Tata Steel scales down capital expenditure to Rs 8,000 cr as demand slumps

The company's capital expenditure for the year was Rs 12,000 crore and will now be around Rs 8,000 crore

Tata Steel is recalibrating its capital expenditure (capex) for 2019-2020 in line with market conditions and lower cashflows.

The company's planned capex for 2019-2020, which was Rs 12,000 crore, has now been revised down to around Rs 8,000 crore. Of the Rs 12,000 crore capex planned earlier, roughly Rs 8,000 crore was for India operations and the rest Rs 4,000 crore for Europe.

T V Narendran, chief executive officer and managing director, Tata Steel, said, both geographies will see a cut in capex.

The India spend is largely focused on the steel major's Kalinganagar plant, which is undergoing its second phase