Wire & Cable R i l St d egional Study - Integer Research

Wire & Cable
Regional Study
India
1

Regional Studies
Integer has released the most concise, in-depth and detailed study ever to be
published for the Indian Wire & Cable Sector. The following slides cover the
content and methodology:
• The producers
• Their product mix
• Market share
• Capacities
• Investment projects/expansions
• Financial state
• Their customers
• Projects requiring Wire & Cable in the region
• Macroeconomics of the region
• Demand by end use
2

India Regional Study - The Producers
Aksh Optifibre Ltd
Apar Industries
Surana Group
MP Birla Group
Cable Corporation of India Ltd (CCI).
Cords Cable Industries Ltd.
Delton Cables Ltd.
Diamond Power Industries Ltd.
Finolex Cables Ltd.
Havells
Hindusthan Vidyut Product Ltd.
KEC/RPG
KEI Industries Ltd
Samvardhana Motherson Group
Nicco Corporation Ltd.
Paramount Cables
Plaza Cables
Polycab
Precision Wires
Ram Ratna Wires
Rishabhdev Technocable Ltd.
Sterlite Technologies Ltd.
Torrent Cables Ltd.
UM Cables
Universal Cables Ltd.
Vindhya Telelinks Ltd.
V-Guard Industries
Full profiles for the top 27 producers:
• Analysis
• Overview and structure
t
• Raw materials usage
• Production and capacity by product
• Company Financials
Production Output of the Top 20 Indian Cable Makers, 2004-2010

India Regional Study - The Producers
Polycab Wires Pvt. Ltd. Smita Conductors Production Revenues for 47 producers
Sterlite Technologies
Finolex Cables
Havells India
KEI Industries
Apar Industries
Diamond Power
Precision Wires India
R R Kabel
KEC/RPG Cables Ltd
Ram Ratna Wires
Universal Cables
Ravin Cables
Paramount
Deepak Cables (India)
Hindusthan Vidyut
Cord Cables Industries
Uniflex Cables
Torrent Cables
Polycab Cables Pvt.
Plaza Cables
Aksh Optifibre
Birla Ericsson Optical
Delton Cables
Legrand (India) Pvt.
U M Cables
I T W India
Nicco Corpn.
V-Guard Industries
Cable Corpn. Of India
Vindhya Telelinks
GK Winding Wires
Skytone Electricals (India)
Surana Telecom & Power
Chandresh Cables
Rishabhdev Technocable
Himachal Futuristic Comms
Gammon India
Shakti Insulated Wires Pvt.
Shashi Cables
Bhagyanagar India
Motherson Sumi Systems
CMI
West Coast Paper Mills
Galada Power & Telecom
LS Cable
1. Indian Cable Production Revenues, US$ million,
example
2004-2011
Company 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-2011
Uniflex Cables 8.1 7.1 8.7 29.5 31.3 40.2 48.2
Torrent Cables 34.1 40.6 50.3 63 44.5 39.2 47.1
Polycab Cables Pvt. 11.5 34.9 15.4 39.2 34.33 39 46.8
Plaza Cables 24 28 30 32 35 40 45
Aksh Optifibre 5 20.3 10.5 11.9 28.5 36 43.2
Birla Ericsson Optical 15.2 22 12.4 35.3 28 29 38
Delton Cables 17.4 25.8 29.4 40.3 38.1 30.4 36.4
Smita Conductors 8 33.2 42.3 29.3 24.5 29 34.8
Legrand (India) Pvt. 4.1 6.5 11.1 19.7 24.1 29 34.8
4

