We aim to continue our leadership in the domestic steel sector with enhanced capacities that align with the needs of tomorrow. Our growth is fuelled by organic capacity expansion programmes and value-accretive acquisitions.
We are now well positioned to address the demand upcycle in India and overseas with higher margins on the strength of our capacity doubling at Dolvi, strategic acquisitions, expanded downstream capacities, cost optimisation and digitalisation focus. Our next growth phase will include brownfield expansion at our flagship facility in Vijayanagar, with digitalisation, technology centricity and integration driving value.
In the next three years, the JSW Steel is expected to touch an overall 30.5 MTPA capacity, a ~70% increase from current levels.
| Crude Steel (MTPA) |
||
|---|---|---|
| Plant/entity | FY 2020-21 (MTPA) |
FY 2024-25 (MTPA) |
| Vijayanagar | 12.0 | 19.5 |
| Dolvi | 5.0 | 10.0 |
| Salem | 1.0 | 1.0 |
| Standalone | 18.0 | 30.5 |
| JSWISPL | 1.0 | 1.0 |
| BPSL | 2.5 | 4.5 |
| JVs | 3.5 | 5.5 |
| JSW USA | 1.5 | 1.5 |
| JSW Steel Group | 23.0 | 37.5 |
Unspent capex including creditors and acceptances
1.5 MTPA coke oven at Vijayanagar to support 5 MTPA brownfield steel capacity
Augmenting 1 MTPA crude steel capacity at Vijayanagar
5 MTPA brownfield expansion at Vijayanagar through its subsidiary
120 KTPA Colour Coated Line in Jammu and Kashmir (J&K)
Odisha Mining (own mining infrastructure, beneficiation and digitisation)
Sustenance capex
Through this project, we plan to set up 5 MTPA steelmaking capacity at at Vijayanagar through a wholly owned subsidiary, JSW Vijayanagar Metallics Limited. The total project cost is estimated to be `15,000 crore, with a fairly low capex of ~US$400/tonne.
We expect to leverage the existing facilities at Vijayanagar to support the project and utilise surplus pellets, sinter, coke making facilities at existing operations to meet the key raw material requirements of the project.
Eastern India is a rich reservoir of natural resources and has been fast emerging as an attractive market with high growth potential. Thoughtful government programmes, steadily improving business scenario, building of critical infrastructure assets, and growing consumption trends have acted as fodder for progress in the region. JSW Steel’s newly acquired mines in Odisha marks our foray into Eastern markets, expanding footprint from South and West India, our traditional strongholds.
We have drawn a strategic way forward for the eastern sector and will make investments to the tune of `1 lakh crore in Odisha over the next 10 years. Our close collaboration with the state government will unlock the full potential of the region's rich mineral endowment, surplus power and natural advantage in terms of ports. In line with the National Steel Policy, these efforts from us will boost Mission Purvodaya, which aims to transform Odisha into an integrated steel hub, bringing holistic advancements and socioeconomic growth for the people of Odisha.
The region complements our long-term ambitions and we plan to consolidate our position in the region through organic (greenfield and brownfield) and inorganic routes. The key projects planned in Odisha include a 13.2 MTPA greenfield steel plant in Jagatsinghpur district, along with a 900 MW captive power plant. This greenfield steel plant, along with the plan for setting of the cement plants and an all-weather multi-cargo jetty, is expected to derive the benefits of forward integration and logistics synergies.
Greenfield steel facility planned in Odisha
Captive power plant Planned in Odisha
To pursue our strategic growth, we are on the constant lookout for viable acquisitions that will help us consolidate our position as a value-added steel player.
Plates and coil capacity
Colour coating capacity
Helps consolidate the downstream or value-added steel products industry in the country
Crude steel capacity
Located close to the mineral-rich belts of Chhattisgarh and Odisha, this acquisition extends our reach to the central and eastern markets.
Finishing Capacity
Serves as our captive conduit to the European markets
Integrated Steel Plant
Finishing Capacity
Helps serve the US market by making and finishing steel products within the country, giving us market access
* million net tonnes per annum
