India emerged as the World’s 2nd largest producer of crude steel

India emerged as the World’s 2nd largest producer of crude steel

Union Minister of Steel and Civil Aviation, Sh. Jyotiraditya M. Scindia has stated that India has moved from 4th largest producer of crude steel to the second largest producer of crude steel from 2014-15 to 2022-23 standing just behind China which is the largest exporter of crude steel in the world.India has reported a hike of 42% in Crude steel production from 88.98 MT(Metric ton) in 2014-15 to 126.26 MT in 2022-23.

Overview of the news

• India stands as a net exporter of steel witnessing an export of 6.72 MT of finished steel against the import of 6.02 MT in the year 2022-23.
• In the financial year 2022-23 alone,total finished Steel Production was 122.28 MT which is a increase of 49 % as compared to 81.86 MT in financial year 2014-15.
• In the past 9 years (2014-15 to 2022-23), Steel CPSEs viz. SAIL, NMDC, MOIL, KIOCL, MSTC, and MECON, used ₹90,273.88 crores of their own resources for CAPEX(Capital expenditure) and paid a dividend to the Government of India to the tune of ₹21,204.18 crores.

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Future Policies

The National Steel Policy formulated by the Government of India in 2017 to promote the growth and development of the steel industry in the country has set the targets of achieving the total crude steel capacity of 300 MTPA(Million Tonnes Per Annum) and total crude steel demand/production of 255 MTPA by 2030-31. By 2030-31, it is also envisaged to enhance the operational capacity of crude steel production of SAIL from existing 19.51 MTPA to around 35.65 MTPA tentatively.

Under the PLI(Productive linked Incentive) scheme, the Government has approved Rs. 6322 crores to give a new impetus to the Steel sector. Shri Scindia said that the PLI scheme is expected to generate an investment of about Rs. 30,000 Crores and additional capacity creation of about 25 Million Tonnes of specialty steel in the next 5 years.

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