The Business Bytes
THEBUSINESSBYTES BUREAU
NEW DELHI, MARCH 4, 2025
Vibhor Steel Tubes Limited, a leading steel tube and pipe manufacturer, has commenced trial production at its ₹119.83 crore Greenfield Unit III plant in Sundargarh, Odisha. The 120,000 MTPA facility has initiated trial runs using generators, with commercial production expected to begin by the end of March 2025, following the installation of electricity connections.
Spread across 23.98 acres, the Unit III plant has been developed through a mix of debt and internal accruals. Once fully operational, it will manufacture value-added steel products, including crash barriers, high mast lighting poles, octagonal poles, and monopoles. The facility is strategically located to cater to the growing market demand in eastern India, enhancing Vibhor Steel Tubes’ regional presence and operational efficiency.
Vijay Kaushik, Chairman and Executive Director of Vibhor Steel Tubes, expressed optimism about the project, stating, “We are elated to have begun a new chapter in our journey of the past three decades. The odds were stacked against us, but as a team, we overcame them through knowledge, quality execution, and persistence. We look forward to commercial production, which will enable us to deliver value for our stakeholders from FY 2025-26 onwards.”
The company specializes in manufacturing, exporting, and distributing a diverse range of steel tubes and pipes, including ERW black pipes, galvanized pipes, hollow sections, and primer-painted pipes. It serves various sectors, such as construction, agriculture, and industry, through its two existing manufacturing units in Sukheli, Maharashtra (125,000 MTPA), and Mehboob Nagar, Telangana (96,000 MTPA).
Vibhor Steel Tubes has reported a strong financial performance, with a net profit of ₹3.43 crore in Q3FY25, marking a remarkable 287 per cent sequential growth from ₹0.88 crore in Q2FY25. While over 80 per cent of its revenue comes from contract manufacturing for Jindal Pipes under the Jindal Star brand, the company is actively diversifying its portfolio. Its latest venture into the fabrication and galvanization of structures for critical infrastructure projects, including power transmission and railway electrification, underscores its strategic expansion plans.
With the upcoming Odisha facility, Vibhor Steel Tubes is poised for significant growth, strengthening its foothold in the steel industry and reinforcing its commitment to innovation and market diversification.
