New Delhi, Apr 24:
The Kamdhenu Group is eyeing for a brand sales turnover of Rs 22,000 crore from its steel business by financial year 2023-24, its Chairman and Managing Director (CMD) Satish Agarwal said.
The Gurugram-based TMT rebars maker operates on a franchisee model in the steel segment.
“Looking at the demand for our products, we expect a total brand sales turnover of Rs 22,000 crore in the steel segment,” he said and explained “brand sales turnover includes the total business by the company (Kamdhenu Group) and its franchise partners.”
When asked about the timeline for the target, Agarwal said in the financial year 2020-2021, the company’s overall brand sales turnover was Rs 12,000 crore and the Group aims to achieve the said target by 2023-24 fiscal.
Agarwal further said that the government spending in infrastructure, its focus on development of roads, railways, ports, airports, mass transport, waterways and logistics infrastructure and PM AWAS Yojana will lead to demand creation for steel.
Agarwal further said the demand for quality TMT bars from the housing sector in India is growing at a rate of 6-8 per cent compound annual growth rate (CAGR) annually, market size of his company in the organized TMT section is around 25 lakh tonne.
Besides steel, the company is also into manufacturing of paints.
Sharing details of the paints business, Agarwal said the revenue from the paint business was Rs 202 crore in FY21, and the company is looking to achieve Rs 1,000 crore revenue by financial year 2025-26.
The paint industry in India is growing at a rate of 18-20 per cent currently, he added.
The company, under the franchisee model, has TMT manufacturing plants in states like Odisha, Gujarat, Karnataka, Telangana, Andhra Pradesh, Bihar, Goa, Rajasthan, Uttar Pradesh, Uttarakhand, Himachal Pradesh, Punjab, West Bengal, Jharkhand, and Madhya Pradesh, among others.
Its paint manufacturing plant is at Chopanki in Rajasthan, where the company manufactures interior and exterior emulsions, stainers, colourants, designer paints, construction chemicals, waterproofing chemicals and other water-based speciality products. (PTI)
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