JSW Steel in Karnataka has procured 1.17 lakh tonnes of
Iron ore at 25-30% higher prices in e-auction directed by the Supreme Court.
Sources said this amount will be sufficient for them for the next 3 days.
JSW Steel is buying about 15000 tonnes of iron ore per day from NMDC and is
trying to meet the rest of the requirement from the states of Jharkhand and
Orissa. Procuring raw material from other states increase the cost for the
company by Rs 1500 per tonne. JSW Steel requires about 50,000 MT of mixed grade
iron ore for full production per day.
Company sources said that JSW Steel is presently operating at 60-70% of their
total capacity of 11 million tonnes of steel production. This is due to the
lack of the key raw material, iron ore in the region. Earlier, the company had
announced that despite the raw material crunch they will operate at 80%
capacity.
Leave a Reply