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Metal Industry can be a great potential for India, expecting $5 tn GDP by 2024-25

BNE ADMIN


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Guwahati: Faggan Singh Kulaste, Minister of State for Steel and Rural Development, stated today that the metal industry can play a significant part in the country's ambitious aspirations for self-reliance and a $5 trillion GDP by 2024-25.

He made the remarks today at an ASSOCHAM seminar on the Indian Metal Industry: Current Outlook and Future Trends. Steel use in India, according to the Minister, is increasing due to its numerous benefits in practically all sectors of life.

Kulaste also stated that in India, steel consumption in the infrastructure and construction sectors accounts for over 65 percent of total consumption, with the remainder accounted for by sectors such as engineering, packaging, and automotive, which are also exhibiting admirable growth in steel application year after year.

He stated that due to strong links with other industries such as construction, oil and gas, automobiles, and machinery, the need for steel is expanding in tandem with the expansion of these sectors. The Minister discussed the historical history of the metal sector, including the contributions of copper, aluminium, and zinc, in addition to iron and steel, over the decades.

Shri Kulaste elaborated on the increased use of steel in India, stating that per capita use of steel in India increased by 10% to 77 kg during fiscal year 2021-22. According to preliminary estimates, India exported a record 13.5 million tonnes of completed steel in 2021-22, while producing a record 120 million tonnes of crude steel and 113.6 million tonnes of finished steel.

He warned the steel industry about the threat of replacements and cheaper alternatives, such as composite materials, which will become more prevalent over time.

"It is critical to cut costs via the use of technology and smart working," he stated.

The Minister emphasised that India has a competitive edge in steel manufacturing over its counterparts due to the availability of high-grade iron ore, robust domestic demand, and the availability of a young workforce.

BNE ADMIN