Chennai: The Chennai-based Rs273.93-crore turnover Kanishk Steel Industries Limited has bagged an order from Steel Authority of India (SAIL) to convert billets to structural steel. The contract period is for three-years and the volume is expected to be around 1,000 tons per month.
Interestingly, it is for the first time that SAIL has given a three-year conversion contract. The billets will be supplied by SAIL to Kanishk Steel. The latter would supply the steel to the buyers as per the list given by SAIL. As per the contract, burnout wastage of 5 per cent is allowed to the converting unit, that is Kanishk Steel.
According to Arvind Gupta, president, Kanishk, the SAIL order will enable us to maximize the utilisation of our production.