India Regional Study - The Producers
Production Database for 126 producers
Adinath Cables & Conductors Pvt Dynamic Cables Pvt. Ltd. Hindusthan Vidyut Products Ltd. Monopol Chemicals Pvt. Ltd. Sarthak Enterprises Limited
Aksh Optifibre Elektrolites (Power) Pvt. Ltd. HPL Socomec Pvt. Ltd. Morakhia Metal & Alloys Pvt. Sel Energy Limited
Alpha Communication Ltd. Emgee Cables Incab Motherson Sumi SGN Telecoms
Apar Industries Limited Ess Ess Kay Engineering Co. Pvt. Indo Asian Fusegear Ltd. Multi Pressings Shakti Insulated Wires Pvt.
Associated Cables Pvt. Ltd. Evershine Electrical Works (I) Industrial Cables (India) Ltd. Nicco Corporation Limited Shakun Polymers Limited
ASTA India Finecab Wires & Cables Pvt. Ltd. Innocorp Optiflex Industries Sharavathy Conductors Pvt. Ltd.
Avanti Cables Pvt Ltd Finolex Cables Limited Jainson Insulation Pvt. Ltd Panvel Industrial Fastners Pvt. Shri Ram Switchgears Pvt. Ltd.
Bajeria Industries Fort Gloster Industries Limited K. Dhandapani & Co. Ltd. Paramount Communications Shriram PolyTech
Beico Industries Limited G. K. Winding Wires Ltd. Kalpana Industries Patel Wire Industries Skytone Electricals (India) Ltd.
Bhagyanagar India Galada Power & Telecommunications KEI Industries Limited Plaza Smita Conductors Limited
Bharat Insulation Company (India) Gammon India Khaitan Winding Wire Pvt. Ltd. Polycab Wires Pvt. Ltd. Sterlite Industries Ltd.
Birla Ericsson Opticals GELCO Electronics Pvt. Ltd. Krishna Udyog Precision Wires Sterlite Technologies
Brass Copper & Alloy (I) Ltd. Gemscab Industries Limited it KSH International ti Pvt. Ltd. Prem Cables Pvt. Ltd. Surana Telecom & Power
Cabcon India Private Limited General Cable Energy India Pvt. Kusum Engineering Works Premier Cable Tamil Nadu Telecommunications
Cable Corporation of India Ltd. Globus Corporation Lapp India Pvt. Ltd. Radiant Corporation Private Torrent Cables
CapCab India Ltd. Gloster Cables Ltd. Larsen & Toubro Limited Rallison Electricals Pvt. Ltd. TTL Ltd.
Central Cables Ltd. Govind Cable Industries Laser Cables Private Limited Ram Ratna Wires Ltd Udey Instruments
Chandra Metals Goyolene Fibres (India) Pvt. Ltd. Leebo Metals Pvt. Ltd. Ravin Cables Limited Umang Boards Pvt. Ltd.
Chandra Proteco GR Cables Legrand (India) Pvt. Ltd. Reliance Engineers Ltd. Uniflex Cables Ltd.
CMI Ltd Gujarat Cables & Enamelled M and B Switchgears Pvt. Ltd. Rima Transformers and Conductors Pvt. Universal Cables Limited
Cords Cables Gupta Power Infrastructure Ltd. Mercury Cable Industries Rishabhdev Technocable Usha Martin
Cybele Industries Hard Chem Electronics Modern Instruments Pvt. Ltd. RPG Cables Limited (KEC) V-Guard
Delta Trans Conductors Pvt. Ltd. Havell's India Ltd. Modern Malleables Limited Sadhana Engineering Victor Cable Industries Ltd.
Delton Cables Ltd Himachal Futuristic Communications Ltd. Modison Metals Ltd. Sam Cables & Conductor (P) Vindhya Telelinks
Diamond Power Infrastructure Hind Aluminium Mohan Energy Corporation Pvt. Sangrur Industrial Corporation West Coast Paper Mills Company
DK Electrical Industries

India Regional Study
Table of Contents (250 pages)
Section 1: Executive Summary
Section 3: Detailed Supply and Demand Cable Consumption
Section 2: Overview of India
Overview
Background on India
Indian Industrial Base
Indian Macroeconomic Situation
Indian Construction Sector
The Commercial Sector
Indian power sector
Indian Telecom Sector
OFC network in India:
Mobile Telecom Network in India
Indian Cable Industry – history
Industry Size
Cable Trade
Financial Performance and Outlook
EHV and HV power cables
MV and LV power cables
Specialty cables
Telecom cables (copper and fibre optic)
Foreign Investment and Joint Ventures
Wire & Cable Consumption
The Cable Industry in India
Cable Classifications Used in India
Copper Wirerod
Indian Power Market
Power Cables and Bare Overhead Conductors
Fibre Optic Cable
Enamelled Wire & Strip
Supply Analysis
Section 4: Leading Indian Cable Company Profiles
6

