JSW Steel targets a 56 MTPA capacity by 2031, backed by a ₹2 trillion investment in Odisha and Maharashtra projects.
JSW Steel has accelerated its production roadmap, setting a new domestic capacity target of 56 million tonnes per annum (MTPA) by the 2031 financial year. This revised goal, an increase from the previous guidance of 51 MTPA, is supported by a comprehensive capital expenditure plan exceeding ₹2 trillion. The investment is strategically designed to meet surging demand in India, where steel consumption is growing by approximately 10 to 12 million tonnes annually, necessitating a highly resilient and scalable supply chain.
The expansion involves a combination of significant greenfield builds and brownfield upgrades to existing sites, with a heavy emphasis on supply chain integration. A cornerstone of this plan is the approval of a new integrated steel facility in Jagatsinghpur, Odisha, requiring an initial outlay of ₹31,600 crore to establish a 5 MTPA capacity. To optimise the inbound supply chain, this project includes advanced logistics infrastructure such as slurry pipelines and grinding plants to transport iron ore efficiently. Additionally, the third phase of expansion at the Dolvi plant in Maharashtra is on track to increase its output to 15 MTPA by September 2027, further strengthening the organisation’s regional distribution network.
Beyond these domestic targets, the group’s total global capacity could surpass 60 MTPA when including the joint venture with JFE Steel at Bhushan Power and Steel. To ensure long-term operational resilience and protect against price volatility, the manufacturer is prioritising supply chain security through backward integration. The company aims to source 50 per cent of its iron ore and 25 per cent of its coking coal from captive mines by the end of the decade. This ambitious scale-up follows a strong financial performance for the period ending 31 December 2025, where consolidated net profit rose to ₹2,139 crore.
SOURCE – LIVE MINTS
