Indian Economy News

April–July 2026: India’s Steel Sector Exhibits Growth Trend

India's steel sector recorded steady growth during April–July FY27, supported by robust domestic demand and improving production. Crude steel production increased 2.6% year-on-year (YoY) to 56.3 million tonnes (MT), while finished steel production rose 4.0% YoY to 54.3 MT and hot metal production grew 1.5% YoY to 31.6 MT. Domestic consumption of finished steel reached 55.9 MT, registering a 7.8% YoY increase, reflecting sustained demand from infrastructure, construction and manufacturing sectors. On the trade front, finished steel exports increased 35.0% YoY to 2.29 MT, while imports rose 36.6% YoY to 2.77 MT, making India a net importer during the period. The sector also witnessed strong corporate performance, with Steel Authority of India Limited (SAIL) reporting a net profit of Rs. 1,636 crore (US$ 171.96 million) and revenue from operations of Rs. 26,246 crore (US$ 2.76 billion) in Q1 FY27, while NMDC achieved its highest-ever July production of 4.06 MT.

The sector also advanced its sustainability, defence manufacturing and international collaboration initiatives. SAIL received technology transfer from the Defence Metallurgical Research Laboratory (DRDO) to manufacture specialised steel grades for naval ships and submarines, strengthening indigenous defence manufacturing capabilities. The company also commissioned its first 0.18 MTPA Micro Pellet Plant at the Rourkela Steel Plant to recycle steelmaking waste into value-added products, supporting resource efficiency and green steel production. Meanwhile, NMDC held discussions in Argentina to explore investment and partnership opportunities in copper and other strategic minerals, strengthening India's international resource partnerships. These developments are expected to enhance domestic steel production, strengthen supply chain resilience, promote sustainable manufacturing and reinforce India's position as one of the world's leading steel producers.

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