Brazilian steel major Gerdau Steel plans to invest up to Rs. 1,000 crore in adding capacity in its existing plant in Andhra Pradesh.
Gerdau Steel expects to add another two lakh tonne capacity in the next couple of years. “We have started looking at plans to expand product portfolio and further process debottlenecking. Over the next couple of years, the capacity can be debottlenecked and another two lakh tonnes per year can be added totalling five lakh tonnes per year,” Sridhar Krishnamoorthy, Managing Director, Gerdau Steel India, told BusinessLine . He said the total investment for de-bottlenecking and also for its product enhancement is estimated at Rs. 1,000 crore. He pointed out plants like theirs which produces special steel, runs at about 85 per cent capacity so that any increase in order at a short notice can be accommodated.