Tata Steel BSL to focus on downstream exports in FY20

14 October, 2019 12:00 AM printer

NEW DELHI: After staging a turnaround of the insolvent steel asset it acquired in Odisha’s Meramandali, Tata Steel BSL (formerly owned by Bhushan Steel) is betting on exports of downstream exports from the mill.

The plant boasts of churning out quality downstream products. Last financial year, Tata Steel BSL’s exports were 18 per cent of its overall sales. In this financial year, the company aims to export 10 per cent of its sales to strategic markets and customers. But the company can take a flexible view on exports depending on the response in domestic and international markets and the demand-supply dynamics, report agencies.

“In FY20, the focus is on downstream exports by increasing presence in Europe, Africa, South East Asia and Latin America, and creating markets for high-end hot- rolled coils (HRC) exports like structural steel. We export upstream products like HRC and downstream products like Galvanised Galume (a coated product), colour-coated products, tubes and pipes, and hardened and tempered steel across the globe,” said a source at Tata Steel BSL.

The plant at Meramandali is known a forte in automotive downstream products, in addition to branded products. But with the automobile sector in the throes of its worst slump in many years, the focus is drifting to other portfolios.

With effect from November 27, 2018, Bhushan Steel is renamed as Tata Steel BSL. The Ministry of Corporate Affairs had accorded its formal approval for this on the same date.

The name change is part of the process to integrate the company’s operations within the Tata Steel fold and to align to the Tata brand and give the company a singular identity with the Tata Group.

On May 18, 2018, Bamnipal Steel, a wholly owned subsidiary of Tata Steel, acquired a controlling stake of 72.65 per cent in the company. The acquisition was in accordance with the approved resolution plan under the Corporate Insolvency Resolution Process of the Insolvency and Bankruptcy Code.