Tata Steel Ltd.

World’s 6th largest steel company - Tata Steel and Tata Realty and Infrastructure (TRIL) are entering into a joint venture agreement to set up a greenfield airport at Jamshedpur. The new airport will have the capacity to allow commercial airliners such as the Airbus A320 to land and take off, which will pave the way for airlines to connect Jamshedpur with the rest of the country. 

To set up the new airport Tata Steel is in the process of acquiring 600 acres of land in the outskirts of Jamshedpur which will replace the small air strip presently being operated by Tata Steel. It is in discussions about the exact split of equity stake between TRIL and Tata Steel for this project.

In 2007, Tata Steel had located a land at Adityapur in adjoining Saraikela-Kharswan district for an airport which was to have a 7,000- feet-long runway. However, the company had not been able to make much progress in the ensuing four years. By roping in TRIL, Tatas now hope to give the project the required momentum to move ahead.

Recently, Tata Steel was about to increase production of auto-grade steel by 20% to 1.2 million tonnes this fiscal, due to increased demand for steel from the auto sector. The company supplied one million tonnes of auto grade steel in 2010-11 and this year it’s aiming to touch 1.2 million tonnes. The company plans to increase capacity every year by 15-20% to meet the growing demand from the auto sector.