1. The Indian steel industry has emerged as a leading global player, contributing 4.7% of world crude steel production in 2011. With large infrastructure expansion plans and growing per capita steel consumption, India has tremendous growth potential over the next 10 years.
2. India ranked as the third largest economy in the world in 2011 in terms of GDP based on purchasing power parity. Key sectors like manufacturing and construction that make up about a quarter of India's GDP will drive demand for steel.
3. Challenges for the Indian steel industry include inadequate infrastructure and a need to adopt newer technologies, but growth drivers include rising domestic demand, government investment in infrastructure, and initiatives to improve domestic raw material supplies.
Steel Is Crucial to The Development of Any Modern Economy and It Is Considered the Backbone of Human Civilization India’s steel production grew 4.5% to its highest ever level of 106.5 million tonnes in FY18. JSW Steel, the flagship company of the JSW Group is one of India’s leading steel players with integrated steel manufacturing facilities. JSW Steel Prospects to increase the size of its steel-making operations at a faster rate through both organic and inorganic routes. Currently, JSW Steel in the midst of ramping up their operations further through the implementation of brownfield expansion projects. JSW Steel’s lower capital expenditure per tonnes leads to higher return profile. A lower gestation period and capex to set up a new facility lead to a higher return on capital and equity for JSW Steel. Analyze 10-year data of Indian steel Industry concerning Jsw steel. JSW Steel Net Sales and Profit growth Are positive & exponential in the last 10 Years From 2009-2018 With the help of Different Marketing Strategies digital marketing and Rural marketing. The franchise-based authorized retail format (Jsw Shoppe) create a sustainable differentiator for JSW Steel's exclusive value-added products and service offerings. Digital Marketing Through LinkedIn, Facebook and other Social Media to Interacting with Customer. Jsw Shoppe Is beneficial for not only Urban Market but for Rural Market Too. Jsw Steel Jsw Shoppe Case study use for Harvard case study of retail marketing. JSW Steel is also among the fastest-growing companies in India with 18.91% net sales of steel and 15% profit margin which is highest amongst steel industry competitors. JSW Steel has plans to increase its manufacturing capacity to 44-45 million tons per annum by 2030 from the present 19 million tonnes.
Jsw Steel Growth is tremendous and after 10 years the world will be recognized.
The document provides an overview of an organizational study conducted at Kirloskar Ferrous Industries Limited. It includes an introduction describing the objectives, limitations and industry profile of the study. The industry profile traces the history and development of the steel industry in India. It also outlines the current status and future prospects of the company and industry. The document then provides details about the company profile, including its background, products, manufacturing units and key leadership. It concludes with an overview of functional departments and company policies to be analyzed in subsequent chapters.
The document provides an overview of the Indian foundry industry according to a report by the President of the Institute of Indian Foundrymen. It summarizes key statistics on the industry such as its size, major production clusters, growth rates, export trends, and consumption by major sectors. It also outlines the institute's vision for further growth of the industry through 2020 and initiatives being taken by the government and private sector to promote investment and address constraints faced by the foundry industry.
The document summarizes trends in the Brazilian foundry industry. It notes that Brazil has a large population and economy and is the 7th largest producer of cast metals worldwide. The foundry industry employs over 67,000 people and had exports of $13.3 billion in 2011, primarily to Argentina, the US, and China. However, the industry needs $3.75 billion in investments by 2016 to expand production capacity and meet growing domestic demand, especially from infrastructure projects and the automobile industry. The foundry industry remains an important part of Brazil's industrial base.
Project report on assessment and development centre in sailKumari Hima
Here is a SWOT analysis of Steel Authority of India Limited (SAIL):
Strengths:
- Large integrated steel producer with significant market share in India
- Vertically integrated operations with captive iron ore and coal mines
- Strong brand recognition and loyal customer base
- Large production capacity across multiple plants
- Skilled workforce
Weaknesses:
- Aging steel plants need modernization and capacity expansion
- High debt burden limits flexibility and growth plans
- Inefficient processes and outdated technology compared to competitors
- High reliance on government subsidies and protectionist policies
Opportunities:
- Growing demand for steel from infrastructure, construction, automotive sectors
- Potential to increase exports to new markets
-
Global businesses are increasingly setting up research and development projects in India to both serve the large Indian market and develop new products more quickly and cheaply for global markets. India provides a number of advantages for R&D, including low costs, a large skilled workforce, and scientific infrastructure. Major companies such as Microsoft, Motorola, and Indian firms have established R&D centers in India, taking advantage of the country's emergence as a global R&D hub.
This document provides a company profile for SPR, an Indian manufacturer of pistons, piston rings, and engine valves. It outlines SPR's history since 1972, vision, mission, milestones and growth over time. It details SPR's key collaborations with global technology leaders and awards/achievements. It also lists SPR's board of directors and provides an overview of its product portfolio and customer base.
