As the tensions cool down in West Asia, Chennai-based engineering conglomerate Sanmar Group said there is growing demand for steel even at elevated prices as the region is likely to witness need for steel and other materials for rebuilding the infrastructure, which was collapsed during the Iran-US crisis.
Narayan Sethuramon, vice chairman, Sanmar Matrix Metals, said, “Even at an elevated price of steel, we are seeing robust demand for the metals. The industry has seen non-availability of energy during the war. We are sure that there will be increased demand for all raw materials as the infrastructure has to be rebuilt in West Asia, which came down during the crisis.”
As Sanmar Engineering, a subsidiary of Sanmar Group, commemorates 50th anniversary of its engineering business, the company said on Tuesday that it will open mechanical seal manufacturing plant in Thiruporur in the outskirts of Chennai on Wednesday. The company will inaugurate the plant’s first phase, spread across 60000 sq.ft, in joint venture with US-based Xomox. The JV, Xomox Sanmar, already has a manufacturing plant in Viralimalai near Trichy. The Xomox
Sanmar is expanding capacity from 80,000 valves a year to 150,000 valves a year at its facility in Viralimalai. The engineering and foundry businesses of the Sanmar Group export nearly `800 crore worth of products, according to Vijay Sankar, chairman of The Sanmar Group. B Visweswaran, managing director, Sanmar Engineering, said: “The constituents of Sanmar Engineering are all market leaders in India for their respective products. The plan is to maintain and increase this market leadership by expanding our focus on high-growth market segments such as Chemicals,
Pharmaceuticals, and Green Energy, and develop optimal solutions for applications in the Oil and Gas, Power, and Industrial Process as well as for emerging industries such as Green Hydrogen, BESS, CBG, etc.”
