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In a strategic move to scale operations and meet rising infrastructure demand, JTL Industries Ltd has announced the addition of a new Electric Resistance Welded (ERW) pipe manufacturing line with a capacity of 300,000 metric tonnes per annum (MTPA). This expansion brings the company closer to its ambitious goal of reaching 1 million MTPA by FY27, reinforcing its position as one of India’s fastest-growing steel tube manufacturers.
Expansion Highlights
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The new ERW line will be installed at one of JTL’s existing facilities, likely in Raipur or Mangaon, where the company has already scaled up operations in recent quarters.
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With this addition, JTL’s total installed capacity now exceeds 986,000 MTPA, up from 686,000 MTPA as of late FY24.
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The new line will focus on value-added structural steel tubes and hollow sections, catering to sectors like construction, solar, water infrastructure, and defense.
Strategic Impact
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The expansion is part of JTL’s ₹500–550 crore capex plan, funded through internal accruals and QIP proceeds.
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The company aims to increase its share of value-added products to over 50% by FY26, boosting margins and export competitiveness
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JTL is also targeting a 15% export mix, up from the current 9%, with growing demand from Africa, Southeast Asia, and the Middle East.
Management Commentary
“This capacity addition is a testament to our commitment to innovation, scale, and sustainability. It strengthens our ability to serve India’s infrastructure boom and global demand for high-quality steel tubes,” said Madan Mohan Singla, Managing Director of JTL Industries.
Industry Context
India’s structural steel market is projected to grow at 8–10% CAGR through 2030, driven by government investments in smart cities, highways, railways, and renewable energy. JTL’s expansion aligns with this macro trend and positions it as a key player in the Make in India initiative.
Sources: Economic Times, SmallCap Spotlight, JTL Industries, ValuePickr Forum
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