I have collated some data about D.I Pipe industry and manufacturers from public domain. summary is as follows
• Demand of DI Pipes grew by 13% CAGR during FY12-FY17.
• The current demand as per end usage of DI pipes is 80-85% for water projects and 10-13% for sewage and balance for others.
• Penetration of tap water in India is 44% as per 2011 census.
• The GoI spend in WSS sector has risen at a CAGR of 10% to 11% during 2012 to 2017.
The aggregate capacity in the sector has risen from 1.5 million tonnes in Fiscal 2012, to 2.25 million tonnes in Fiscal 2017. The capacity and utilisation of DI Pipe manufactures for FY17 is as follows.
Company Capacity (in Mn Ton) Utilisation
Jindal Saw 0.5 75%
Srikalahasthi 0.23 100%
Electrosteel casting 0.3 104%
Tata Metaliks 0.2 90%
Electrosteel Steel 0.2 70%
Rashmi 0.2 70%
Jai Balaji 0.2 26%
Electrotherm 0.2 51%
Sathavahana 0.2 46%
Total (Industry) 2.23 72%
Most of the companies are in trouble and this industry is consolidating among efficient and well capitalised players. Sathavahana is under SDR and Electrosteel steel is under bankruptcy proceedings.
The GoI’s continuous efforts on increasing the penetration of tap water and improving sewage facilities under various schemes will continue to support the sector during 2017 and 2022, which shall be facilitated by:
• Several GoI’s schemes such as, amongst others, ATAL Mission for Rejuvenation and Urban Transformation, Swach Bharat Abhayan and National Clean Ganga Mission;
• City level water grids planned by the state and municipal corporations such as, amongst others:
Telangana water grid project (₹ 370,000 million for laying 0.12 million kilometers of pipelines for supplying water to towns and villages apart from providing water for the industrial needs);
Marathwada water grid project to resolve water issues in the district;
Silk city water project at Behrampur, Odisha (₹ 5,820 million) for resolving drinking water problem of Berhampur and also for supplying water to 52 villages in Aska, Hinjili, Sheragada and Kukudakhandi blocks in Ganjam district.
Disclosure: Invested in Srikalahasti after recent correction.