Business Bytes

Rs 95,000 cr port-related projects to come up in Maharashtra

Maharashtra is set to get Rs 95,000 crore port-related projects under Centre's port and port-led development programme, as per Union Minister for Shipping Nitin Gadkari. The mega projects include two expressways connecting Ahmedabad -Mumbai industrial corridor and the Sanathnagar Industrial cluster near Hyderabad with the Jawaharlal Nehru Port (JNPT) in Navi Mumbai. While the Ahmedabad Expressway project would cost Rs 18,000 crore, the Hyderabad - Mumbai project is likely to be implemented at Rs 22,000 crore. In addition, a new greenfield port is being set up at Wadhavan near Dahanu with an investment outlay of Rs 9,300 crore.

As part of the port based industrialization programme a steel cluster will be coming up in Southern Maharashtra and Goa region with an investment potential of Rs 10,500 crore. There is also a proposal to set up a port based mega food park, also in Southern Maharashtra, according to Gadkari.


Eicher Trucks & Buses launches Eicher PRO 6037

Eicher Trucks & Buses, part of VE Commercial Vehicles Ltd, consolidated its presence in multi-axle range with the nationwide availability of the Eicher Pro 6037; a higher payload 37 tonne GVW truck. The Eicher Pro 6037, earlier unveiled at the Auto Expo is a “Born Intelligent” truck from Eicher Trucks & Buses with advanced telematics, innovative M Booster, EMS 3.0, EPS, real time fuel coaching and cruise control making this truck the most feature rich in this segment.

Taking a step ahead in the modernization of the commercial vehicle industry; the Eicher Pro 6037 comes with the innovative M Booster (Mileage Booster) system for high fuel efficiency through a combination of energy conservation processes. Eicher Pro 6037 is embedded with Eicher Live Advanced Telematics; offering uptime management, fuel management and trip management services.

Vinod Aggarwal, and CEO, VE Commercial Vehicles, said, “The Heavy Duty sector is expected to touch a new peak in the current year with huge growth in the segment based on both replacements as well as additional truck requirements with a massive focus on infrastructure and core sectors in the economy. With our entry into the fastest growing 37 tonne segment, our position in HD segment will strengthen and we will consistently grow our market share in HD segment from a current market share of around 5 per cent.”

Aggarwal added, “Eicher also offer innovative and customized service solutions to meet individual customer needs. Apart from these on-site services, there are a lot of innovative after-sales schemes like ‘Freedom’ and ‘Eicher Promise’ which ensure maximum uptime and higher level of productivity to our customers.’’


Demand revival in cement sector

Volume growth in cement increased by 12-18 per cent in the March 2016 quarter compared with a drop of 4.7 per cent in the corresponding quarter of the previous fiscal, according to various analyst estimates. The cost required to produce per tonne of cement fell by 8.6 per cent to Rs 3,517 year-on-year due to lower prices of pet coke and coal, as per reports.

Medium and small companies reported average volume growth of 18 per cent in the March quarter while large companies showed 16 per cent growth. Most mid-sized cement companies such as Orient Cement, JK Lakshmi Cement, and Dalmia Bharat earned high volume growth on the strength of capacity expansion. In the coming quarters, large companies such as UltraTech Cement and Shree Cement, which hold 25 per cent of total industry's capacity, will be benefited by reviving demand given their wider geographical presence and ability to dictate prices, add reports.


AAI gets ready to upgrade Chennai airport

The aviation ministry is drawing up a major upgradation plan for the Chennai airport that envisages construction of a new terminal between the existing terminals to give flyers a seamless travel experience. The project is expected to cost about 2,000-2,500 crore. Airports Authority of India (AAI) is planning to finalise a consultant for the project by July. The Chennai airport has got an unused terminal between its new domestic terminal and existing international terminal. The idea is to pull down the old domestic terminal and the building which is now used as international departure and build a new integrated terminal to link the new steel and glass building which were built during airport expansion three years ago.

AAI had upgraded the Chennai airport in 2013 at a cost of 2,000 crore but the quality of that work has left passengers seething, add reports.


Cabinet sanctions Rs 3,770-crore Chennai Metro project

The Union Cabinet has given its approval to the proposal for Chennai Metro Rail Phase-I Project from Washermanpet to Wimconagar, which covers a length of 9.051 km, at a total cost of Rs 3,770 crore. The project will be executed by Chennai Metro Rail Ltd, the existing special purpose vehicle of the Centre and Tamil Nadu having 50:50 equity each. The project is scheduled to be completed by March 2018.

In the total project cost, Centre’s share will be Rs 713 crore and Tamil Nadu’s share will be Rs 916 crore. The balance of Rs 2,141 crore will be met from loans from multilateral /bilateral/domestics funding agency.


Govt. aims to add 41 km of highways per day in 2016-17

Government has set an ambitious target of constructing 41 km of national highways every day in 2016-17, up from more than 16 km per day of highways it built in 2015-16. The Road Transport and Highways Ministry will award contracts for 25,000 km national highway projects, two-and-a-half times more than the projects it had sanctioned in the previous year. It has set a target of constructing 15,000 km of national highways in 2016-17 as against 6,000 km built last year, as per reports. Out of the total award target of 25,000 km, the National Highways Authority of India (NHAI) will award 15,000 km and the remaining 10,000 km will be done by the Ministry.


Brazilian company plans Rs 1,000 cr investment in Andhra Pradesh plant

Brazilian steel major Gerdau Steel plans to invest up to Rs 1,000 crore in adding capacity in its existing plant in Andhra Pradesh. Gerdau Steel expects to add another two lakh tonne capacity in the next couple of years. The company has started looking at plans to expand product portfolio and further process debottlenecking. Over the next couple of years, the capacity can be debottlenecked and another two lakh tonne per year is likely to be added totalling five lakh tonne per year. The steel maker forayed into India in 2007-08 as a joint venture partner with Kalyani Steel.

Gerdau Steel has a three-lakh-capacity steel plant in Tadipatri and it is the largest investment so far from Brazilian company in India. Globally, the company has a total of 20 million tonne capacity, including nine mt in its plants in Brazil. It has presence in 14 countries and has about 60 plants globally.


Green nod for BPCL’s Rs 694 cr LPG project in West Bengal

State-owned fuel retailer BPCL has got green nod for its Rs 694-crore project of developing LPG import terminal as well as storage, bottling and bulk distribution facilities at Haldia Dock Complex in West Bengal. The proposed project will ensure LPG supplies to far-flung areas of eastern and north-eastern regions and will create an infrastructure to import the eco-friendly LPG fuel.
BPCL will set up an import terminal at Haldia to import 1 mmtpa of refrigerated Propane and Butane. The proposal also includes setting up of a bottling plant comprising two LPG-mounded bullet storage facility of 350 tonnes capacity each.