Tata Steel signs a memorandum to set up a plant in Ludhiana

ata Steel has signed a Memorandum of Understanding (MoU) with the government of Punjab to set up a 0.75 Mtpa (MnTPA) long products plant with an electric arc furnace (EAF) using scrap.

This new facility initiative in Kadiana Khurd, Hitech Valley, Ludhiana in Punjab is part of Tata Steel's commitment to invest in a circular economy and shift to low carbon steel production through steel recycling. It is a move to meet the company's goal of achieving zero carbon emissions by 2045.

The state-of-the-art electric arc furnace-based steel plant will produce construction-grade steel rebar under Tata's flagship retail brand Tiscon, allowing Tata Steel to further expand its market presence in the construction segment.

“Punjab is an ideal location for our electric arc furnace, given its proximity to the market and automotive scrap center. Recycled steel entails lower resource consumption and lower carbon emissions, reinforcing our commitment to reducing the environmental impact of our operations. We see good long-term growth potential for scrap steel production in India if an efficient and simplified scrap collection policy is developed and implemented,” said TV Narendran, Chief Executive Officer and Managing Director of Tata Steel.

Last August, Tata Steel commissioned its first steel processing plant with a capacity of 0.5 million tons per year in Rothak, Haryana. This is the first such modern scrap metal processing plant in the country.

In an effort to achieve its zero emissions goal and become a leader in sustainability, Tata Steel has taken targeted actions along the entire value chain and is committed to reducing carbon emissions in production and throughout the entire product life cycle. In India, the Company aims to achieve a CO2 emission intensity of <2 tCO2/tf by 2025 and <1.8 tCO2/tf by 2030.

In order to intensify its efforts to ensure the environmental sustainability of products, Tata Steel is effectively using the Life Cycle Assessment (LCA) tool to understand and improve the environmental performance of its products.

In fiscal year 2021-22, Tata Steel became the first steel rebar company to receive GreenPro certification for its Tata Tiscon TMT rebar. The company also published its first environmental product declaration (EPD) for steel reinforcement (rebar) used in reinforced concrete construction (RCC). In Europe, the Company has issued more than 50 Environmental Product Declarations (EPDs) for its customers in the construction industry, a milestone in the field of transparency and environmental impact reporting.