Skip to main content

*India’s steel production increased by 25.6%, overall steel production 77.4 mt during Jan’21-Aug’21.*

 In value terms, India becomes net exporter of steel to China - exports accounted for Rs. 19,267 crores whereas imports from China accounted Rs. 16,369 crores in current fiscal.

: Infomerics Report


• SAIL, TSL Group and JSWL combined produced 16.71 MT crude steel in FY21, will produce 21.4 MT in FY22; estimated growth 21.65%.

• Production is estimated to touch 140.4 MT by FY25.

• (PLI) scheme for specialty steel to be implemented over FY24 to FY30 with a budgetary outlay of ₹6,322 crore augur well for the steel industry.

• Greenfield and brownfield steel mills, up-scaling to acquire muscle and scale in global terms, technological modernization constitute important elements of the growth strategy.


New Delhi, December 09, 2021: Despite being hit by the lack of construction activities due to Covid 19 for a year, the steel industry has bounced back. The Indian steel sector contributes approximately 1.5% to its GDP and is one of the core sectors forming the backbone of the economy, providing employment to about 25 lakh persons directly and indirectly. India is the third largest manufacturing hub of steel pipe in the world and steel pipes constitute 8 to 10% of the steel consumption. Given the abundance of iron ore, coal and many other raw materials required for iron and steel making, there is immense latent growth potential for this industry in India. 


The exports for the current fiscal, i.e., FY22 are expected to surpass that of FY21 (already crossed 70% of FY21). Although there has been border tensions with China, the steel industry has seen sustained trade flow between India & China. However, that comes with a positive note, i.e., exports accounted for Rs. 19,267 crores whereas imports from China accounted Rs. 16,369 crores. 


These are some major findings of a report titled Steel Industry: Trends & Prospects released by Infomerics Valuation and Rating Pvt Ltd., the well-known SEBI-registered and RBI-accredited financial services credit rating company.


Government interventions

The government has been taking necessary steps to facilitate smooth production & sustaining of the steel industry. The National Steel Policy (NSP) (2017) was implemented to foster faster development of the industry to scale global benchmarks. This aspect has considerable contemporary significance because eastern India has the potential to add over 75 per cent of the India’s incremental steel capacity. It is expected that of the 300 MT capacity by 2030-31, over 200 MT can accrue from this region. 


Yet another notable development is the approval of the PLI Scheme by the cabinet for “Specialty Steel” in India to be implemented over FY24 to FY30 with a budgetary outlay of ₹6,322 crore. The PLI incentive will boost domestic production of “Specialty Steel” and attract significant investment for its production in the country.


Challenges

Despite sustained production & trade the challenges remain to be there for the industry as with the coal shortage in India is increasing production and operating costs of steel companies. Further, global inflationary trends (including recent US inflation, where the CPI has surged to a 6.2 % for last 12 month in October 2021 due to higher fuel costs and disrupted supply chain) is also posing a threat of rising prices including of essential inputs. High energy costs in Europe are also a matter of concern since auto industry (an end-user of steel) is still suffering from semiconductor issues in European countries. 


The report notes the fact that, any hit to the construction sector would also be reflected in the steel industry. This has exactly been the case where the COVID pandemic has severely hurt the construction sector. Although it is certainly difficult for the industry to upscale production, but it is by no means, un-doable. Achieving the goal calls for demand in greenfield and brownfield steel mills, up-scaling to acquire muscle and scale in global terms, technological modernization, and up-gradation to reap benefits of economies of scale and scope, enhancing energy efficiency and productivity and backward integration into global raw material sources constitute important elements of the growth strategy.


The way ahead

The report mentions that the optimism for the industry springs from India’s relatively low per capita steel consumption and the likely rise in consumption. The report specifically mentions about, surging infrastructure construction, the rapidly developing automobile and railways sectors, huge stimulus package launched in several countries across the development spectrum in the aftermath of the COVID 19 pandemic and the rising global steel prices are certain to provide an impetus to this sector. 


However, to achieve the ambitious national objective of 300 million tonnes of production capacity by 2030-31 in terms of the National Steel Policy, 2017 and the National Mineral Policy- 2019, synchronized and concerted action with a sense of immediacy by all stakeholders to support the different stakeholders, increase financing by the private sector, and enhance consumption and trade of steel is required. Leading steel companies needed to enhance prices (hot-rolled coil or HRC) to offset coking coal price increase. In 2022, steel demand is expected to further increase by 2.2% to 1,896.4 MT. Thus, the global prospects seem good. The recent US infrastructure spend would also augur well for the industry by raising further global demand for steel.

