Viscas Corporation Eyes Offshore Plants to Follow Growing Demand

Japanese high voltage electric cable maker, Viscas Corporation tries to establish offshore production site to make cable. The joint venture of Furukawa Electric and Fujikura eyes original plant building in India while the firm is talking with local maker for cable making joint venture. The firm is also under negotiation for plants in Russia and Middle East. The firm also eyes cable plant to serve European market as 3-4 years targets.

Viscas Corporation makes high voltage cable and connection parts for power distribution network in only in Japan. The firm tries to follow growing demand in emerging market by establishing local joint ventures. The priority is Indian market due to the growth potentiality. The firm eyes own plant to make cable in the country when Japanese and European competitors already have cable production plants in the country.

The firm also tries to supply the strategic products of DC XLPE cable for sea bottom power distribution for European market. European countries plan major sea bottom cable construction through cooperation between countries. Some of the projects are to build solar or wind power plants in North Africa and Middle East to supply electricity for European market. Viscas Corporation tries to follow the growing demand through local plant to make DC XLPE cable.

Viscas Corporation expects just more than 1 billion yen of recurring profit for the year ending March 2011 compared with record 7.8 billion yen of recurring profit in previous year while the sales also decreases by 19% to 65.6 billion yen. The firm plans 24% lower electric wire shipment at around 20,000 tonnes in copper volume. The firm tries to increase the operation rate to around 90% by the end of 2010 while the operation rate decreases to around 50% recently from almost full capacity operation by December 2009.