Indian Economy News

According to Steel Secretary Mr. Nagendra Sinha, India's steel capacity has surpassed 161 MT

  • IBEF
  • November 8, 2023

Steel Secretary Mr. Nagendra Nath Sinha stated that India already has more than 161 million tonnes (MT) of steel capacity and that the sector is expected to grow further. In accordance with the National Steel Policy, India aims to add 300 MT of steel capacity by 2030.

Speaking at the 4th Indian Steel Association (ISA) Steel Conclave in New Delhi, he stated, "We have already crossed 161 MT of capacity, comprising 67 MT by blast furnace-basic oxygen furnace (BF-BoF) route, 36 MT by electric arc furnace (EAF), and 58 MT by induction furnace (IF) route."

He also emphasised that India's steel industry is well-positioned for future growth.

India is the fourth-largest automobile market in the world, and over the next ten years, Mr. Nagendra Nath Sinha predicted, it will grow at a compound annual growth rate (CAGR) of 8-10%. Steel demand is also being driven by the manufacturing sector, which has a CAGR of 7-8%.

In the steel industry, the production-linked incentive scheme has been doing quite well. Of the Rs. 29,500 crore (US$ 3.54 billion) committed, the industry has invested roughly Rs. 10,000 crore (US$ 1.20 billion).

It was further added that the industry also faces major challenges because of carbon emissions and demands from the global market. According to him, embracing low-carbon technologies, collaborating with stakeholders, and implementing green practices are crucial for the industry's long-term sustainability and alignment with regional, national, and global environmental goals.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.