JSPL’s steel output rises to 1.37mn mt in the April-May period, up by 31pc from the prior year. Production in April was 681,000mt and May 690,000mt compared to a combined 1.04mn mt output in April-May 2020. The company has maintained production guidance for FY2022 at 8.0-8.5mn mt, stated the company’s operational update.
Sales volume reported at 1.05mn mt for April-May period, up by 7pc from 1.04mn mt in the prior period. Sales in April and May were 559,000mt and 499,000mt, respectively. Exports contributed to 21pc of total sales volumes in April and 36pc in May.
Although production was higher than the lower base of 2020, capacity utilization was impacted by the diversion of oxygen for medical use as directed by the government. JSPL supplied nearly 3,500mt of Liquid Medical Oxygen to hospitals.
Also, sales lagged production amid slow domestic construction demand and logistic challenges at ports. The company continues to focus on exports to offset the lull in the domestic market.