Finolex Cables Limited sees huge opportunity in emerging data centre hub in Vizag

On the back of robust demand for its diversified products, Finolex Cables Limited (FCL) is hopeful of increasing its turnover in Andhra Pradesh from nearly ₹300 crore the previous year to ₹450 crore - ₹500 crore in FY 2026-27.

Of the ₹6,300 crore turnover in 2025-26, South India’s share was roughly ₹2,300 crore. The share of Andhra Pradesh and Telangana in it was 26%, company President (Sales and Marketing) Amit Mathur said, while noting that the emergence of a data centre hub in Visakhapatnam district offered a huge opportunity.

Addressing the mediapersons here on Wednesday, Mr. Mathur said FCL could supply LAN and power cables to the data centres, and a team was working on tapping into the burgeoning global demand for subsea cables required by them.

He stated that data centres required more than 2,000 optic fibers in a single sheath, whereas a conventional one would contain just about 200 fibers. FCL was poised to achieve 360-degree backward integration in its fibre cable business by setting up a glass preform optical cable manufacturing unit with an investment of ₹500 crore. 

Mr. Mathur said the impact of the current geopolitical turbulence on the company was minimal as it was prepared for the shocks. FCL felt the heat to some extent as the price of copper sharply escalated from $7,000 - $8,000 per tonne about two years to roughly $15,000 now.

Besides, the company struggled a bit in procuring germanium tetrachloride (a key chemical used in the manufacture of OFCs). He pointed out that FCL bought most of the copper, aluminium and other raw materials from within India.

LPG supply issue on account of shutdown of the Strait of Hormuz resulted in a temporary closure of the company’s copper rod plant in Goa. The company would soon launch automotive cables made with electron beam technology as part of its focus on automobile harness manufacturing.

“FCL has rate contracts with some big builders in Andhra Pradesh and it is supplying good volumes of electrical, communication cables and conduits in Amaravati,” he said. A dedicated team was formed to tap the emerging opportunities in the capital region, he added.