Lok Sabha Question No. 2467 (UNSTARRED), answered on 2022-12-21
Subject: Assessment of Steel Manufacturer
Ministry: STEEL
Asked by: Dayanidhi Maran

## GOVERNMENT OF INDIA MINISTRY OF STEEL

## LOK SABHA UNSTARRED QUESTION NO.2467

FOR ANSWER ON 21.12.2022

## ASSESSMENT OF STEEL MANUFACTURER

## 2467. SHRI DAYANIDHI MARAN:

Will the Minister of STEEL be pleased to state:

(a) whether the Government has conducted any study or assessment of the current situation of steel manufacturers in India and if so the details thereof;

(b) whether it is true that the high input costs due to rise in import of steel are making it  difficult  for  domestic  manufacturers  to  compete  with  foreign  manufacturers and  if so, the details thereof;

(c) the details of the imports, exports & domestic production of steel during the last five years, itemized month-wise;

(d)  the  steps  being  taken  by  the  Government  for  promotion  and  protection  of domestic steel manufacturers; and

(e) whether it is a fact that the Indian Steel Association (ISA) has sought World Trade Organization compliant measures to reduce the import of steel and if so, the details thereof along with the policies being considered thereon?

## ANSWER

(SHRI FAGGAN SINGH KULASTE)

THE MINISTER OF STATE IN THE MINISTRY OF STEEL

(a)to(d): Steel is a deregulated sector. Steel is produced by different processes and the  production  cost  varies  from  plant  to  plant  depending  upon  the  input  costs.  To protect domestic steel industry from cheaper & dumped imports, calibration in Basic Custom  Duty  on  steel  products  and  raw  materials  along  with  imposition  of  trade remedial  measures  like  Anti-Dumping  Duty  (ADD),  Countervailing  Duty  (CVD)  are undertaken to enhance competitiveness of India's steel sector. The details of monthwise  production,  consumption,  and  export  of  finished  steel  in  the  country  are  at Annexure-I.

Government acts as a facilitator by creating enabling environment by providing policy  support  and  guidance  to  steel  sector.  Government  has  taken  following measures to promote and protect domestic steel manufacturers:-

- (i) Notification of National Steel Policy 2017 which envisages, inter-alia, domestically  meeting  the  entire  demand  of  steel  and  high-grade  automotive steel, electrical steel, special steel and alloys for strategic applications.

- (ii) Notification  of  Domestically  Manufactured  Iron  &  Steel  Products  (DMI&SP) Policy for promoting procurement of Made in India steel.
- (iii) Notification  of  Production-Linked  Incentive  (PLI)  Scheme  for  Specialty  Steel with an outlay of ₹ 6,322 Crore to promote the manufacturing of specialty steel within the country by attracting capital investments.
- (iv) Issuance of Steel Quality Control Orders to stop manufacturing and import of non- standardized steel.

(e) Directorate General of Trade Remedies (DGTR), a quasi-judicial body, under Department of Commerce undertakes investigations (Anti-Dumping, Countervailing, Safeguard etc.) based on the petitions filed by steel industry, as well as suo-moto, from time to time. The findings and recommendations of DGTR are analyzed by the Government  for  Notification  keeping  in  view  the  domestic  production,  price  and availability of such grades of steel.

*****

## Annexure-I

|           | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   | Total Finished Steel Qty (in'000 tonne)   |
|-----------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|-------------------------------------------|
| Month     | 2021-22                                   | 2021-22                                   | 2021-22                                   | 2020-21                                   | 2020-21                                   | 2020-21                                   | 2019-20                                   | 2019-20                                   | 2019-20                                   | 2018-19                                   | 2018-19                                   | 2018-19                                   | 2017-18                                   | 2017-18                                   | 2017-18                                   |
| Month     | Production                                | Import                                    | Export                                    | Production                                | Import                                    | Export                                    | Production                                | Import                                    | Export                                    | Production                                | Import                                    | Export                                    | Production                                | Import                                    | Export                                    |
| April     | 9266                                      | 364                                       | 951                                       | 1571                                      | 407                                       | 429                                       | 8674                                      | 620                                       | 516                                       | 8040                                      | 598                                       | 573                                       | 7551                                      | 504                                       | 747                                       |
| May       | 8481                                      | 393                                       | 1237                                      | 5521                                      | 539                                       | 1284                                      | 9043                                      | 554                                       | 459                                       | 8157                                      | 620                                       | 445                                       | 7522                                      | 558                                       | 641                                       |
| June      | 8730                                      | 402                                       | 1369                                      | 6943                                      | 266                                       | 1552                                      | 8825                                      | 628                                       | 357                                       | 8333                                      | 678                                       | 378                                       | 7238                                      | 644                                       | 648                                       |
| July      | 8790                                      | 410                                       | 1512                                      | 8131                                      | 293                                       | 1376                                      | 8613                                      | 796                                       | 602                                       | 8162                                      | 759                                       | 530                                       | 7531                                      | 798                                       | 770                                       |
| August    | 9341                                      | 396                                       | 1331                                      | 8557                                      | 161                                       | 1039                                      | 8359                                      | 855                                       | 983                                       | 8255                                      | 671                                       | 716                                       | 7758                                      | 1005                                      | 924                                       |
| September | 9330                                      | 409                                       | 1354                                      | 8538                                      | 318                                       | 864                                       | 8106                                      | 565                                       | 1019                                      | 8295                                      | 675                                       | 590                                       | 7666                                      | 811                                       | 1119                                      |
| October   | 9850                                      | 378                                       | 1055                                      | 9145                                      | 362                                       | 555                                       | 8323                                      | 630                                       | 950                                       | 8621                                      | 679                                       | 594                                       | 7889                                      | 602                                       | 778                                       |
| November  | 9234                                      | 312                                       | 722                                       | 9034                                      | 351                                       | 598                                       | 8574                                      | 429                                       | 867                                       | 8389                                      | 681                                       | 482                                       | 7968                                      | 614                                       | 1012                                      |
| December  | 10079                                     | 395                                       | 798                                       | 9912                                      | 512                                       | 617                                       | 9223                                      | 437                                       | 767                                       | 8714                                      | 548                                       | 368                                       | 8278                                      | 562                                       | 964                                       |
| January   | 10309                                     | 450                                       | 814                                       | 9697                                      | 582                                       | 523                                       | 9115                                      | 477                                       | 694                                       | 8743                                      | 638                                       | 475                                       | 8672                                      | 355                                       | 615                                       |
| February  | 9590                                      | 411                                       | 1157                                      | 9051                                      | 460                                       | 655                                       | 8565                                      | 401                                       | 570                                       | 8285                                      | 583                                       | 619                                       | 7999                                      | 547                                       | 693                                       |
| March     | 10598                                     | 351                                       | 1195                                      | 10105                                     | 500                                       | 1292                                      | 7200                                      | 376                                       | 573                                       | 9293                                      | 705                                       | 592                                       | 8937                                      | 483                                       | 708                                       |
| Total     | 113597                                    | 4669                                      | 13494                                     | 96204                                     | 4752                                      | 10784                                     | 102621                                    | 6768                                      | 8355                                      | 101287                                    | 7835                                      | 6361                                      | 95010                                     | 7483                                      | 9620                                      |