7/29/2019 Business Drivers - Tgbta Steel
1/1
Business Drivers (2 minutes) How does the company make money and
what are the major costs?
You need to show how you have projected the revenues and costs
and balance sheet items for the
company for the next few years
The Indian steel industry is strong because of easy availability
of raw material and workforce
The growth of the construction industry, which is growing at a
rate of around 8-9% is one of
the major consumers of steel in the country.
The 12 five-year plan by the Indian government, has allocated
investment of US$ 1 trillion for
the core infrastructure sector, comprising power, roads,
railways, ports, airports, which are
some of the major consumers of steel.
The expansions in the Indian automotive industry and the oil and
gas sector
Current market situation
The Indian steel industry per capita consumption is around 55 kg
compared to the worlds
average consumption of 206 kg of steel.
The steel sector contributes to nearly 2% of the GDP and employs
over 500.000 people
In order to preserve iron ore resources for domestic use on
cheaper rates, export duty oniron ore has been increased to 30% ad
valorem on all varieties of iron ore in 2011
The Indian steel industry is making a mark in the Asian region
with Indias leading steel
company, TATA Steel being the 10th largest steel producing
company in Asia between
Shougang in China on the 9th and Shandong Iron and Steel Group
in China on the 11 th
position.
Data required for projection:
Tata Steels 2.9 million tonnes expansion in Jamshedpur is
expected to go onstream during
the Financial Year 2012-13, taking Jamshedpurs capacity to 9.7
million tonnes/annum.
The Companys new 6 million tonnes/annum greenfield steel plant
in Odisha is under
construction and, subject to essential captive mining approvals
from the Government, the
first phase of 3 million tonnes is scheduled to commence in
2014
Tata Steel by 2014, would have a global steel capacity of 33.5
million tonnes, and will add a
further3 million tonnes on the full implementation of the Odisha
project
http://www.thehindubusinessline.com/markets/stock-markets/brokers-call-tata-steel-
buy/article4870116.ece
http://www.tata.in/company/articles/inside.aspx?artid=UjwHgKTJJP8=
http://www.worldsteel.org/media-centre/key-facts/1.html
http://www.tatasteel.com/investors/pdf/Q3-Analyst-Meet-Presentation_FY13.pdf
http://www.tatasteel.com/investors/annual-report-2012-13/annual-report-2012-13.pdf
http://www.thehindubusinessline.com/markets/stock-markets/brokers-call-tata-steel-buy/article4870116.ecehttp://www.thehindubusinessline.com/markets/stock-markets/brokers-call-tata-steel-buy/article4870116.ecehttp://www.thehindubusinessline.com/markets/stock-markets/brokers-call-tata-steel-buy/article4870116.ecehttp://www.thehindubusinessline.com/markets/stock-markets/brokers-call-tata-steel-buy/article4870116.ecehttp://www.thehindubusinessline.com/markets/stock-markets/brokers-call-tata-steel-buy/article4870116.ecehttp://www.tata.in/company/articles/inside.aspx?artid=UjwHgKTJJP8=http://www.tata.in/company/articles/inside.aspx?artid=UjwHgKTJJP8=http://www.worldsteel.org/media-centre/key-facts/1.htmlhttp://www.worldsteel.org/media-centre/key-facts/1.htmlhttp://www.tatasteel.com/investors/pdf/Q3-Analyst-Meet-Presentation_FY13.pdfhttp://www.tatasteel.com/investors/pdf/Q3-Analyst-Meet-Presentation_FY13.pdfhttp://www.tatasteel.com/investors/annual-report-2012-13/annual-report-2012-13.pdfhttp://www.tatasteel.com/investors/annual-report-2012-13/annual-report-2012-13.pdfhttp://www.tatasteel.com/investors/annual-report-2012-13/annual-report-2012-13.pdfhttp://www.tatasteel.com/investors/pdf/Q3-Analyst-Meet-Presentation_FY13.pdfhttp://www.worldsteel.org/media-centre/key-facts/1.htmlhttp://www.tata.in/company/articles/inside.aspx?artid=UjwHgKTJJP8=http://www.thehindubusinessline.com/markets/stock-markets/brokers-call-tata-steel-buy/article4870116.ecehttp://www.thehindubusinessline.com/markets/stock-markets/brokers-call-tata-steel-buy/article4870116.ece
