Government of India has put emphasis on accelerating the growth momentum of the country by targeting infrastructural growth including road, rails, urban, power, ports, shipping etc. Wire rope manufacturer Usha Martin Ltd (UML) is expecting domestic demand, particularly in the construction and auto sectors, to start picking up as the covid restrictions are lifting. According to Rajeev Jhawar Usha Martin, the infrastructure sector has the potential to kick start the economy. He hopes that the various plans initiated by the Government of India will boost domestic production. “The economy was badly struck by the pandemic and lockdown. But the stimulus package by the government and the lifting of restrictions post lockdown shows a sign of fresh growth”, Rajeev Jhawar said.
Rajeev Jhawar also expects that all these measures and thrust on infrastructural development will have a major positive impact on the demand for wire ropes and steel in the long run. During the FY20-21 the demand in realty and construction sector witnessed a bit of revival and also with the expected steady spending on infrastructure by government(s) the LRPC strands and specialty products used in the wire rope industry might prove to be growth drivers for Rajeev Jhawar’s Usha Martin Limited in coming years.
UML’s wire rope business manufactures wire, strands, LRPC and wire ropes, which cater to various industries, including steel, infrastructure, construction and auto. Rajeev Jhawar says that they have a manufacturing capacity of around 2,30,000 tonnes per annum across its two facilities in India — at Ranchi (Jharkhand) and Hoshiarpur (Punjab) — and three overseas units in the UK, Thailand and Dubai. While the demand for Usha Martin’s wire rope is picking up in international markets, the domestic demand across various sectors has been very low due to the lockdown in the wake of the Covid-19 pandemic. The reverse migration of laborers had affected industries such as construction, particularly in the western and northern regions of the country. This impacted the demand for wire rope.
Talking about exports, Rajeev Jhawar said the demand for wire rope has been “fairly decent”, if not strong, from markets such as Europe, the US, South America, Australia and South-East Asia. During the next fiscal year, Usha Martin Limited aims to expand its global market presence in Elevator Ropes, Crane Ropes, Surface Mining Ropes and Trawler Ropes segments. Rajeev Jhawar also expects the exports to countries such as Singapore, Australia, USA, Canada, South Africa, Latin America and Russia to increase in the coming years.
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