Vibhor Steel Tubes (VSTL) will set up a new unit at Sundargarh in Odisha to scale up its total manufacturing capacity to 3.41 lakh tonne. The new plant will manufacture value-added products such as crash barriers and monopoles.

With the commissioning of the third project in Odisha, the capacity will increase by 1,20,000 MT to 3,41,000 MT, and the company is targeting to make the plant operational by the first quarter of financial year 2024-25.

It has also acquired the land for the project, and orders for plant and machinery have been placed. It will be funded through internal accruals.

The company is also exploring export markets once the new production facility goes on stream. Nearness to raw material supply will be an added advantage for the company to cut its freight cost. The Hisar-based steel maker presently has two plants in Mahabubnagar, Telangana and Raigad, Maharashtra respectively with a total installed capacity of 2.21 lakh tonne.

VSTL manufactures steel products such as electric resistance welded pipes, hot-dipped galvanized pipes and hollow section pipes.