BSP plans to increase its production capacity
Indian steel producer Bhilai Steel Plant (BSP) is reportedly planning to increase its annual
production capacity from 4 million tons to 7 million tons by 2012 with an investment of Rupees 90 billion ($2 billion).
Company officials stated that they will submit their proposal to the board of Steel Authority of
India Ltd (
SAIL). Moreover, the company also plans to invest Rupees 50 billion ($1.1 billion) to build another steel melting plant, bar and rod mill and a strip mill.
The company will make 100% of its steel
production through continuous casting route, which is currently 50%.
With the capacity expansion,
production of flat products will increase and
semis will decrease.
However raw material supply is the major problem of BSP. The company waits for the approval of Indian Bureau of Mines to open a new
iron ore mine in Rowghat.