Timeline Import of iron products and catering to local needs Re-distribution of local products as local producers com online 1952: Mughal Traders: Journey Begins 1983: Mughal Sons (Pvt) Limited: Corporatization Disruption in availability of locally produced products necessitated independence Re-rolling mill with capacity of 30,000 tones established 1998: Mughal Steel 2000: Ventures into up/down stream value added products 2002-03: Capacity Expansion 2005: Self-sufficiency in Power Generation 2006-07: Backwards integration & Exports 2010: Mughal Iron & Steel Ltd. 2011 & 12: Coal Gasification Plant & Tandem Section Mill 2013 & beyond Billets Production mill with capacity of 40,000 tons added Mughal Steel ventures into upstream value added steel products Stainless Steel, Spinning Steel, Special Steel AOD, LRF, CCM, added to plant Addition of another furnace in 2002 takes capacity to 70,000 tons Rolling Section Mills addition takes capacity to 100,000 tons 9 MW gas powered plant installed to overcome electricity crisis Smelting Furnace, Ferrous Allies plant of 15,000 tons in 2006 In 2007 Medium Section Mill added of 150,000 tons. Total capacity reached 250,000 tons State-of-art Continuous Bar Mill established 50,000 Tons furnace added Coal gasification unit introduced in Pakistan First-ever tandem section mill with investment of PKR 1.2 Billion and capacity of PKR 250,000 tons added Planned listing of Mughal Steel & Iron Further Expansion to add 80,000 tons Growth market share
Mughal Steel Customer Reach Cost Competit- iveness Stakehold- ers Confidence Operational Agility Broad Product Range Dense Populated Locations Strong Brand Awareness Focus on Profitable Segments & Markets/Exports Vertical Integration Strategic Cost Reduction Capital Optimization Flexible Supply Chain Process Efficiency Pioneering Innovation Productivity & Quality Improved Collaboration Engaging with Internal talent Promote increased documentation in industry
Awards & Recognitions ISO CertificationEnvironment Certificate Export CertificateBrands of the Year 2008-11
Summarizing Past Progress Sales & Distribution was the core business and is the competitive advantage till date Business strategy: Retention of 30% market share for specific product segments while optimizing costs & capital use – Back integration to control inputs & supply chain – Brand creation to sustain & grow – Surviving & growing without government support Emerged as the low business risk corporation ready to embark on growth
Future of Iron Industry Market Demand & Supply Scenario Local demand stems from: industry that is linked to economic activity & development Household that is primarily linked to agriculture & cash crops Local demand is expected to grow as Pakistans per capital consumption is well below other countries even the under- developed countries (50% of India) Export demand emanate s from development activity in Afghanistan & Central Asia Local supply has generally grown at a very slow place Local supply caters only to industrial demand and operates in specific product segments Mughal Steels is unique as it has the ability to cater diverse industrial product needs & is the only steel manufacturer that caters to households construction needs.