The city-based SAI Group is
planning to invest Rs 1,000 crore over the next 3-5 years in West Bengal for its steel business, notwithstanding the sluggish demand in the country's economy, a company official said on Thursday.
The group, which is engaged in iron and steel sector, has witnessed slowdown in demand but is looking to expand its manufacturing capacity, the official said.
Super Smelter Ltd, the mother plant for the group, posesses 150 acres of land at Jamuria in West Burdwan district of West Bengal and is looking for another 150 acres for expansion of the unit, the official said.
"We are keen to invest more in the state and looking at doubling the capacity of TMT bars in the first phase," Super Smelter chief mentor Gopal Krishna Sharan said on the sidelines of the launch of a premium grade product.
The group is "looking at Rs 1,000 crore investment in the next 3-5 years" and most of the capital expenditure will be made towards TMT bar manufacturing capacity, which the company intends to take to 1.2 million tonne per annum from 2.4 lakh tonne now, he said.
The group has sought relaxation of the land ceiling cap for the expansion of its unit, he said.
SAI Group was trying to acquire iron-ore mine in Odisha and has already participated in the bidding process for four such blocks, another official said.
Sharan said that the topline of Super Smelter in FY20 is expected to be Rs 1,200 crore from Rs 1,500 crore in FY19 due to the slowdown in demand.
There "has been a silver lining" in demand during the fourth quarter of the current fiscal.
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