Cost increase to soon hit everyone due to Ukraine crisis: Tata Steel MD

'Coking coal went up to $650 a tonne and iron ore crossed $150 a tonne. Not just that, all other elements that go into steelmaking have shot up. So have freight rates,' says T V Narendran

The Russia-Ukraine crisis may lead to margin expansion in the immediate term for Tata Steel before the high cost of raw material sets in, said its top executive. 

Russia and Ukraine are major steel- and raw material–exporting countries and the war is fueling price increases on the input side for steelmakers. On the finished goods side, prices are expected to rise on the back of cost increases and supply gaps arising out of the conflict.

Explaining the impact, T V Narendran, Tata Steel managing director and chief executive officer, said that on the input side, all costs have gone up.