Page 35 - Bullion World Issue 11 March 2022_Neat

Bullion World | Issue 11 | March 2022
SILVER Silver consumption in electrical contacts industry 2018-19

2015-16
2017-18
2016-17
Year
STORY Source: Company Annual reports/ 270.58 295.41
MT
254.25
276.58
Projected Electrical Contact and silver consumption
Year Electrical Contacts Silver usage
Silver Electrical 2018-19 432.00 295.00
Contacts 2019-20 454.90 310.64

• Electrical contact industry is 2020-21 479.01 327.10
highly organized with 80% 2021-22 504.39 344.43
share and unorganized players 2022-23 531.13 362.69
20% 2023-24 559.28 381.91
• The major players in the
organized segment are Note: Value in MT
Modison Metals, Hindustan
Platinum, Modicon and Choksi Company wise share in electrical contact business
Heraeus Company Name % share
• Electrical contact production Modisons Limited 30.90
has witnessed an average Choksi Hereaus Private Limited 27.94
CAGR growth of 5.13% over
the last 4 years. Hindutan Platinium Private Limited 19.80
• Companies investing in Modicon Private Limited 16.69
capacity and capability CS Contacts Private limited 4.68
• Investing in plant & machinery
to tap the new market Note: Value in crore.
opportunities arising out of Source: Company Annual reports
changed geopolitical situation. Imports of Electrical Contacts:
• Enhance range in GIS product
family, MV/Transformer On an average electrical contact imports for the last 4 years was around
market, new product range 20MT /Annum compared to domestic production of 300 MT/ Annum. Import
development in LV. substitution by domestic production would translate into an additional
• expand into new geographies demand of 13.50 MT of silver per annum. Electrical contacts attract 7.5%
(export focus) especially in LV duty.
segment
• Looking for diversification Year Qty
opportunity in growth sectors 2015-16 23,930
and also for any strategic
investment based on value 2016-17 20,519
proposition. 2017-18 20,519 Note: Value in Kgs
• Current import duty on silver 2018-19 20,137 Source: Ministry of Commerce
electrical contacts is 7.5%
compared to the import duty
of 12.75% on silver bullion in
India.

Product ranges

• LV contacts – contacts based
on silver cad-oxide, bimetals,
silver nickel etc. for various
current ratings for control gears
and switchgears
• MV contacts – supplies
contacts for SF6 based
switchgears
• HV contacts – arcing and non-
arcing contacts.
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