National Steel Policy (Contd.)
In the last blog, we read about the National Steel Policy; the reason for the government to conceptualize it, and the vision and mission of the government behind it. Let’s now look at its objectives and the need for such a policy, more so in a country like India.
The National Steel Policy aims at achieving the following objectives:
- Build a globally competitive industry;
- Increase per Capita Steel Consumption to 160 Kgs by 2030-31;
- To domestically meet entire demand of high grade automotive steel, electrical steel, special steels and alloys for strategic applications by 2030-31;
- Increase domestic availability of washed coking coal so as to reduce import dependence on coking coal from ~85% to ~65% by 2030-31;
- To have a wider presence globally in value added/ high grade steel;
- Encourage industry to be a world leader in energy efficient steel production in an environmentally sustainable manner;
- Establish domestic industry as a cost-effective and quality steel producer;
- Attain global standards in Industrial Safety and Health; and
- To substantially reduce the carbon footprint of the steel industry.
The economic growth is a direct result of the growth in steel consumption in a country, to a large extent. Steel intensity affects the steel consumption as well. The rising GDP determines the growth in overall consumption of steel, while the steel intensity impacts the rate of growth of demand of steel in relation to its consumption over time.
By 2030-31, i.e. 15 years from now, the demand in steel is expected to grow threefold. Keeping in mind the rate at which the GDP is growing, the steel demand is expected to reach 230MT. Despite this, India’s per capita consumption would be only 158 Kgs. This is in grave contrast to even the current global average of 208 Kgs, which is also expected to rise by then.
The government is making substantial efforts to create a demand for steel, and has undertaken a major task in the direction. The reasons for this is that steel structures are highly cost effective and have shorter lead time for erection and have greater durability with high design comfort.
The Pradhan Mantri Awas Yojna also strengthens this resolve by creating demand for steel intensive structures and designs and usage of pre-fabricated and precast steel structures. These steel intensive structures and designs will be given preference under this scheme.
Further, investments in construction, infrastructure, automobile, shipbuilding and power sectors will be focused on, under the ‘Make in India’ initiative of the government, which will further the demand of steel. The benefits will preferably be passed to domestic steel producers.
Stainless Steel: The better alternative
Thus, it is one of the best times for investing in steel and shifting to steel products in comparison to products made from other materials. This will not only ensure use of environmentally better alternatives, but also durable, reusable and longer lasting products, in sync with the initiatives of the government.
Purever is one of the best examples of all of these, and their stainless steel water storage tanks, and stainless steel filters afford the best example, and method of changing preferences to stainless steel and using a much better alternative to plastic or concrete.