future investment, Tata Steel MD
Jamshedpur, Aug 16 (PTI) Demand for steel is increasing in the country and the situation is right to make future investment, Tata Steel Managing Director (India and South East Asia) T V Narendran has said.
Stability is being witnessed in the steel sector globally though it had faced some problem two years ago, Narendran told newsmen after unfurling the National Flag on the 71st Independence Day here yesterday.
There was an improvement in the economy in China and that country was not exporting much steel now which has in turn resulted in an improvement in the steel sector in India, he said.
"Overall, the situation is now right for future investment and Tata Steel was also considering future investment," he said.
"We will discuss the issue in the next two to three months -- about what and where to do and how much investment to be made," he said.
Narendran said Tata Sons chairman had also recently said that its focus would be India, particularly Jamshedpur and Kalinganagar (Odisha) plant.
Asked about the 'Momentum Jharkhand' initiative of the state government to woo investors, the Tata Steel MD appreciated the effort, stating that each state should make an effort to attract investors as they have many choices when they come to invest in India.
"We have been witnessing activities to attract investors in eastern India including Jharkhand, Odisha and West Bengal," he said.
Hailing the endeavour of the Jharkhand government, the industrial sector and the CII to promote industries, he said it was not an easy task to achieve the goal but certainly not impossible either.
On the investment being made by the government, he said more and more investments were being made by the government and public sector units in infrastructure sector, which was necessary but not sufficient.
However, for long-term sustainability, investment needs to be made by private sector, which it can do only when it earns profit, he said.
Narendran suggested the private sector to be competitive and efficient to become profitable.
He said, Tata Steel had invested about Rs 16,000 to 17,000 crore in the last five years in Jamshedpur and in the mining sector in the state only because it was a profitable company.
Narendran said, the government should also address the NPA issue as the banking sector was apprehensive to lend due to NPA.
Commenting on the GST, he said it has reduced transportation time and has improved efficiency.
Disclaimer :- This story has not been edited by Outlook staff and is auto-generated from news agency feeds. Source: PTI