New Delhi: Sales of steel major SAIL took a hit of 2.3 percent at 11.8 million tonne (MT) in the fiscal ended March, 2015, due to subdued demand in during the July-December period.
However, it achieved 1.24 MT of saleable steel sales in March 2015, which was higher compared to the year-ago period, indicating an uptick in the demand, an official source said.
"The Maharatna status firm also completed projects worth Rs 10,000 crore -- the highest in any financial year," the source added.
SAIL achieved a production of 13.5 MT of saleable steel in 2014-15 fiscal, which is higher by 3 percent over 2013-14, the source added.
"In 2014-15, sales of 11.8 MT have been lower by 2.3 percent than 2013-14, which was impacted on account of subdued market conditions, especially in the second half (July-December) of 2014," the source said.
The global steel industry is going through difficult times, and likewise the domestic steel sector has also been subdued. Due to excess production and decline in demand in China, steel from that country has been finding its way to other countries, including India.
India's steel imports jumped by over 67 percent during April-February of 2014-15 to 8.39 MT, while the exports declined by 11 percent to 4.8 MT.
Production of hot metal grew by 7 percent to 15.4 MT in 2014-15, while crude steel output rose by 2 percent at 13.9 MT during the same period.
Besides, iron ore production of 23.1 MT was achieved from the captive mines to meet the demand for SAIL plants, the source added.
"SAIL also achieved the highest ever crude steel output of 10.28 MT in 2014-15 through energy efficient concast route. This was higher by 5 percent than the production in 2013-14 fiscal," he said.
The state-run steel maker had reported an 8.6 percent rise in net profit for October-December quarter at Rs 579 crore from Rs 533 crore in the year-ago period on the back of improved efficiencies and lower input costs.
Turnover of the company, however, was lower by 3 percent for the quarter at Rs 12,291 crore impacted by higher imports and nearly flat steel consumption in the country.
The company is yet to announce its financial results for the last quarter of 2014-15.
