RHI Magnesita India Plans to Invest 333 crore for Expansion and Tech Upgrades
RHI Magnesita India, a prominent refractory company, recently unveiled a major investment plan of 333 crore for the next two years. The primary objective of this investment is to expand and upgrade the technology at its facilities. As part of this strategy, the company aims to eliminate bottlenecks and implement advanced technologies such as iron-ore pelletization and the production of green-steel products.
The company currently operates at 65% capacity and holds almost one-third of the market share. With these investments, it is poised for further growth. The integration of three subsidiaries - RHI Clasil, RHI India, and Orient Refractories - and the acquisitions of Dalmia-OCL and Hi-Tech Chemicals have significantly expanded RHI Magnesita India's range of products.
CEO Stefan Borgas confirmed that the investments would be internally financed, leveraging the robust demand within the Indian market across various industries, including steel and cement. Refractories are crucial in these sectors as they serve as thermal barriers that can withstand high temperatures.
In addition to scaling up its production capabilities, RHI Magnesita India also plans to increase its capacity utilization by at least 10% through the adoption of robotics and artificial intelligence. This tech-forward approach is expected to streamline operations and boost efficiency.
The company is not only focusing on growing domestically but also aims to become an export hub for West Asia. In order to strengthen its integration, RHI Magnesita India is looking to make further acquisitions and targets a turnover of 4,000 crore (approximately USD 12 million) by the fiscal year 2024. This ambitious goal reflects the company's commitment to reinforcing its position in the market and expanding its global reach.
