Source: Scrap Monster
The Indian Economic Survey 2018-’19 foresees the country’s crude steel output at 128.6 million tonnes (MT) by 2021. The steel consumption in the country is likely to touch nearly 140 MT by 2023, mainly on account of increased investments in various sectors including infrastructure, construction and automobile.
The Economic Survey tabled in parliament on Thursday by Finance Minister Nirmala Sitharaman noted that crude steel production by the country in 2018-’19 totaled 106.56 MT, registering a growth of over 3.3% year-on-year. The crude steel production by the country stood at 103.13 MT in 2017-’18. The per-capita steel consumption in India stands at a much lower rate of 69 kilograms, as compared with the global average of 214 kilograms.
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The Economic Survey Report underlines the need for increased investment in capacity addition and latest production technologies. The sector should focus on boosting domestic production of value-added steel, which are preferred by various sectors including power, defence and automobile. The country currently imports much of the high-grade steel consumed by these sectors.
The trade restrictions imposed by countries including the U.S., Canada and the EU has badly impacted the country’s steel export volumes. The total exports dropped significantly from 9.62 MT in 2017-’18 to 6.36 MT in 2018-’19. Meantime, the imports from South Korea, Japan and ASEAN countries have witnessed rapid surge. The country remained as a net importer of finished steel at 7.84 MT in 2018-’19.