JSW Steel plans to set up its second steel processing centre in Pune with joint venture partner Marubeni Itochu Steel Inc, at an investment of Rs 204 crore. It will be funded equally through equity and debt, said a company statement.
The first phase of the project is expected to come on stream by this fiscal, with an installed capacity of 180,000 tonnes per annum. It will be scaled up to 360,000 tonnes in phase two.
The joint venture company is equipped to process flat steel products such as hot rolled, cold rolled and coated products with a view to offer just-in-time solutions to segments such as automotive, white goods and construction.
Seshagiri Rao, Joint Managing Director and Group Chief Financial Officer, JSW Steel, said the rapid growth of the Indian steel industry offered tremendous opportunity for the supply of high end processed steel.
In 2011, JSW Steel and Marubeni Itochu had formed a joint venture to set up a steel processing centre in Haryana.