Gujarat, India-based steel castings manufacturer Steelcast Limited announced on 26 April that it will invest around INR 1.07 billion ($20.4 million) in expanding and upgrading capacities in order to meet the increasing demand from the domestic as well as from global markets. Steelcast expects strong growth mainly in orders from the US and Europe.
According to the company statement, the major part of the investments, which total around INR 650 million ($12.4 million), will be used in expanding production facilities at its Bhavnagar plant in Gujarat. In the first phase, the steel castings manufacturing capacity will be raised to 30,000 mt per year in the fiscal year 2012-13 from 24,000 mt per year as of March 31 this year. In the second phase, production capacity will be increased to 38,000 mt per year in 2013-14.
Steelcast Limited is one of India's leading steel castings manufacturing company in the earthmoving equipment sector. Strong demand from user industries in India and abroad has put the company on a high growth trajectory. With a product range of castings in carbon steel and low alloy steel, Bombay Stock Exchange-listed Steelcast Ltd is expected to post revenues of over INR 2.25 billion ($43 million) in the fiscal year 2011-12, with nearly 45 percent coming from exports, mainly to the US and Germany.