India to become 2nd largest steel producer by 2018: Steel Minister
KOLKATA: India is poised to emerge as the second largest producer of steel (in the world) by 2018, steel minister Chaudhary Birender Singh has said.
Speaking at the National Conference on Secondary Steel Sector in Delhi on Wednesday the minister said the government is keen to boost the domestic steel sector.
As part of this initiative, the budget this year had outlined an investment of Rs 4 lakh crore on infrastructure that is expected to raise consumption of steel substantially.
"The steel Industry has to become a growth enabler for the manufacturing industry and catalyst for 'Make in India' campaign," he said. While the 'draft National Steel Policy 2017' is going to finalized soon, the government planned to more than double steel production capacity and per capita consumption from the present level, Singh added.
In this, secondary steel players will play key role in increasing production and enhancing consumption, he pointed out. The move coincides with the government's plans to make use of domestically produced steel mandatory in government projects.
"We intend to adopt the 'Melt & Manufacture' Model of USA for increasing steel production capacity," Singh said adding, worldwide, mini-mills are becoming popular and we want to establish such plants and mills in India."
Among the initiatives taken for increasing steel consumption are regional conferences in different parts of the country to disseminate advantages of steel-based structures. The government is also looking at new areas where steel-use can be promoted based on steel's inherent strengths, steel crash barriers, railway sleepers, bridges, roads, houses, buildings, community centres and other such end-use segments are also being explored.
The minister said all segments of secondary steel sector should come together under a single apex organisation to collectively present its issues to key stakeholders. Highlighting the importance of the secondary steel sector, he said electric arc furnaces (EAF) and induction furnaces produce 57% of steel, which is more than the integrated steel plants.
With addition of production capacities of sponge iron, pig iron, rolling mills, the sector's contribution gets even bigger. Rolling mills in this sector have better market share in regional and some national markets. Also steel plants in secondary sector have many advantages like less land requirement, lower capital investment, better energy efficiency, proximity to users and less dependence on logistics, the minister added.
Speaking at the National Conference on Secondary Steel Sector in Delhi on Wednesday the minister said the government is keen to boost the domestic steel sector.
As part of this initiative, the budget this year had outlined an investment of Rs 4 lakh crore on infrastructure that is expected to raise consumption of steel substantially.
"The steel Industry has to become a growth enabler for the manufacturing industry and catalyst for 'Make in India' campaign," he said. While the 'draft National Steel Policy 2017' is going to finalized soon, the government planned to more than double steel production capacity and per capita consumption from the present level, Singh added.
In this, secondary steel players will play key role in increasing production and enhancing consumption, he pointed out. The move coincides with the government's plans to make use of domestically produced steel mandatory in government projects.
"We intend to adopt the 'Melt & Manufacture' Model of USA for increasing steel production capacity," Singh said adding, worldwide, mini-mills are becoming popular and we want to establish such plants and mills in India."
Among the initiatives taken for increasing steel consumption are regional conferences in different parts of the country to disseminate advantages of steel-based structures. The government is also looking at new areas where steel-use can be promoted based on steel's inherent strengths, steel crash barriers, railway sleepers, bridges, roads, houses, buildings, community centres and other such end-use segments are also being explored.
The minister said all segments of secondary steel sector should come together under a single apex organisation to collectively present its issues to key stakeholders. Highlighting the importance of the secondary steel sector, he said electric arc furnaces (EAF) and induction furnaces produce 57% of steel, which is more than the integrated steel plants.
With addition of production capacities of sponge iron, pig iron, rolling mills, the sector's contribution gets even bigger. Rolling mills in this sector have better market share in regional and some national markets. Also steel plants in secondary sector have many advantages like less land requirement, lower capital investment, better energy efficiency, proximity to users and less dependence on logistics, the minister added.
