Tata Steel, a leading Indian steelmaker, is investing approximately $1.18 billion to expand its mining capacity at its Noamundi, Joda, and Katamati iron ore mines. The expansion aims to increase the company’s total annual production to 55 million tons, up from the current 40 million tons. According to Atul Bhatnagar, CEO of the company’s Ores, Mines and Quarries (OMQ), this move is part of the company’s strategy to strengthen its raw material base and modernize operations to meet global challenges in the steel sector.
In addition to the expansion, Tata Steel plans to participate in upcoming mining auctions in three states, including Odisha. The company is also in the process of patenting two technologies related to mining, demonstrating its commitment to innovation and technological advancements. The expansion and modernization efforts are expected to have a positive impact on the company’s steel production, which has already shown significant growth in recent years.
In the first nine months of the current financial year (April-December 2024), Tata Steel’s steel production in India increased by 5% year-on-year to 16.2 million tons. Supplies during the same period rose by 5.9% year-on-year to 15.3 million tons, with domestic supplies growing by 4%. The company’s record steel production of 20.8 million tons in the previous financial year (FY2023-2024) was followed by a 6% year-on-year increase in steel shipments to 19.9 million tons.
Tata Steel’s domestic sales also showed significant growth, driven by rising demand for steel in India and a flexible business model. The company’s expansion and modernization efforts are expected to further boost its production and sales, cementing its position as a leading player in the Indian steel industry. With its focus on innovation, technological advancements, and strategic investments, Tata Steel is well-positioned to meet the challenges of the global steel sector and capitalize on emerging opportunities.