Aditya Birla Insulators is India's largest manufacturer of high voltage porcelain insulators. It is a subsidiary of Aditya Birla Insulator World and is the 4th largest insulator manufacturer globally. The document provides details about Aditya Birla Insulators' management team, production process, product portfolio including solid core station post insulators and long rod insulators, quality commitment, and applications of their products in circuit breakers, bushings, and overhead transmission lines.
Steel Is Crucial to The Development of Any Modern Economy and It Is Considered the Backbone of Human Civilization India’s steel production grew 4.5% to its highest ever level of 106.5 million tonnes in FY18. JSW Steel, the flagship company of the JSW Group is one of India’s leading steel players with integrated steel manufacturing facilities. JSW Steel Prospects to increase the size of its steel-making operations at a faster rate through both organic and inorganic routes. Currently, JSW Steel in the midst of ramping up their operations further through the implementation of brownfield expansion projects. JSW Steel’s lower capital expenditure per tonnes leads to higher return profile. A lower gestation period and capex to set up a new facility lead to a higher return on capital and equity for JSW Steel. Analyze 10-year data of Indian steel Industry concerning Jsw steel. JSW Steel Net Sales and Profit growth Are positive & exponential in the last 10 Years From 2009-2018 With the help of Different Marketing Strategies digital marketing and Rural marketing. The franchise-based authorized retail format (Jsw Shoppe) create a sustainable differentiator for JSW Steel's exclusive value-added products and service offerings. Digital Marketing Through LinkedIn, Facebook and other Social Media to Interacting with Customer. Jsw Shoppe Is beneficial for not only Urban Market but for Rural Market Too. Jsw Steel Jsw Shoppe Case study use for Harvard case study of retail marketing. JSW Steel is also among the fastest-growing companies in India with 18.91% net sales of steel and 15% profit margin which is highest amongst steel industry competitors. JSW Steel has plans to increase its manufacturing capacity to 44-45 million tons per annum by 2030 from the present 19 million tonnes.
Jsw Steel Growth is tremendous and after 10 years the world will be recognized.
The document provides an overview of an organizational study conducted at Kirloskar Ferrous Industries Limited. It includes an introduction describing the objectives, limitations and industry profile of the study. The industry profile traces the history and development of the steel industry in India. It also outlines the current status and future prospects of the company and industry. The document then provides details about the company profile, including its background, products, manufacturing units and key leadership. It concludes with an overview of functional departments and company policies to be analyzed in subsequent chapters.
The document provides an overview of the Indian foundry industry according to a report by the President of the Institute of Indian Foundrymen. It summarizes key statistics on the industry such as its size, major production clusters, growth rates, export trends, and consumption by major sectors. It also outlines the institute's vision for further growth of the industry through 2020 and initiatives being taken by the government and private sector to promote investment and address constraints faced by the foundry industry.
The document summarizes trends in the Brazilian foundry industry. It notes that Brazil has a large population and economy and is the 7th largest producer of cast metals worldwide. The foundry industry employs over 67,000 people and had exports of $13.3 billion in 2011, primarily to Argentina, the US, and China. However, the industry needs $3.75 billion in investments by 2016 to expand production capacity and meet growing domestic demand, especially from infrastructure projects and the automobile industry. The foundry industry remains an important part of Brazil's industrial base.
Project report on assessment and development centre in sailKumari Hima
Here is a SWOT analysis of Steel Authority of India Limited (SAIL):
Strengths:
- Large integrated steel producer with significant market share in India
- Vertically integrated operations with captive iron ore and coal mines
- Strong brand recognition and loyal customer base
- Large production capacity across multiple plants
- Skilled workforce
Weaknesses:
- Aging steel plants need modernization and capacity expansion
- High debt burden limits flexibility and growth plans
- Inefficient processes and outdated technology compared to competitors
- High reliance on government subsidies and protectionist policies
Opportunities:
- Growing demand for steel from infrastructure, construction, automotive sectors
- Potential to increase exports to new markets
-
Global businesses are increasingly setting up research and development projects in India to both serve the large Indian market and develop new products more quickly and cheaply for global markets. India provides a number of advantages for R&D, including low costs, a large skilled workforce, and scientific infrastructure. Major companies such as Microsoft, Motorola, and Indian firms have established R&D centers in India, taking advantage of the country's emergence as a global R&D hub.
This document provides a company profile for SPR, an Indian manufacturer of pistons, piston rings, and engine valves. It outlines SPR's history since 1972, vision, mission, milestones and growth over time. It details SPR's key collaborations with global technology leaders and awards/achievements. It also lists SPR's board of directors and provides an overview of its product portfolio and customer base.
