Steel is a deregulated sector and the decisions regarding setting up production capacity of any steel grades are taken by an individual company, based on techno-economic considerations. The per capita consumption of finished steel for the year 2019-20 was 74.7 kg. against the world average of 229 kg. during the same period, as per the data released by the World Steel Association. The steps taken by the Government to encourage the domestic steel makers and to enhance the per capita consumption are as following:-
(i) National Steel Policy, 2017 notified on 08th May, 2017 envisages domestically meeting the entire demand of steel and high-grade automotive steel, electrical steel, special steel and alloys for strategic applications. It also aims at increasing the per capita consumption of steel to 160 kg. by 2030-31.
(ii) Domestically Manufactured Iron & Steel Products (DMI&SP) Policy encourages production and consumption of domestically produced steel.
(iii) Issuance of Steel and Steel Products Quality Control Order for compulsory BIS certification for 145 Iron and Steel Products in order to ensure that the quality of steel being manufactured by domestic producers or imported in the country is as per the Indian Standards.
(iv) Inclusion of ‘specialty steel’ under the Production Linked Incentive (PLI) Scheme recently announced by the Government to help attract capital investments and production of specialty steel in the country.
(v) The Steel Scrap Recycling Policy, 2019 envisages to set up environmentally sound management system to encourage processing and recycling of ferrous scraps through organized and scientific metal scrapping centers across India to minimize dependency on import of scrap and make India self-sufficient in scrap availability with an aim to promote 6Rs principles of Reduce, Reuse, Recycle, Recover, Redesign and Re-manufacture.
(vi) Steel Import Monitoring System (SIMS), an online platform for advance registration of intended imports of steel, notified on 05.09.2019, requiring the intended steel importers to submit advance information for intended imports and help the industry to plan domestic manufacturing.
(vii) Ministry of Steel has held the following Webinars to enhance the consumption and overall demand for steel in the country:-
(a) Oil and Gas Sector, 16th June, 2020.
(b) Ispati Irada, Enhancing Steel Usage, 30th June, 2020.
(c) Housing and Civil Aviation Sector, 18th August, 2020.
(d) Agriculture, Rural Development, Dairying and Food Processing Sectors, October 20, 2020.
(viii) The Government, vide Notification dated 01.10.2020, has allowed domestic steel producers to provide limited quantum of four product categories of steel (Hot Rolled Coil, Cold Rolled Coil, Wire Rods and Alloy Steel Bars) to MSME members of EEPC at an export parity price.
This Information was given by the Union Minister for Steel Shri Dharmendra Pradhan in a written reply in the Rajya Sabha today.
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YKB/ SK