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Indian private-sector producer JSW Steel's crude steel production in October rose over 6pc from a year and month earlier as domestic demand increased after the monsoon season.

 

The company's crude steel output was 1.43mn t, with production of flat-rolled products rising by 7pc from the previous year to 1.04mn t and output of long-rolled products up by 11pc to 334,000t.

 

JSW's average capacity utilisation rose to 95pc during October compared with 89pc a year earlier and the highest since March this year when it was 96pc.

 

The producer is considering implementing a surcharge on steel following a record rise in metallurgical coal costs, it said last month. JSW is optimistic about demand in the second half of the year given signs of rising activity at infrastructure projects following the monsoon and strong exports. Consumption of steel products typically fall during the monsoon season as it hinders construction activity.

 

JSW lit its second blast furnace at Dolvi in Maharashtra state last month, doubling the plant's capacity to 10mn t/yr. But crude steel production from the expansion was considered trial output and not added to the overall production figures in October.