Construction Mirror Interview

MR. SUNIL AGARWAL

DIRECTOR

( KAMDHENU LTD. )

Kamdhenu Limited as you all know is a well established flagship company operating in the business of steel manufacturing since 1995. What started as a single manufacturing unit has now twigged into above 40 taut manufacturing units across the country as a leading steel manufacturers and the string seems to be getting longer. KIL has in its list of manufacturing, a diverse range of manufacturing products including Reinforcement Steel Bars (TMT/ HSD), Structural steels (Channels, Angles, Beams & flats) Binding Wire, Housing, PVC Pipes, Plywood, Paints and many more. In the last few years the company has grown from ‘one of them’ to ‘one of the best,’ and has been making dynamic progress with an intention of growing bigger but together.

 

Q.Please enlighten our readers about the vision & mission of KAMDHENU GROUP!

The vision and mission of Kamdhenu is summed up in our tagline “Best Quality at Best Price”. In the list of top priority is the brand positioning of the products under the Kamdhenu brand. We have made a difference with our constant surge to step ahead, in the course of which, we have now launched a new set of pro-active plans to establish our overseas presence across the globe. We have set our eyes on decentralization of the production base by undertaking strategic alliances, tie-ups and acquisitions of unorganized and medium sized manufacturing units mushrooming all over the country and getting all of them under Kamdhenu umbrella through technical upgradation, implementation of Quality Management System and effective distribution through the exclusive dealer network and Stockyard Model.

Q.What are the company’s future expansion plans for metals segment?

The business model pioneered by Kamdhenu is geared towards sustained growth and expansion of operations that is driven by consumer demands. Our products are affordable yet offer the best possible quality and hence acceptability is high and we are expanding to meet current and future demands. Also the governments push towards infrastructure creation and revival in consumer demand presents an exciting opportunity for our steel business to ramp up and contribute to nation building. We are looking forward to expand our capacity from 38 lakh MT of TMT steel bars to 50 lakh MT of TMT steel bars in next two years through franchisee route. Also, we are targeting to achieve a total brand revenue of Rs 22,000 crore in the steel segment by the end of financial year 2023-24.

Q.What are the key products offered by ‘KAMDHENU GROUP’ uniquely than other competitive brands?

Kamdhenu Limited is truly a one stop construction material solutions company, manufacturing and supplying a variety of products including but not limited to TMT Bars, Structural Steel and Colour Coated Sheets, etc. Our wide range of products caters to various kinds of structural, aesthetic and luxury requirements in construction and is growing by doing brisk business. Kamdhenu Nxt is a next generation TMT bar with angular double rib design. Manufactured with cutting edge technology which is at par with the futuristic national and international quality standards, Kamdhenu NXt is best suited for modern architectural patterns and designs meant for newly engineered structures. KAMDHENU PAS 10000, this state-ofthe-art power alloy steel product was first introduced in the country by Kamdhenu. Conforming to BIS and international quality standards, PAS 1000 has superb corrosionresistant properties and anti-degradation properties. With 360 degree locking technology it offers effective earthquake resistance and also comes with innovative ribs for ultra-strong grip with concrete. Structural steel, Kamdhenu manufactures a variety of structural steel under franchisee agreement. High quality angles, channels, beams, flats, round & square are manufactured at partner facilities. COLOURMAX COLOUR COATED PPGI/ PPGL SHEETS, these roofing sheets are low maintenance and offer high resistance to weather elements. These colour metal products comply with international RAL system, the international standard for the standard colours used in architecture, construction, industry and road safety. Quality and affordability are the distinguishing hallmarks of any Kamdhenu product. Our model of decentralised production through strategic tie-ups with medium sized manufacturing units and providing technical upgradation, implementation of Quality Management System (QMS) and effective distribution through the exclusive dealer network has helped the company scale great heights. Today, Kamdhenu products are widely available across the country and are the number one products in the respective markets they are in.

Q.Give us an overview of the company’s presence in the current market. What are your marketing plans?

Our share of the market is substantial as we not only have been making strong in-roads into new markets, we have also been maintaining leadership position in markets where we have a presence. We operate a franchisee based model where we provide technical and operational knowhow to TMT bar manufacturers to enhance the quality standard of their products. This model has the unique benefit of bringing in independent manufacturers into the organized fold. By enhancing the quality of the products and taking care of marketing under our brand name, Kamdhenu is high on the list of preferred brands in many markets and we are also expanding our footprint and market share in more markets at a pace which otherwise would have been impossible.

Q.Going forward, what role do you see your organization playing in the future development of the construction & infrastructure sector as your company is one of the leading building material company in India?

India is fast emerging as a future game changer. We believe, Kamdhenu with its range of proven products is well positioned to play an important role in serving the nation in every aspect. Kamdhenu Limited has a diverse range of products such as Reinforcement Steel Bars, Structural steels, Binding Wire, Colour Coated Sheets and many more. Every product is designed after rigorous R&D and keeping our motto of delivering cost effective and durable products in Mind. For instance, if we talk about our TMT bars, the entire range of steel bars offers best in class properties. The ultra-premium quality alloy Steel TMT Bar - PAS 10000 gives 360 degree locking with the concrete, which gives strength of up to 10,000 psi with the concrete. Microalloying with high value elements gives a better rust-proof quality Kamdhenu NXT’ is the next generation interlock steel TMT bar which has a unique characteristic to make new engineered reinforcement structures and smart architectural concepts more robust by providing 2.5 times stronger concrete-steel interlock.

Q.What is your outlook on construction & infrastructure sector? What could be the major trends to look for in future?

Construction Sector contributes 9% in India’s GDP and with the government of India aiming to become the third largest construction market globally by 2025, we expect more employment and growth opportunities in the future. Looking at the FY21 data, infrastructure activities accounted for a 13% share of the total FDI inflows of USD 81.72 bn. Steel is a basic amenity for infrastructural growth and plays a vital role in it. If we wish to keep our development pace steady, we will have to find better and sustainable alternatives of steel usage. One such product we feel is the Pre – Engineered Building/ Structure. PEB are steel structures built over a structural concept of primary members,secondary members, roof & wall sheeting connected to each other & various other building components. These buildings are custom designed to be lighter in weight & high in strength. It is also economical in cost because of its factory controlled quality, durability, longevity, flexibility in expansion, environment friendliness, faster installation etc.

Q.Tell us about your commitment towards the building material sector in India & your strengths to achieve your targets.

Kamdhenu has an in-house Innovation Centre with a strong R&D practise that develops and produces products based on customer requirements. Kamdhenu deputes technical staff at all franchisee units after training them at our own production facilities so that the same quality standards at par with what is produced at our in-house plants. Apart from deploying trained staff and periodic inspection at regular intervals, we also provide support for technical upgradation and adoption of latest technologies as well as in the implementation of Quality Management System in their manufacturing process. Our pioneering business model also ensures that we are agile in process upgradation and technology transfers, the decentralisation of manufacturing also helps us in keeping cost low as we are close to our customers .

Q.How do you envision growth for your company for the next five years and what are the future growth projection the company is looking?

Our range of quality products in the steel TMT sector already commands a leading position in the markets where we are present in. We are stepping up our efforts at expanding into more geographies. We will look at launching new products into the market depending on emerging demand and in-line with our growth strategy. We are looking forward to expand our capacity from 38 lakh MT of TMT steel bars to 50 lakh MT of TMT steel bars in next two years through franchisee route. Also, we are targeting to achieve a total brand revenue of Rs 22,000 crore in the steel segment by the end of financial year 2023-24.