Lok Sabha Question No. 3237 (UNSTARRED), answered on 2022-03-23
Subject: increase in Steel Plants
Ministry: STEEL
Asked by: Sambhajirao Mane Dhairyasheel, Subrata Pathak, Sudheer Gupta, Shrirang Appa Barne, Bidyut Baran Mahato, Sanjay Sadashivrao Mandlik, Prataprao  Jadhav

THE MINISTER OF STEEL

## GOVERNMENT OF INDIA MINISTRY OF STEEL

## LOK SABHA UNSTARRED QUESTION NO.3237

FOR ANSWER ON 23/03/2022

## INCREASE IN STEEL PLANTS

3237.  SHRI DHAIRYASHEEL SAMBHAJIRAO MANE:

SHRI SUBRAT PATHAK:

SHRI SUDHEER GUPTA:

SHRI SHRIRANG APPA BARNE:

SHRI BIDYUT BARAN MAHATO:

SHRI SANJAY SADASHIVRAO MANDLIK:

SHRI PRATAPRAO JADHAV:

Will the Minister of STEEL be pleased to state:

- (a) whether the Government is considering to establish more steel plants in the country as the demand for steel is increasing day by day and if so, the details thereof;
- (b) whether  import  dependency  on  steel  has  adversely  affected  the  Indian domestic market leading to high price of steel;
- (c) if so, the details thereof and the steps taken by the Government to reduce the import dependency on steel during the current year;
- (d) whether  the  Government  is  aware  that  a  large  chunk  of  iron  ore  is  still unexplored in different parts of the country and if so, the details thereof, State-wise;
- (e) the steps taken by the Government to explore iron ore with the help of State Governments; and
- (f) whether the Government proposes to set up more iron based industries in the country  to  increase  the  production  of  iron  ore  in  the  country  and  if  so,  the  details thereof, State-wise?

## ANSWER

(SHRI RAM CHANDRA PRASAD SINGH)

- (a) Steel is a  de-regulated sector and the government acts only as a facilitator. The decisions related to establishment of steel plants are taken by individual PSU's based on techno-commercial considerations.

(b)&(c): India is second largest producer of steel and is net exporter. The import of steel constitutes a small portion of the domestic consumption of steel. Steel being a de-regulated sector, the prices are influenced by various factors like global market conditions, trends in price of raw materials,  logistics cost, power and fuel cost etc. The data on production, consumption, import and export of finished steel during last 3 years is given below:-

| Financial Year   | Production   |   Consumption | Import    | Export   |
|------------------|--------------|---------------|-----------|----------|
| 101.29           | 98.71        |          7.84 | 6.36      | 2018-19  |
| 2019-20 102.62   |              |        100.17 | 6.77 8.36 |          |
| 2020-21          | 96.20        |         94.89 | 4.75      | 10.78    |

Contd……...2/-

The steps taken by the Government to further reduce imports of steel include:-

- (i) Steel  Import  Monitoring  System  (SIMS)  for  advanced  registration  of  steel imports  with  an  aim  to  provide  granular  details  of  intended  imports  to  the Government as well as domestic steel industry, and
- (ii) Production Linked Incentive (PLI) Scheme for Specialty Steel with an outlay of ₹  6,322  Crores  to  facilitate  setting  up  of  manufacturing  of  'Specialty  Steel' within the country.

(d) Geological Survey of India (GSI) carries out geological mapping and exploration  activities  across  the  country  with  an  aim  to  discover/find  out  potential mineralized locales. Government of India has been carrying out iron ore exploration in the country and the state-wise details of iron ore exploration carried out by GSI in last 3 years and current FY 2021-22 is given in Annexure-I.

(e)&(f): Government has taken various steps to exploration and production of iron ore which include the following:-

-  GSI is generating baseline geo-science data through geological/ geophysical/ geochemical  mapping  pan  India  which  are  of  paramount  importance  for planning mineral exploration activities.
-  GSI  carries  out  'reconnaissance  survey'  [G4],  'preliminary  exploration'  [G3] and 'general exploration'  [G2]  following  the  MEMC  Amendment  Rules, 2021 with  an  aim  to  augment  resource  for  various  mineral  commodities  including iron ore. In practice, the resource bearing G2/G3 reports are handed over to the concerned State Governments for auctioning of mineral concession.

