Hi-Tech Pipes Begins Production at Kathua Facility with 80,000 MTPA Capacity

Hi-Tech Pipes Ltd has announced the commencement of commercial production at its newly established Greenfield manufacturing facility in Kathua, Jammu & Kashmir. The facility, operational from January 5, 2026, has an installed capacity of 80,000 tonnes per annum (MTPA). It is designed to manufacture ERW steel pipes and other value-added steel products. This development is part of the company’s strategic expansion to enhance its manufacturing capabilities and market presence in northern India.

The total investment for the Kathua facility amounts to Rs. 51 crore. The financing structure includes Rs. 26.50 crore in debt and Rs. 24.50 crore from internal accruals. This financial commitment underscores Hi-Tech Pipes’ focus on expanding its production capacity and improving its product mix. The new facility is expected to contribute significantly to the company’s volume growth and profitability from mid-Q4FY26 onwards.

The Kathua plant is equipped with modern manufacturing infrastructure, enhanced automation, and robust quality-control systems. These features enable the facility to meet stringent customer specifications and evolving industry standards. The strategic location of the plant offers logistical and operational advantages, facilitating efficient and cost-effective supply to customers across Jammu & Kashmir, Punjab, and Himachal Pradesh. The facility is well-positioned to cater to increasing demand from sectors such as infrastructure development, construction, and industrial projects.

This expansion aligns with Hi-Tech Pipes’ strategic focus on increasing the share of value-added products in its overall sales mix. The emphasis on coated and specialized steel offerings is expected to improve the company’s product mix and enhance EBITDA per tonne over the medium to long term. The commissioning of the Kathua facility brings Hi-Tech Pipes closer to achieving a total installed manufacturing capacity of 1 million tonnes, reinforcing its position as a leading steel tube and pipe manufacturer in India.

The Kathua facility is part of Hi-Tech Pipes’ broader strategy to expand its national manufacturing footprint. The company operates multiple state-of-the-art integrated manufacturing facilities across India, with a consolidated installed capacity of 930,000 MTPA. This expansion supports Hi-Tech Pipes’ long-term vision of building a scalable and efficient manufacturing platform capable of sustaining growth while maintaining high standards of quality and operational excellence.

Hi-Tech Pipes Ltd is a leading steel processing company in India, specializing in the production of steel pipes, hollow sections, tubes, and other value-added steel products. The company focuses on expanding its manufacturing capabilities and enhancing its product portfolio to meet the growing demand in infrastructure, construction, and industrial sectors. Hi-Tech Pipes is committed to operational excellence and sustainable growth, with a strategic emphasis on value-added products and advanced manufacturing technologies.