Musiri Selection Grade Town Panchayat

முசிறி தேர்வு நிலை பேரூராட்சி

The Covai Mani Group is setting up a Rs. 120-crore state-of-the-art steel plant at Musiri,

Posted by musiri on December 22, 2009

Coimbatore: The Covai Mani Group is setting up a Rs. 120-crore state-of-the-art steel plant at Musiri, Trichy district. Besides, it is establishing a sponge iron plant at an outlay of Rs. 195 crore at Madukkarai, near here.

According to M. Raja, its Director, the Rs. 3,500 crore group already has four companies—Raja Steels Pvt Ltd, Raja Sponge Iron and Energy Pvt Ltd, MMS Steels Pvt Ltd and Kanyaka Fine Weld Ltd. The product from these companies are marketed under the brand name ‘Covai Raja’.

The plant coming up on a 50-acre site at Musiri will have most modern infrastructure and a fully automatic end-to-end processing and manufacturing facility. It would have the capacity to produce 1.1 lakh tonnes of billets and one lakh tonnes of TMT reinforcement bars, channels, joists, angles and rounds.

The TMT production unit would be set up with German collaboration and would use imported raw material along with locally sourced scrap and sponge iron.

“We started the work in 2007 and it is likely to be commissioned by April 2010,” said Mr. Raja. It would be a three-shift unit that would provide jobs for at least 700 persons.

The sponge iron plant at Madukkarai, coming up in 40 acres, would have a production capacity of 1.1 lakh tonnes annually.

In addition, a power generation unit capable of generating 120 million units (which includes six windmills with a capacity of generating 16 MW) will be set up there.

While 30 per cent of the power generated would be utilised by the group companies, the rest would be sold to the new Musiri unit.

The Madukkarai plant would generate employment for 800 persons. The construction work is full swing in this unit also and it is expected to go on stream by December 2011.



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