JSW Steel's Strategic Moves to Bolster Raw Material Independence

JSW Steel is intensifying its efforts to secure a steady supply of raw materials by expanding domestically and acquiring resources abroad, according to Joint Managing Director and CEO Jayant Acharya. Acharya outlined the company's strategy during a recent investor call, emphasizing the critical importance of iron ore and coking coal in steel production.

To maintain a reliable source of high-quality coking coal, JSW Steel has increased its ownership in the Illawarra asset in Australia and is acquiring the Minas de Revuboe Project in Mozambique, expected to be finalized this fiscal year. Domestically, the company is concentrating on expanding its iron ore mining capacity. Production from new sites in Karnataka and Goa is projected to substantially enhance output by FY27.

Moreover, JSW Steel plans to activate exploration blocks in Maharashtra and Andhra Pradesh in the coming years. On the coking coal front, the firm has secured three mines in Jharkhand, which are anticipated to contribute significantly to the supply. These initiatives aim to bolster JSW Steel's raw material self-sufficiency, reducing its reliance on external markets.