Leading manufacturers, exporters and suppliers of industrial steel wire and galvanized wire, Kritika Wires Limited, is expecting to have INR 1000 crore revenue in Fy2025. This was revealed by Mr. Hanuman Prasad Agarwal, Managing Director, Kritika Wires Limited, during his interaction with Wire & Cable India magazine.
Wire & Cable India: Please share your views on the Indian vis-a-vis the global steel wire industry. What is the role of the Indian government in the growth of this sector?
Hanuman Prasad Agarwal: At Kritika Wires, we are enthusiastic about the upswing in production and demand for finished steel in India, particularly within the steel wire industry, where robust growth is evident alongside our industry peers.
Unlike the fluctuating dynamics of global markets, the steel wire sector in India benefits from the stability of strong domestic demand. The country’s large population and ambitious infrastructure projects generate consistent requirements across diverse sectors, ranging from construction and automotive to agriculture and energy. This inherent stability shields us from global market fluctuations, allowing us to concentrate on strategic domestic market growth.
The Indian government plays a pivotal role in fostering industry expansion through initiatives such as the National Steel Policy 2017 and the Production Linked Incentive (PLI) scheme for specialty steel, providing a crucial boost for investments and technological advancements. Infrastructure upgrades, including ports, logistics, and power facilities, are anticipated to further reduce production costs and enhance export competitiveness.
Government schemes such as Revamped Distribution Sector Scheme (RDSS), focused on modernizing power distribution networks nationwide, along with extensive modernization of Indian Railway sleeper tracks, replacing wooden sleepers with concrete ones utilizing PC wires, have contributed to the industry’s growth. The multi-faceted approach of the Indian government, encompassing policy support, demand generation, technological advancements and skill development initiatives, plays a pivotal role in propelling the growth of the steel wire sector.
These initiatives contribute to the creation of a conducive and favorable environment, providing steel wire manufacturers like us with opportunities to meet the escalating demand. Continuing these efforts will ensure that the Indian steel wire industry not only meets domestic needs, but also emerges as a global leader in the years ahead.
WCI: What are the major ongoing challenges in the Indian steel wire industry?
HPA: In our assessment, the Indian steel wire industry confronts several challenges that impede its growth. In comparison to global counterparts, the industry in India grapples with a technological gap. Limited adoption and accessibility of automation and advanced quality control mechanisms have resulted in inefficiencies and sub-par product quality, creating obstacles for international competitiveness.
Another significant challenge is the availability of skilled manpower equipped with the latest technologies and industrial know-how. This mismatch between demand and available talent acts as a barrier to the adoption of advanced technological practices. While there is a growing awareness, substantial improvements are still needed in embracing sustainable practices throughout the production process. This encompasses reducing energy consumption, minimizing environmental impact, and adhering to stringent environmental regulations. Embracing circular economy principles and integrating sustainable practices across the value chain are crucial for navigating this evolving landscape.
Watch: RR Kabel | Solar Cables | Solar Plant | Renewable Energy
WCI: How can these challenges of the industry be addressed? How is your company contributing towards this transition?
HPA: To unlock the full potential of the Indian steel wire industry and position it as a global leader, collaborative efforts are essential. Addressing these challenges requires a focus on technological advancements, skills development, infrastructural improvements, and a commitment to sustainability. Joint initiatives involving industry players, educational institutions, and government agencies must be undertaken to bridge the gap through targeted skill development programs and talent grooming initiatives. A collective commitment to overcoming these hurdles will not only pave the way for a brighter future for the industry, but also contribute to the nation’s economic growth and development. At Kritika Wires Limited, we are a family, each member in their own way, each day upholding the values we stand for.
Automation is a key aspect of our strategy, implemented at various stages of the production process to ensure effective standardization of product quality. Our commitment to workforce development is evident through ongoing training initiatives, placing employees under the guidance of experienced and skilled personnel. Additionally, we are dedicated to reducing energy consumption and implementing sustainable practices to not only cut costs, but also minimize our environmental footprint.
WCI: Could you please take us through the business journey, milestones and achievements of your company?
HPA: Our group’s journey commenced in 1958 when the late Shri Kapur Chand Agarwal, our founder, initiated a trading firm under Jai Hanuman Industrial Corporation, specializing in welding electrodes and consumables. In 1962, he established a manufacturing unit and in the 1980s, he subsequently entrusted the leadership to his sons – Late Mr. Ramesh Agarwal, Mr. Naresh Agarwal, Mr. Sushil Agarwal, and Mr. Hanuman Prasad Agarwal.
In 1997, our corporate entity for welding electrodes, Classic Electrodes (India) Limited was founded, operating manufacturing facilities in Kolkata and New Delhi, consistently producing a range of welding electrodes and consumables. In 2004, we ventured into Kritika Wires Limited, initially starting with a modest wire-drawing facility. Our significant expansion occurred in 2010 with the establishment of a galvanizing unit, substantially enhancing our overall capacity and diversifying our product portfolio.
The leadership baton has transitioned to the third generation – Mr. Ankush Agarwal, Mr. Ayush Agarwal,
Mr. Nitesh Agarwal, and Mr. Hrithik Agarwal. As of FY2024, our group is poised to achieve approximately INR 650 crore in revenues, underscoring our unwavering commitment to consistent growth.
WCI: Brief us about your specialized products, along with their USPs.
HPA: We provide a diverse array of specialized products, encompassing ACSR core wires, cable-armouring wires, prestressed-concrete wires, stay wires, earth wire, welding electrodes, MIG wires, stainless steel wires, umbrella rib wire, barbed wire, and GI wires designed for fencing applications. We are thrilled to share that Kritika Wires is expanding its product range with aluminium wire rods. Our production capacity of 36,000 TPA will focus on both EC and alloy wire rods.
WCI: What have been the recent developments at your organization and what are your future growth plans?
HPA: Our organization has experienced notable developments in recent years, marked by commitment to innovation and strategic expansion. Our current focus includes increasing production capacity and diversifying our product portfolio to offer a comprehensive solution for the nation’s steel wire requirements. At Kritika Wires, we view growth as synonymous with responsibility and sustainability. We are actively engaged in research and development to expand our product range and enhance product quality.
Looking ahead to FY2025, our aim is to reach INR 1000 crore in revenues, driven by escalating demand and our strategic expansion of product offerings with the introduction of aluminium wire rods. The target for FY2025 reflects our confidence in the business’ potential for further development and success. Our decision to diversify product offerings align with our forward-thinking approach, enabling us to explore new markets and cater to the changing needs of our customer base. Further, the leadership transition to the third generation has injected fresh perspectives and energy into our strategic vision, paving the way for continued success.
