Lloyds Metals to Enter TMT Bar Market With New Steel Production Plan

Lloyds Metals and Energy is preparing to enter the TMT bar market, with the company planning to manufacture the construction steel product using iron ore mined from its Surjagarh operations in Gadchiroli.

The company is currently expanding its Ghugus plant in neighbouring Chandrapur district, where the final steel product is planned to be manufactured. The first finished steel products are expected to reach the market in more than six months, according to people familiar with the project.

The planned TMT bar production will target markets in central and southern India, where demand is being supported by infrastructure and construction activity.

Lloyds Metals already operates an iron ore mine at Surjagarh, giving it access to the primary raw material required for steel production. The company is also producing pellets in Gadchiroli, which form the next stage in the production process before the material is converted into finished steel.

The company is developing an integrated steel complex at Konseri in Gadchiroli, with the pellet plant forming part of the project. Its expansion of the Ghugus facility is being undertaken alongside the development of the integrated complex.

The company is also working on a planned iron ore transportation system linking its Surjagarh mines with the Konseri plant, a stockyard in Chandrapur and the Ghugus facility.

A slurry pipeline is being developed as part of the system to transport iron ore to the Ghugus plant. According to the company, pipeline transportation could reduce the cost of moving the material from around ₹1,000 per tonne to about ₹800 per tonne.

The move into TMT bars comes at a time when infrastructure construction is generating demand for reinforcement steel used in buildings, roads and other projects.

Steel industry representatives see scope for new producers in the TMT segment, particularly as infrastructure activity continues across the country. For Lloyds Metals, the planned production would also allow the company to move further along the steel value chain, from mining iron ore to manufacturing a finished construction product.

The company’s existing mining operations and ongoing investments in pellet and steel production provide the foundation for the planned expansion.

With the Ghugus plant being expanded and the Konseri integrated steel complex under development, Lloyds Metals is building capacity across several stages of the production chain. The planned TMT bar launch will be the next major step as the company looks to establish a presence in the finished steel market.