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 CHAIRMAN’S VISION

“Our goal is to become the leader in ‘longer segment’ of steel catering to the Construction Industry.”


 
For Rathi Udyog Ltd., the art of steel making is a magnificent obsession. And for over six decades, we have been honing our skills to become the perfect steel artisan. A reputation that is based on our ability to recognize and meet the needs of the growing steel market. Since our inception, we have been diligently sharpening our competitive edge by proactively responding to our customers needs even during tough economic weather and geopolitical storms.
 
 
       
 
Undeterred by rough seas, we grew stronger with coherent strategies that have created new high earning profit centers in the Indian construction industry. As a result of these unstinting initiatives, we were the first to manufacture CTD reinforcement rebars in India in collaboration with Tor Isteg Steel Corporation, Luxemburg through its Indian representative Tor Steel Research Foundation In India ensuring 40% savings in steel consumption and giving the Indian Construction Industry a much-needed impetus. Also we are the first to produce TMT Bars in North India using the patented “Thermex” Technology of HSE, Germany.
 
       
 
In the year ahead our focus would be to sustain growth and we will do our utmost to further establish a profit-maximization philosophy through cost reduction and bold restructuring of uncompetitive and non-core sectors, while strengthening our balance sheet with operations generated cash flow. We also firmly intend to progress forward with our management strategy which primarily includes completing the ongoing expansion plans of enhancing our production facilities in the states of Orissa, Madhya Pradesh and Uttar Pradesh.
 
       
 
Living in an era of cut-throat competition among formidable competitors we have built our strength through sustaining our focus on market-leading products. In the year ahead and the ones to follow we will further our efforts to augment our competitive position by moving closer to our customers and expanding our presence to global shores. Together with the support of our esteemed clientele and steely resolve we aim for a Strong, Resurgent and Focused Rathi.”
 
PC Rathi
Chairman
 
 HISTORY

The Group owes its presence in the steel industry to the farsightedness of late Seth Gordhan Das Rathi. He setup a small re-rolling mill in Delhi in the early 40’s. Since then the Group has grown continuously. Shri Gordhan Das Rathi’s commitment to quality, integrity, honesty, and growth is being followed till date.   
                     
Our Company is headed by Shri Punam Chand Rathi who is well known in the Steel Industry with experience of over five decades in Steel Melting and Rolling/Re-Rolling. Our Company is a profit making, dividend paying and listed company. We are engaged in manufacturing of Rebars and Wire Rods which are broadly categorized as the Long Products in the Steel Industry. The main application of our products currently being manufactured, is in the Construction Industry. Wire rods, another product being currently manufactured by us are further drawn into wires, which has various industrial applications.

The Rathi Group was amongst the first to adopt the technology of Tor-Steel in the country from Tor Istag Steel Corporation, Luxemberg, through the Tor-Steel Research Foundation in India. The Company’s latest product Thermo-Mechanically Treated (TMT) Steel has gained popularity in short span of time in the construction Industry. The state-of-the-art patented “Thermex” water quenching process makes the Steel earthquake resistant. We are one of the exclusive licencees for the use of “Thermex” technology in Northern India.

Our Company is an ISO 9001 certified company. We have a very strong and committed network of dealers, consisting of nearly 800 retail outlets spread all over Northern India. Such a broad dealer network enables us to ensure quantitative as well as qualitative up-gradation.

We are constantly making every possible effort to upgrade our technology and improve our product quality to retain and enhance our market share. Our Company is conscious of the interest of our stakeholders i.e. shareholders, the Government, employees and of our customers.

The Company’s group Company viz. Rathi Iron And Steel Industries Limited has also commissioned a Steel Rolling Mill plant at Pithampur, Distt. Dhar (M.P.). Our installed capacity together with that of our Group company is about 175000 TPA of rolled products and 40,000 TPA of melting facilities. Our Company is also setting up facilities for manufacturing value added Alloy Steel products.

We are also in the process of setting up a backward integration project at Orissa (Orissa Project) to manufacture Steel Billets through DRI-captive power-CCM route.
 
 MANAGEMENT

Our Board of Directors comprises of the following:
 
Mr. Pradeep Rathi, aged 49 years, Managing Director, has a career spanning about 26 years in the fields of production planning, procurement, finance, etc in the Iron and Steel Industry. He holds a degree in Commerce from Delhi University. He monitors the day to day affairs of the Company. His expertise lies in the personnel department. He has been on our Board of Directors since August 27,1994.
 
Mr. Punam Chand Rathi, aged 71 years, Chairman and Executive Director, has a career spanning almost 50 years in the Iron & Steel sector. He is highly recognized in the steel industry for his technical expertise and administrative capability. He has been on our Board of Directors since incorporation of the Company.
 
Mr. Shree Kumar Daga, aged 52 years, holds a Masters Degree in Mechanical Engineering and has more than 26 years of experience in various industries. He has been on our Board of Directors since March 2003 as a Non Executive and Independent Director
 
Mr. Prem Narayan Varshney, aged 53 years, holds a post graduation degree in Economics from Agra University. He has more than 31 years of experience in the field of Human Resource Development. He has been on our Board of Directors since 1997 and was appointed as an Executive and Independent Director since April 2005.
 
