Tata Steel has returned to Bengal with a new steel plant in Bankura, which is expected to begin commercial production by the end of the 2025-26 financial year. The plant, which is a wholly-owned subsidiary of Tata Steel, has been implemented at a cost of Rs 780 crore. The plant was acquired through the insolvency and bankruptcy of three ferro chrome units and one ferro alloy unit, with an additional cost of Rs 164 crore in 2022. Tata Steel has infused fresh capital worth Rs 62.60 crore to begin production.
The plant has a production capacity of 60,000 MT to 65,000 MT annually, and is expected to scale up production to meet the growing demand for stainless steel and ferro chrome. The plant will consume raw materials such as iron scrap, sponge, and pig iron. The Tatas have converted the newly-acquired Bishnupur ferro alloy unit into a stainless steel manufacturing unit, which will help the company consolidate its position in the stainless steel business.
Tata Steel’s MD & CEO, T V Narendran, said that the new plant in Bengal will help the company strengthen its position in the stainless steel and ferro chrome business. The company’s top management officials recently inspected the plant and designed a plan for commercial production. The SDM of Bishnupur, Prosenjit Ghosh, confirmed that the inspection took place two months ago and the plan was designed accordingly. The plant’s commercial production is expected to start by the end of the 2025-26 financial year, marking Tata Steel’s return to Bengal.