Aditya Birla Insulators is India's largest manufacturer of high voltage porcelain insulators. It is a subsidiary of Aditya Birla Insulator World and is the 4th largest insulator manufacturer globally. The document provides details about Aditya Birla Insulators' management team, production process, product portfolio including solid core station post insulators and long rod insulators, quality commitment, and applications of their products in circuit breakers, bushings, and overhead transmission lines.
The document discusses the Indian steel industry. It provides details on the first integrated steel plant established in 1907. It also lists the top three steel manufacturing companies in India and their annual production capacities. The document outlines the different production processes used in steelmaking and how steel is used across various sectors in India. It analyzes factors driving the growth in steel demand in India and expectations for continued high growth in demand over the next decade.
The document discusses the steel industry in India from a global perspective. It provides statistics on India's position as the 4th largest steel producer in the world in 2011. The key growth drivers for steel demand in India are identified as infrastructure development, manufacturing sector growth, and an increasing population. While the steel industry has grown significantly, challenges remain around dependence on imported materials, low production efficiency, and inadequate infrastructure. The document examines trends in steel production, consumption, technology and raw material sources. It outlines India's potential for further industry expansion to meet rising domestic demand.
The document discusses the Indian steel industry. It states that India has emerged as the 5th largest crude steel producer in the world and is projected to have a steel production capacity of nearly 124 million tons by 2011-12. It also notes that India has abundant iron ore and coal reserves as well as a large pool of technical manpower. However, the industry also faces challenges such as high costs, lack of infrastructure, and competition from substitutes.
The document discusses a marketing survey conducted on Zebronics' new product sales development. Key findings from retailer interviews include:
- 80% of retailers carry Zebronics' new products, especially computer cabinets.
- 57% said Zebronics products in the medium price range move faster.
- 70% believe Zebronics' new products move faster in the market.
- 50% of retailers who don't sell new products cited price as the main reason.
- Most retailers suggest Zebronics' new products to customers.
The document summarizes the Indian steel industry. It states that India is the 5th largest steel producer globally and is projected to become the 2nd largest by 2015-2016. The key players in the industry are Tata Steel, Jindal Steel & Power, Jindal Iron & Steel, Essar Steel, and Steel Authority of India. The industry faces challenges such as delays in land acquisition and lack of infrastructure. The government aims to support the industry through infrastructure development and policies promoting foreign investment and SEZs.
The document reviews several studies on welfare measures provided by companies in India. It summarizes the findings of studies by KIRABAKARAN (1983) on welfare facilities at Dunlop India Ltd, and by S.KUMAR (1993) on welfare measures at AFT Ltd. It also discusses analyses by JOHRI C.K AND SHARMA D.I (1968) and R.NAJEED (1996) on aspects of labor welfare. Further studies addressed in the review include ones by K.Srikanth (2004) on occupational health and employee well-being, and S.K.SRIVASTRA (2004) on the impact of welfare on employee attitudes and job satisfaction.
The document provides an organizational study of Steel Industries Kerala Limited (SILK). It details SILK's profile, including its establishment in 1975 as a government undertaking. SILK has 5 manufacturing units and 2 service divisions. The study describes the vision, mission and various departments of SILK, including human resources, finance, production, materials and projects, and marketing. The conclusion is that the organization is not working properly due to management inefficiencies.
This document summarizes research on the relationship between employee satisfaction and organizational performance. It discusses that while most research has focused on individual employee satisfaction and performance, theorists have suggested employee satisfaction should relate to organizational performance levels. The document reviews two studies that found positive relationships between aggregated employee satisfaction at the business unit or organizational level and various performance outcomes such as productivity, profitability, and customer satisfaction. However, both studies had limitations in generalizability across industries. Overall, the research suggests higher aggregated employee satisfaction within an organization or business unit may positively relate to organizational performance.
Industry Analysis-Steel Industry of Indiasandeep7162
The steel industry in India is the 5th largest producer of crude steel globally and is expected to become the 2nd largest by 2015. Major players include Tata Steel, SAIL, JSW Steel, and Jindal Steel. The industry is growing at around 8-9% annually due to increased infrastructure investment and automobile growth. Success factors for steel companies include low production costs, expanding downstream value-added products, technology improvements, and pursuing mergers and acquisitions for economies of scale. The industry faces competition from new entrants and substitutes but benefits from growing domestic demand.
This document provides an overview of the Indian steel industry. It states that India is the 4th largest producer of crude steel globally, producing around 89 million tonnes in 2011-2012. It also discusses the major players in the industry, reasons for the industry's growth including abundant resources and a strong global presence. The document analyzes the industry using PEST and Porter's Five Forces frameworks and outlines challenges, opportunities and future prospects for further development of the Indian steel sector.
The iron and steel industry is one of India's oldest and most important industries. Tata Iron and Steel Company (TISCO), established in 1907, was the beginning of the modern iron and steel industry in India. After independence, the industry was developed through five-year plans, which established large plants with foreign assistance. In 1974, Steel Authority of India Limited (SAIL) was formed by the government to further develop the industry. While production has increased over the decades, the industry still faces issues like lack of metallurgical coal, technical knowledge, and inefficiency in some public sector units.
