Chennai-based Tube Investments of India (TII), part of the Rs 24,300 crore Murugappa Group, has forayed into manufacturing large diameter precision tubes. The company has recently inaugurated the manufacturing plant at Tiruttani near Chennai, with an installed capacity of 11,000 tonnes per month. The facility has been set up with an investment of Rs 250 crore to manufacture a wide variety of CDW (Cold Drawn Welded) and ERW (Electric Resistance Welding) tubes with diameters ranging from 60mm to 180mm and thickness from 4mm to 12.7mm. It will cater to the requirements of earthmoving and construction equipment, propeller shafts for high-payload vehicles and rear axle tubes for UVs.
A Vellayan, Executive Chairman of Murugappa Group said, “The new plant is a testimony to the strength of ‘Make in India’ and will serve the emerging needs of the customers, the economy and through that the world at large.” The company will also export large diameter tubes from this new facility to Europe, the US and ASEAN markets. As of now, the company is in the process of getting orders from overseas and through this new stream of business it hopes to add Rs 450 crore to the topline in the next 4 years.
The Managing Director of TII, L Ramkumar, said most of the products in the segment at present are imported and the company sees a clear opportunity in capturing these markets. The new plant will also address applications such as structural work for airports, stadiums, industrial sheds, large buildings, public utilities and automotive chassis applications. The facility was part of the company’s agreement with the Tamil Nadu State government during the beginning of the year, according to which the company has been planning to set up 3 units with a total investment of Rs 500 crore. While one of the 3 is completed, the other 2 projects, a bicycle manufacturing facility and a chain plant, are under consideration now
