India’s largest manganese alloy producer Maithan Alloy Ltd has announced that the company envisages to pump Rs350 crore for introducing two greenfield manganese alloy plants to meet the growing demand from global steel firms.

Commenting on the plans, Mr. S C Agarwalla, Managing Director of Maithan Alloy, remarked, “We are installing a plant in Meghalaya and one in Andhra Pradesh. The total combined capacity of the two plants would be 1.38 lakh tonnes per annum.”

The company will invest Rs 80 crore in Meghalaya plant, with production capacity of 28,000 tonne  per annum, while 1.2 lakh tonne per annum Andhra Pradesh unit will entail an investment of Rs 275 crore.

“We are already the largest manganese alloy producer and will become 2.5 times bigger than the nearest competitor by 2011. The entire investment will be from internal accruals and debt,” Mr. Agarwalla further stated.

In the further investment, the company has also bought manganese ore block in Orissa to fufill 20 percent of the ore requirement for the coming 20 years.

According to the sources, the company is eyeing a turnover of Rs 940 crore in the current fiscal with a current market share of 10 percent and  Rs 2,000 crore turnover by 2011.

Maithan Group and BMA Group are the promoters of Maithan Alloy Ltd.

Stock of Maithan Alloys closed at Rs 280, down 1.36 per cent on Bombay Stock Exchange. The total volume of share traded was 6,562 on BSE.