BSRM launches 500-grade rod

BSRM Group, the largest steel manufacturer of the country, introduced a new kind of construction rod in the local market, which, the manufacturer thinks, will reshape the domestic construction market.
BSRM Steel, a concern of BSRM Group, has manufactured the new product, commonly known as '500- grade bars'. The product would reduce the use of steel in construction by 15 percent, thus reducing the construction cost by Tk 54 per square feet, Aameir Alihussain, managing director of BSRM Steel, said in a recent interview with The Daily Star.
The rod is more durable than grade 60 bars, as a result of which 15 per cent less quantity of steel is needed for construction using the new rod compared to the quantity of steel that would be required in construction using the 60-grade rod.
“The new grade rod is selling at Tk 72,000 per tonne in the local market which is as much as the cost of per metric tonne 60-grade rod. Hence with 15 per cent less use net cost of the product stands at Tk 62,000 per tonne, he added.
Elaborating on the issue, he said if the requirement of 60-grade rod were 150 tonnes for a construction work, with the use of 500 grade bars only 128 metric tonnes would be required, saving as much as 22 tonnes of steel.
As the cost of per tonne of 60-grade rod is Tk 72,000, it will save Tk 15.84 lakh per tonne, he added.
Another benefit of the product is that it is wieldable, whereas the 60-grade bars are not, as a result the new product will help in saving wastage of steel.
The factory, established at Fouzderhat in Chittagong with a cost of Tk 370 crore, is now in production and will be launched formally on June 14.
“The technology in use at the plant is better than many plants in the world. Tata has established a similar plant in India very recently”, said Aameir.
While the total annual production capacity of the factory is 3.7 lakh metric tones, it will take two years for the factory to be running in full capacity. Presently the plant is in the learning phase and producing 1.8 lack metric tonnes annually.
The consumption of quality steel products in Bangladesh is between 1.5 and 1.6 million tonnes, sector people said.