State owned Steel Authority of India Limited (SAIL) has supplied 43,000 MT of steel for the recently inaugurated Eastern Peripherial Highway by Hon’ble Prime Minister Shri Narendra Modi.
The steel products supplied for this projects includes TMT rebars, Plates & Structural’s for 135 Km long eastern peripheral highway. SAIL is also supplying steel for swiftly upcoming peripheral highway.
The current government is the prioritizing infrastructure works like developing road ways, bridges and housing projects which has boost steel demand domestically. The Indian large producers are aggressively bidding to be part of supplying steel to this the projects and SAIL takes almost major projects to supply steel to these infrastructural developments.
Rising demand for steel from Infrastructure
Indian domestic steel demand is growing on back of strong demand led by government spending on infrastructure. Domestic steel demand is tipped to grow in the near term on the back of strong demand led by government spending on infrastructure.
In 2017, Indian government announced new National Steel Policy (NSP) in which it stated that the country’s steel demand is expected to grow threefold to 212-230 MnT in next 15 years i.e. by 2030. However, even with this demand of finished steel by 2030-31, India’s per capita consumption is likely to reach only 160 kg, which will be still lower than the current global average of 208 kg.
Although steel is used in many sector, the highest steel consuming sector in India is construction and infrastructure. According to JPC data, in FY17, about 62% of steel consumption comes from construction and infrastructure sector followed by engineering sector (22%) and then automobile sector (10%).
The construction sector uses both flat and long products. While flat products are used in bridges, steel structures and roofing; long products are used in reinforcing concrete, masonry structure, etc.
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