The state of Punjab in northern India is known for its prowess in matters
mechanical. The state is home to some of the
most well known auto and tractor manufacturers like International-Sonalika,
Swaraj and also for some of the most regarded names in the auto components
industry. JREW Steels is one of them. Located on the outskirts of Chandigarh,
JREW Steels was established in the year 1973. Says Ram Agarwal, chairman and
managing director or JREW Steels: "The motive behind setting up of JREW
Steels in 1973 at Chandigarh were the three tractor manufacturing companies -
Punjab Tractors, HMT (Tractor Division) at Pinjore and Eicher Tractors that
started their operations in early 1970s near Chandigarh. We saw a great scope
for supplying steel bright bars and fasteners to the ancillaries of these
companies."
JREW
Steels was launched with initial start-up capital of Rs 1.2 lakhs. The
initial clients of the company consisted of mainly
the suppliers of tractor components and ancillaries. "Initially, we
started manufacturing bright bar sections and hexagonal bars, mild steel and
carbon steel flats," states Agarwal. Production started in 1974 and the
sale for the year 1974-75 was approximately Rs 2.76 lakhs. The production
capacity was 1-tonne bright bars per day. In the year 1981 the company
started manufacture of components for forklift trucks for PTL's Fork Lift
Truck Division and also added some tractor components for HMT, Pinjore. In
1986 the company stopped the manufacture and supply of bright bars to HMT
Ancillaries and turned its focus on automobile parts.
 The
company also added new clients in 1986 and most of them manufacturers of
forklifts. Clients like Macneill Engineering and Voltas. "Supplying to
manufacturers of forklift trucks in India like Macneill Engineering and
Voltas, over a period of five to seven years we established our name in
materials handling industry," states Agarwal. The year 1993 turned out
to be a turning point for JREW Steels. The company developed special steel
sections for backhoe loaders of Escorts JCB (now JCB India) and was awarded
with secured orders for fabricated and machined sub-assemblies. Soon, JREW
Steels was into the development of precision components. The company
developed some precision components for vibrator compactors of Escorts
Construction Equipment; it also developed lifting hooks from 1-tonne to
25-tonne capacity for hydra cranes of Escorts Constructions.
  Over
the period of its existence the company has generated a core competence in
rolled steel sections. Explains Agarwal: "The core competence of JREW
is the specialisation in rolling of special steel sections of any
dimensions." Interestingly, the current product range of JREW Steels
comprises of complete general assembly of front axle for JCB machines,
welded assembly of cross rail for JCB, complete mast assemblies of forklift
trucks, fork and carriage assembly for forklift trucks, lifting hooks for
cranes, precision engineering components for vibratory compactors and mast
channel for all kinds of stackers. The present capacity of JREW Steels is to
process 1500-tonnes of steels every month.
The company has three manufacturing units. One unit at Chandigarh, one at Mohali
and the third plant is at Faridabad, set up in 2007 in response to the demand by
clients from NCR for ready availability of material and convenience. The
Chandigarh plant focuses on manufacturing high precision machined engineering
components of vibratory compactors and is equipped with machines like horizontal
and vertical machining centres, CNC turning centres and other general purpose
machines. The Mohali plant manufactures medium and heavy assemblies as well as
pre- and post fabrication machining of fabricated assemblies of excavators,
forklift trucks and stackers. This plant is equipped with machines like CNC
profile cutting machine, horizontal boring, plano miller, surface grinder,
heavy-duty vertical machining centre, CMM, shot blasting, paint booth,
etc.
  An
ISO 9001-2000 company, JREW Steels is planning to set up a new facility in
central India and also to serve clients in western and southern India. With
a client base that reads JCB India, Escorts Construction Equipment, Godrej
& Boyce, Voltas, Macniell Engineering, Terex Vectra Equipment,
Knorr-Bremse India, Dilip Material Handling Equipment, Puma Lift Trucks and
Expert Equipments, the company caters solely to the OE market as of now. It
is also looking at exports, to Europe to be precise.
Growing at a pace of 50 to 60 per cent every year in the last five years, the
sales turnover of the company this fiscal was approximately Rs 70 crores. For
the upcoming financial year the company is targeting a sales turnover of Rs 100
crores. Pointing at the growth chart, Agarwal announces that he would like his
company to continue growing at a pace of 50 to 60 per cent in the future, the
way it has in the last five years!
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