s energy adviser, Tawfique-eElahi Chowdhury, and officials of both of the countries. The agreement provides for Bangladesh to export power to India in the future while PGCIL was tasked to construct, own, operate, and maintain a 400 KV double-circuit line to exchange 500 MW power between the two neighbouring countries soon after the system is launched. “It’s a small step but a greater thought in regional cooperation through which the South Asian countries will immensely benefit,” Muhith said. According to the agreement, the transmission tariff will be fixed later by the Energy Regulatory Commission of West Bengal while BPDB will pay the transmission tariff on a monthly basis. continued on p. 3
Woodburn Diamond Die, engaged in the development of customised solutions to improve the wiredrawing process, has set up a new facility—Walson Woodburn Wire Die, Pvt. Ltd.—now fully operational, in Surat’s Special Economic Zone (SEZ). This plant is an addition to their existing manufacturing facility in Surat. The facility has been specifically designed and equipped with automated manufacturing and quality control equipment to cater to the most quality-conscious customers and is capable of producing a complete range of wire dies from 0.015 to 38.000 mm. “The new SEZ facility is dedicated solely to exports to Asia, Africa, and Europe, and will support the extraordinary growth that Walson Woodburn has experienced in the Asian and European countries,” informed Purvesh Jariwala, Director, Woodburn Wire Die Group. The company is known for its innovative ideas and an ability to understand new wiredrawing
IN THIS ISSUE: Editorial .............................. 2 World Calendar ................... 3 Industry News ..................... 4 People ................................ 6
Production Tips ................. 10 Products, Media, & Technology..................... 11 Technical Article................ 12 Classified & Ad Showcase.......................... 16
Uniflex Cables, a group company of Apar Industries, announced that it expected to start supplying underwater cables, co-developed with the Defence Research and Development Organisation (DRDO), to the Indian Navy in the next few months. The firm will also foray into the vandal-proof cable segment and expects sales to grow more than 65 per cent and reach Rs 300 crore betweem 2010-11, from Rs 180 crore last fiscal. According to Uniflex Cables’ Chief Operating Officer, V.K. Bajaj, the prototype for the underwater cable is ready. “This was done under a joint research with DRDO and the first orders for the underwater cables have come from the Indian Navy,” Bajaj informed.
Woodburn starts new plant at Surat The Indian Navy will source its underwater cables from Uniflex.
A complete range of wire dies will be produced at Woodburn’s new plant. technologies. The new facility is a natural response to the increase in demand for the company’s products and will allow them to compete in a very cost-conscious environment. Strategically, the facility compliments the global focus of the Woodburn Group offering worldwide access to developing markets within the wire industry.|WB
Apar to set up conductor plant in Orissa
Featured Concepts........... 7-8
Underwater cables from Uniflex
Orissa is the site of the manufacturing plant. Apar Industries, a USD 500 million diversified company offering products and services in power transmission conductors and petroleum specialties, is planning a greenfield conductor manufacturing facility in Orissa. This was announced to the media by the company’s Chief Financial Officer V.C. Diwadkar. The plant, with a capacity of 25,000 tonnes per annum (TPA), was to have been commissioned in
September 2011. “We will spend about Rs 25 crore on the plant and we will start work on it in the third quarter,” Diwadkar said. The company is still to zero in on a location for the plant. The company currently has a conductor capacity of 1.15 lakh TPA at three facilities. Aluminium conductors are used in transmission lines. Apar is the secondbiggest player in the conductor market in the country after Sterlite Technologies and has an order book of Rs 1,200 crore. Other than conductors, Apar makes specialty oils such as white oil, which is used in pharmaceuticals, rubber process oil and automotive oil. The company also makes cables through its subsidiary, Uniflex Cables. The company plans to spend Rs 65 crore this fiscal and next, which includes the outlay for the new plant. “We will also undertake some de-bottlenecking in our oil business,” Diwadkar said.|WB
Commenting on the company’s other new products, he said vandal-proof cables, mainly used in the power transmission sector, which prevents power theft, are ready for launch. “These are currently under field trial. We will introduce the product soon,” Bajaj said. As for the company’s growth prospects, Bajaj said, “This fiscal we aim to reach sales of Rs 300 crore against Rs 180 crore last year. We believe we can achieve the growth on the back of our new products.” Uniflex currently manufactures three categories of cables—power, telecom, and rubber—from its Vapi facility. Among its major clients are petroleum majors IOCL and Bharat Petroleum and renewable energy giant Suzlon. “The Indian cable market is worth Rs 20,000 crore and growing at a fast pace. Our aim is to expand into newer areas as a means of increasing our business,” Bajaj said. The company has recently launched ‘fire survival cables,’ which can withstand temperatures of up to 950 degree Celsius.|WB
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