India to be second-largest steel maker by 2013: minister
27 Jul 2011
India will emerge as the second largest steel producer by 2013 with an installed capacity of 120 million tonnes, union steel minister Beni Prasad Verma said on Tuesday.
At present, India is the fourth largest steel producer with a capacity of 80 million tonnes, while China tops the list.
''By 2013, India will be the second largest steel producer in the world, riding on the high levels of growth, construction, housing, real estate, automobiles and agriculture,'' Verma told the 5th India Steel Summit in New Delhi.
The steel demand in the country is growing at an average of 10 per cent and may exceed 12 per cent in the near future. In order to meet the demand, steel production capacity must increase at an average of 10-15 per cent, Verma said.
Various government social schemes such as NREGA and Indira Awas Yojana are expected to bring about development resulting in increased steel consumption, Verma said.
Steel secretary P K Misra said capacity addition should be fast-tracked to make the country self reliant in meeting future demand. The greenfield projects in the pipeline have not taken off due to issues relating to land acquisition and resource allocation. Land acquisition has of late become the most contentious and challenging issue, he added.