Tata Ryerson to invest Rs 120 cr in Singur

Tata Ryerson, a 50:50 joint venture between Tata Steel and US-based Ryerson Inc, is investing Rs 120 crore (Rs 1.2 billion) for the Tata Motors' small car project at Singur.

"Besides providing sheet metal products, we are importing latest technology for the first time in India for roll formed section that will replace press works for the Tata Motors small car project," Sandipan Chakravortty, MD, Tata Ryerson said. "We are also holding talks with two companies from Japan and Europe for blanking technology used for making car windows," he said.

The new technologies will help in bringing down manufacturing cost. The roll formed section technology will save cost by 25-30 per cent than normal press works, Chakravortty said.

Tata Ryerson had been alloted 10 acres for the project next to the car factory. "Our facility would be ready in March 2008, the deadline for the Tata Motors to roll out their small car," Chakravortty said.

Apart from the investment at Singur, Tata Ryerson is setting two more greenfield plants at Pantnagar in Uttarakhand and Chennai for heavy equipment for Tata Motors' ACE and Caterpillar vehicles.

"The total investment in these two plants would be Rs 100 crore (Rs 1 billion). In the next two years our total production capacity would double to two million tonnes making us Asia's largest sheet metal products company," Chakravorrty said.

The total turnover would also double to Rs 2,000 crore (Rs 20 billion) in two years from Rs 1,012 crore (Rs 10.12 billion) in 2006-07, he said.