Shyam Metalics and Energy Limited (SMEL) has expanded its rail infrastructure at its integrated steel plant in Pandloi, near Rengali, Odisha. The expansion, completed in 2023, doubled the number of dedicated railway lines to four, including a lead line, three branch lines, and an engine escape line. The plant now handles over 110 rakes per month, but can only manage 60% of the increased demand for raw materials and finished goods.
Stock Market today: Tata Steel, JSW, Jindal Steel, SAIL share price have risen 6-46% in last six months. The steel demand remains strong and though steel prices trade in narrow range, are likely to have bottomed out, say analysts. Some pickup in exports also is expected soon.
Experts believe that despite the March quarter traditionally being the strongest for steelmakers both in terms of demand and margins, they may have to look at moderating prices. "Indian steel mills are scrambling to stem the tide of imports, but their focus on quality alone won t suffice. Price competitiveness is paramount in this market, and a failure to adapt could spell disaster for their bottom lines in FY25," said Vedant Goel, managing director at Neo Mega Steel, a Pune-based steel trader.