Essar Steel’s sales realisation up by 7%; production up by 10%
April 5, 2001
Corporate Communications
Essar Steel Limited (EStL) has ended the current fiscal with a higher growth in production and sales. The production of hot rolled coils (HRC) grew in volume terms by 10% at 16.82 lakh tonnes compared to 15.30 lakh tonnes in the previous year. The HRC sales volume grew by 1% at 16.32 lakh tonnes as compared to 16.20 lakh tonnes in the corresponding period of the last year. Exports of HRC has registered a rise of 6% at 6.86 lakh tonnes compared to 6.45 lakh tonnes in the corresponding period of the previous year. The growth in exports is commendable in that this growth has been achieved despite the anti-dumping proceeding initiated by various countries against Indian exports. This was possible due to the fact that EStL could develop new export markets for its products. EStL, however, continues to be the largest Indian exporter of HR coils for the fifth year in succession.
The Company’s conscious efforts in paring costs have yielded positive results. In fact, EStL has been able to achieve a reduction of costs by 1% despite significant increase in input costs. However, the sales realisation is up by 7% compared to corresponding previous period. While the domestic sales realisation is up by 5%, the sales realisation from exports is up by 13%.
Commenting on the performance of steel major EStL, its Managing Director, Mr. J. Mehra, said,” The performance of the Company should be viewed in the light of the volatility in the steel market. While the first half saw the growth, second half was depressed. The Company’s focus on reduction of cost and marketing high end value-added products have helped the company in containing costs and improve its sales realisations”.
CORPORATE