Teemage Precast, a precast concrete manufacturing company floated by textile retailer Chennai Silks and its parent firm SCM Group, has announced setting up of a precast concrete production facility in the state near Erode with an investment of Rs 100 crore.
The 100,000 sft facility at Kangeyam has an initial capacity to produce around 6,000 sft and can manufacture hollow core slabs, wall panels, beams and columns, pre-stressed stair cases, boundary walls and road barriers.
The factory has an annual production capacity of 1.2-1.5 million sft, which could be increased up to 4 million sft based on the demand, said N K Nandagopal, managing director of Teemage Precast. The equipment for the facility has been imported from Germany and Belgium.
The company has invested Rs 75 crore in equipment, while around Rs 25 crore has been infused for setting up the facility. He added that the investment was made from both internal accruals and debt.
The company had a project division in the SCM Group for last around 15 years handling construction works for its own needs. “With the launch of the new company, we expect to take up works from other firms also,” he said.
The group has so far produced 3 million sft of products for its own projects in Tamil Nadu.
Its annual requirement for own use is estimated to be 300,000-500,000 sft.
The pre-stressed and precast products manufactured in the plant could be used in industrial and commercial buildings, educational institutions, housing, parking buildings and stadiums. While the cost of precast production system would be 15 to 20 per cent higher than the conventional system, the time consumed for construction could be reduced, he said.
For instance, a construction which takes around two years in the conventional system, could be completed in around six months with the advanced precast system. This will bring down the cost of construction.
SCM Group is a Rs 450-crore Tirupur-based garment manufacturing firm.