Production of crude steel grew around 8 per cent to 59.75 million tonnes in the first eight months of fiscal 2015/16.
In the previous year between April and November 2014, the cumulative production of crude steel stood at 55.32 million tonnes. The production of crude steel has been consistently increasing in the country.
India was the fourth-largest steel producer in the world after China, Japan and the US till last year. However, in the first 10 months of calendar year 2015, the country has achieved the third position with a share of 5.6 per cent in global steel production.
The top two leading producers China and Japan have a share of 50.2 per cent and 6.2 per cent, respectively in the global steel production.
The current crude steel capacity in the country is 110 million tonnes per annum (MTPA), which is expected to increase to 300 MTPA by the year 2025. On an average, Rs 6,000 crore is required for setting up a steel plant of one million tonne.
The Indian steel industry is in expansion mode. "Public sector units have undertaken expansion plans to increase the steel production capacity. SAIL has undertaken modernisation and expansion plan to enhance its crude steel production capacity from 12.8 MTPA to 21.4 MTPA. RINL has undertaken expansion and modernisation of its capacity from 3 MTPA to 7.3 MTPA. NMDC has undertaken setting up of a new steel plant of 3 MTPA," as told by the minister of steel and mines in a Lok Sabha reply.
Several sectors that are part of the 'Make in India' initiative have strong linkages to steel.
The government has taken various steps to promote the domestic steel industry and enhance steel production. The special purpose vehicle (SPV) framework is adopted to encourage large capacity greenfield projects in iron ore-rich states of Jharkhand, Odisha, Chhattisgarh and Karnataka.