Tata Steel CEO & MD's comments on Union Budget 2022-23
“The Hon’ble Finance Minister presented yet another progressive, future focussed and inclusive budget that aims to position the economy on an accelerated growth trajectory, especially in the backdrop of an encouraging broader economic recovery. It is heartening to note the government’s sustained focus on infrastructure and increased public spending while staying committed to the fiscal discipline and stable policy regime. We welcome Budget 2022-23 and look forward to concerted implementation of the proposed reforms to ensure the benefits percolate across the economy.
The increased allocation to infrastructure spends will certainly have a multiplier effect on the economy, generating employment opportunities across the country and creating demand across product categories, including steel. The PM Gatishakti Yojana, expansion of National Highway network, and introduction of multi-modal national parks will play a crucial role in modernising the country’s logistics infrastructure, make manufacturing more competitive and give boost to entrepreneurial opportunities in the country. The earmarking of 68% capex for the Defence sector for domestic procurement will give fillip to the Make in India programme.
The process roadmap for Ease of Doing Business 2.0 is a welcome move towards improving productivity, efficiency and transparency and will pave way for resolving complex issues related to green clearances and land acquisition. The announcements on affordable housing, increased access to tap water and creation of robust digital infrastructure in rural areas will foster inclusive development.
To address the climate related concerns, the budget includes long-term plans to enable transition to a green economy. Inclusion of sovereign green bonds in government borrowing programmes, PLI scheme for manufacturing of high efficiency solar modules, financing of projects to reduce carbon intensity are welcome steps which will help achieve our net zero ambition. The battery swapping policy will also aid the sustainability journey and encourage the adoption of EVs. The budget also addresses the critical context of urban planning with focus on setting up clean public transport systems, an imperative for smart and sustainable living.
The extension of customs duty exemption on steel scrap is a positive step to drive availability of scrap in the country, will help mitigate the carbon footprint of steel sector and benefit the MSME secondary producers.
Overall, the budget 2022-23 sets the course for realising the ambition of a $5 trillion economy.”
T. V. Narendran
CEO & MD, Tata Steel
About Tata Steel
Tata Steel group is among the top global steel companies with an annual crude steel capacity of 34 million tonnes per annum. It is one of the world's most geographically diversified steel producers, with operations and commercial presence across the world. The group recorded a consolidated turnover of US $21.06 billion in the financial year ending March 31, 2021.
A Great Place to Work-CertifiedTM organisation, Tata Steel Ltd., together with its subsidiaries, associates, and joint ventures, is spread across five continents with an employee base of over 65,000.
Tata Steel has been a part of the DJSI Emerging Markets Index since 2012 and has been consistently ranked amongst top 5 steel companies in the DJSI Corporate Sustainability Assessment since 2016. Besides being a member of ResponsibleSteelTM and worldsteel’s Climate Action Programme, Tata Steel has won several awards and recognitions including the World Economic Forum’s Global Lighthouse recognition for its Jamshedpur, Kalinganagar and IJmuiden Plants, and Prime Minister’s Trophy for the best performing integrated steel plant for 2016-17. The Company, ranked as India’s most valuable Metals & Mining brand by Brand Finance, featured amongst CII Top 25 innovative Indian Companies in 2020, received rating of ‘A-‘ (leadership band) from CDP for its Climate Change disclosure and Supply Chain disclosure, Steel Sustainability Champion 2020 recognition from worldsteel, ‘Most Ethical Company’ award 2021 from Ethisphere Institute, Best Risk Management Framework & Systems Award (2020) from CNBC TV-18, and Award for Excellence in Financial Reporting FY20 from ICAI, among several others.
Statements in this press release describing the Company’s performance may be “forward looking statements” within the meaning of applicable securities laws and regulations. Actual results may differ materially from those directly or indirectly expressed, inferred or implied. Important factors that could make a difference to the Company’s operations include, among others, economic conditions affecting demand/ supply and price conditions in the domestic and overseas markets in which the Company operates, changes in or due to the environment, Government regulations, laws, statutes, judicial pronouncements and/ or other incidental factors.
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