About the Company
Zenith Birla (India) Limited a Yash Birla Group Company was originally incorporated as Zenith Steel Pipes Limited on August 5, 1960. The Certificate of Commencement for Business was issued on August 17, 1960 from Registrar of Companies Maharashtra, Mumbai. The name of the company was changed to Zenith Steel Pipes and Industries Limited on October 31, 1975 which was further renamed as Zenith Limited on January 28, 1986 and is now called Zenith Birla (India) Limited from October 18, 2005.
Zenith Birla (India) Limited is a leading manufacturer of Steel Pipes in India. It have almost 45 years of operations. It are at present engaged in the manufacturing of welded steel pipes (black & galvanized). Our Steel Pipe Division is located at Khopoli 80 kms from Mumbai The plant has installed capacity of 1,20,000 M.T. of steel pipes. This Division ranks as one of the pioneers amongst Steel Pipe manufacturers of India.
Till 1971, It was manufacturing Steel Pipes by medium frequency electric resistance contact welding process. Thereafter, the manufacturing process was converted to the latest technology of High Frequency Induction Welding (HFIW) process. The pipes manufactured by us are predominantly used for plumbing, agriculture, irrigation, urban and rural drinking water distribution, structural and industrial applications Square and rectangular hollow sections manufactured by Zenith are used to replace conventional section of higher weight such as beams, angles and channels. These sections have higher load bearing capacity with better economics and have better aesthetic appeal. Zenith tubular pipes have also successfully substituted seamless pipes for certain applications.
It is also engaged in the manufacture of High Speed Steel Cutting Tools viz. Drills, Reamers, Cutters, Taps, Tool Bits, used in Automobile, Engineering, Fabrication, Construction and other industry for machining operations. The HSS cutting tools are manufactured by the Company under the brand name of “ITM” and well known throughout India. Our Cutting Tool Division has two manufacturing units located at Nashik and Aurangabad.
After divesting the businesses of Steeel, Paper, Chemical and Textile the Company pursued the businesses of steel pipes and tools and build upon it’s core competence of “enginerring products”.
As It is in pipe business since last 45 years, the Company is very well placed to seize the opportunities due to its long-standing industry experience, strong brand value and infrastructure Now It are planning to consolidate our pipe business. The company is expanding its pipe manufacturing facilities at Khopoli to include Mechanical Tube used in fast growing auto industry and API Pipes in its product portfolio
The Company has wide exposure in export market as well, especially in regions like USA, Europe, Middle East and Africa. It is exporting almost 50% of its total production consistently over the years. Zenith USA is its subsidiary that takes care of Company’s sales in North America Market. It has a branch office in Dubai that takes care of Middle East and Yemen market.
Business divisions of the company:
Steel Pipe Division:
It is currently making steel pipes, which can be categorized as Standard pipes. The standard pipes are used as uncoated known as black pipes as well as with corrosion resistant zinc coating known as galvanized pipes. The galvanized pipes are used mainly for drinking water applications or for structural applications with requirement for protection from rust.
Cutting Tool Division
Machine Tools Industry of the company is split into two segments viz. Cutting Tools and Metal Working Tools (machinery & equipment). Organized players are better equipped to provide high-end customized tools than the unorganized players. The unorganized players compete fiercely for a small market. Milling cutters, reamers and chaser segments have significant competition from unorganized segment. Gear Cutting Tools are fully dominated by organized sector with marginal unorganized share.
The basic operations include boring, forming, cut-off and parting, drilling, grooving, hobbing, milling, sawing, shearing and cutting, tapping, threading, turning, and brake rotor turning. These operations find major application in automotive and other capital good industries.Indian Tool Manufacturers Limited (ITM) was incorporated in 1937 by British Company and then acquired by Birlas in 1939. In 1983, ITM was amalgamated with the Company. At present It has installed capacity of 20371300 no. of cutting tools, out of which It has manufactured 16848857 no. for the period ended March 31, 2005 (18 months).
It has put up a plant to manufacture Black welded and Galvanized Steel Pipes with a licensed capacity of 24000 TPA at Khopoli, Maharashtra in the year 1960. Initially it was manufacturing the Pipes in the range of ½” to 4” NB. In May 1979 it has put up a second Pipe Plant to manufacture Steel Pipes upto 8” diameter. With the Technical improvement of the Plant the License capacity of the Plant has reassessed by Government of India at 91000 TPA and with the Installed Capacity of 120000 TPA.
Rolls & Shear Division
In the year 1974 it entered into a Technical collaboration with American Shear Knives Company, USA for the manufacture of Industrial Knives and Rollers. The said agreement was expired in 1980 but the company continued to manufacture the said product on its own. Due to high cost of manufacturing and adverse market condition our company has closed down the Division in the yea1995-96.
Special Steel Division
During 1974-75 it diversified its activities by installing 10/12 Tonnes Electric arc furnace and two stands continue casting machine to manufacture Steel billets with a capacity of 18000 TPA at Khopoli. In 1977-78 it also set up a Rolling Mill for manufacture of 16500 TPA of rolled product which was subsequently increased to 30000 TPA.
