Jindal Stainless commissions Indonesia melt shop, raising melting capacity to 4.2 MTPA

Jindal Stainless on Tuesday said it has started a 1.2 million tonnes stainless steel melt shop (SMS) in Indonesia. The project is part of a Rs 5,700 crore expansion plan already under way. The company said this addition lifted total annual melting capacity to 4.2 million tonnes per annum (MTPA).

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The company runs a combined melt capacity of 3 MTPA at plants in Hisar, Haryana, and Jajpur, Odisha. The new Indonesia SMS was commissioned through a joint venture. A melt shop is a facility where raw inputs are melted and refined into liquid stainless steel.

Jindal Stainless expansion plan and melting capacity

Jindal Stainless said the Indonesia unit helps strengthen access to key raw materials. These include nickel pig iron or ferronickel, chromium, stainless steel scrap, and ferro alloys. The company said these materials are processed in the SMS to produce high-quality liquid stainless steel for further manufacturing.

Jindal Stainless Managing Director Abhyuday Jindal said, "The commissioning of the Indonesia facility ahead of schedule, alongside a significant push in downstream capabilities, reflects the commitment to raw material security and integrated approach to growth.\"

Jindal Stainless investment and cold rolled capacities

Apart from the Indonesia project, the company announced another Rs 900 crore spend in India. This investment is aimed at increasing cold rolled capacity at Hisar and Kharagpur, West Bengal. Jindal Stainless said the added cold rolled capacity is planned by the second quarter of 2027-28.

The company had earlier outlined a nearly Rs 5,700 crore investment in 2024. It linked the plan to an aim of global leadership in stainless steel. Jindal Stainless said higher melting and downstream capacity should support its production and sales plans.

Jindal Stainless targets and sales volume

With the expanded melting base and downstream additions, the company said it is targeting sales volume of 3.5 MTPA by FY29. Jindal Stainless added that the plan is expected to deliver double-digit CAGR over the next three years. The company did not provide a separate annual capacity figure for cold rolled products.

Jindal Stainless reported an annual turnover of over Rs 40,000 crore. The company said it is India’s largest stainless steel player. It also stated it ranks among the fifth largest globally, following the capacity and investment updates shared on Tuesday.

With inputs from PTI