With the upturn in the steel industry and the debt restructuring behind, Ispat Industries is on a recruitment spree after a gap of three years.

An Ispat Industries spokesperson said that the 1,400 employees-strong company is looking at adding around 100 people and all at the managerial level.

The sudden need to undertake a major recruitment exercise is largely spurred by Ispat's proposed expansion and a flourishing export market, particularly driven by demand from one country -- China.

In fact, Ispat's requirements for managerial staff also reflects the importance of the China factor. Candidates are being recruited just to plan the procurement of engineering items and consumables from China.

Emphasis is also being laid on previous trading experience with China, knowledge of regulations in China and on candidates possessing fluency in Chinese language. Ispat has already set up office in China, a few months back.

The recruitment move is also a rub-off from Ispat's decision to double its production capacity to 3 million tonne from the existing 1.5 million tonne with a projected investment of around Rs 600 crore (Rs 6 billion).

The spokesperson added, "We also need people to sell the additional 1.5 million tonne steel."

The increase in capacity will be done in two phases. The first phase, expected to be completed by September 2003, will see a rise in capacity to 2.4 million tonne per annum. The second phase will be completed by June 2004, he said.

"We are being flooded with applications from candidates and have now decided to develop an online module dedicated for the purpose," said the spokesperson.

Industry sources said, this might be just the beginning of recruitment in other steel majors as well. "This is an indicator of the buoyant mood in the industry," they added.

The steel industry has been on a high over the last one year with steel prices soaring through the sky, primarily on account of a major demand pull in China. Hot rolled coils are hovering around Rs 19,000 per tonne which is around 42 per cent up from prices in March 2002.

Since March 1, there has been a sharp increase across almost all flat steel products. Prices of hot rolled coils appreciated by Rs 800-1,200 per tonne, cold rolled products by around Rs 1,000 per tonne and galvanised products Rs 1,200-1,500 per tonne.

Even after the increase, prices are below the international level by Rs 1,000-1,500, which leaves scope for further appreciation.