Regional Focus Reports – Sample Data
Nicco Corporation Production & Capacity, FY March 2007-2010
Product Year Unit Plant
Capacity
(Volumes)
Production
(Volumes)
Sales
(Volumes)
Sales
(INR m)
Sales
(US$m)
Steel Cables 2007 MT Shyamnagar 4500 n.a. n.a. n.a. n.a.
Conductors & Wire 2007 MT
Shyamnagar,
Paripada 22156 59829 59829 45 1
Steel Wires 2007 MT Shyamnagar 18000 n.a. n.a. n.a. n.a.
Finolex Raw Materials Usage, FY 2007-20102010
Steel Wire Rods 2007 MT Shyamnagar 53600 n.a. n.a. n.a. n.a.
Product Name Year Unit Quantity Value (INR m) Value (US$ m)
Total 45 1
Copper 2007 MT 17506 5938 131
Steel Cables 2008 MT
Other Raw Materials 2007 n.a. n.a. 674 15
Shyamnagar 4500 n.a. n.a. 3233 80
Shyamnagar,
PVC 2007 MT 11348 659 15
Conductors & Wire 2008 MT Paripada Polythene 22156 21957 219572007 16 MT 0
2296 153 3
Steel Wires 2008 MT Shyamnagar Preforms 18000 n.a. n.a. 2007 n.a. MTn.a.
10 79 2
Steel Wire Rods 2008 MT Shyamnagar Total 53600 n.a. n.a. n.a. n.a.
7503 166
Jelly Filled
Copper 2008 MT 25542 8566 213
Telecommunication
Shyamnagar,
Other Raw Materials 2008 n.a. n.a. 770 19
& Electrical Cables 2008
Paripada 80000 15474 15517 n.a. n.a.
PVC 2008 MT 14217 958 24
Total 3249 81
Polythene 2008 MT 4594 372 9
Steel Cables 2009 MT
Preforms 2008 MT 9 64 2
Shyamnagar 80000 22315 n.a. 2520 55
Shyamnagar,
Total 10729 266
Conductors & Wire 2009 MT Paripada Copper 22156 n.a. n.a. 2009 9 MT 0
24624 7261 158
Steel Wires 2009 MT Shyamnagar Other n.a. Raw Materialsn.a. n.a. 2009 n.a. n.a. n.a.
n.a. 1130 25
Steel Wire Rods 2009 MT Shyamnagar PVCn.a. n.a. n.a. 2009 n.a. MTn.a.
12766 810 18
Jelly Filled
Polythene 2009 MT 3270 286 6
Telecommunication
Core Shyamnagar,
Preforms 2009 MT 13 88 2
& Electrical Cables 2009 km Paripada n.a. n.a. n.a. n.a. n.a.
Total 9574 208
Total 2529 55
Copper 2010 MT 31440 9904 208
Steel Cables 2010 MT
Other Raw Materials 2010 n.a. n.a. 1074 23
Shyamnagar n.a. n.a. n.a. n.a. n.a.
Shyamnagar,
PVC 2010 MT 16440 1050 22
Conductors & Wire 2010
Paripada Polythene 22156 101 1012010 43 MT 1
2942 240 5
Steel Wires 2010 MT Shyamnagar Preforms n.a. n.a. n.a. 2010 n.a. MTn.a.
23 168 4
Steel Wire Rods 2010 MT Shyamnagar Total na n.a. na n.a. na n.a. na n.a. na n.a.
12436 261
Jelly Filled
Telecommunication
Core Shyamnagar,
& Electrical Cables 2010 km Paripada 80000 15474 15517 n.a. n.a.
Total 43 1
7

