BWI: Delta PEB Releases Industry Survey Results at Seminar on The Future of Steel in Construction

Press release from Business Wire India
Source: Delta Pre-Engineered Buildings Ltd.
Thursday, September 03, 2009 02:40 PM IST (09:10 AM GMT)
Editors: General: Consumer interest; Business: Advertising, PR & marketing, Business services, Commodities & materials, Construction, Heavy industries; Technology
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Delta PEB Releases Industry Survey Results at Seminar on The Future of Steel in Construction
Over 90% Prefer Newer Construction Technologies

Hyderabad, Andhra Pradesh, India, Thursday, September 03, 2009 -- (Business Wire India) -- Delta Pre-Engineered Buildings Ltd. Hyderabad and Kadapa based PEB leader, announced the preliminary results of a snap survey of investors, builders, architects and consultants.

Mr. Raja Narreddy, CEO of Delta laid out his ambitious vision for the future of construction in India at the seminar sponsored by Delta in Taj Banjara.

Mr. Prasada Rao, ED of Delta, while presenting the past and future of the PEB industry said that while the current potential demand is 1.2 million tons, the supply is only 0.35 million tons. If the demand were to grow by only 10% annually over the next five years, the supply would have to grow by 40% annually. There is significant growth potential for both existing and new players. While Andhra Pradesh represents almost 20% of the national PEB market, government needs to reduce VAT to 4%; otherwise the AP industry may find another state more attractive for further investment.

Mr. S.V. Rao, CEO of Kirby, a true pioneer in PEB in India, outlined the advantages of load-bearing steel in high-rise buildings (buildings over 14 stories), compared to conventional RCC frames. He said that while a dozen years ago, prospective customers only wanted to know how much cheaper PEBs were compared to conventional construction, today nobody asks that question.

Mr. John Keefer, Director of ClarkWestern Building Systems, Ohio, USA, a leader in light-gauge steel framing products, and a part of the Japanese Marubeni Itochu Group, walked the distinguished audience through the advantages of light-gauge steel framing for curtain walls, roofs, partition walls, elevator shafts, etc.

Mr. Ken Kenjale, Chief Strategy Officer of Delta, released the preliminary survey results. 91.5% of those surveyed (major builders, investors, architects and consultants) said labour costs and labour management issues have increased over the past few years, and will continue to increase over the next few years. This suggests the need for greater automation, as has happened in the western countries.

If the initial cost of construction was higher, but the total costs of ownership over 20-30 years was lower, 84.7% of those surveyed would prefer the newer construction technologies. This suggests that Indian industry leaders are thinking along the right lines.

It is interesting to note that 93% of those surveyed believed that the initially perceived uses of commercial and industrial buildings are likely to change as early as 10-20 years after construction. This clearly points to the need for re-configurable buildings, especially the interiors, something that light-gauge steel framing is ideal for.

88% of those surveyed felt commercial and industrial buildings made of steel, drywalls, glass, etc. are OK as long as they meet the architectural and engineering specifications, although they might not give a 'solid feel' to the casual observer. This suggests that such historical 'cultural' biases are fast disappearing in the industry leaders.

About Delta PEB

Delta PEB is a leader in designing, manufacturing and erecting pre-engineered buildings for industrial, commercial, agricultural, educational and other applications. Headquartered in Hyderabad along with its engineering facilities, Delta has an 18-acre factory in Kadapa for the manufacture of PEBs. In the last year alone, it has erected 5 lakh sq. ft. of pre-engineered space, and has an order book of over 3 lakh sq. ft.

For more information, visit www.deltapeb.in.


CONTACT DETAILS
Mr. Prasada Rao, E.D, Delta Pre-Engineered Buildings Ltd., +91 (40) 44662525, +91 9052078899, prasadarao.ghanta@deltapeb.in

KEYWORDS
CONSUMER, MARKETING, BUSINESS SERVICES, COMMODITIES, CONSTRUCTION, HEAVY INDUSTRIES, TECHNOLOGY

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