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HCL - 'Exploiting the Cable Oppportunity'

 

 
The pioneer of optical fiber telecom cable manufacturing in India, HCL is also the leader in jelly filled telecom cable. The company netted a turnover of Rs 974 crore in the fiscal year 2000-01, thanks to the company's clear focus on being a major supplier of jelly filled cable to DoT, and BSNL going all out on its network expansion drive. An ISO 9002 company, HCL's strength lies in having one of the largest production capacity in the country. At a time when there is a worldwide shortage of optic fiber cable, a big manufacturing setup has become a great asset. The company is aggressively looking at exports to places like Russia, Middle East, as well as South East, all of which are big markets. Not content at being just a cable manufacturer, HCL also moved up the value chain and offers turnkey project services such as designing and implementing telecom network projects. The company rightly claims that it is a major contributor in building up the country's telecom infrastructure.

 

 
Leader in jelly filled telecom cable, HCL registered a turnover of Rs 974 crore.

Factsheet

CEO: NK Agrawal
Area of Operation: JFTC cables, optical cables and telecommunication cables
No. of Employees: 4248 
Address: 9 Elgin Road,
Kolkota-700 020
Tel: 033-2479101/1808/
2472884
Fax: 033-2471657/2404414
Web site: www.hindcables.com    

SWOT

STRENGTH
  • Leader in jelly filled cable

WEAKNESS

  • Slow to change

OPPORTUNITY

  • Basic operators and DLD service providers

THREAT

  • Smarter new companies

Hindustan Cables Limited (HCL), a government of India undertaking, manufactures products ranging from jelly filled and fiber optic cables in four units at Allahabad, West Bengal, and Hyderabad. An ISO 9002 company, it has one of the largest capacities of 107 Lakh Conductor Kilometer (LCKM) of jelly filled cables and a manufacturing capacity for fiber optic cables of 70,000 fiber kilometer (FKM), per annum. In 1987, HCL pioneered the manufacture of optical fiber cables in India. Presently, the company is one of the major suppliers of jelly-filled cables to the Department of Telecom (DoT).

The installed unit at Hyderabad with a capacity 44 lckm, is one of the largest factories in South Asia with computerized Robotic Reel Handling system, Tandem Insulating Lines and High Speed Horizontal Twiners, and a Computerized Automatic Cable Test. A second unit at Hyderabad manufactures three million CKM PIJF cables ranging up to 3,600 pairs. The company’s R&D center develops microprocessor-based cable testing instruments and special application cables. Today, the unit at West Bengal has an installed capacity of 63 lckm and manufactures polythene-insulated jelly-filled cables and aerial cables. Its turnkey project division involves designing network systems, connecting cable network through exchanges and interfacing with major trunk routes, satellites, microwaves and other telecommunication channels. The company has an ongoing project for manufacturing coiled cords with technical support from Hyundai, and another plant for manufacturing concad copper rod. Facilities to manufacture Polythene Insulated Jelly Filled Cables (PIJF) of 10 lckm capacity per annum were commissioned early this year.

HCL will supply 84 lckm of PIJF and 27,156 fkm of cables to DoT and BSNL this year. For the year 2001-02, the company is expected to continue as a market leader in telecommunication cables, systems and services and be a major contributor in building up the country’ s telecom infrastructure. It is focused on attaining full capacity utilization and high profitability while diversifying its business activities in domestic and overseas markets. The new market prospects for the company are in countries like Russia, Kuwait, Fiji, Jordan, Cyprus, Oman and Malaysia, where its products have been widely accepted. Last year, the company had recorded a turnover of Rs 804 crore from the sales of 85 lckm JFC, 46,860 fkm optical fiber and Rs 123 crore turnkey projects. The company is expecting a turnover of Rs 974 crore from the current fiscal.

 

 

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