Jindal In Pact With Nkk Corp Of Japan

Jindal Steel and Power today signed a technical collaboration agreement with NKK Corporation of Japan for manufacturing rails and universal beams. The pact was signed in Japan by Jindal Power and Steel managing director Naveen Jindal and NKK director Katsutoshi Kosaka.

The collaboration envisages transfer of technology to Jindal's upcoming rails and universal beam mill project in Raigarh, Chattisgarh. The domestic steel major is investing about $100 million in the project, a company release said. The technical collaboration is estimated at $10 million.

Naveen Jindal is part of a high power delegation Federation of Indian Chambers of Commerce and Industry (Ficci) visiting Japan accompanying Prime Minister Atal Bihari Vajpayee.

 

"NKK is already producing rails for the high-speed bullet trains in Japan. The technical collaboration will make introduction of fast trains in India a reality," the release said. Jindal Steel plans to complete its project by September 2003.

NKK Corporation, one of the leading steel producers of Japan, will provide the required knowhow in steel making, rail rolling and rail finishing for ensuring international quality. It is noted that Japan is a country which has high quality bullet trains.

Jindal Steel and Power is setting up the rail and universal beam mill project as part of its forward integration programme to cater to the growing demand of the railways and construction industry. About $30 million has already been pumped into the project.

The company has registered a net profit of Rs 52 crore on a turnover of Rs 237 crore in the first half of the current financial year.