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Kolkata-based SKP Group, one of largest merchant producers of high carbon ferro chrome, silico manganese, ferro manganese & ferro silicon, has lined up investments of Rs 1,000 crore for expanding its manufacturing capacity over the next two years.

In step,Impex Metal and Ferro Alloys Ltd, a group company primarily into trading of alloys, has set up two furnaces of 18 MVA each for manufacturing of ferro-alloys at Visakhapatnam. The group hopes to raise its share of exports through its new unit at Visakhapatnam.

The plant, which was built at an investment of Rs 153 crore, will manufacture bulk ferro-alloys such as ferro-manganese, ferro-chrome and ferro-silicon. These products are used in production of stainless steel, crude and alloy steels.

Plans are also afoot to set up ferro alloy plant for manganese in Raipur and a 1.8-million tonne pellet plant at Orissa. For the pellet-making plant, the process of land acquisition is likely to be completed by September.

The company will pump in Rs 1,000 crore over next three years on this plant. Another Rs 200 crore will be invested in putting up a 9 MVA ferro alloy plant in Raipur. While land has already been purchased, the financial closure is likley to take place soon.

According to the group's joint managing director, Ankit Patni, the devaluation in the rupee has helped boost export values while volumes have remained subdued. Exports account for half of the group's turnover, which stood at Rs 4,000 crore in 2011-12.

SKP Group exports 70% of ferro alloys manufactured to countries across the globe. The group is also diversifying into stainless steel, power and cement business.