The document appears to be a student's organizational study report submitted for their Master's degree. It includes an introduction and declaration section, table of contents, and initial sections on the steel industry profile and JSPL Raipur's organizational structure and functional areas like human resources, marketing, materials management, IT, and vigilance.
The document provides an overview of the Indian metals market, which is a key sector for the Indian economy. It can be classified into ferrous and non-ferrous metals. Ferrous metals include iron and steel, which account for 2% of India's GDP. Non-ferrous metals such as copper, aluminum, zinc, and tin are used widely across various industries. The metals industry in India is highly fragmented across organized and unorganized segments. Major drivers and trends in the ferrous and non-ferrous metals sectors are discussed. The outlook for the Indian metals industry is positive given growing demand from infrastructure, construction, and other industries.
JSW Steel is India's largest steel producer with an annual capacity of 14.3 million tonnes as of 2015. It aims to increase production capacity to 40 million tonnes by 2025 through expansion. The company has integrated steel manufacturing plants across India and distributes to over 100 countries globally. An analysis of JSW Steel found that while it has strengths such as low production costs, its financial performance has been impacted by unfavorable market dynamics and oversupply in the global steel industry. Technical analysis of JSW Steel's stock price movement showed volatility in line with the steel industry trends.
A project report on multi skill development at shanti iron and steels ltd a...Babasab Patil
This document discusses a project report on multi-skill development at Shanti Iron and Steels Ltd in Belgaum. The objectives of the study were to identify the different skills required for each job, common skills among staff, and training needs to develop multi-skills. Data was collected through questionnaires, interviews, books, and the internet. The advantages of multi-skilling included identifying training needs, areas for job rotation and on-the-job training. The report also provides background on Shanti Iron and Steels Ltd and the iron and steel industry in India.
The document provides details about 5 different companies - Ashok Leyland, Ford, SAIL, GAIL, and Jindal Steel & Power. It discusses each company's overview, management, business activities, strategies, goals, workforce, partnerships, finances, career opportunities and more. The key information provided about each company is summarized in 1-3 sentences.
This document provides an overview of the Indian steel industry. It discusses the industry's size, major players, growth over time, and acquisitions that have occurred. Some key points:
- India is now one of the largest steel producers in the world, with both public and private sector companies involved. Major players include SAIL, Tata Steel, Essar Steel, and JSW Steel.
- The industry has grown significantly since the 1990s with increased investment and production capacity. India's crude steel production grows over 10% annually.
- Notable acquisitions include ArcelorMittal's purchase of Arcelor and Tata Steel's acquisition of Corus, demonstrating the industry's dynamic nature.
The document discusses the Indian steel industry. It provides background on the industry, noting that it has a history of over a century. It discusses major players like SAIL and Tata Steel. It analyzes the industry using Porter's Five Forces model and provides a SWOT analysis. It discusses the size and growth of the industry, including production levels and major acquisitions over the years like ArcelorMittal. It also outlines the various public and private sector players in the Indian steel industry and trends in commodity prices.
The document provides an overview of the Indian steel industry. It discusses the industry's vision, mission, major players, growth over the years through acquisitions and investments, impact of macroeconomic variables like GDP, inflation, and dumping. Key points include that India is the 5th largest steel producer globally and is expected to become 2nd largest by 2015-16. Economic growth and infrastructure development is driving steel demand growth. However, high inflation is negatively impacting consumer industries and slowing steel demand.
The document provides information about a research report on the performance statistics of coal in India in 2014 from iData Insights. It discusses that coal is India's most mined mineral and is crucial to meeting its energy needs. It notes that coal production in India grew by 5.5% from April to December 2012. The report will provide detailed statistics on production and finances of Coal India Limited and its subsidiaries, as well as sector-wise dispatch data and imports. It will examine roadblocks in meeting demand and challenges facing the Indian coal sector. The document includes an order form and details on purchasing the full 250+ page report.
The document discusses the Indian steel industry. It provides details on the first integrated steel plant established in 1907. It also lists the top three steel manufacturing companies in India and their annual production capacities. The document outlines the different production processes used in steelmaking and how steel is used across various sectors in India. It analyzes factors driving the growth in steel demand in India and expectations for continued high growth in demand over the next decade.
The document discusses the steel industry in India from a global perspective. It provides statistics on India's position as the 4th largest steel producer in the world in 2011. The key growth drivers for steel demand in India are identified as infrastructure development, manufacturing sector growth, and an increasing population. While the steel industry has grown significantly, challenges remain around dependence on imported materials, low production efficiency, and inadequate infrastructure. The document examines trends in steel production, consumption, technology and raw material sources. It outlines India's potential for further industry expansion to meet rising domestic demand.