To boost the mining sector, since  amendment  of Mines and Mineral (Development  and  Regulation)  (MMDR)  Act,  2015,  25 numbers  of  iron  ore resource  bearing  G2/G3  reports  of  GSI  have  been  handed  over  to  the concerned  State  Governments  for  consideration  in  the  auctioning  process. Recently,  following  the  Minerals  (Evidence  of  Mineral  Contents)  Second Amendment (MEMC) Rule 2021 (Amended MMDR Act 2021) GSI has handed over  17  Geological  Memorandums  on  iron  ore  to  the  concerned  state governments for auctioning as composite license.

-  Since Amendment of MMDR Act 2015, GSI has augmented 1470.20 million tonnes of iron ore resources in the country.

********

## Annexure-I Details of iron ore exploration by GSI during last 3 years and current field season 2021-22

|   Sl. No | FS Year   | Region   | State          | District                 | Name of Mineral Block / Area/ Belt   | UNFC Stage   | Mineral Commodity                    |
|----------|-----------|----------|----------------|--------------------------|--------------------------------------|--------------|--------------------------------------|
|        1 | 2018- 19  | CR       | MH             | Sindhudurg               | Vaghmala and Morle areas             | G4           | Chromite, nickel, iron and manganese |
|        2 |           | CR       | CH             | Mahasamund               | Gopalpur                             | G4           | Iron                                 |
|        3 |           | CR       | MP             | Singrauli                | Birkuniya - Barawani - Chatri area   | G4           | Gold, Iron                           |
|        4 |           | ER       | Odisha         | Sundargarh               | Alaghat West                         | G2           | Iron                                 |
|        5 |           | ER       | Odisha         | Kendujhar                | Nuagan West                          | G2           | Iron                                 |
|        6 |           | ER       | Odisha         | Sundargarh               | Kedesala north- east                 | G3           | Iron                                 |
|        7 |           | ER       | Jharkhand      | West Singhbnum           | Baraiburu                            | G3           | Iron and Manganese                   |
|        8 |           | ER       | Odisha         | Kendujhar and Sundargarh | Gandhalpada West                     | G3           | Iron                                 |
|        9 |           | ER       | Odisha         | Sambalpur                | Tikiba-Phasimal- Ardapal             | G4           | Iron and Manganese                   |
|       10 |           | SR       | Andhra Pradesh | Ananthapur               | Obulapuram                           | G4           | Iron                                 |
|       11 |           | SR       | Telangana      | Karimnagar               | Dumalkunta and Ragampet              | G4           | Iron                                 |
|       12 |           | SR       | Telangana      | Karimnagar               | Gollapalli                           | G4           | Iron                                 |
|       13 |           | CR       | Madhya Pradesh | Sidhi                    | Gandhigram                           | G3           | Iron                                 |
|       14 |           | CR       | Maharashtra    | Sindhudurg               | Ambadgaon- Matna                     | G4           | Iron                                 |
|       15 |           | ER       | Odisha         | Mayurbhanj               | Badampahar- Suleipat Jashipur        | G4           | Iron                                 |
|       16 |           | ER       | Odisha         | Sundergarh               | Patamunda (North)                    | G3           | Manganese and Iron                   |
|       17 |           | ER       | Odisha         | Kendujhar                | Kendudihi North                      | G3           | Iron                                 |
|       18 |           | ER       | Odisha         | Kendujhar                | Uliburu                              | G4           | Iron and manganese                   |
|       19 |           | ER       | Odisha         | Keonjhar                 | Gandhalpada West                     | G2           | Iron                                 |
|       20 |           | ER       | Jharkhand      | West Singhbhum           | Kumdi                                | G4           | Iron and manganese                   |
|       21 |           | ER       | Jharkhand      | West Singhbhum           | Kadaph                               | G4           | Iron and manganese                   |
|       22 |           | ER       | Jharkhand      | West Singhbhum           | Marang Ponga - Kodalibad - Tholkabad | G4           | Iron and manganese                   |
|       23 |           | ER       | Jharkhand      | West Singhbhum           | Karampada west                       | G3           | Iron and manganese                   |
|       24 |           | ER       | Jharkhand      | West Singhbhum           | Karampada east                       | G3           | Iron and manganese                   |
|       25 | 2019- 20  | ER       | Bihar          | Jamui                    | Majos                                | G2           | Iron                                 |
|       26 |           | ER       | Odisha         | Kendujhar                | Laupada                              | G2           | Iron                                 |
|       27 |           | ER       | Odisha         | Kendujhar                | Putulipani                           | G2           | Iron                                 |

