Demand and consumption of steel expected to grow 5.7% year on year

A spurt in automobile production and infrastructure-NSE development has led to a boost in growth of metals and mining sectors. In particular, the government thrust on road and infrastructure projects has given a rise in demand for steel with consumption expected to grow 5.7% year on year to 92.1 million tonne by 2018. This is leading to a growth in demand for value added steel and steel producers need to gear up to cater to the growing demand.

Indian steel now is on a growth path the likes of which has not been seen before. According to world steel figures, India is the only country exhibiting a growth of 6-7%, with the rate of growth touching 8% last year. As one of the few countries trying to move to mid income group from low income group, India is seeing demand for more value added steel. Indian steel producers have got a lot of challenge in augmenting their capacities for high end market.” Sushim Banerjee, Director General, INSDAG.

The Conclave, in its opening session, focused primarily on the future demand for steel by the end user and the extent to which Indian steel industries are prepared for it. Subsequent sessions focused on the various sectors ensuring steel intensive growth in India, enhancing steel usage and challenges and opportunities in reviving skill  infrastructure in the steel sector. “Steel plays a pivotal role in traditional fields like construction, housing and ground transportation, special steels are finding increasing usage in engineering sectors like fertilizers, petrochemicals and power generation. It is important to ensure steel inclusive growth for the success of ‘make in India’ Aloke Mukherjea, Past President, BCC&I and Chairman, Howden, Solyvent  (India) Private Limited said at the meet.

Source : The economic times