India was the world’s second largest steel producer, as of 2018. The country is slated to surpass USA to become the world’s second largest steel consumer in 2019.
In FY18, India produced 104.98 million tonnes (MT) and 103.13 MT of finished steel and crude steel, respectively. Crude steel production between April 2018-February 2019(P) reached 97.15 million tonnes.
India was also a net exporter of steel in FY18. Exports and imports of finished steel stood at 6.36 MT and 7.84 MT respectively in FY19 (P).
Steel consumption is expected to grow 7.5 per cent year-on-year to 95.4 MT in 2018. India’s steel production is expected to increase from 103.13 MT in FY18 to 128.6 MT by 2021.
The Government has taken various steps to boost the sector including the introduction of National Steel Policy 2017 and allowing 100 per cent Foreign Direct Investment (FDI) in the steel sector under the automatic route. Between April 2000 and December 2018, inflow of US$ 11.18 billion has been witnessed in the metallurgical industries as Foreign Direct Investment (FDI).
India’s per capita consumption of steel grew to 68.9 kgs, during 2017-18. National Steel Policy 2017 aims to increase the per capita steel consumption to 160 kgs by 2030-31.
Note: kg – kilograms, P - Provisional