Prime Minister Narendra Modi recently emphasized the growing significance of India's steel industry, highlighting its crucial role in advancing the nation's infrastructure, defense, electric mobility, and clean energy sectors. This focus on steel underscores its importance as a foundational element in India's development. Modi's remarks were in response to a post by Steel Minister H.D. Kumaraswamy on the social media platform X, where he detailed how India's policy initiatives and innovations are steering the country towards becoming a global leader in steel production.
Kumaraswamy pointed out the transformative journey of India's steel sector, which has seen a remarkable resurgence under Modi's leadership. "A revitalised steel sector is shaping the rise of a New India. From highways to high-speed rail, metro networks to renewable parks, EVs to defence, Indian steel is at the heart of our infrastructure revolution," he stated.
Since 2014, India has emerged as the world's second-largest steel producer, with production nearly doubling from just over 81 million tonnes to over 152 million tonnes. This growth trajectory is part of a broader vision to achieve a production target of 300 million tonnes per annum (MTPA) by 2030. The minister attributed this success to visionary reforms such as the domestically manufactured iron and steel products policy and the Production Linked Incentives scheme, which have bolstered capacity, self-reliance, and innovation in green steel.
The steel sector's revival is not just about numbers; it is about the strategic importance of steel in India's quest for self-reliance, or Atmanirbhar Bharat. "Today, India exports quality steel, builds with its own strength, and empowers MSMEs and core industries. This is Atmanirbhar Bharat in action," Kumaraswamy added. The emphasis on self-reliance is evident in the way India is leveraging its steel production capabilities to support various sectors, from infrastructure to defense.
The revival of Rashtriya Ispat Nigam Limited (RINL) serves as a testament to what targeted government support can achieve. With an infusion of ₹10,300 crore in assistance, operational reforms, and leadership clarity, RINL has doubled its hot metal output and returned to profitability. This is not merely a financial recovery; it is a revival of India's industrial soul and proof that with the right intent, even legacy public sector undertakings (PSUs) can rise again.
The steel sector's resurgence is also evident in the way it supports micro, small, and medium enterprises (MSMEs) in fabrication, construction, and engineering. These enterprises now enjoy stable supply chains and affordable raw materials, which are crucial for their growth and sustainability. Moreover, the domestic production of wind turbines and solar frames aligns perfectly with India's clean energy goals, further underscoring the strategic importance of the steel industry.
Steel's role in electric mobility and clean energy
Electric mobility is another area where steel plays a crucial role. The production of electric vehicles (EVs) requires high-quality steel for manufacturing components such as chassis and body frames. As India seeks to transition to a greener economy, the demand for steel in the EV sector is expected to rise significantly.
The clean energy sector is also benefiting from the steel industry's growth. The production of wind turbines and solar frames requires high-quality steel, and India's domestic production capabilities are helping to meet this demand. This aligns with the country's commitment to achieving its renewable energy targets and reducing carbon emissions.
The steel industry's contribution to India's economic growth is multifaceted. It supports various sectors, enhances self-reliance, and aligns with the nation's clean energy goals. As India continues its journey towards becoming a global steel leader, the industry will play a crucial role in propelling the country's infrastructure, defense, electric mobility, and clean energy sectors.
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