Displaying items by tag: JSW Steel

India: JSW Group has established a new large projects division. The division combines the former large projects division of its subsidiaries JSW Cement and JSW Steel. It will use the group’s new end-to-end sales platform Aikyam, according to United News of India. The integration is expected to create large scale volume opportunities for the steel and cement businesses in Maharashtra, Gujarat, Karnataka, Telangana and Andhra Pradesh.

Director Parth Jindal said, "JSW Group has the unique advantage of providing an integrated offering to its large customers in the infrastructure and building industries space.” He added "I expect Aikyam to fundamentally change the way JSW works with its large clients, while ensuring that our relationships continue to get stronger through a single group interface, bolstered by strong internal collaboration. In the near future we plan to offer other group products such as paints, construction chemicals, ready-mix concrete and many others to our large institutional customers through the Aikyam interface."

India: JSW Group has announced the combination of the distribution and supply chain of its cement and steel businesses under an integrated JSW One initiative to make it easier for customers to source its products. JSW One has commenced operations in eastern India and will be scaled-up across the country over the next couple of years.

“JSW One will derive synergies to benefit both the steel and cement businesses by streamlining and maximising the depth and expanse of JSW Group’s sales and supply chain network,” said the group in a statement. “It will also combine the group’s expertise across product portfolio to provide comprehensive service capability to its customers.”

India: JSW plans to expand its cement production capacity to 30Mt/yr from 5Mt/yr by setting up grinding units closer to its steel plants. As part of its diversification, it is also considering the production of aluminium, if the government allocates bauxite mines to it.

Seshagiri Rao, joint managing director of JSW Steel, said that the company's presence in the cement business is small compared with other companies with 60 – 70Mt/yr of production capacity. JSW's plan is to become a significant player in the sector, with 30Mt/yr of production capacity by 2025, he added.

For instance, a grinding unit installed closer to the Dolvi steel plant in Maharashtra State could source clinker from Gujarat State, mix it with slag available from the plant and tap the vibrant western market. "Alternatively, we could also set up grinding units closer to the cement market and take our slag there," said Rao. "We would source clinker from the closest available location so that we remain competitive."

The Tamil Nadu State Government recently notified a scheme whereby cement companies are asked to quote their factory gate price. Contractors were given the price list to source cement for their projects. JSW Cement has also placed its bids under the scheme. "I believe that other State Governments will also emulate the Tamil Nadu Government model to make cement available for their projects at a competitive price without any subsidy," said Rao.

India: JSW Cement is considering the construction of a 4.3Mt/yr cement plant in Gulbarga, Karnataka. The company is optimistic about demand revival in the south of India, as economic activity picks up in Andhra Pradesh and Telangana, according to SS Sandhu, associate vice president of JSW Cement.

At present, JSW Cement has 6.4Mt/yr of cement production capacity in Karnataka, Andhra Pradesh and Maharashtra. Sandhu said that the company already has land in Gulbarga and the region is rich in limestone. Another advantage is that supplies could be made from Gulbarga to cement markets in Maharashtra and Gujarat. Since the group company, JSW Steel, produces slag, JSW Cement could manufacture slag cement.

When asked about the economic slow-down, Sandhu conceded that there has been a contraction in construction activity in the south of the country, but that stability has now returned. A lot of projects are expected to come up in the near future in Andhra Pradesh and Telangana, including ones at the new Andhra Pradesh capital that is planned at Vijayawada. The company expects that a pick-up in demand will drive its capacity utilisation to 75% by the end of the current fiscal year from 55 – 60% at present.

India: HeidelbergCement India has completed the sale and transfer of its cement grinding facility situated at Raigad, Maharashtra to JSW Steel, in accordance with the Business Transfer Agreement executed between the company and JSW Steel on 5 October 2013. The sale and transfer took effect from 3 January 2014.