Tata Refractories Limited, the country's largest refractory manufacturer, is likely to commence construction of a new facility in Vizag by the end of this year. The greenfield plant is expected to cost between Rs 190-200 crore, and will bring up the company's total capacity to 6.5 lakh tonnes from the current figure of 4.5 lakh tonnes.
“A proposal will be placed from the board (of directors) for their formal approval soon,” Tata Refractories managing director A K Chattopadhyay said here today, while adding that the required investment would be funded primarily through internal accruals.
The company has its main works and captive mines in Orissa, along with operations in Gujarat, Hyderabad, Jhansi, Jamshedpur and Karuppur in Tamilnadu. It also operates in China through a joint venture.
Meanwhile, in line with an internal programme titled 'Mission 2000', Tata Refractories is aiming to more than double its turnover to Rs 2000 crore by the 2012-13, Chattopadhyay said, and will enter new segments including supplying to the cement and copper industry.
“Last year, our turnover was Rs 970 crore, of which about 86 per cent came from domestic sales and 14 per cent from exports. By 2012-13, about 25 per cent of our revenues should come from exports,” he explained.
Sales to Tata Steel Europe (Corus), too, are expected to increase from Rs 5 crore last year to about Rs 70 crore this fiscal, Chattopadhyay added.
