India was the world’s second-largest steel producer in the world with production standing at 106.5 MT in 2018. The growth in the Indian steel sector has been driven by domestic availability of raw materials such as iron ore and cost-effective labour. Consequently, the steel sector has been a major contributor to India’s manufacturing output.
India’s finished steel consumption grew at a CAGR of 5.69 per cent during FY08-FY18 to reach 90.68 MT.
India’s crude steel and finished steel production increased to 103.13 MT and 104.98 MT in 2018, respectively.
In 2018, the country’s finished steel exports increased 17 per cent year-on-year to 9.62 million tonnes (MT), as compared to 8.24 MT in 2017. Exports and imports of finished steel stood at 5.77 MT and 7.13 MT, during April 2018-February 2019.
According to the data released by Department for Promotion of Industry and Internal Trade (DPIIT), the Indian metallurgical industries attracted Foreign Direct Investments (FDI) to the tune of US$ 11.18 billion in the period April 2000–December 2018.
The National Steel Policy has envisaged 300 million tonnes of production capacity by 2030-31. Further, India is expected to surpass USA to become the world’s second largest steel consumer in 2019. The Government of India is taking steps to boost the country's domestic steel sector and raise its capacity by a considerable figure.