Steel Company Seeking Loan in Andhra Pradesh, India

- Our unit commenced production in January 2020 and produces strapping goods as per ASTM standards.

- We achieved manufacturing capacity of 12,000 tons in 2020 but the plant has a capacity of 24,000 tons per annum of high tensile steel strapping and 36 million seals.

- 85 percent of our revenue is from producing and supplying high tensile strapping and the rest is from regular duty strappings and seals.

- We supply goods in the domestic market to Steel Authority of India (SAIL) & Rashtriya Ispat Nigam Limited (RINL) along with over 120 small and large clients. All our products export to North America, Europe, Middle East, and Australasia as well. We hold no contract with these buyers but simply meet their purchase orders.

- We are supplied with raw materials and working capital for production from JSW and Tata Steel. We possess no contracts with them either.

- We have quality assurance laboratory established with computer controlled tensile, harness and corrosion testing machines.

- Our company follows environment friendly practices by minimising emissions. We have tie-ups with 2 logistics firms for supply of products. There is no contract and the commission depends on the destination and volume.

- The business invested heavily on building a suitable infrastructure during the first of operation due to which we did not exploit our complete production capacity nor did we take many purchase orders. This year due to a complete focus on production and increased demand, we increased our sales.

The company manufactures & supplies 2 grades of steel strapping which can be painted & waxed or zinc painted & waxed:

1. High Tensile quality strappings and seals.

2. Regular duty steel strapping and seals.

Physical assets include:

1. Land and machinery from USA and South Korea amounting to around INR 20 crores.

2. Built up facility and infrastructure amounts to over INR 4 crores.

3. Letter of credits with the bank to acquire raw material and deposits with the electrical department of Vishakhpatnam are nearly worth INR 55 Lakhs.

1. Owned land: 7.80 acres or 37,752 sq. yards.

2. Built up area: 56,000 sq. ft. which is owned by the company.

3. Process & manufacturing plant: 45,000 sq. ft.

4. Admin Office: 3,000 sq. ft.

5. Tool store and cafeteria: 2,100 sq. ft.

6. Security office: 800 sq. ft.

7. Water reservoir for rain water harvesting: 5,00,000 litres.