Hi-Tech Pipes Begins Production at Sanand Unit II Phase II
Filing Summary
Hi-Tech Pipes Ltd has commenced commercial production at its Sanand Unit II Phase II in Gujarat. This expansion adds 1 Lakh MTPA capacity, enhancing the company’s capabilities in large-diameter ERW pipes and jumbo hollow sections. The facility is strategically positioned to serve Western India’s industrial clusters, improving logistics efficiencies. The total capacity post-expansion is 2.70 Lakh MTPA. The investment for this expansion is Rs. 63 crore, funded through internal accruals and equity. The company’s consolidated annual installed capacity now stands at 8.50 Lakh MTPA.
Hi-Tech Pipes Ltd has announced the commencement of commercial production at its Sanand Unit II Phase II in Gujarat. This development is part of a brownfield expansion aimed at enhancing the company’s manufacturing footprint in Western India. The expansion adds a capacity of 1 Lakh MTPA, focusing on large-diameter ERW pipes and jumbo hollow sections.
The financial commitment for the Sanand Unit II Phase II expansion is Rs. 63 crore. This investment has been financed through a combination of internal accruals and equity. The expansion increases the total capacity of the Sanand facility to 2.70 Lakh MTPA. On a consolidated basis, Hi-Tech Pipes’ annual installed capacity is now 8.50 Lakh MTPA, reflecting a significant enhancement in production capabilities.
The operational scope of the Sanand Unit II Phase II includes the production of large-diameter ERW pipes, jumbo hollow sections, and structural and fabrication-grade steel products. The facility is strategically located to serve industrial clusters in Western India, providing logistical efficiencies and catering to sectors such as solar, fabrication, engineering, and infrastructure. The expansion is designed to improve the product mix with larger diameters and value-added grades, supporting long-term volume visibility and scale-driven operating efficiencies.
The market context for this expansion is centered around the growing demand for steel products in Western India. The strategic positioning of the Sanand facility allows Hi-Tech Pipes to enhance its supply capabilities to key industrial hubs in Gujarat and neighboring regions. This expansion aligns with the company’s roadmap to accelerate growth in value-added products and strengthen its multi-regional manufacturing network.
The timeline for the Sanand Unit II Phase II expansion has culminated in the commencement of commercial production. This milestone marks the completion of the planned capacity addition, which was set to be achieved through the brownfield expansion. The facility’s development incorporates modern technologies and improved operational efficiencies, enabling Hi-Tech Pipes to serve its customers more effectively.
Hi-Tech Pipes Ltd is a leading steel processing company in India, specializing in steel pipes, hollow sections, tubes, and value-added steel products. The company operates six integrated manufacturing facilities across India, with a consolidated installed capacity of 8.50 Lakh MTPA. Hi-Tech Pipes focuses on expanding its manufacturing footprint and enhancing its product portfolio to meet the growing demand in various industrial sectors.