India's Steel Industry: Production Growth, Export Trends, and Green Initiatives
Key Ideas
  • India's crude steel production has seen a significant increase to 144.30 million tonnes in 2023-24, driven by a conducive policy environment and infrastructure development.
  • Although finished steel exports fluctuated, the government's initiatives like the DMI & SP policy and reduction in customs duty aim to boost steel production and usage.
  • Efforts towards reducing carbon emissions include promoting green hydrogen usage, carbon capture, and utilisation, with a focus on achieving net zero emissions in the long term.
  • The National Green Hydrogen Mission and allocation of funds to encourage the steel sector to utilize green hydrogen highlight India's commitment to sustainable steel production.
The steel industry in India has shown notable growth in recent years, with a surge in crude steel production to 144.30 million tonnes in 2023-24 from 109.14 million tonnes in 2019-20. While finished steel exports experienced fluctuations, the government's initiatives, such as the DMI & SP policy and reduction in customs duty, are geared towards enhancing steel production and consumption. By targeting a total crude steel capacity of 300 million tonnes by 2030-31, India aims to create a supportive policy environment for the steel sector. The promotion of 'Made in India' steel for government procurement and reduced customs duty on ferro nickel are part of these efforts. To reduce carbon emissions, the industry is focusing on green initiatives like promoting green hydrogen usage and carbon capture. The government is striving to achieve net zero emissions in the long term through disruptive technological innovations. Task forces have been set up to discuss strategies for decarbonization, involving experts from various sectors. The National Green Hydrogen Mission, with an allocation of Rs 455 crore for the steel sector, underscores India's commitment to sustainable practices. Efforts are also being made to increase steel usage, especially in rural areas, through projects like developing structural steel designs for Anganwadis and houses. The engagement of rural dealers by entities like SAIL and RINL aims to educate rural India on the benefits of using steel. Overall, India's steel industry is not only focusing on growth and export trends but also on green initiatives to reduce its carbon footprint and move towards sustainable steel production.
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