Bangladesh BSRM Steel starts production after expansion
10 December 2015
BSRM Steel has started production with enhanced capacity after successful completion of BMRE (balancing, modernisation, rehabilitation and expansion) work.
This is considered as having reached a major milestone by the country’s largest steel manufacturer based in Chittagong, which is a sister concern of BSRM Group.
The production commenced on Monday.
According to a statement, the company’s annual production will be increased to 700,000 tonnes from 600,000 tonnes after the BMRE. The company had to shut down mill from November 15 to complete the BMRE work.
The company is mainly engaged in production and supply of “Xtreme 500W” deformed bars of reinforced steel. It had commenced its commercial operation in April, 2008.
To meet its total requirement, most of its raw materials are imported from Japan, Taiwan, Korea, Turkey, North America and South America.
Yesterday, its share prices fell 3.3% to Tk98.7 a share on the Dhaka Stock Exchange.
The company’s net profit in first six months of this calender stood at around Tk18.6 crore, up from Tk3.2 crore in the same period a year earlier, according to its latest financial statement.
Bangladesh has more than 400 steel, re-rolling and auto-rerolling mills with a combined annual production capacity of 8m tonnes, against the total demand of only 4m tonnes. The government projects account for nearly 40% of total steel consumption.