Maharashtra Seamless exploits China ban
Maharashtra Seamless is racing to complete two pipe supply contracts for Oil India by end-September as it celebrates a full order book after new anti-dumping duties introduced by Delhi crippled Chinese competition.
PETROWATCH learns the BSE and NSE-listed DP Jindal Group company will deliver 10-inch diameter and 16-inch diameter pre-coated line pipe to Oil India under two contracts totaling Rs13.66cr ($2.1m) won on April 22 in the face of competition from Delhi-based Jindal India. Singapore-based Ace Pressureweld, the only other contender, failed to qualify for both tenders after technical evaluation.
"Demand for OCTG (Oil Country Tubular Goods) is growing and this is helping us," says a Maharashtra Seamless source. He adds Maharashtra Seamless today boasts an order book of Rs478cr ($72m) after it also won a Rs421cr ($61m) ONGC order to supply seamless casings in February this year despite competition from Chinese, Russian, Ukrainian, Romanian and Argentine companies.
Another Gurgaon-based DP Jindal group company Jindal Pipes won a Rs1.41cr ($212,000) Oil India contract in March to supply ERW (Electrical Resistance Welding) line pipes. Sustained lobbying by Indian pipe companies forced the Indian government to impose anti-dumping duty on steel pipes and tubes imported from China in December 2016.
DP Jindal's eldest son Saket is a full-time director on the Maharashtra Seamless board while younger son Raghav is MD of Jindal Pipes.