TV Narendran: Tata Steel may increase CapEx to achieve 40 MT target
Steel

TV Narendran: Tata Steel may increase CapEx to achieve 40 MT target

TV Narendran, Tata Steel's CEO and Managing Director, announced that the rising steel pricing and strong demand might lead the company to accelerate its declared capacity expansion objective by a few years.

Narendran said that if the company moves on with its growth plans, it would be able to meet its 40 million tonnes (MT) installed capacity target in India by 2030.

In India, the company's installed capacity is 20.6 MTs. In fiscal year (FY) 2022, the company produced 19.06 MTs.

The company expects to spend Rs 12,000 crore on capital expenditure (CapEx) this FY. It will, however, review the situation after six months and, if necessary, amend it upwards.

Narendran said that they can always go back to the board and ask for more and spend more if the markets are robust, the cash flows are high, and the deleveraging is proceeding as expected.

The MD informed that unlike before when the group just had one location in Jamshedpur, growth could only happen in stages.

Currently, they have two locations in Kalinganagar and one in Angul, so they have the flexibility to expand faster tomorrow if demand in India goes up and profitability remains strong.

He said that, while the corporation is not currently updating the 2030 schedule, it would continue to do so.

The 40 MT plan comprises extending the Kalinganagar plant to around 16 MT capacity from the current 8 MT expansion, including expanding the Neelachal Ispat Nigam (NINL) site to 10 MT capacity from its current 1 MT capacity. The purchase of NINL is likely to be completed by June.

After acquiring Bhushan Steel, the company's capacity was increased from 3 million to 5 MT per year, with the potential to grow to 10 MT.

Currently, Rs 8,500 crore has been set aside for the ongoing growth of Kalinganagar from 3 million to 8 MT per annum, as well as significant expansions in the company's iron ore mining, which it plans to increase from 33 million to 50 MT per annum over the next few years.

The remaining Rs 3,500 crore will be used for operations in Europe. During the year, the business will also invest Rs 12,000 crore to complete the recent acquisition of NINL.

Image Source

Also read: Tata Steel to break ties from its business with Russia

Your next big infra connection is waiting at RAHSTA 2025 – Asia’s Biggest Roads & Highways Expo, Jio World Convention Centre, Mumbai. Don’t miss out!

TV Narendran, Tata Steel's CEO and Managing Director, announced that the rising steel pricing and strong demand might lead the company to accelerate its declared capacity expansion objective by a few years. Narendran said that if the company moves on with its growth plans, it would be able to meet its 40 million tonnes (MT) installed capacity target in India by 2030. In India, the company's installed capacity is 20.6 MTs. In fiscal year (FY) 2022, the company produced 19.06 MTs. The company expects to spend Rs 12,000 crore on capital expenditure (CapEx) this FY. It will, however, review the situation after six months and, if necessary, amend it upwards. Narendran said that they can always go back to the board and ask for more and spend more if the markets are robust, the cash flows are high, and the deleveraging is proceeding as expected. The MD informed that unlike before when the group just had one location in Jamshedpur, growth could only happen in stages. Currently, they have two locations in Kalinganagar and one in Angul, so they have the flexibility to expand faster tomorrow if demand in India goes up and profitability remains strong. He said that, while the corporation is not currently updating the 2030 schedule, it would continue to do so. The 40 MT plan comprises extending the Kalinganagar plant to around 16 MT capacity from the current 8 MT expansion, including expanding the Neelachal Ispat Nigam (NINL) site to 10 MT capacity from its current 1 MT capacity. The purchase of NINL is likely to be completed by June. After acquiring Bhushan Steel, the company's capacity was increased from 3 million to 5 MT per year, with the potential to grow to 10 MT. Currently, Rs 8,500 crore has been set aside for the ongoing growth of Kalinganagar from 3 million to 8 MT per annum, as well as significant expansions in the company's iron ore mining, which it plans to increase from 33 million to 50 MT per annum over the next few years. The remaining Rs 3,500 crore will be used for operations in Europe. During the year, the business will also invest Rs 12,000 crore to complete the recent acquisition of NINL. Image Source Also read: Tata Steel to break ties from its business with Russia

Next Story
Infrastructure Energy

India’s RE Investments Hit $1.23 Billion in August 2025

Investments in India’s renewable energy (RE) sector surged to $1.23 billion (approx. Rs 102.2 billion) in August 2025, marking a 45 per cent increase from $848 million (approx. Rs 70.4 billion) recorded in the same month last year, according to a report by JMK Research.The sharp rise in funding reflects sustained momentum in the clean energy space, particularly in solar, wind, and battery energy storage systems (BESS).Among the largest investments in August was a Rs 31.84 billion long-term project financing secured by Acme Hybrid Urja, a subsidiary of ACME Solar, from REC Ltd. The funds will..

Next Story
Infrastructure Energy

WRI, CII Launch Alliance to Drive Clean Energy in Industry

WRI India and the Confederation of Indian Industry (CII) have jointly launched the CI-NERGY Alliance – Steering Energy Transitions to accelerate clean energy adoption within India’s commercial and industrial (C&I) sector. The initiative was unveiled during Connect Karo 2025 in New Delhi.The alliance seeks to support India’s broader climate goals—achieving 50 per cent of power capacity from non-fossil fuel sources by 2030, and net zero emissions by 2070. Given that the C&I sector is among the highest electricity consumers in the country, its decarbonisation holds substantial pot..

Next Story
Real Estate

Unified RERA Portal Launched to Boost Sector Transparency

The 5th Meeting of the Central Advisory Council (CAC), constituted under the Real Estate (Regulation and Development) Act, 2016 (RERA), was held at Sankalp Bhawan, New Delhi, marking eight years of regulatory reform in India’s real estate sector. The meeting was inaugurated with a welcome address by Shri Kuldip Narayan, Joint Secretary (Housing), Ministry of Housing and Urban Affairs (MoHUA), followed by key insights from Secretary (HUA), Shri Srinivas Katikithala, on RERA’s evolution.Union Minister of Housing & Urban Affairs, Shri Manohar Lal, and Minister of State, Shri Tokhan Sahu, ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?