Ans: Sterlite has planned multi-fold organic growth. Sterlite continues to focus on projects related to the de-bottlenecking of currently installed capacities, improvements in operational efficiencies and productivity. At the same time, Sterlite continues to review its capacities vis-à-vis industry demand and its global market access.

Sterlite recently announced a project of the enhancement of our optical fiber annual manufacturing capacity to 20 million-km, which will position Sterlite amongst the Top 3 manufacturers globally. Sterlite’s current facility of 6 million-Km is already under expansion to 12 million-Km, which would get established in the current fiscal. The enhanced capacity of 20 million-Km that would be functional by 2011, would require a capex outlay of Rs. 250 Crores. The expanded facility would be capable of manufacturing the Company’s existing range of optical fiber products, as well as have the intrinsic capability to manufacture new products that would cater to high bandwidth applications required by global markets.

Sterlite’s growth plans also include capacity expansion in power conductors to 200,000 MT which would position the Company amongst the largest in the world.

Sterlite also has a team that periodically and routinely reviews various opportunities that could be synergic with Sterlite’s business and growth plans.

Q8) The UK market is aggressively adopting broadband over fixedline medium in a large scale. Is market on your radar and if yes what is your strategy to tap this potential?

Ans: Sterlite’s marketing strategy is 3-fold: Increase the size of the Indian market and maintain our leadership, increase our global client footprint and develop products to meet the evolving application needs of our clients. There is a marked shift in FTTH as the key demand driver for the optical fiber industry, especially in developed economies like Western Europe. FTTH and broadband products and solutions are definitely a key focus for our Company. Our sales & business development team based in the UK ensures that we keep abreast of application trends within the region, provide inputs to our product development teams and pro-actively initiate product approvals, to address our clients’ future requirements.