Boosted with the 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 see the opportunity there in the B2C markets to build the brand and distribution network,” says Tata Steel MD (India and South East Asia) T V Narendran, reports the Hindu.
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 etc 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 India’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 percent to it. The government is providing incentives to the industry to invest more in R&D,” he said.
Source: Daily Sun, Dhaka, Bangladesh