Financial Express reported that Tata Steel CEO and managing director Mr TV Narendran told Financial Express’s Ms Shubhra Tandon in an interview that rising steel prices and firm demand may prompt Tata Steel to advance its stated capacity expansion target by a few years. He said that if the company advances the expansion plan, it could achieve its target of installed capacity of 40 million tonne in India, ahead of the targeted 2030 as compared to current installed capacity in India is at 20.6 million tonne.He said that though the company is not revising the timeline of 2030 as yet, it will keep reviewing it. Mr Narendran said “The company has guided INR 12,000-crore capital expenditure for the current financial year. However, it will review the same after six months, and if the need arises it could be revised upwards. If the markets are good, the cash flows are strong and the deleveraging is also happening as we had planned, we can always go back to the board and ask for more and spend more. If we can accelerate it, we certainly will.”He added “Unlike earlier when the group had just one site in Jamshedpur, the growth could happen only sequentially. Today, we have two sites in Kalinganagar and one in Angul, so we have the optionality that tomorrow if the demand in India really picks up and the profitability continues to be fantastic we can grow faster.”Tata Steel has outlined that the 40-million tonne plan entails taking the Kalinganagar site to about 16 million tonne from the current 8 million tonne expansion which is underway, expanding the Neelachal Ispat Nigam site to 10 million tonne from the current 1 million tonne capacity. NINL’s acquisition is expected to be complete by June. After acquiring Bhushan Steel, its capacity has been expanded from 3 million tonne to 5 million tonne per annum and can further go to 10 million tonne.
Financial Express reported that Tata Steel CEO and managing director Mr TV Narendran told Financial Express’s Ms Shubhra Tandon in an interview that rising steel prices and firm demand may prompt Tata Steel to advance its stated capacity expansion target by a few years. He said that if the company advances the expansion plan, it could achieve its target of installed capacity of 40 million tonne in India, ahead of the targeted 2030 as compared to current installed capacity in India is at 20.6 million tonne.He said that though the company is not revising the timeline of 2030 as yet, it will keep reviewing it. Mr Narendran said “The company has guided INR 12,000-crore capital expenditure for the current financial year. However, it will review the same after six months, and if the need arises it could be revised upwards. If the markets are good, the cash flows are strong and the deleveraging is also happening as we had planned, we can always go back to the board and ask for more and spend more. If we can accelerate it, we certainly will.”He added “Unlike earlier when the group had just one site in Jamshedpur, the growth could happen only sequentially. Today, we have two sites in Kalinganagar and one in Angul, so we have the optionality that tomorrow if the demand in India really picks up and the profitability continues to be fantastic we can grow faster.”Tata Steel has outlined that the 40-million tonne plan entails taking the Kalinganagar site to about 16 million tonne from the current 8 million tonne expansion which is underway, expanding the Neelachal Ispat Nigam site to 10 million tonne from the current 1 million tonne capacity. NINL’s acquisition is expected to be complete by June. After acquiring Bhushan Steel, its capacity has been expanded from 3 million tonne to 5 million tonne per annum and can further go to 10 million tonne.
