Rajeev Jhawar claims - Pandemic did not have a solid impact on demand for wire ropes in international market

Rajeev Jhawar, the son of Brij Jhawar, is the managing director of Usha Martin Limited. Usha Martin is a multi-unit and multi-product organization in the wire rope business. For more than a decade, the company has been bringing rich experience in the management of industrial enterprises. The economy was badly struck by the pandemic and the subsequent lockdown. But the stimulus package by the government and the lifting of restrictions post lockdown showed signs of fresh growth.

Rajeev Jhawar expects that the domestic demand for their products, particularly in the construction and auto sectors will start picking up after the monsoon season. There should be a pick-up in demand during the festival season post-September-October, by which time the company hope that the Covid situation would also be brought slightly under control. He also forecasts his views on the various stimulus measures taken by the government to enhance the growth of the economy. “The various measures announced by the Central government to boost the economy are likely to start yielding results post-monsoon”, Rajeev Jhawar, Managing Director of Usha Martin Limited said.

UML’s wire rope business manufactures wire, strands, LRPC and wire ropes, which cater to various industries, including steel, infrastructure, construction and auto.  The demand for wire rope was reduced by the reverse migration of labourers particularly in the western and northern regions of the country which had affected industries such as construction. The demand from the construction, auto and oil sectors is down, says Mr. Rajeev. He also claims that even though the domestic demand is low, the international demand for wire ropes is solid.  

Rajeev Jhawar, the son of Brij Jhawar, is the managing
 director of Usha Martin Limited. 

“While the demand for wire rope has been “fairly decent” in international markets, the domestic demand across various sectors has been very low due to the lockdown in the wake of the Covid-19 pandemic”, Rajeev Jhawar said. The manufacturing plant of Usha Martin has therefore reduced its manufacturing quantity and is currently operating at 50-55 per cent of the installed capacity. “The company expects capacity to increase by the second half of this financial year once the covid situation is brought under control and domestic demand picks up. The export demand is, however, good and the rupee depreciation is supporting Usha Martin Limited”, Rajeev confirmed.

Once the Covid situation is brought under control and the domestic demand picks up, the company hopes that they can ramp up the capacities of the plant. Usha Martin Limited has a manufacturing capacity of around 2,30,000 tonnes per annum across its two facilities in India — at Ranchi and Hoshiarpur and three overseas units in the UK, Thailand and Dubai. Addressing the export business of the company, Rajeev Jhawar said, “The demand for wire rope has been ‘fairly decent’, if not strong, from markets such as Europe, the US, South America, Australia and South-East Asia”.