India Has Over 161 Million Tonnes of Steel Capacity

Steel Secretary Nagendra Nath Sinha stated on Tuesday that India now has more than 161 million tonnes of steel capacity and that the sector is expected to grow further. In accordance with the National Steel Policy, India aims to install 300 MT of steel capacity by 2030.

Speaking at the "4th Indian Steel Association (ISA) Steel Conclave" event in the nation's capital, Sinha stated, "We have already crossed 161 million mt of capacity, comprising 67 MT by blast furnace-basic oxygen furnace (BF-BoF) route, 36 MT by electric arc furnace (EAF), and 58 MT by induction furnace (IF) route."

He also emphasized that India's steel industry is well-positioned for future expansion. India is the fourth-largest automobile market in the world, and over the next ten years, Sinha predicted, it would grow at a compound annual growth rate of 8–10%. Steel demand is also being driven by the manufacturing sector, which had a compound annual growth rate (CAGR) of 7-8%.

In the steel industry, the production-linked incentive program has been going quite well. Of the Rs 29,500 crore committed, the industry has invested roughly Rs 10,000 crore. The official went on to say that the industry also faces major obstacles because of carbon emissions and demands from the global market.

According to him, embracing low-carbon technologies, working with stakeholders, and implementing green practices are crucial for the industry's long-term viability and compliance with regional, national, and global environmental objectives.

Regarding the EU's Carbon Border Adjustment Mechanism (CBAM), he stated that the steel sector has been faced with a major obstacle. "There is a lot of room for improvement when it comes to reducing carbon emissions in the steelmaking industry overall. As the world's markets demand, we will soon be exporting low-carbon steel, and I am confident that the industry leaders are working to realign their strategies," Sinha continued.