The document discusses the Indian steel industry. It states that India has emerged as the 5th largest crude steel producer in the world and is projected to have a steel production capacity of nearly 124 million tons by 2011-12. It also notes that India has abundant iron ore and coal reserves as well as a large pool of technical manpower. However, the industry also faces challenges such as high costs, lack of infrastructure, and competition from substitutes.
The document discusses a marketing survey conducted on Zebronics' new product sales development. Key findings from retailer interviews include:
- 80% of retailers carry Zebronics' new products, especially computer cabinets.
- 57% said Zebronics products in the medium price range move faster.
- 70% believe Zebronics' new products move faster in the market.
- 50% of retailers who don't sell new products cited price as the main reason.
- Most retailers suggest Zebronics' new products to customers.
The document summarizes the Indian steel industry. It states that India is the 5th largest steel producer globally and is projected to become the 2nd largest by 2015-2016. The key players in the industry are Tata Steel, Jindal Steel & Power, Jindal Iron & Steel, Essar Steel, and Steel Authority of India. The industry faces challenges such as delays in land acquisition and lack of infrastructure. The government aims to support the industry through infrastructure development and policies promoting foreign investment and SEZs.
The document reviews several studies on welfare measures provided by companies in India. It summarizes the findings of studies by KIRABAKARAN (1983) on welfare facilities at Dunlop India Ltd, and by S.KUMAR (1993) on welfare measures at AFT Ltd. It also discusses analyses by JOHRI C.K AND SHARMA D.I (1968) and R.NAJEED (1996) on aspects of labor welfare. Further studies addressed in the review include ones by K.Srikanth (2004) on occupational health and employee well-being, and S.K.SRIVASTRA (2004) on the impact of welfare on employee attitudes and job satisfaction.
The document provides an organizational study of Steel Industries Kerala Limited (SILK). It details SILK's profile, including its establishment in 1975 as a government undertaking. SILK has 5 manufacturing units and 2 service divisions. The study describes the vision, mission and various departments of SILK, including human resources, finance, production, materials and projects, and marketing. The conclusion is that the organization is not working properly due to management inefficiencies.
This document summarizes research on the relationship between employee satisfaction and organizational performance. It discusses that while most research has focused on individual employee satisfaction and performance, theorists have suggested employee satisfaction should relate to organizational performance levels. The document reviews two studies that found positive relationships between aggregated employee satisfaction at the business unit or organizational level and various performance outcomes such as productivity, profitability, and customer satisfaction. However, both studies had limitations in generalizability across industries. Overall, the research suggests higher aggregated employee satisfaction within an organization or business unit may positively relate to organizational performance.
Industry Analysis-Steel Industry of Indiasandeep7162
The steel industry in India is the 5th largest producer of crude steel globally and is expected to become the 2nd largest by 2015. Major players include Tata Steel, SAIL, JSW Steel, and Jindal Steel. The industry is growing at around 8-9% annually due to increased infrastructure investment and automobile growth. Success factors for steel companies include low production costs, expanding downstream value-added products, technology improvements, and pursuing mergers and acquisitions for economies of scale. The industry faces competition from new entrants and substitutes but benefits from growing domestic demand.
This document provides an overview of the Indian steel industry. It states that India is the 4th largest producer of crude steel globally, producing around 89 million tonnes in 2011-2012. It also discusses the major players in the industry, reasons for the industry's growth including abundant resources and a strong global presence. The document analyzes the industry using PEST and Porter's Five Forces frameworks and outlines challenges, opportunities and future prospects for further development of the Indian steel sector.
The iron and steel industry is one of India's oldest and most important industries. Tata Iron and Steel Company (TISCO), established in 1907, was the beginning of the modern iron and steel industry in India. After independence, the industry was developed through five-year plans, which established large plants with foreign assistance. In 1974, Steel Authority of India Limited (SAIL) was formed by the government to further develop the industry. While production has increased over the decades, the industry still faces issues like lack of metallurgical coal, technical knowledge, and inefficiency in some public sector units.
The document appears to be a student's organizational study report submitted for their Master's degree. It includes an introduction and declaration section, table of contents, and initial sections on the steel industry profile and JSPL Raipur's organizational structure and functional areas like human resources, marketing, materials management, IT, and vigilance.
The document provides an overview of the Indian metals market, which is a key sector for the Indian economy. It can be classified into ferrous and non-ferrous metals. Ferrous metals include iron and steel, which account for 2% of India's GDP. Non-ferrous metals such as copper, aluminum, zinc, and tin are used widely across various industries. The metals industry in India is highly fragmented across organized and unorganized segments. Major drivers and trends in the ferrous and non-ferrous metals sectors are discussed. The outlook for the Indian metals industry is positive given growing demand from infrastructure, construction, and other industries.
