The steel industry in India has been moving from strength to strength. India has emerged as the fourth largest producer of steel in the world and the second largest producer of crude steel. Steel production reached 28.52 million tonne (MT). India’s steel industry has some advantages i.e. sufficient availability of raw materials, particularly quality iron-ore, a rich skill base and an expanding market.

Long products constitute almost half of the annual steel production, which stands at 53 million tonnes presently. Industry estimates show that the construction sector alone consumes close to 45 per cent of the total long products output. Stainless steel accounts for only 3 per cent of the country’s total steel production and about 70 per cent finds application in kitchenware and the rest in industries. The demand for flat steel products will be strong, with rising production of automobiles as automobile sales have risen an annual 15%. Steel along with iron has a weight of 3.64 per cent in the wholesale price index. The present index of basic metal and alloy recorded an 8.55% growth rate. Production of bars and rods recorded 19.67% growth rate and steel wires recorded 11.11% growth rate.India’s steel production is likely to surpass the domestic requirement by 2011-2012, easing pressure on price of the alloy. Other allied steel products are HR coils, CR coils, and HDG coil.etc. End users sector like auto, consumer durables, construction and electricity have all shown steady growth in recent years and Indian steel import figure further provides evidence of strong domestic demand.

Major players in the steel sectors are Steel Authority of India (SAIL), RINL, TataSteel, JSW Steel, Essar Steel and Bhushan Steel, Jindal Saw, JSL, Usha Martin, Uttam Galva, PSL, Ajmera Realty, etc.

India’s steel industry is the happening place in 2010 with global gins in the field showing keen interest in setting shop in India. India is poised to take a big leap in steel capacity creation. By 2015-16, it may become world’s second largest steel producer. The National Steel Policy has a target for taking steel production up to 110 MT by 2019–20. Nonetheless, with the current rate of ongoing greenfield and brownfield projects, the Ministry of Steel has projected India's steel capacity is expected to touch 124.06 MT by 2011–12. In fact, based on the status of memoranda of understanding (MoUs) signed by the private producers with the various state governments, India's steel capacity is likely to be 293 MT by 2020.

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