Calcutta, Sept. 1: Buoyed by the market demand, Tata Ryerson Ltd (TRL) — the 50:50 joint venture between Tata Steel and Ryerson Tull of the US— has decided to expand its cold-roll (CR) coil processing capacity.
This can be by the way of setting up a greenfield project in Pune or by expanding the existing facility in Jamshedpur.
While confirming the investment decision, TRL managing director S. Chakravortty said the board will take a final decision on the matter in two months.
Official sources said TRL, which has a hot-rolled coil processing unit at Ranjangaon near Pune, has already put up additional shades there. It has also conducted a market survey to test the viability of the project.
According to company officials, the demand from the auto ancillary and white goods units in and around Pune has gone up substantially. “Setting up a processing unit, therefore, has become a very important agenda for the company.”
TRL is currently working out the economies of scale vis a vis the Pune project, Chakravortty said.
Tata Ryerson has set a target of Rs 700 crore turnover in the next five years. The company has clocked a Rs-194-crore turnover for the last fiscal.