Regional Focus Reports – Sample Charts
1. Precision Wires– Annual Company Financials 2005-2009, US$ million
Mar-05 Mar-06 Mar-07 Mar-08 Mar-09 Mar-10
Total income 71.77 89.49 151.47 171.55 137.09 147.95
Sales 71.62 89.26 151.3 171.31 136.94 147.02
Income from financial services 0.07 0.15 0.15 0.12 0.07 0.28
Total expenses 68.08 88.51 147.19 169.67 134.89 142.02
Raw material expenses 49.42 65.93 113.08 124.57 101.34 110.62
Compensation to employees 1.18 1.26
Total income
1.52 1.92 1.72
44.24
2.17
24.7 69.26 13.25 -20.09 7.92
Indirect taxes 10.1 12.71
Total expenses
21.88 28.72 19.98
42.66
14.11
30.01 66.3 15.27 -20.5 5.28
Selling &distribution ib ti expenses 088 0.88 105 1.05 PBDITA
116 1.16 144 1.44 139 1.39 30.68 151 1.51
17.39 14.76 17.65 -64.24 182.05
PBDITA 6.27 7.36
PAT
8.45 9.94 3.55
22.86
10.02
19.6 -9.1 15.69 -94.11 1,788.46
PBDTA 6.07 7.02
Net worth
7.29 8.79 2.69
16.36
9.31
18.42 9.87 45.18 -12.31 8.23
PBT 5.02 5.95
Total assets
5.62 6.55 0.44
29.6
7.02
50.84 23.82 24.24 -25.79 13.85
PAT 3.41 4.08
Profitability
3.71
ratios (%)
4.29 0.25 4.77
PBDITA Net of P&E/Total income
Net worth 18.67 22.09 24.26 35.22 30.88 8.85 33.42 8.39 5.62 5.79 2.57 6.48
net of P&E
Pid Paid up equity capital (net of
2.33 2.36 PAT Net of 2.31 P&E/Total income 2.87 net 2.52 2.44
forfeited capital)
4.86 4.72 2.48 2.49 0.16 2.91
of P&E
Reserves & surplus 16.35 19.72
PAT Net of
21.95
P&E/Avg. net
32.35
worth
28.36
20.05
30.98
20.72 16.24 14.39 0.67 13.35
Total borrowings 2.55 7.99
PAT/Avg.
18.68
net worth
18.98 13.67
19.62
11.91
20 15.99 14.41 0.76 14.84
Current liabilities & provisions 14.67 24.55
PAT Net of
24.59
P&E/Avg. total
29.55
assets
16.78
10.42
24.92
8.92 5.91 5.41 0.29 6.17
Gross fixed assets 19.29 30.21
PAT/Avg.
35.72
total assets
45.07 42.37
10.19
42.65
8.61 5.81 5.42 0.33 6.86
Net fixed assets 12.84 22.67 Liquidity ratios 26.7 (times)
32.71 29.33 27.84
Investments 0.38 0.49
Current ratio
1.37 0.04 0.03
1.53 1.24 1.34 1.33 1.47 1.42
Current assets 24.39 33.65
Debt to equity
41.39
ratio
54.76 35.42
0.14
46.08
0.36 0.77 0.54 0.44 0.36
Loans & advances 0 0.01
Interest cover
0.01 0 0
25.88 18.88 5.9 6.69 1.47 10.2
Total assets 37.75 56.94
Debtors (days)
70.5 87.59 65.01
58.47
74.01
63.55 51.4 56.73 61.07 57.24
Growth (%)
Creditors (days) 79.13 101.03 60.09 63.32 45.38 64.86
Efficiency ratios (times)
Total income / Avg. total assets 2.15 1.89 2.38 2.17 1.8 2.13
Total income / Compensation to
employees
60.75 71.27 99.7 89.54 79.58 68.04
8

Regional Focus Reports – Sample Charts
1. Major Investments in the Indian Cable Sector, 2008-2010
Year Company Investment Story
Q4 2007 Sterlite Tech Sterlite Tech on expansion spree
Q4 2007 DiamondPower DiamondPower Infrastructure t on expansion drive
Q4 2007 V-Guard V-Guard plans power cables plant at Uttrakhand
Q4 2007 V-Guard V-Guard plans new enameling plant at Coimbatore
Q4 2007 V-Guard V-Guard plans power cables plant at Coimbatore
Q1 2008 Finolex Finolex Cables & J-Power to form Joint Venture to manufacture High Voltage Cables
Q1 2008 Cords Cables Cords Cable Industries to invest US$2 milion for wires & cable manufacturing unit
Q1 2008 Indo Asian Fusegear Indo Asian Fusegear plans cable plant at Kurukshetra
Q1 2008 KEI KEI Industries commences production of LT Power cables at Bhiwadi unit
1. Indian Cablemaker Product Mix and Main Plant Location in 2011
Q1 2008 Rollex Electro Products Rollex Electro Products commissioned its plant in Bhiwadi, Company Rajasthan in November 2003 Location Business Sector / End Product
Q1 2008 Rollex Electro Products Rollex Electro Products commissioned its wire facility at Chaupanki, Rajasthan in January 2007
Insulated Wire & Cable
Winding Conductors
CTC
Lapped Strip
Enamelled Strip
Enamelled Wire
OEM Cables
Electronic wire
Comm. cable
LV Flexibles
Building wire
Conductors
Power Cable
Universal Cables Limited Satna, Goa • •
Victor Cable Industries Ltd. New Delhi • • •
Innocorp Ranga Reddy • •
Apar Industries Limited Silvassa, Nalagarh • • •
Alpha Communication Ltd. Uttar Pradesh •
Associated Cables Pvt. Ltd. Chiplun • •
Avanti Cables Pvt Ltd Pune • •
Bajeria Industries
Gujarat
Beico Industries Limited Silvassa •
Bharat Insulation Company (India) Maharashtra • •
9