Mr. Dwarka Das Lakhotia, aged 32 years, holds a Master’s degree in Commerce from CCS University and has more than 12 years of experience in the field of accounting and marketing. He has been on our Board of Directors as a Non Executive and Independent Director since March 2003.
 
Mr. Ranjit Khattar, aged 45 years, is a qualified Chartered Accountant with more than 20 years of experience. He has worked with various organizations in the capacity of chief financial officer and as a financial consultant. He has been on our Board of Directors as a Non Executive and Independent Director since February 2005.
 
TECHNICAL COMMITTEE FOR THE PROJECTS
 
The Company has formed a technical committee to implement the Orissa Project and an on going expansion at Ghaziabad, comprising of senior technocrats in their respective fields. Dr. P.K. Mohanty chairs the above named committee.
The Committee includes the following personnel-

Dr. P.K. Mohanty (Chairman) - Dr. P.K. Mohanty is a reputed man in Steel Industry and holds Doctorate from the University of Utah of USA. He possesses vast experience and knowledge of Steel industry. Dr Mohanty is also the Trustee of Tor Steel Research Foundation in India, the supplier of ribbed bar technology through twisted steel bar known as TOR® Steel.

Mr. M.A. Khan Mr. Mansur Ali Khan holds a Bachelor Degree in Electrical Engineering. Mr Khan has served OSIL in various capacities, in the production and maintenance process and was associated in development of the sponge iron technology i.e. OSIL PROCESS. He is presently heading the Project & Engineering division of OSIL and was responsible for engineering and erection of the Billet Plant and Waste Heat Recovery based Power Plant of OSIL.

Mr. R.K. Agrawal – Mr. R. K. Agrawal, holds a degree in B.E. from Thapar College of Engineering, with about 28 years experience in the field of Power/Steel/Cement. He has provided his services to the concerns like Harduaganj Thermal Power Plant of UPSEB, Modi Cement Ltd, Bihar Sponge Iron Ltd, Jindal Strips Ltd, Bhushan Ltd., Prakash Industries Limited etc. He is responsible for almost all technical aspects of the Orissa Project.

Mr. Rajiv Bhattarya
- Mr. Rajiv Bhattarya , a senior Chartered Engineer, has been associated with the Company for the last 15 years, and has vast experience in the field of erection, commissioning and managing Steel Rolling Mills and Melting Furnace plants. He is responsible for production and renovation/ upgradation of the Plant. The Company’s Ghaziabad Unit has undertaken several expansion/ diversification schemes under his supervision and guidance.
 
PLANTS/ PROJECTS  

GHAZIABAD PLANT

The Ghaziabad Plant consists of Steel Rolling Mills having an installed capacity of 1,25,000 TPA, a high speed No Twist Block Wire Rod Mill and Steel Melting Shop with 40,000 TPA installed capacity comprising of Induction Furnace, AOD Converter, Continuous Casting machine and other facilities for manufacturing high end value- added stainless steel and alloy steel products. We intend to further add value to the products being manufactured by us by converting them into bright bars, wires, flanges etc.
 
ORISSA PROJECT

Considering the Orissa Government’s aggressive efforts for rapid industrialization of the State and future industrial growth of the Country, the Company has planned to setup an integrated Steel Project at village Potapali-Sikirdi, district Sambalpur (Orissa). The Company has already entered into an MOU with the Orissa Government for setting up the project. The project comprises of facilities for manufacture of 300,000 TPA Sponge Iron, a Steel Melting Shop of 5,00,000 TPA, Pig Iron of 200,000 TPA and captive Power Plant of 50 MW, to be implemented in phases, as per detailed Techno-Economic Feasibility Report submitted to the Orissa Government. The progress on the first phase of the project at a project outlay of Rs.220.50 crore, is going on at full swing and is expected to be completed by September 2006
 
INDORE PLANT

We intend to make the Orissa plant a primary source of raw material for the existing rolling mills of the Punam Chand Rathi Group and also for the future rolling mill plants that we intend to setup all across the country. A chain of value addition from iron ore, sponge iron, captive power, steel making at the Orissa plant, to various rolling mills across the country will lead to tremendous synergy and will enable us to service our customers better by providing high quality products at competitive prices.

The promoters have also promoted a new company viz. Rathi Iron And Steel Industries Limited who has installed a Steel Rolling Mill project having capacity of 50,000 TPA at Pithampur Industrial Area, Distt. Dhar (M.P.). The production facilities are similar to that of Ghaziabad project and are well equipped with the latest technologies for producing quality CTD and TMT bars. The commercial production has already taken place and the products are being well accepted in the market.

 
 MARKETING
                    
We market our product Steel bars under the brand “RATHI”, which is a popular brand and preferred choice of consumers in Northern India for its quality and reliability. However, the “RATHI” Trademark belongs to the Rathi Foundation, a syndicate of the Rathi Group, which includes all members of the erstwhile Rathi family. The brand enjoys high goodwill and premium in the market.

