Few takeaways from Annual Report(2023-24) of Krishca.
Strategic Facility Expansion
& Future Growth Initiatives :-
New Hardening and Tempering
Line in Tamil Nadu
The company has launched a new
hardening and tempering line in Tamil
Nadu, marking a significant expansion in
production capacity. This development
allows the company to enter new
markets with its Ultra High Tensile
Strapping, a product in high demand
across various industrial sectors.
Entry into the Welding
Consumables Market
The company is set to enter the welding
consumables market by establishing
a new subsidiary and constructing a
MIG welding wire production plant in
Chennai. This facility will serve both
domestic and international markets,
reinforcing Krishca’s commitment to
diversifying its product portfolio and
expanding its global footprint.
Strategic Investment in
the Middle East
As part of its global expansion strategy,
Company is making significant
investments in the Middle East. The
company is establishing new sales
offices, warehouses, and a state-of-theart manufacturing plant in the region,
providing a strategic gateway to the
lucrative US market.
Focus on India’s Steel
Packaging Market
Recognizing the potential of India’s steel
packaging market, which is valued at
₹ 2000-2500 crore annually, Krishca is
intensifying its focus on this sector. The
company aims to secure a significant
share by forming strategic partnerships
with major packaging contractors who
manage the packaging needs of steel
mills.
Our ambition is to become India’s largest steel strapping supplier and packaging contractor. We aim to achieve operational independence through our in-house cold rolling mill, ensuring quality control and raw material procurement.
Leveraging our deep expertise in steel strapping, we have strategically implemented forward integration by expanding into packaging contracts. Packaging Contract in Pipeline worth ₹ 200 Cr with Expected 20% Convergence Rate.
Our strategic objective is to increase our packaging contract revenue to more than 50% of our total revenue in the coming years. By actively securing new contracts and expanding our market presence both domestically and internationally, we are well-positioned to achieve this ambitious target.
With Indian steel exports on the rise, there is a growing demand for steel strapping, a market where Company is well-positioned to excel. Global importers of steel strapping are increasingly seeking non-China suppliers, offering Krishca an opportunity to capture a larger share of the global market.
We are actively exploring opportunities in new markets such as Bangladesh, Sri Lanka, Australia, the US, Europe, and Africa. Our focus is on increasing our packaging contract revenue and capturing a larger share of the steel strapping market. By appointing distributors in these regions, we aim to enhance our market reach and drive export growth. These initiatives are aligned with our goal of becoming a dominant player in the global packaging industry.
Supportive government policies and initiatives aimed at boosting the manufacturing and logistics sectors can benefit Krishca. Incentives for domestic production and export promotion can enhance profitability and drive business growth.
Planning to increase in borrowing limits from Rs.50 crores to Rs.200 Cr or the aggregate of the paid up capital and free reserves of the Company, whichever is higher.