RSTL is installing a production plant of 20,000 MT pa in Nigeria

15 Jan 2022 CW Team

Rama Steel Tubes Limited (RSTL), one of the top producers of Steel Pipes & Tubes and G.I. Pipes in India, is installing a production facility of 20,000 MT pa at its step-down subsidiary RST Industries Limited in Nigeria, West Africa to make Roofing Sheets.

RSTIL has begun the development exercise for installing the planned plant in Nigeria. The development is likely to be achieved in two tranches and will be completely functional by August 2022 and expects to work at complete capacity by Q3 of FY23. The additional capacity is majorly targeted at developing their existing repertoire of SKUs to include Roofing Sheets. The total capital outlay for this expansion will be Rs 200 million and financed via a mix of internal accruals and partially via debt.

Richi Bansal, Executive Director of Rama Steel Tubes Limited, told the media that they are developing and establishing a plant to match the increased demand of Roofing sheets in Nigeria. They always had the aim to become one of the leading firms in developing material products and solutions and this milestone is certainly one among the few business strategic pipeline of plans. They have had a very substantial hold and presence in the area of Western Africa from the last five years. This capacity of 20,000 MTPA will add significantly to their subsidiary's top line.

They are additionally happy to state that they have a strongly increasing order book for these new SKUs and anticipate it to increase further. It takes them one step ahead in their competition and further boosts their performance benchmark to the next level.

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