Indian steelmaker Tata Steel’s production has reached 100 percent capacity and with rising domestic demand is less dependent on exports compared to the first quarter of the current fiscal year, Tata Steel CEO T V Narendran said in a statement.
Due to market conditions, steel producers like Tata Steel were forced to cut down on operations by up to 50 percent in April and had turned to exports to find a market for their products, but with the relaxation of lockdown norms the company has ramped up its production in a phased manner. “Production is now running at 100 percent and we are less dependent on exports than during April-June,” Mr. Narendran said.
Tata Steel’s total Indian operations have a capacity of 20.6 million mt per year including production from mills of Tata Steel, BSL Limited and Tata Steel Long Products. Tata Steel India produced 2.99 million mt during the first quarter of 2020-21 and sales were recorded at 2.92 million mt during the period, the CEO said.
"We are seeing a revival in demand in Q2 led by the good monsoon and the rural economy. While the auto recovery has been led by the demand for tractors and motorcycles, we are now seeing the passenger car business pick up as well. It has also been a strong quarter for appliances," Narandran said.