India-based primary steel producer JSPL’s standalone production grew by 13pc to 585,000mt compared to prior-year period, while sales volume increased by 10pc to 600,000mt as domestic consumption recovers.
In October, the company’s steel exports were 28pc of the total sales volume. JSPL is actively exporting steel plates to European countries and Beams to South Africa, according to the company’s earnings conference call.
JSPL’s pellet-based Barbil (Odisha) plant recorded its best-ever production of 701,500mt in October. The company also reported its highest ever wire rod production of 49,062mt in the same period.
Most of the integrated steel or primary steel producers including JSPL are operating at around 90-95pc capacity utilisation. Mills also raised rebar prices by Rs1,500/mt last week — the second hike in November. Prices were hiked by Rs800-1,000/mt at the beginning of the month.
JSPL is expected to produce 7.3-7.5mt of crude steel in the financial year 2020-21 and 8mn mt in FY22. In India, it has manufacturing facilities at Raigarh (Chattisgarh), Angul (Odisha) and Patratu (Jharkhand).
| JSPL’s standalone production and sales in October | |||
|---|---|---|---|
| Oct’20 | Oct’19 | Change | |
| Production | 5,85,000 | 5,18,000 | 13% |
| Sales | 6,00,000 | 5,47,000 | 10% |