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NMDC Steel Surpasses 2 Million Metric Tons of Hot Metal in FY25, Achieving Record Milestones

Synopsis: NMDC Steel Limited achieved remarkable success in FY25, producing over 2 million metric tons of hot metal at its Nagarnar plant. This achievement, marking a 100% increase compared to the previous fiscal year, highlights the plant's rapid growth and operational excellence, despite facing challenges like disruptions from transporters' protests. With strong production and market expansion, NSL is set for further success in the steel industry.
Friday, April 4, 2025
NMDC
Source : ContentFactory

NMDC Steel’s Record-Breaking Achievements in FY25: A Milestone Year for Growth and Operational Excellence

In the financial year 2024-2025, NMDC Steel Limited made significant strides in its operational journey, setting new records and overcoming challenges. The company’s integrated steel plant at Nagarnar achieved a milestone by producing over 2 million metric tons of hot metal, marking a 100% increase in production from the previous fiscal year. This milestone is a testament to NSL’s robust growth trajectory, positioning the plant to meet its rated capacity of 3.3 million metric tons per annum in the current fiscal year.

Key Achievements in Hot Metal Production

The Nagarnar plant, commissioned on August 15, 2023, has made impressive progress since its inception. In its first seven and a half months of operation, the plant produced 966,468 tons of hot metal. By FY25, it doubled that production, reaching over 2 million metric tons. This growth underscores the plant’s stabilization and its path toward reaching its full rated capacity of 3.3 million metric tons per annum by the end of the current fiscal year.

Despite a challenging market landscape, including a two-week disruption in production and dispatch due to transporters' protests, NSL continued its upward momentum, achieving a 100% increase in hot metal production and setting a strong foundation for future growth.

Impressive Sales Growth in Hot Rolled Coils and Sheets

Beyond production, NSL also made impressive strides in market penetration. In FY25, the company achieved a 300% increase in sales volume, marketing over 1.45 million metric tons of Hot Rolled Coils and Sheets. This significant growth in sales highlights NSL’s expanding customer base and the company’s ability to overcome challenges in a fluctuating market.

In March 2025, NSL set another record by dispatching 229,874 metric tons of Hot Rolled Coils, the highest monthly dispatch since the start of operations at the Nagarnar plant. This represents a 63% increase from the previous best of 141,207 metric tons achieved in February 2025. This surge in dispatch capacity was supported by the strategic use of four Liberalized Special Freight Train Operator Rakes, which contributed to the dispatch of approximately 40,000 metric tons of HR coils during March.

Strategic Focus on Enhancing Dispatch Capabilities

Looking forward, NSL is focused on further improving its dispatch efficiency. The addition of more LSFTO Rakes is part of the company’s strategy to enhance its HR coil dispatch capabilities and meet growing demand. These enhancements will not only streamline logistics but also improve customer satisfaction by ensuring timely deliveries of high-quality steel products.

Operational Growth and Path to Full Capacity

With strong production and market growth, NSL is well-positioned to reach its rated capacity of 3.3 million metric tons per annum in the current fiscal year. The plant’s ability to scale production so rapidly is a testament to NMDC Steel’s commitment to operational excellence and its strategy for sustainable growth in the steel industry.

Future Prospects and Plans

In addition to its ongoing production goals, NSL plans to continue improving its production processes and dispatch infrastructure. The increased use of LSFTO Rakes, combined with strategic expansions in production capacity, will help NSL further solidify its market position as a leading steel producer in India. As NSL continues to innovate and expand, it is poised to play a pivotal role in India’s growing steel sector and contribute to the country’s industrial development.

Key Takeaways:

• NSL’s hot metal production in FY25 surpassed 2 million metric tons, marking a 100% increase compared to the previous fiscal year (FY24).

• The Nagarnar plant is on track to reach its rated capacity of 3.3 million metric tons per annum (MTPA) of hot metal.

• Despite disruptions in production due to transporters' protests, NSL achieved strong sales growth, marketing over 1.45 million metric tons of Hot Rolled Coils and Sheets.

• Record dispatch of 229,874 metric tons of Hot Rolled Coils was achieved in March 2025, a 63% increase from the previous month.

• The use of LSFTO Rakes significantly boosted dispatch capacity, contributing around 40,000 metric tons of HR coils in March 2025.

• NSL plans to enhance its dispatch capabilities by adding more LSFTO Rakes, improving logistics and customer satisfaction.

• The company’s success underscores its commitment to operational excellence, with plans to continue expanding and improving production processes.

With these strong milestones, NMDC Steel is poised to remain a key player in the steel industry, achieving long-term growth and contributing to the country’s industrial landscape.

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