Friday, December 11, 2009

Demand of Steel
  
LOK SABHA

Steel demand in the country is being met both through domestic production and imports. Therefore, the availability of steel in the domestic market is able to match the demand which is being met from domestic steel production as well as through imports. The steel consumption in the country is, however, growing at a rate faster than the domestic production. During the April-November period of the current year, as per the provisional figures released by JPC, the domestic production has grown by 3%, whereas steel consumption has shown a growth of 8.1%. Most of the steel consumption growth in India is taking place on account of housing, infrastructure automobile and consumer goods sectors.

However, considering that the steel demand in India is likely to grow in the future, Government is facilitating setting up of new steel production capacities in the country. The public sector units under Ministry of Steel, Steel Authority of India Limited (SAIL) and Rashtriya Ispat Nigam Limited (RINL) have already undertaken major capacity expansion plans. SAIL has planned to increase its present capacity from 13.82 million tonnes per annum (mtpa) of crude steel to 23.46 mtpa by the year 2012-13. Similarly, RINL is also undertaking its liquid steel capacity from 3.0 mtpa to 6.3 mtpa by the year 2011-12.

This information was given by the Minister of State for Steel Shri A. Sai Prathap in a written reply in the Lok Sabha today.

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