Lok Sabha Question No. 908 (UNSTARRED), answered on 2018-07-23
Subject: Steel Import/Export
Ministry: STEEL
Asked by: ALOK SANJAR

## STEEL IMPORT/EXPORT

908. SHRI ALOK SANJAR:

Will the Minister of STEEL be pleased to state:

(a) the details of the production, use and available storage of steel in the various steel  production  units  of  the  country  during  each  of  the  last  three  years  and  the current year;

- (b) the  details  of  quantum  of  the  different  kinds  of  steel  imported  and  exported and foreign exchange spent thereon/earned therefrom;
- (c) whether there has been positive impact on the domestic steel industry during the said period and if so, the details thereof; and
- (d) the efforts made/being made by the Government to safeguard the interests of the domestic steel industry?

## ANSWER

## THE MINISTER OF STATE FOR STEEL

(SHRI VISHNU DEO SAI)

(a) Steel  is  a  deregulated  sector,  the  role  of  Government  is  limited  to  be  the facilitator for the growth of steel industry in the country.  Data on production and Use of total finished steel in the country during the last three years and April-May, 2018 is given below:-

| Year                                        | Total Finished Steel (mt)                   | Total Finished Steel (mt)                   |
|---------------------------------------------|---------------------------------------------|---------------------------------------------|
|                                             | Production                                  | Use                                         |
| 2015-16                                     | 90.98                                       | 81.52                                       |
| 2016-17                                     | 101.81                                      | 84.04                                       |
| 2017-18*                                    | 104.98                                      | 90.68                                       |
| April-May, 2018*                            | 17.85                                       | 15.32                                       |
| Source: JPC;*provisional; mt=million tonnes | Source: JPC;*provisional; mt=million tonnes | Source: JPC;*provisional; mt=million tonnes |

Note: Storage data is not maintained in this Ministry.

(b) The details of quantum of the different kinds of steel  imported and exported and foreign exchange spent / earned thereon have been provided in the tables given below:-

|                                                        | Qty. in Million Tonnes   | Qty. in Million Tonnes   | Qty. in Million Tonnes   | Qty. in Million Tonnes   | Value (Rs. crore)        | Value (Rs. crore)        | Value (Rs. crore)        | Value (Rs. crore)        |
|--------------------------------------------------------|--------------------------|--------------------------|--------------------------|--------------------------|--------------------------|--------------------------|--------------------------|--------------------------|
| Steel Category                                         | 2015-16                  | 2016-17                  | 2017-18*                 | Growth %                 | 2015-16                  | 2016-17                  | 2017-18*                 | Growth %                 |
| Export of Finished Steel (alloy/stainless + non-alloy) | 4.08                     | 8.24                     | 9.62                     | 16.7                     | 22658                    | 35265                    | 46629                    | 32.2                     |
| Export of Non Alloy Steel                              | 3.48                     | 7.59                     | 8.73                     | 15.0                     | 16306                    | 28875                    | 37258                    | 29.0                     |
| Import of Finished Steel (alloy/stainless + non-alloy) | 11.71                    | 7.23                     | 7.48                     | 3.5                      | 45044                    | 34104                    | 39484                    | 15.8                     |
| Import of Non Alloy Steel                              | 8.71                     | 5.37                     | 5.64                     | 5.0                      | 31070                    | 23449                    | 27196                    | 16.0                     |
| Source: JPC;*provisional                               | Source: JPC;*provisional | Source: JPC;*provisional | Source: JPC;*provisional | Source: JPC;*provisional | Source: JPC;*provisional | Source: JPC;*provisional | Source: JPC;*provisional | Source: JPC;*provisional |

- (c) Yes, Madam. There has been positive impact on the domestic steel industry.
-  The sector has been growing at a steady Compounded Annual Growth Rate (CAGR) of about 5% over past four years.
-  Production  of  crude  steel  has  also  increased  from  81MT  in  FY  14  to 102.19 MT in FY18. ( 26 % increase)
-  Consumption  of  finished  steel  has  increased  from  74  MT  in  FY14  to 90.6 MT in FY 18. (22 % increase)

(d) Steel  is  a  deregulated  sector.  The  role  of  the  Government  is  that  of  a facilitator.    The  Government  has  launched  the  'Make-in-India'  initiative  to  focus  on manufacturing and infrastructure, which promotes the demand and consumption of steel in the country.

The Government has notified National Steel Policy, 2017 on 8 th May, 2017 and the  policy  for  providing  preference  to  Domestically  Manufactured  Iron  and  Steel Products (DMI&SP) in Government procurement.  These policies provide conductive environment for development of iron and steel sector.

Amendment  in  GFR  2017  to  include  Life  Cycle  Cost  Analysis  -  This  will enhance the usage of steel in Government funded infrastructure projects.

Protection  of  the  domestic  industry  from  unfair  external  competition  with adequate  trade  measures  such  as  anti  dumping  duties,  safeguard  duties  and  the introduction of Minimum Import Prices to protect the domestic markets from low cost steel products (now discontinued).

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