In March 1980, the company also received Letter of Intent for manufacture of writing and printing paper with an annual capacity of 9,900 TPA in aggregate, which has been converted into an Industrial License in January 1981. In 1981, it diversified its activities by setting up a paper plant at Hoshiarpur, Punjab with a capacity of 9,900 TPA, which was enhanced, subsequently to 16,500 TPA. This division faced several problems in its initial stages because of the prevailing situation, non-availability of power and difficulty in retaining experienced and qualified personnel. It approached BIFR and as per the approved rehabilitation Scheme, It had to incur heavy capital expenditure to make it viable.
In 1982, the Indian Tool Manufacturers Ltd. (ITM) was amalgamated with our Company. According to the scheme of amalgamation, our company issued equity shares of the aggregate face value of Rs 135 lakhs to the erstwhile shareholders of ITM in the ratio of 10 equity shares of Rs 10 each of our company for every one share of Rs 100 each of ITM.
The textile division was promoted by the erstwhile ITM by putting a yarn spinning plant with a capacity of 15,000 spindles at Khamgaon, Maharashtra. This division become part of our company on amalagamation of ITM with us.
Chemical DivisionIn the year 1979-80 It has put up a Plant for the manufacture of Dye-Intermediates such as H-Acid, Tobias Acid, Gama Acid, K-Acid etc. with a capacity of 500 TPA at MIDC, Tarapore. The operation of this plant was adversely effected till 1983-84 mainly due to sluggish market for Dye-Intermediates on account of prolonged strike of Textile Unit in Maharashtra. The Operation of this division was improved after 1984-85 as our company started exporting the material. In November 1987, It entered into a technical collaboration agreement with Sitraco s.r.1.Italy for improving the productivity and updating the technology of the plant. In 1988-89 It undertook an expansion scheme and increased the capacity of this plant to 3000 TPA. This division was under lockout from May 1990 to January 1991, on account of labour problems.
Major Customers of the Company are:
- Indian Railways
- Defense organizations such as Indian Space Research Organisation, Bhabha Atomic Research Centre
- Tata Motors Limited
- Bajaj Auto
- Ashok Leyland
- Maruti Udyog
- Mukand Limited
- Bharat Earth Movers Limited
- Brakes India Limited
- Escorts Limited
- Kirloskar Oil Engines Limited
- Hindalco Industries
- 1960 - Incorporation of Co. as Zenith Steel Pipes Ltd. for Mfg. Of Steel Pipes & Tubes
- 1960 - 1st Public Issue of Equity Shares
- 1961- Started Factory at Khopoli for Pipe Mfg.
- 1962 - Pipe production started at Khopoli
- 1968 - Rolls & Shears Divisin (RSD)/Tool Mfg. Division (TMD) Started
- 1974 - Special Steel Division Started at Khopoli
- 1980 - Chemical Division started at Boisar for Mfg. Dyeintermediates & production started
- 1981 - Joint Venture in PT South Pacific Viscose incorporated in Indonesia
- 1980-81 Paper Plant at Banah (Punjab) started
- 1982 - Indian Tool Mfrs. Ltd. merged with the Co.
- 1982 - Textile Division of M/s. Indian Tool Mfrs. Ltd. became a division of our Co. after its merger with the Co.
- 1982 - M/s. Avit Overseas Corporation, New York, Subsidiary of ITM, became our Subsidiary Co.
- 1982-83 - Equity Shares alloted to the holders of 13.5% Secured Debentures of Rs 120/- each in terms of Right attached
- 1983-84 - Allotment of Equity Shares in terms of scheme of amalgamation of ITM with the Co.
- 1989 - Created new Division `Zenith International' for Exports
- 1991 - Co. had gone under BIFR
- 1992 - Co. was declared as Sick Industrial Co. by BIFR
- 1994-95 - Paper Division was sold to M/s. Shreyans Industries Ltd.
- 1995-96 - Reduction of Equity Share Capital by 75% as per BIFR Order dated 8-01-1996
- 1996 - Special Steel Division sold to M/s. Isibars Ltd.
- 1997 - Rehabilitation Scheme sanctioned by BIFR was implemented
- 2000 - BIFR declared that the Co. ceased to be a Sick Industrial Co.
- 2002 - 3 New subsidiary companies formed: (1) M/s. Valueworth Trade Pvt. Ltd., (2) M/s. Zenith Dyeintermediates Ltd., & (3) M/s. Khamgaon Syntex India Ltd.
- Nov.-2004 - Chemical Division hived off & sold to M/s. Nipur Chemicals Ltd.
- 2005 - Textile Division transferred to M/s. Khamgaon Syntex India Ltd.
- 2005 - Change of Name as `Zenith Birla (India) Ltd.'
|Parent Organization||Zenith Steel Pipes & Industries Ltd.||Managing Director|