JSW Steel, the flagship business of 14 billion dollar JSW Group, on Friday reported 8 per cent decline in crude steel production to 3.84 million tonnes in the April to June quarter of the current financial year.
It had produced 4.18 million tonnes during the corresponding period a year ago. "The production was lower due to prolonged severe monsoon in general and fall in demand from the auto sector in particular," the company said in a statement.
The company said its production of flat-rolled products also came lower by 8 per cent to 2.71 million tonnes from 2.96 million tonnes in the corresponding quarter of the previous financial year.
In the same period, the production of long-rolled products declined by 9 per cent from 0.91 million tonnes to 0.82 million tonnes.
JSW Steel is one of the largest producers of steel products in India with an installed steelmaking capacity of 18 million tonnes per annum (million tonnes per annum).
Its international operations comprise of 1.2 million net tonnes plates and pipes mills in Texas; a 1.5 MTPA hot rolling mill and a 3 MTPA electric arc furnace at Ohio; and a 1.32 MTPA long steel production facility at Piombino in Italy.
Industry experts say that India's steel consumption to grow at 5 per cent over the next two years, supported by government infrastructure projects in the railway, road and metro sectors, even as auto and manufacturing demand stays soft.
And as a leading player with around 15 per cent market share by production, JSW Steel is likely to benefit from the supportive business conditions.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)