The seamless steel pipe industry is almost one century old. The prime reason for the development was provided by transportation sector. Petroleum sector consumes largest quantities of seamless tubes. The Indian seamless tube industry is about 55 Years old.

Seamless pipe as the name suggests is a pipe without a seam or a weld-joint in contrast to Seam or Welded pipe. In a Seam or Welded pipe, the seam or the weld-joint is the weaker part of the pipe limiting the strength of the pipe to the strength of the weld-joint. Whereas the seamless pipe does not have any such joint and thus has uniform structure & strength all over the pipe body. Thus the seamless pipe can withstand higher pressure, higher temperature, higher mechanical stress & corrosive atmosphere and find wide applications in Oil & Gas, Refinery, Petrochemical, Chemical, Fertilizer, Power, Automotive, Bearing, Mechanical & Structural applications.

The greatest advantage of seamless steel pipes is their increased ability to withstand pressure. The weakest point in a welded steel pipe is the welded seam. But because a seamless steel pipe has not been welded, it doesn’t have that seam, making it equally strong around the entire circumference of the pipe.

Stainless steel pipes are used in petrochemicals, fertilizers, dairy industries power stations and nuclear plants. Other corrosion resistant applications as of food processing industry are also significant users. These pipes are used extensively by Nuclear Fuel Corporation. As a whole it is a good project for entrepreneurs to invest.

Few Indian Major Players are as under

·         Bharat Heavy Electricals Ltd.

·         Gandhi Special Tubes Ltd.

·         I S M T Ltd.

·         Indian Seamless Enterprises Ltd.

·         Indian Seamless Metal Tubes (Kalyani Seamless Tubes) Ltd.

·         Indian Seamless Metal Tubes Ltd.

·         Indosin Pvt. Ltd.

·         Jindal Saw Ltd.

·         Mahalaxmi Seamless Ltd.

·         Maharashtra Seamless Ltd.

·         Oil Country Tubular Ltd.

·         P S L Ltd.

·         Patels Airflow Ltd.

·         R M G Alloy Steel Ltd.

·         Tubetec Seamless Ltd.

 

Table of Contents

 

1.       City Profile & Geotechnical Site Characterization

1.1.    General

1.2.    Climate & Rainfall

1.3.    Map

1.4.    Transportation and Communications

1.5.    Economy

2.       Introduction

3.       Benefits of Seamless Steel Pipe

3.1.    Increased Pressure Ratings

3.2.    Uniformity of Shape

4.       Uses & Applications

5.       B.I.S. Specifications

6.       Market Survey

6.1.    Steel Tubes

6.2.    Steel Pipes and Tubes

7.       Financials & Comparison of Major indian Players/Companies

7.1.    About Financial Statements of CMIE Database

7.2.    Profits & Appropriations

7.3.    Total Liabilities

7.4.    Total Assets

7.5.    Net Cash Flow from Operating Activities

7.6.    Section – I

7.6.1.Name of Company with Contact Details

7.6.2.Name of Director(S)

7.6.3.Plant Capacity

7.6.4.Location of Plant

7.6.5.Name of Raw Material(S) Consumed with Quantity & Cost

7.7.    Section – II

7.7.1.Assets

7.7.2.Cash Flow

7.7.3.Cost as % ge of Sales

7.7.4.Forex Transaction

7.7.5.Growth in Assets & Liabilities

7.7.6.Growth in Income & Expenditure

7.7.7.Income & Expenditure

7.7.8.Liabilities

7.7.9.Liquidity Ratios

7.7.10.    Profitability Ratio

7.7.11.    Profits

7.7.12.    Return Ratios

7.7.13.    Structure of Assets & Liabilities (%)

7.7.14.    Working Capital & Turnover Ratios

8.       Export & Import Statistics Data of India

8.1.    Export Statistics Data on Sealmless Tubes & Pipes

8.2.    Import Statistics Data on Sealmless Tubes & Pipes

9.       Present Manufacturers

10.   Manufacturing Process

11.   Process Flow Diagram

11.1.Process Flow Diagram

12.   Technical Specification of Products

12.1.High Temperature Seamless Carbon Steel Pipe

12.2.Seamless Nominal-Size Tubes

13.   Bundling, Storage and Loading of Steel Pipes

14.   Suppliers of Plant & Machinery

14.1.Complete Machinery Suppliers

15.   Suppliers of Raw Material

16.   Product, Machinery & Raw Material Photographs

16.1.Seamless Pipes

17.   Plant Layout

18.   Quotation of Plant, Machinery and Equipments from Supplier

 

PROJECT FINANCIALS

·         Project at a Glance

Annexure

·         Assumptions for Profitability workings ….…………………………………………....................... 1

·         Plant Economics…………………………………………………………………………….................... 2

·         Production Schedule……………………………………………………………………….................... 3

·         Land & Building…………………………………………………………………………….................... 4

§  Factory Land & Building

§  Site Development Expenses

·         Plant & Machinery………………………………………………………………………….................... 5

§  Indigenous Machineries

§  Other Machineries (Miscellaneous, Laboratory etc.)