Popular posts from this blog

छतरपुर जिला चिकित्सालय को मिलेअत्याधुनिक जांच उपकरण एस्सेल माइनिंग द्वारा सी-आर्म, रक्त जांच एवं अन्य उपकरण दान

 छतरपुर की स्वास्थ्य अधोसंरचना को मजबूत बनाने के ध्येय को आगे बढ़ाते हुए एस्सेल माइनिंग द्वारा शुक्रवार को छतरपुर जिला चिकित्सालय में अत्याधुनिक सी-आर्म इमेजिंग डिवाइस, हाई फ़्लो नैज़ल कैनुला समेत त्वरित रक्त जांच उपकरण एवं मोरचुरी फ्रीजर भेंट किया गया।  जिला कलेक्टर श्री संदीप जी आर ने फीता काटकर नई सुविधाओं का शुभारंभ किया। इस अवसर पर मुख्य चिकित्सा एवं स्वास्थ्य अधिकारी डॉ विजय पथोरिया एवं अस्पताल के अन्य अधिकारी-कर्मचारी उपस्थित रहे। नए उपकरणों के साथ छतरपुर जिला चिकित्सालय के सुविधाओं में वृद्धि होने के साथ ही हजारों नागरिकों को नई जाँचों का लाभ मिल सकेगा और त्वरित जांच प्राप्त हो सकेगी।कलेक्टर श्री श्री संदीप जी आर द्वारा इस अवसर पर अस्पताल परिसर में पौधा रोपण भी किया गया।  एस्सेल माइनिंग द्वारा लगातार छतरपुर जिले की स्वास्थ्य सेवाओं को उन्नत बनाने में सतत योगदान दिया जा रहा है। पूर्व में गुरुवार को कंपनी द्वारा बक्सवाहा के सामुदायिक स्वास्थ्य केंद्र को बड़ा मलहरा विधायक श्री प्रद्युम्न सिंह लोधी की उपस्थिति में एडवांस्ड लाइफ सपोर्ट एम्बुलेंस भेंट की गई। वेंटीलेटर जैसी सुविधाओं के सा

*GLENEAGLES GLOBAL HEALTH CITY PERFORMS WORLD’S SECOND SUCCESSFUL PEDIATRIC COMBINED LIVING DONOR LIVER AND KIDNEY TRANSPLANT FOR A RARE GENETIC LIVER DISORDER*

 12-year-old boy with rare liver disease undergoes successful multi-organ transplant making him the 2nd case in the world and 1st in the country Chennai, 7th December, 2021: Gleneagles Global Health City (GGHC), a leading multi-organ transplant centre in Asia, successfully performed India’s first live donor liver and kidney transplant on a 12-year-old who was suffering from a rare genetic disorder – Primary Hyperoxaluria type 2. Master Anish*, a 12-year-old, was referred from Bangalore with renal failure and had been on dialysis three times a week. Doctors in Bangalore had diagnosed him with a rare genetic disorder called Primary Hyperoxaluria (PH) type- II, which is a liver condition that results in accumulation of oxalate in the kidneys, heart and bones and other organ systems of the body. As the disease is primarily based in the liver, these patients need combined liver and kidney transplantation for cure which is a major undertaking, especially in a child.  Across the world, there

World Human Rights Day 2021: आज है विश्व मानवाधिकार दिवस, बारीकी से जानें अपने अधिकारआज मानवाधिकार दिवस मनाया जा रहा है. वर्ष 1950 में संयुक्त राष्ट्र ने हर वर्ष 10 दिसंबर को 'विश्व मानवाधिकार दिवस' मनाना तय किया.

 आज विश्व भर में मानवाधिकार दिवस (World Human Rights Day 2021) मनाया जा रहा है. 10 दिसंबर, 1948 को संयुक्त राष्ट्र महासभा ने विश्व मानवाधिकार घोषणा पत्र जारी कर प्रथम बार मानवों के अधिकार के बारे में बात रखी थी. वर्ष 1950 में संयुक्त राष्ट्र ने हर वर्ष 10 दिसंबर को 'विश्व मानवाधिकार दिवस' मनाना तय किया.क्या है 'मानव अधिकार'किसी भी इंसान की जिंदगी, आजादी, बराबरी और सम्मान का अधिकार है मानवाधिकार (World Human Rights Day 2021) है. भारतीय संविधान इस अधिकार की न सिर्फ गारंटी देता है, बल्कि इसे तोड़ने वाले को अदालत सजा देती है. भारत में 28 सितंबर 1993 से मानव अधिकार कानून अमल में आया. 12 अक्‍टूबर, 1993 में सरकार ने राष्ट्रीय मानव अधिकार आयोग का गठन किया. World Human Rights Day २०२१ पर राजनेताओं और दिग्गज नामी हस्तियों ने अपने विचार साँझा किये सोशल मीडिया प्लेटफार्म कू पर स्वाति सिंह, कहती है - एकता,सामाजिक-आर्थिक नवीनीकरण और राष्ट्रनिर्माण!!! प्रत्येक व्यक्ति को जाति,धर्म,लिंग,भाषा,राष्ट्रीयता,नस्ल या किसी अन्य आधार पर भेदभाव किए बिना समानता के साथ जीवन जीने का अधिकार है और #