Mumbai, Dec 10 (ANI): A study team that visited the TATA steel plant in Jamshedpur recently felt that if the company continued the same pace of development the brownfield expansion plant would be completed by mid 2011.
TATA a major steel industry started the Brownfield expansion in November 2008.
"Orders for the 2.9mtpa expansion have been given and the civil construction is about 50 percent complete. Given that construction is the time consuming stage of a brownfield expansion, it indicates that the project is on schedule for completion by mid 2011," the Ambit capital felt.
Experts opined that Tata Steel may be able to execute the brownfield expansion far more quickly than the planned greenfield expansions, which have run into hurdles pertaining to land acquisition and permits.
The tight demand-supply conditions in the domestic steel market point to the need for such expansion; the capacity additions may place Tata Steel well to capitalise on the supply deficit. (ANI)