Lok Sabha Question No. 188 (STARRED), answered on 2023-08-02
Subject: Steel Exports
Ministry: STEEL
Asked by: Gaurav Gogoi

## GOVERNMENT OF INDIA MINISTRY OF STEEL

## LOK SABHA STARRED QUESTION NO. 188*

FOR ANSWER ON 02.08.2023

## STEEL EXPORTS

*188. SHRI GAURAV GOGOI:

Will the Minister of STEEL be pleased to state: (a) the details of the Government initiatives and plans to address the sharp decline of 50.2% (year-on-year) in steel exports during fiscal year 2023; (b) the details of the Government initiatives and plans to introduce disruptive alternative technological innovations to achieve the transition to net-zero in steel industries; (c)  the  details  of  the  Government  initiatives  and  plans  for  contemporary  research studies  and  technologies  considering  India's  heavy  dependence  on  international research and technology, which comes with heavy bills and adds to costs; and (d) the details of the Government initiatives and plans to increase the use of steel in construction?

THE MINISTER OF STEEL

## ANSWER

(SHRI JYOTIRADITYA M. SCINDIA)

(a)to(d): A Statement is laid on the Table of the Lok Sabha.

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STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (A)  TO  (D)  OF  THE  LOK SABHA STARRED QUESTION NO. *188 FOR ANSWER ON 02/08/2023 TABLED BY  SHRI  GAURAV  GOGOI,  MEMBER  OF  PARLIAMENT  REGARDING  'STEEL EXPORTS'

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- (a) An analysis  of  quarter-wise export of  finished  steel  indicates that  one  of the reasons in the fall of 50.2% in export of finished steel in 2022-23 was due to imposition of  export duty between May-November 2022 considering increased consumption of steel and prevailing inflation.

The details of quarter-wise export of finished steel are given below:-

(in '000 tonnes)

| Period                |   FY 2021-22 |   FY 2022-23 | FY 2023-24   |
|-----------------------|--------------|--------------|--------------|
| Q1 (April-June)       |         3556 |         2191 | 2050         |
| Q2 (July-September)   |         4197 |         1411 | -            |
| Q3 (October-December) |         2575 |         1140 | -            |
| Q4 (January-March)    |         3166 |         1975 | -            |
| Total                 |        13494 |         6717 | 2050         |

Export  of  steel  is  dependent  on  factors  such  as  global  demand  and  supply conditions,  prevailing  market  prices  which  the  government  monitors  and  takes appropriate  measures.  To facilitate  a  conducive  policy  environment  for  competitive steel making, government has taken steps which include the following:-

- i. Removal of export duty on certain steel products in November, 2022, levied in May 2022.
- ii. Reforms in Mining and Mineral Policy to enhance production/availability of iron ore.
- iii. Reduction of Basic Customs Duty uniformly to 7.5% on Semis, Flat and Long products of non-alloy, alloy and stainless.
- iv. Removal of instances of inverted duty structure in steel sector.

(b)&(c):      Government is engaging  with  stakeholders towards achieving net-zero in steel by 2070 with (a) short term goals (up to 2030) through promotion of energy and resource efficiency, renewable energy; (b) medium term goals (2030-2047) through use of green hydrogen and carbon capture, utilization and storage; and (c) long term goals (2047-2070) through disruptive alternative technological innovations.

The  details  of  government  initiatives  to  introduce  alternative  technological innovations and plans for contemporary research studies and technologies include the following:-

- i. Funding  R&D  projects  on  Carbon  Capture,  Utilization  and  Storage  (CCUS) technologies being pursued by organisations like IITs, CSIR and collaborating with NITI Aayog. Department of Science and Technology has funded 19 R&D projects in the area of CCUS under the Mission Innovation umbrella, partnering with 13 countries.

- ii. Inviting proposals for setting up pilot facilities using hydrogen in iron and steel making for funding under the National Green Hydrogen Mission.
2. (d) Government has taken the following initiatives to increase the use of steel in construction, housing, and infrastructure sectors:-
- i. Supporting  R&D  projects  for  development  of  designs  of  Aanganwaadi  and houses using structural steel as part of Pradhan Mantri Awas Yojana (PMAY) towards enhancing use of steel in housing sector by MNIT Jaipur & SPA Bhopal in association with SAIL, JSW, Tata Steel, AM/NS & JSPL.
- ii. Formation of a committee by Ministry of Steel and Ministry of Petroleum and Natural Gas to work out the requirements of steel in the oil & gas sector.
- iii. Formation of a Joint Working Group (JWG) of Ministry of Steel and M/o Housing & Urban Affairs (MoHUA) with Bureau of Indian Standards (BIS), Central Public Works Department (CPWD), Technical Institutions like IITs/NITs and industry for steel intensive designs; with IITs & MoRTH offer steel-based designs for long span road bridges.
- iv. Conducting annual Joint workshops in collaboration with Ministry of Economy, Trade and Industry (METI) of Japan for knowledge sharing programmes.

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