We manufacture TMT bars using the “THERMEX” technology, which is patent of the German collaborator M/s Hennigsdorfer Stahl Engineering GmbH, and the Company is licenced to use the same. We are one of exclusive licencees to use the “Thermex” technology to manufacture TMT bars in Northern India.

The Company has a very strong and committed network of dealers who spare no efforts to keep maintain the image of the Company and provide value-added service to the customers. This network of dealers consists of nearly 800 retail outlets spread all over Northern India.

The main features of our marketing strategy are as following:

Effective Brand Extension  : The “RATHI” name is a well established and reputed                                                       brand in the Northern India.

Retail Marketing                         :
      Our retail network includes nearly 800 outlets spread                                                       all over Northern India.

Direct Sales    
                      :      We have a highly experienced and committed team                                                       of sales   executives who cater directly to the needs of our Corporate and                                                       Government clients.


We have a vast profile of customers. Customers of the Company range from to reputed contractors to the retail users, from the private sector organizations to public sector undertakings and foreign embassies. The customers of the Company can be classified into three major groups i.e. Government customers, retail users and private sector customers.

 
SOME OF OUR PRESTIGIOUS CLIENTS, GROWING EACH DAY
» NBCC » U. P. Jal Nigam » Ahluwalia Contracts
» NTPC » Rajasthan Urban Infrastructure Dev. Corpn. » Jyoti Sarup mittal
» NDMC » IROW » Ambience Projects
» NHPC » Airports Authority of India Ltd. » Jaipuria Infrastructure Developers
» MES » Panipat Refinery » Gammon India Ltd.
» MAP » UNITECH » Gannon Dunkerlye & Co. Ltd.
» LIC of India » DLF Group » PARSAVNATH
» CPWD » OMAXE » IFFCO
» IMCC » Ansals » NTPC
» EIL » American Embassy » Ranbaxy
» EPIL » Larsen & Turbo Ltd. » Alfa Buildtech
» Delhi Metro Rail Corporation » Hindustan Times » Assotech Realty Ltd.
» U. P. Rajkiya Nirman Nigam Ltd. » Punjab Police Housing Board » SAHARA INDIA
» U. P. Avas Evam Vikas Parishad » PBA Infrastructure Ltd. » Pragya Projects Pvt.Ltd.
» Army Welfare Housing Organization » MGF Developers Pvt. Ltd.    
 
BUSINESS STRATEGY

Since inception of our Company, we have made efforts to place ourself in a competitive position in the industry by proactively responding to our customers needs. As a result of these initiatives, we started to manufacture CTD Reinforcement Bars under the brand “RATHI TOR” in collaboration with Tor Isteg Steel Corporation, Luxemburg through their Indian representative Tor Steel Research Foundation in India, ensuring substantial saving in steel consumption and giving the Indian Construction Industry a much needed impetus.
              
During the late nineties, the Indian construction industry expressed their inclination towards quenched rebars known as TMT rebars. Keeping pace with the change we installed the TMT manufacturing facilities under the patented “THERMEX” technology obtained from Hennigsdorfer Stahl Engineering GmbH, Germany through their Indian representative M/s H&K Rolling Mill Engineers Pvt. Ltd.

In the years ahead our focus would be on the following:

»
At our Ghaziabad plant, we shall focus on manufacturing of quality construction steel. The “RATHI” name enjoys goodwill in the construction industry. The steel manufactured by us is known for quality and our future endeavors shall further consolidate the same. We are planning to broad-base our product mix by including value added steel items like Stainless Steel and Alloy Steel Wire Rods, RCS, Flats etc. We also intend to further add value to these products by converting them into bright bars, wires etc., to cater the growing demand of export market.

In order to obtain more efficient operations, we will be focusing on the Orissa Project in the future and will always be looking at the possibility of expansion of the capacity by using the most advanced technology and the most cost-effective route of steel making. We believe that there is tremendous potential in the Orissa project as both the basic raw materials i.e. iron ore and coal are available in abundance in the vicinity to the project site at Sambalpur.
 
 
 
 
 
 
»

 
 
 
 
   
We intend to make the Orissa plant a primary source of raw material for the existing rolling mills of the Punam Chand Rathi Group and also for the future rolling mill plants that we intend to setup all across the country. A chain of value addition from iron ore, sponge iron, captive power, steel making at the Orissa plant, to the rolling mills across the country will lead to tremendous synergy and will enable us to service our customers better by providing high quality products at competitive prices.
 
CAREER WITH RATHI UDYOG LTD.

At Rathi Udyog, we believe in creating value and providing better quality of life for people across the humanity. Our mission is to create performance-driven culture characterized by competence, pride and commitment.

We also look sincerely at young people with fire in their bellies and who are full of energy and dynamism with a vision to grow.
 
OUR PEOPLE – OUR PRIDE
The art of steel rolling is no doubt a team effort where the skill, competence and dedication of every member, whether he is the shop floor workman or the director at the Board, comes into play. And it’s our privilege and pride that we have a highly motivated team that has enabled us to boost productivity and quality.

Constant exposure to the international market and quality standards is a must. Regular in-plant training programmes are organized to keep our personnel posted on the new developments taking place in the steel industry throughout the world.
 
 
 
 
 
 
 
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