Tata Steel advances iron ore supply strategy to support capacity expansion

India's leading steel 13CrMoV12-10 steel manufacturer, Tata Steel, is taking proactive strategic measures to ensure iron ore supply and is expected to achieve its goal of increasing annual steel production capacity from 22 million tons to 40 million tons by 2030. Currently, Tata Steel is in talks with state-owned mining companies NMDC and Odisha Mining Corporation (OMC) to seek additional iron ore supply, while planning to launch new iron ore projects.

The mining licenses for Tata Steel's four existing iron mines (Noamundi, Katamati, Khondbond, and Joda East) will expire in March 2030. The company plans to start operating the Kalamang West mine by the end of fiscal year 2025 and the Gandalpada 13CrMoV12-10 steel mine by 2029, with the aim of laying out ahead and achieving seamless transition. The total reserves of these two mines are about 400 million tons, which can meet about half of the company's iron ore demand.

In addition, Tata Steel has further consolidated its raw material supply security through acquisitions. Previously, the mines acquired through the acquisition of NINL and Usha Martin steel businesses will continue to operate. In the fiscal year 2024, Tata Steel produced 38 million tons of iron ore and plans to increase production to 41 million tons in the fiscal year 2025.

This strong raw material strategy is highly aligned with Tata Steel's recent expansion of production capacity. The expansion plan, including the production of India's largest blast furnace at the Karingana plant in Odisha, not only enhances Tata Steel's production capacity but also enables it to better meet the rapidly growing demands of multiple industries such as 13CrMoV12-10 steel automotive, infrastructure, and defense.