Regional Focus Reports – Sample Charts
1. Indian Cable Values, US$ million, 2004-2010
2004 2005 2006 2007 2008 2009 2010
Coaxial Cable/Electronic Wire/Data -6 -9 -10 -18 -32 -16 -22
Enamelled/Magnet Wire - Other -13 -21 -35 -50 -56 -26 -41
Enamelled/Magnet Wire - Round -14 -28 -28 1. India -29 CEA
-82 ramps up
-20 massive
-29
investment in the Power Sector in XI Plan
Fibre Optic Cable -9 -26 -43 -35 -48 -44 -55 Plans at the end of the X Plans at the end of the XI Plan,
Low Voltage Energy 1kV, MV, HV, EHV -10 -15 -43 HVDC -65 +/- 500kV -155 -109 circuit -147 km 5872 11078
Export Total -74 -151 -223
HVDV
-285
200kV Monopole
-554 -380
circuit
-481
km 162 162
Coaxial Cable/Electronic Wire/Data 7 9 14 18
400kV
34 17 28
circuit km 75722 125000
Enamelled/Magnet Wire - Other 13 23 45 53 66 36 54
220/230kV circuit km
Enamelled/Magnet Wire - Round 48 55 57 83 82 43 66
circuit
114629 150000
Fibre Optic Cable 31 20 21 Total 121 Transmission 159 Lines36 km49
198089 293372
Low Voltage Energy 1kV, MV, HV, EHV 19 23 43 65 153 109 112
HVDC Bipole + Monopole MW
Import Total 179 222 306
Total-
488
HVDC Terminal
685 382 494
5200 11200
Coaxial Cable/Electronic Wire/Data 103 132 155 Capacity 162 175 158 MW 229
8200 14200
Enamelled/Magnet Wire - Other 42 44 76 765kV80 87 65 MVA 95
2000 53000
Enamelled/Magnet Wire - Round 380 399 687
400kV
721 779 511
MVA
741
92942 145000
Fibre Optic Cable 59 73 82 91
220/230 kV
121 155 196
MVA 156497 230000
Low Voltage Energy 1kV, MV, HV, EHV 316 342 461 507 548 451 687
Production Total 2749 3334 4707 5124 5556 4291 6347
Apparent Consumption Total 2854 3404 4790 5328 5687 4293 6360
10

4000
,
10.0
3500
3000
2500
2000
1500
1000
500
0
Regional Focus Reports – Sample Charts
Indian Telecom Cable Production, million metres
Projected increase in transmission lines (Km)
200,000
400kV 220kV
180,000
160,000
Telecom Cable, million metres
140,000
120,000
100,000
80,000
60,000 000
40,000
9.0
20,000
0
10th Plan (2007) 11th Plan (2012) 12th Plan (2017)
Apr, 1998
Sep, 1998
Feb, 1999
Jul, 1999
Dec, 1999
May, 2000
Oct, 2000
Mar, 2001
Aug, 2001
Jan, 2002
Jun, 2002
Nov, 2002
Apr, 2003
Sep, 2003
Feb, 2004
Jul, 2004
Dec, 2004
May, 2005
Oct, 2005
Mar, 2006
Aug, 2006
Jan, 2007
Jun, 2007
Nov, 2007
Apr, 2008
Sep, 2008
Feb, 2009
Jul, 2009
Dec, 2009
May, 2010
Oct, 2010
45000
40000
35000
30000
25000
20000
India becoming one of the world's largest cable markets in 2010 & beyond
80
Indian Economy Finally Starts to See Greater Value Added in Manufacturing
8.0
7.0
6.0
5.0
4.0
15000
10000
5000
70
3.0
60
50
Gross Value Added d of Output t (US billion)
40
Employment, million (right hand side)
2.0
1.0
0.0
0
30
20
10
11
0
2000
2002
2004
2006
2008
2010
2001
2003
2005
2007
2009
2000
2002
2004
2006
2008
2010
2001
2003
2005
2007
2009
2000
2002
2004
2006
2008
2010
2001
2003
2005
2007
2009
China Germany India Japan Russia USA

For further information on this report
please contact:
Kristian Wyatt
Senior Business Development Manager
Kristian.wyatt@integer-research.com
Philip Radbourne
Director – Wire and Cable
Philip.radbourne@integer-research.com
Tel: +44 20 7503 1265
40 Featherstone Street, London, EC1Y 8RE, UK