JSW Steel is India's largest steel producer with an annual capacity of 14.3 million tonnes as of 2015. It aims to increase production capacity to 40 million tonnes by 2025 through expansion. The company has integrated steel manufacturing plants across India and distributes to over 100 countries globally. An analysis of JSW Steel found that while it has strengths such as low production costs, its financial performance has been impacted by unfavorable market dynamics and oversupply in the global steel industry. Technical analysis of JSW Steel's stock price movement showed volatility in line with the steel industry trends.
A project report on multi skill development at shanti iron and steels ltd a...Babasab Patil
This document discusses a project report on multi-skill development at Shanti Iron and Steels Ltd in Belgaum. The objectives of the study were to identify the different skills required for each job, common skills among staff, and training needs to develop multi-skills. Data was collected through questionnaires, interviews, books, and the internet. The advantages of multi-skilling included identifying training needs, areas for job rotation and on-the-job training. The report also provides background on Shanti Iron and Steels Ltd and the iron and steel industry in India.
The document provides details about 5 different companies - Ashok Leyland, Ford, SAIL, GAIL, and Jindal Steel & Power. It discusses each company's overview, management, business activities, strategies, goals, workforce, partnerships, finances, career opportunities and more. The key information provided about each company is summarized in 1-3 sentences.
This document provides an overview of the Indian steel industry. It discusses the industry's size, major players, growth over time, and acquisitions that have occurred. Some key points:
- India is now one of the largest steel producers in the world, with both public and private sector companies involved. Major players include SAIL, Tata Steel, Essar Steel, and JSW Steel.
- The industry has grown significantly since the 1990s with increased investment and production capacity. India's crude steel production grows over 10% annually.
- Notable acquisitions include ArcelorMittal's purchase of Arcelor and Tata Steel's acquisition of Corus, demonstrating the industry's dynamic nature.
The document discusses the Indian steel industry. It provides background on the industry, noting that it has a history of over a century. It discusses major players like SAIL and Tata Steel. It analyzes the industry using Porter's Five Forces model and provides a SWOT analysis. It discusses the size and growth of the industry, including production levels and major acquisitions over the years like ArcelorMittal. It also outlines the various public and private sector players in the Indian steel industry and trends in commodity prices.
The document provides an overview of the Indian steel industry. It discusses the industry's vision, mission, major players, growth over the years through acquisitions and investments, impact of macroeconomic variables like GDP, inflation, and dumping. Key points include that India is the 5th largest steel producer globally and is expected to become 2nd largest by 2015-16. Economic growth and infrastructure development is driving steel demand growth. However, high inflation is negatively impacting consumer industries and slowing steel demand.
The document provides information about a research report on the performance statistics of coal in India in 2014 from iData Insights. It discusses that coal is India's most mined mineral and is crucial to meeting its energy needs. It notes that coal production in India grew by 5.5% from April to December 2012. The report will provide detailed statistics on production and finances of Coal India Limited and its subsidiaries, as well as sector-wise dispatch data and imports. It will examine roadblocks in meeting demand and challenges facing the Indian coal sector. The document includes an order form and details on purchasing the full 250+ page report.
This document is a market research report on the Indian metal and mining industry published by International Research Report on March 15, 2011. The 40-page report provides an analysis of key segments of the industry like iron and steel, aluminum, and coal from 2005 to 2010. It also examines domestic demand trends, operational mines, exports, investments, major players, and the growth potential of important areas like steel and coal utilization and mining capacities. The report utilizes statistical data sets from 2000 to 2025 along with case studies to analyze industry patterns and factors driving growth.
This document provides an overview of working capital management practices at Steel Authority of India Limited (SAIL), with a focus on Durgapur Steel Plant. It discusses the importance of effective working capital management for business operations. The document analyzes working capital levels and components like inventory, receivables, payables at Durgapur Steel Plant and other SAIL plants from 2004-2008. It identifies some shortcomings in Durgapur's working capital management like uneven raw material holdings and high finished goods inventory. Recommendations are provided to improve liquidity and reduce working capital requirements through better inventory management and credit policies.
Aswin Kumar Singh
DESCRIPTION:
1. Iron ore, coke and limestone are charged into the blast furnace from the top.
2. Hot air is blown from the bottom of the furnace through nozzles.
3. The coke burns and acts as fuel as well as reducing agent. It reduces the iron ore to molten iron.
4. Limestone is added to remove impurities like silica and alumina from the iron as slag.
5. The molten iron and slag are tapped from the bottom of the furnace at regular intervals.
6. The molten iron is further refined in a ladle furnace by adding alloying elements like mang
Market Research Report : Foundry Market in India 2012Netscribes, Inc.
