Anmol Stainless Private Limited (ASPL) is one of the prominent players in the stainless steel market in eastern India. Key products of ASPL include stainless-steel stripes, cold rolled coils circle, pipes and tubes. Ashish Choudhary, Director, ASPL, spoke to BE's Kuntala Sarkar.
Q. What is your marketing strategy and growth rate for the current financial year?
A. Initially in 2013, when we started our company, the market scenario was not pleasant. The market was characterised by large-sized imports of stainless steel. Major products offered by our company are stainless steel coils and pipes. But for the last six months, we have started to focus on stainless steel pipes as their import has stopped.
The coils are value-added products and we faced severe challenges in this segment due to Chinese dumping in the last two years. Therefore, we are going a bit slow on the coil segment. Currently our company is growing at a rate of 20%. However, the reduced focus on coils and increasing trading on pipes has helped our pipe segment to grow at a rate of more than 50%.
Our business is mostly based in eastern India and the region is responsible for 80% of our total trade. We also have some presence in Delhi, Maharashtra, Tamil Nadu and Karnataka.
Q. How is your company engaged with infrastructural growth?
A. Stainless steel products are lately being consumed in the infrastructure sector because of its aesthetic value, durability and cheaper price. Organisations like the Indian Railways and Texmaco are prominent buyers of our products. Growth of the commercial real estate sector has picked up recently and that is increasing the demand for stainless steel products which are needed for construction as well as furnishing. Growth of industries like food packaging, chemical and oil is also increasing our demand.
Q. The pricing of steel and stainless steel has been declining. How is your company planning to tackle this?
A. The falling prices are actually helping our customers to buy more. Few years ago, the difference of price between mild steel and stainless was five times. Now, the difference has decreased to 2.5 times. As the price of raw materials is also going down, it is not affecting our company that much. The volume of our total trading is also going up due to this.