Baku Senaye Tikinti company seeks to expand export line

By Azernews

By Sara Israfilbayova

Baku Senaye Tikinti company, engaged in manufacture of corners, frames and strips, pipes and pipe-profiles of various sizes, seeks to expand the production and boost exports.

The production process, based on the up-to-date technologies, allows to manufacture corrosion-resistant metal goods that can be used in construction of onshore and offshore, gas and water pipelines.

Company head Ramiz Ahmadov noted that the factory located in the Keshla settlement employs over 200 people, stressing that it has enough capacity and potential to enter free competitive market.

Ahmadov, talking to Azertac, said that the company, producing high-quality and cheap goods, occupies a leading position in the Georgian market.

“Similar products of Russia, Ukraine and Armenia on that market can not compete with the products of our company,” Ahmadov said, adding that installation of modern technology at the factory is a requirement of the day. “The acquisition of innovative technologies will enable the production of high quality and competitive steel products.”

He noted that the company seeks to decrease the local market’s dependence on steels products imported from Russia in the next 3-4 years, adding that the company's products will also be exported to neighboring countries.

Ahmadov mentioned that in the future it is planned to increase the number of production areas, create new workplaces and thus contribute to the state budget.  “If the enterprise sells 500 tons of products abroad it will mean additional $250,000 to the state budget.”

He went on to say that the company’s products also enjoy great demand in Georgia and Iran because they are not expensive and at the same time qualitative. “Moreover, if goods from Russia and Ukraine are delivered within 40-50 days, the company is able to deliver goods in 3-5 days,” he added.

To ensure uninterrupted metal casting, the company ordered equipment from abroad, mainly from China and Turkey, since the two are among the leading countries in the world in the field of heavy metallurgy.

The new equipments will allow to manufacture standard parts of any size from the molten metal uninterruptedly, he explained.

“The profitability of the new equipment is great,” he said. “Soon, in 5-6 months, it will be possible to manufacture high pressure armatures for construction, oil and gas and defense industries. Experts from Turkish and Chinese companies visited the enterprise to get acquainted with our products and highly appreciated our activities. Then we signed agreements on joint cooperation. "

He added that a modern laboratory of the factory analyzes the composition of any metal and shows the amount of chemicals contained therein. “The chemical composition of the products is strictly controlled. The cost of the Swiss lab equipment is $ 125,000,” Ahmadov said.

The company management has presented a business plan for the expansion of the existing production areas, purchase of new and up-to-date equipment. The plan was submitted to the Economy Ministry for proper consideration.

Ahmadov further stressed that taking into account the benefits created for entrepreneurs, in accordance with the presidential decree, dated January 10, 2016 "On additional measures to stimulate investment", Baku Senaye Tikinti company intends to start investment activities to create metallurgical products in the country.

The total cost of the investment project is 5.6 million manats ($3.3 million), and the project will be implemented within 7 years.

Under another decree of the head of state, the minimum amount of the investment project was determined at the level of 5 million manats ($2.94 million).

Within the framework of the investment project, the company will create a continuous molding, which will have an annual melting capacity of 60,000 tons. At the same time, 170 workers will be employed within the framework of the project to create metal products.

So, the new investment project will be one of the significant contributions of the company to the national economy, which will help to create new workplaces and increase employment, Ahmadov assured.