India has acquired a central position on the global steel map with the ever increasing demand from sectors like infrastructure, real estate and automobiles, at home and abroad, besides continuous modernisation, and improvement in energy efficiency. India was world’s fourth largest crude steel capacity in 2011-12 and is expected to become the second largest producer of crude steel in the world by 2015-16. India is also the world’s largest producer of sponge iron with a host of coal based units, located in its mineral-rich states.
“With modernisation programmes of various public and private companies, the country will soon rise to second place,” as per Dr Manmohan Singh, the Prime Minister of India. The per capita steel consumption went up to 59 kg in 2011-12, from 34 kg in 2004-05.
India’s steel making capacity is estimated to exceed 100 million tonnes (MT) by 2013 and the production is expected to reach 275 MT by 2020.
Moreover, Ramky Enviro Engineers Ltd has won a project from United Nations Industrial Development Organisation (UNIDO), Austria. The US$ 4.2 million project, to be implemented at Bhilai Steel Plant in Chattisgarh, seeks to create capacity for disposal of Polychlorinated Biphenyls (PCBs). The tenure of the project is two years. Detailed engineering and project implementation will be done in-house by REEL.
Indian crude steel production is estimated to grow at a compound annual growth rate (CAGR) of around 10 per cent during 2010-2013, whereas the finished steel consumption is estimated to grow at a CAGR of around 12 per cent during FY 2012-14, as per a RNCOS research report titled, ‘Indian Steel Industry Outlook to 2012’.
The Indian Bureau of Mines estimates the current pelletisation capacity in India to be around 20 million tonnes per annum (MTPA).
During 2011-12, the real consumption of finished steel in the country was 70.92 MT as against production of 73.42 MT.
Steel Authority of India Ltd (SAIL) has recorded a 7 per cent growth in hot metal production between July-September 2012 (Q2), as compared to the corresponding period last year. SAIL produced 3.6 MT during the second quarter of 2012-13.
Also, the Bhilai Steel Plant produced 2.68 MT of hot metal, 2.59 MT of crude steel and 2.21 MT of saleable steel, between April-September 2012, recording growth of 5.7 per cent, 8.1 per cent and 6.1 per cent, respectively as compared to the same period a year ago.