Tulsyan NEC Ltd, part of the Chennai-based Tulsyan Group, has signed an MoU with Burdhrani Group of Nigeria to set up a steel making plant and rolling mill in that country. A shortage of steel despite a surplus of raw material in Nigeria has prompted the decision.
Tulsyan NEC will hold 51 per cent in the joint venture with an investment of around Rs 68 crore. The proposed plant will have a capacity of 60,000 tpa. Speaking to Projectmonitor, a spokesperson of Tulsyan NEC said that the plant will make both long and flat products, including TMT (thermo-mechanically treated) bars that are used for construction.
There are plans to set up similar joint ventures abroad, he said, without elaborating. Tulsyan NEC features amongst India's largest TMT manufacturers with a capacity of 2.5 lakh tpa, spread over three locations near Chennai. The Budhrani Group is a 30-year-old business conglomerate with automobiles, construction, electronics and trade.