The document provides an overview of the foundry market in India in 2012. It notes that India was the world's second largest producer of castings in 2010 and one of the top 10 in terms of average production per plant. The foundry industry employs millions of people directly and indirectly. While production dipped in 2008 due to the global crisis, it has since recovered with strong growth. The market is expected to continue growing due to increasing demand from sectors like automobiles and supportive government initiatives. However, challenges include market constraints, rising input costs, and low capacity utilization.
JSW Group is one of the fastest growing business conglomerates with a strong presence in the core economic sector. This enterprise has grown from a steel rolling mill in 1982 to a multi business conglomerate.
http://www.unitedworld.edu.in/
Metals have been one of the core drivers of industrialization. Among metals, steel has historically held a dominant position. As a raw material and intermediate product, production and consumption of steel are widely regarded as indicators of economic progress. Thus,
it would not be an overstatement to say that the steel industry has always been at the forefront of industrial development and forms the backbone of any economy.
The document provides an interim project report on research conducted on the steel industry. It includes a company overview of Rain Industries Limited, which operates in carbon products, chemicals, and cement. It then outlines the outlook for these business segments and objectives of the research, which is to study macroeconomic factors affecting the steel industry and their potential impact on the calcining industry. The methodology section compares financial performance indicators of Rain Group and its coal tar pitch suppliers between 2009-2015. It also provides a global economic outlook for 2012, describing growth trends in the US, Eurozone, China, and other emerging markets.
The document provides an overview of Jindal Saw Limited (JSL), an Indian steel pipe manufacturing company. Some key points:
- JSL is part of the $12 billion O.P. Jindal Group and is a leading manufacturer of steel pipes in India.
- It has multiple manufacturing facilities in India with a combined annual production capacity of over 750,000 tons.
- JSL produces large diameter pipes, seamless pipes, and ductile iron pipes for industries like oil & gas, water, and infrastructure.
- The company aims to be the most preferred provider of value in the pipe industry through its focus on quality, innovation, and social responsibility.
The document discusses challenges facing the Indian steel industry and its future outlook. It notes that while Indian steel companies have achieved higher profit margins than global peers, the industry now faces issues like volatile domestic iron ore supply, potential overcapacity, and changing customer demands. The industry must improve resource management, project execution, customer focus, supply chain management, and human capital management to better position itself for future growth opportunities in India.
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2. Steel Production Scenario in India: The Way Forward 5-7
a particular industry
- Indian steel industry: evolution and growth
among information
- Steel production trend in India
seekers, professionals
- Leading steel producers in India
and executives of the
industry. The report - Technology wise steel production
gives a quick overview - Category wise steel production
and insight of the 3. India’s Steel Consumption Trend and the Growth Drivers 8-9
particular industry and - India’s steel consumption on high growth trajectory
is meant only for - Steel consumption trend in India
personal reference - Category wise steel consumption
and increasing - Prime growth drivers of steel demand in India
knowledge and
awareness. 4. India’s Steel Import Export Scenario and Future Prospects 10
- Steel import trend and future scenario
Note - Steel export trend and future scenario
THIS REPORT IS 5. Raw Material Supplies for Steel Industry: Is India Self Sufficient? 11
PREPARED IN A - Assessing raw material supply scenario for India
CRISP & CONCISE - Raw material demand by steel industry
FORMAT FOR - Initiatives that will improve & secure raw materials supply
QUICK REFERENCE
Disclaimer
This report is for personal reference only, to increase knowledge and awareness about the steel industry.
Information provided in this report are sourced from standard sources however Corpotrade Global does not
guarantee exactness and accuracy of the information sourced. Corpotrade Global will not be responsible for
any losses claimed in relation to contents or material of this report. A detailed research and expert assistance
is advised for conclusions and decision making.
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3. 2.
Steel Industry in India - 2013
Index Continued…
About IORR Index: Page
IORR: “Industry 6. Inadequate Infrastructure: A Major Concern for Steel Industry in India 12
Outlook Reference - Infrastructure issues for steel industry in India
Report” is an initiative - Infrastructure addition during twelfth five year plans (2012-17)
by Corpotrade Global - Actions to boost infrastructure support to steel industry
Pvt. Ltd., India to 7. Indian Steel Industry and Increasing Role of Technology 13
increase knowledge - Technological exposure of Indian steel industry
and awareness about
- Indian steel industry needs to adapt latest technologies
a particular industry
among information 8. Prospective Analysis of Indian Steel Industry 14
seekers, professionals - Potential Growth Drivers of Indian Steel Industry
and executives of the - Strength, Weakness, Opportunity & Threat: SWOT Analysis
industry. The report 9. Executive Summary 15
gives a quick overview
and insight of the 10. Abbreviations and Bibliography 16
particular industry and
is meant only for
personal reference
and increasing
knowledge and
awareness.
Note
THIS REPORT IS
PREPARED IN A
CRISP & CONCISE
FORMAT FOR
QUICK REFERENCE
Disclaimer
This report is for personal reference only, to increase knowledge and awareness about the steel industry.