|   28 |          | NER   | Meghalaya                                  | West Khasi Hills                               | Nongdom- Langtor                  | G3   | Iron                         |
|------|----------|-------|--------------------------------------------|------------------------------------------------|-----------------------------------|------|------------------------------|
|   29 |          | NR    | Uttar Pradesh                              | Sonbhadra                                      | Block 'B', Bharhari               | G3   | Iron                         |
|   30 |          | SR    | Andhra Pradesh                             | Kurnool                                        | Veldurthy                         | G3   | Iron                         |
|   31 |          | SR    | Andhra Pradesh                             | Prakasam                                       | Juvvikunta and Pedda Alvalapadu   | G4   | Iron                         |
|   32 |          | SR    | Andhra Pradesh                             | Prakasam                                       | Ayyaavaripalle- Chundi- Malakonda | G4   | Iron                         |
|   33 |          | SR    | Andhra Pradesh                             | Kadapa                                         | Letapalle                         | G4   | Iron                         |
|   34 |          | SR    | Andhra Pradesh                             | Kadapa                                         | Nagayapalle- Konduru              | G4   | Iron                         |
|   35 |          | SR    | Telangana, Andhra Pradesh and Chhattisgarh | Bhadradri- Kothagudem, East Godavari and Sukma | Gottugudem- Kondipalle            | G4   | Iron                         |
|   36 |          | SR    | Karnataka                                  | Haveri                                         | Masur- Kanvi Siddageri            | G4   | Manganese and low grade iron |
|   37 |          | SR    | Karnataka                                  | Haveri and Davangere                           | Chikka- Gonageri- Govinahallu     | G4   | Manganese and low grade iron |
|   38 |          | SR    | Karnataka                                  | Shimoga                                        | Hittala- Gilalagundi              | G4   | Manganese and low grade iron |
|   39 |          | SR    | Karnataka                                  | Uttar Karnataka                                | Devanmane and Gumlagaddde         | G4   | Manganese and low grade iron |
|   40 |          | SR    | Andhra Pradesh                             | Chittoor                                       | Gadanki and Bommayyapalli         | G4   | Iron                         |
|   41 |          | SR    | Andhra Pradesh                             | Ananthapur                                     | Obulapuram                        | G4   | Iron                         |
|   42 |          | WR    | Rajasthan                                  | Jaipur                                         | Banol                             | G4   | Iron                         |
|   43 |          | WR    | Rajasthan                                  | Jaipur                                         | Morija                            | G4   | Iron                         |
|   44 | 2020- 21 | ER    | Odisha                                     | Kendujhar                                      | Jajang                            | G2   | Iron and manganese           |
|   45 |          | ER    | Odisha                                     | Kendujhar                                      | Jalahuri                          | G2   | Iron and manganese           |
|   46 |          | ER    | Odisha                                     | Kendujhar                                      | Roida-I                           | G2   | Iron                         |
|   47 |          | ER    | Odisha                                     | Kendujhar                                      | Chormalda                         | G4   | Manganese and iron           |
|   48 |          | ER    | Odisha                                     | Kendujhar                                      | Balita and Inganijharan           | G4   | Iron and manganese           |
|   49 |          | ER    | Odisha                                     | Sundargarh                                     | Patamunda East                    | G3   | Iron and manganese           |
|   50 |          | WR    | Rajasthan                                  | Jaipur                                         | Morija                            | G3   | Iron                         |
|   51 | 2021- 22 | SR    | Karnataka                                  | Haveri and Devanagere                          | Melabennur                        | G4   | Iron, manganese,             |
|   52 |          | ER    | Bihar                                      | Jamui                                          | Bhanta                            | G3   | Iron                         |

********