Making a investment of Rs 250 crore near Thiruthani, Tube Investments of India (TII), of the Murugappa group, has set up a green field facility to manufacture large diameter tubes. With this product range, TII diversifies to service off - road vehicles and the construction industry. Till now the company produced tubes of 4.5 inches diameter, this facility will manufacture tubes of 7.5 inch dia. The product range includes a wide range of cold drawn welded (CDW) and electric resistance welded (ERW) tubes.
“The installed capacity of 11,000 tonnes will be able to serve the market which today depends largely on 30-40 per cent imports. The quality and just-in-time delivery will help TII to keep imports at brim,” said Managing Director, L Ramkumar. The company also plans to export tubes to Europe, US and the ASEAN countries. This facility is expected to generate Rs 450 crore in three years and payback is expected in 7 years.