In the January-November period of 2022, India produced 113.43 million tonnes of crude steel, a 10% increase over the previous year. Further, the government aims to double the annual crude steel-making capacity to 300 MT from 150 MT at present.
Here are 2 Tata group steel companies that contributed to the high annual production in Q3 and have gained on Monday’s session:
Tata Steel Limited
The shares of Tata steel gained 2 percent in the early trading hours of Monday to be at Rs 117.85. The shares were in focus after the company reported an increase in its production.
In Q3FY23, its crude steel production stood at 5 million tons and was up 4% on Year on Year (YoY) and Quarter on Quarter (QoQ) basis. Subsequently, their deliveries stood at 4.73 million tons and were up 7% YoY. This was primarily driven by the 11% growth in domestic deliveries.
Tata Steel is among the top global steel companies with an annual crude steel capacity of 34 million tonnes per annum. It is one of the world’s most geographically diversified steel producers, with operations and commercial presence across the world.
Tata Steel Long Products Limited
The shares of Tata Steel Long Products also gained 2 percent in the early trading hours of Monday and were trading at Rs 703 levels after posting its Q3 updates.
During the period, their production of crude steel stood at 228 thousand tonnes which increased by 33 percent Year on Year from 171 thousand tonnes in Q3FY22. Their sales of steel also increased by 18 percent Year on Year to 194 thousand tonnes.
Tata Steel Long Products Limited, a subsidiary of Tata Steel Limited, is one of India’s largest integrated Special Steel and Merchant Direct Reduced Iron (Sponge Iron) players. It has a product portfolio of carbon and alloy steel, which primarily caters to automotive customers as well as produces high-end wire rods.
Written by Anoushka Roy