·         Other Fixed Assets………………………………………………………………………….................... 6

§  Furniture & Fixtures

§  Pre-operative and Preliminary Expenses

§  Technical Knowhow

§  Provision of Contingencies

·         Working Capital Requirement Per Month………………………………………………................. 7

§  Raw Material

§  Packing Material

§  Lab & ETP Chemical Cost

§  Consumable Store

·         Overheads Required Per Month and Per Annum ……………………………………................. .8

§  Utilities & Overheads (Power, Water and Fuel Expenses etc.)

§  Royalty and Other Charges

§  Selling and Distribution Expenses

·         Salary and Wages ……………………………………………………………………………................. 9

·         Turnover Per Annum ………………………………………………………………………................ 10

·         Share Capital…………………………………………………………………………………................ 11

§  Equity Capital

§  Preference Share Capital

•        Annexure 1            ::        Cost of Project and Means of Finance

•        Annexure 2            ::        Profitability and Net Cash Accruals

§  Revenue/Income/Realisation

§  Expenses/Cost of Products/Services/Items

§  Gross Profit

§  Financial Charges    

§  Total Cost of Sales

§  Net Profit After Taxes

§  Net Cash Accruals

 

•        Annexure 3            ::        Assessment of Working Capital requirements

§  Current Assets

§  Gross Working Capital

§  Current Liabilities

§  Net Working Capital

§  Working Note for Calculation of Work-in-process

 

•        Annexure 4            ::        Sources and Disposition of Funds

•        Annexure 5            ::        Projected Balance Sheets

§  ROI (Average of Fixed Assets)

§  RONW (Average of Share Capital)

§  ROI (Average of Total Assets)

 

•        Annexure 6            ::        Profitability ratios

§  D.S.C.R

§  Earnings Per Share (EPS)

§  Debt Equity Ratio

 

•        Annexure 7            ::        Break-Even Analysis

§  Variable Cost & Expenses

§  Semi-Variable/Semi-Fixed Expenses

§  Profit Volume Ratio (PVR)

§  Fixed Expenses / Cost 

§  B.E.P

 

•        Annexure 8 to 11   ::        Sensitivity Analysis-Price/Volume

§  Resultant N.P.B.T

§  Resultant D.S.C.R

§  Resultant PV Ratio

§  Resultant DER

§  Resultant ROI

§  Resultant BEP

 

•        Annexure 12          ::        Shareholding Pattern and Stake Status

§  Equity Capital

§  Preference Share Capital

 

•        Annexure 13          ::        Quantitative Details-Output/Sales/Stocks

§  Determined Capacity P.A of Products/Services

§  Achievable Efficiency/Yield % of Products/Services/Items 

§  Net Usable Load/Capacity of Products/Services/Items   

§  Expected Sales/ Revenue/ Income of Products/ Services/ Items   

 

•        Annexure 14          ::        Product wise domestic Sales Realisation

•        Annexure 15          ::        Total Raw Material Cost

•        Annexure 16          ::        Raw Material Cost per unit

•        Annexure 17          ::        Total Lab & ETP Chemical Cost

•        Annexure 18          ::        Consumables, Store etc.

•        Annexure 19          ::        Packing Material Cost

•        Annexure 20          ::        Packing Material Cost Per Unit

•        Annexure 21          ::        Employees Expenses

•        Annexure 22          ::        Fuel Expenses

•        Annexure 23          ::        Power/Electricity Expenses

•        Annexure 24          ::        Royalty & Other Charges

•        Annexure 25          ::        Repairs & Maintenance Expenses

•        Annexure 26          ::        Other Manufacturing Expenses

•        Annexure 27          ::        Administration Expenses

•        Annexure 28          ::        Selling Expenses

•        Annexure 29          ::        Depreciation Charges – as per Books (Total)

•        Annexure 30          ::        Depreciation Charges – as per Books (P & M)

•        Annexure 31          ::        Depreciation Charges - as per IT Act WDV (Total)

•        Annexure 32          ::        Depreciation Charges - as per IT Act WDV (P & M)

•        Annexure 33          ::        Interest and Repayment - Term Loans

•        Annexure 34          ::        Tax on Profits

•        Annexure 35          ::        Projected Pay-Back Period And IRR