Between FY20 and FY24, the states crude steel output grew from 2.5 million tonnes (mnt) to 4 mnt-a 60% rise. This growth trajectory is expected to continue, with production projected to touch 4.6 mnt by FY30. Tamil Nadu’s scrap consumption climbed from 1.9 mnt in FY20 to 2.8 mnt in FY24, registering a 47% increase. The demand is concentrated in electric arc furnace (EAF) and induction furnace (IF) units that rely heavily on consistent scrap availability to maintain melting operations. Projections indicate that scrap requirements could reach 3.3 mnt by FY’30. Chennai is a major steel production hub in Tamil Nadu, with around 30–35 mills in the region.
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