Boosted with success of its solution business in the retail segment in the domestic market, steel major Tata Steel is now exploring possibility of entering overseas markets like Bangladesh and Myanmar with retail branded steel solution products.
“We have a great success in developing brands and distribution network in B2C markets in India.
Bangladesh and Myanmar are the two B2C markets which have similar profile as India.
We are seeing the opportunity there in the B2C markets to build the brand and distribution network,” Tata Steel MD (India and South East Asia) T V Narendran said here today.
Tata Steel terms consumer products as B2C and has marketed these steel products similar to FMCG strategy.
Narendran however, did not elaborate further on the overseas foray.
Tata Steel offers branded rebars, doors, windows, modular housing, toilets and water ATMs in the Indian market and generates some Rs 700 crore revenue annually and was aiming to increase the same to 20 per cent of the topline over the next few years.
Speaking at Bengal Chamber of Commerce organised Metal 2017, he said country’s steel industry had been spending less towards R&D compared to global standards.
“Most industries and countries spend about 2 per cent (of the revenue) towards R&D. Indian steel industry is spending less than 0.5 perc ent to it. The government is providing incentives to the industry to invest more in R&D,” he said here.
“R&D expenditure is not about spending the money but having the right projects,” he added.
Narendran also mentioned that India lacks in high end steel processing for automotive sector.
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.