Paramount Plans New Cable Plant in MP, Eyes Exports Opportunities in the US
Paramount Communications Limited, a Delhi-based cable manufacturing company, will be expanding its cable manufacturing capacity by setting up a new plant in Madhya Pradesh.
Paramount to Invest Rs. 250 Cr. in New Cable Plant
Paramount Communications has acquired 31 acres of industrial land in Narmadapuram Industrial State, Madhya Pradesh for establishing its new cable manufacturing plant. This land has been allotted by Madhya Pradesh Industrial Development Corporation (MPIDC).
Excluding the cost of land, this plant will come up with an investment of about Rs. 250 crore.
The company will be manufacturing Direct Current (DC) and Alternating Current (AC) cables at this upcoming plant, which is expected to commence production by FY-27. The company is expected to achieve the first commercial production by December 2026.
Company’s Growing Exports in the United States
In CY 2024, the company’s exports to the United States reached USD 43 million, marking an impressive 36% Year-over-Year (YoY) growth. The company targets to increase the share of US exports in its revenue to approximately 40% in the coming years.
According to company’s management, Trump administration’s 25% tariff on all imports coming into the US from Mexico and Canada could provide Paramount a significant competitive advantage in the US market. Canada and Mexico are currently the largest exporters of products to the US which are similar to Paramount Communications’ portfolio. This new tariff is expected to enhance cost competitiveness of Indian products in the US market.
Moreover, the United States imports over 50% of its raw Aluminum from Canada. The 25% tariff on Aluminium imports could raise costs for US-based manufacturers, further improving the company’s relative competitiveness in case of Aluminium-based products.
Paramount’s Growth Targets and Performance Highlights
Paramount targets to grow its topline at a Compound Annual Growth Rate (CAGR) of 30% over the next five years, targeting revenues exceeding Rs. 5,000 crore by FY-30. The company anticipates that the commissioning of its new plant in MP will enable significantly increase its revenue.
About Paramount Communications: Paramount Communications, also known as Paramount Cables in manufacturing circles, is engaged in wire and cable manufacturing. The company has a wide product range, including Railway Cables, High Voltage & Low Voltage Power Cables, Fire Survival Cables, Instrumentation & Data Cables, Specialised Cables, Optical Fiber Cables, and Telecom Cables. The company has two manufacturing facilities one of which is situated in Khushkhera, Rajasthan, while the other is in Dharuhera, Haryana.
