BMW Iron & Steel Industries Ltd. (BMWISIL) has entered into an off-take agreement with Tata Steel for its ERW Tubes and Galvanized tubes. According to the agreement Tata Steel will supply major raw-material (HR Coil/Strip) and BMWISIL will produce tubes. Tubes so produced will be branded under the name of Tata Steel.
BMWISIL is setting up a manufacturing unit at Adityapur, Jamshedpur at a cost of Rs. 89.47 crore, being funded at a debt equity ratio of 1.21:1. The project is expected to be operational by September 2014. The plant facilities include capacity of HR slitting (2,70,000 MT), HR blanking (1,20,000 MT), galvanizing unit (36,000 MT), ERW tube (96,000 MT) and roll shop (1,200 MT). BMWISIL belongs to Kolkata-based BMW group, who has a long experience in the flat and long steel products through its flagship company, BMW Industries Ltd.