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Tata Steel plans to set up scrap processing unit in Gurgaon

Steel News - Published on Tue, 13 Feb 2018

Image Source: SteelGuru
Business Standard reported that Tata Steel plans to set up a scrap processing facility near Gurgaon by the year end that will cater to a part of the company's raw material need for steel making. The unit is expected to grow into INR 10 billion business in 6 to 8 years and mostly process the off-road cars, other vehicles and retired white goods in the NCR to produce scrap.

Anand Sen, President, TQM & Steel Business, Tata Steel said "Given the limitation of using scrap for steel making in the blast furnace route, 7-10% of our blast furnace charge can be scrap or scrap equivalent.”

Mr Sen said “As the economy grows, the scrap inventory is going up. More than 100 million cars are sold every year world-wide. After sometime, these are retired. China has been producing more than 500 million tonne of steel per annum for last 10 years. At least 50 per cent of that comes back as scrap in a span of 8 to 10 years. Scrap so far has been an unorganised sector, with no control over quality, run by middlemen. We see an opportunity to do this in an organised way.”

If the Gurgaon unit works well, the company plans to set up similar units in Pune, Sanand, Chennai and other auto hubs and metro cities where possibility of scrap generation is high.

Source :

Posted By : Sanju Moirangthem on Tue, 13 Feb 2018
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