Mumbai: Most of JSW Steel's capital expenditure of ₹20,000 crore for this financial year will be used for the expansion of capacity at the Dolvi plant - to 15 million tonnes from 10 million tonnes - said CEO Jayant Acharya. The company's overall focus will remain on growth projects, with the rest of the funds being used to complete projects at Bhushan Power, JVML and some other downstream projects.
This is the third phase of capacity expansion at Dolvi in Maharashtra and is expected to be completed by September 2027.
The capex is more than 19% higher than the ₹16,752 crore incurred by the steelmaker in 2024-25. While most of it will be funded from internal accruals, the company will also continue to pursue refinancing, which will help bring down its cost of capital, Acharya told ET in an exclusive interview.
In the June quarter, the company's weighted average cost of capital reduced on a sequential basis, he said.
The flagship company of the JSW group has a target of 50 million tonnes of annual steel production by 2030-31. Of this, up to 42 million tonnes will be done through brownfield expansion by September 2027.
Export Drag
While the safeguard duty implemented by the government for certain steel products has helped stem imports, exports have not picked up meaningfully for the industry.
"One of the reasons is that the global situation is fragile and uncertainties are clouding the outlook, so people are naturally a little bit more cautious," Acharya said.
This is the third phase of capacity expansion at Dolvi in Maharashtra and is expected to be completed by September 2027.
The capex is more than 19% higher than the ₹16,752 crore incurred by the steelmaker in 2024-25. While most of it will be funded from internal accruals, the company will also continue to pursue refinancing, which will help bring down its cost of capital, Acharya told ET in an exclusive interview.
In the June quarter, the company's weighted average cost of capital reduced on a sequential basis, he said.
The flagship company of the JSW group has a target of 50 million tonnes of annual steel production by 2030-31. Of this, up to 42 million tonnes will be done through brownfield expansion by September 2027.
Export Drag
While the safeguard duty implemented by the government for certain steel products has helped stem imports, exports have not picked up meaningfully for the industry.
"One of the reasons is that the global situation is fragile and uncertainties are clouding the outlook, so people are naturally a little bit more cautious," Acharya said.
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