Information provided in this report are sourced from standard sources however Corpotrade Global does not
guarantee exactness and accuracy of the information sourced. Corpotrade Global will not be responsible for
any losses claimed in relation to contents or material of this report. A detailed research and expert assistance
is advised for conclusions and decision making.
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4. 3.
Steel Industry in India - 2013
1. Steel Industry in India: Global Perspective
KEY FIGURES INDIAN STEEL INDUSTRY VS. GLOBAL STEEL INDUSTRY
Global crude steel Global crude steel production reached 1527 MT in 2011 showing a 6.8 %
production – 2011: growth over 2010. India has emerged as a leading player in global steel
1527 MT industry contributing to about 4.7 % of global crude steel production in 2011.
Large scale infrastructure expansion plans for twelfth five year plan (FYP:
Global crude steel 2012-17) and raising per capita steel consumption in India promises
production growth unprecedented growth potential of Indian steel Industry during next 10 years.
during 2007-11: at
CAGR of 3.2 % Exhibit 1: World crude steel production: 2007-11, country-wise contribution (%)
to world crude steel production in 2011
India’s crude steel
production -2011:
World Crude Steel Production in MT (2007-11) Share in % (2011)
72.2 MT
India’s GDP 1800
1527 RoW, 11.8
1600 1430
growth: 1347 1341 Brazil, 2.3
1400 1236
2010-11= 8.4% Ukraine, 2.3
1200
2011-12= 6.5% 1000 South Korea, 4.5
2012-13= 5.9%(E) 800 Russia, 4.5 China, 45.5
600
India’s GDP: 2011 India, 4.7
400
Nominal - $ 1.85 200 United States, 5.6
0 Japan, 7
trillion
2007 2008 2009 2010 2011
PPP - $ 4.5 trillion
Approximate share Source: World Steel Association
of infrastructure(8%
E) & manufacturing CONTRIBUTION OF INDIA’S ECONOMY TO GLOBAL GDP
sector(16 % E) in India ranked as the third largest contributor (5.65%) to global GDP in 2011 in
India’s GDP (FY terms of PPP ranking, only behind US and China. India’s economic growth has
12): one fourth slacked during past three years due to worldwide economic slowdown however
during next five years it’s GDP is expected to grow in 6-8 % range. The sectors
with high growth potential like manufacturing and construction sectors which
account for about one fourth(FY 12) of India’s GDP will be the key growth
drivers for the Indian Steel Industry
Exhibit 2: GDP (trillion $) of leading global economies in terms of PPP- 2011
India’s is gradually
evolving as global
leader in steel
production though it US
CHINA
lags in per capita 15.1
11.3 INDIA JAPAN
steel consumption 4.5 4.4
Global Rank 1 2 3 4
Source: International Monetary Fund, Economic Times
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Steel Industry in India - 2013
1. Steel Industry in India: Global Perspective
KEY FIGURES INDIA & THE LEADING STEEL PRODUCERS IN THE WORLD
Global crude steel India is the largest producer of sponge iron and fourth largest producer of crude
consumption – steel in the world. India registered a 5.7 % growth in crude steel production in
2011: 1373 MT 2011 against 2010. Japan was the only nation among top ten crude steel
producers in the world posting negative growth of minus 1.8 % for crude steel
Global crude steel production in 2011 against 2010. Indian steel industry which is not
consumption technologically as mature as steel industry of developed economies is
growth during implementing latest technology, adapting backward integration and improving
2007-11: at CAGR efficiency in steel production to reduce cost, increase production and become
of 3.04 % competitive globally.
India’s crude steel Exhibit 3: Top ten crude steel producers in the world and their steel production
consumption -2011: in: 2010 and 2011 (MT)
67.8 MT Country China Japan
United
India Russia
South
Germany Ukraine Brazil Turkey
States Korea
India’s global rank:
2011 695.5 107.6 86.2 72.2 68.7 68.5 44.3 35.3 35.2 34.1
Largest sponge
iron producer. 2010 638.7 109.6 80.5 68.3 66.9 58.9 43.8 33.4 32.9 29.1
4th Largest crude
Source: World Steel Association
steel producer
Per capita steel INDIA’S SHARE IN GLOBAL STEEL CONSUMPTION
consumption-2011: India’s per capita steel consumption is only 57 kg against global average of 215
Global - 215 Kg kg. This shows a broad scope for increase in per capita steel consumption in
India’s – 57 kg India and potential unprecedented expansion of steel industry in India. Global
crude steel consumption for 2011 reached about 1373 MT
Exhibit 4: World crude steel consumption: 2007-11, country-wise contribution (%)
to world crude steel consumption in 2011
World Crude Steel Consumption in MT ( 2007-11) Share in % (2011)
Other Europe, 2.6
1500 1301 1373 China, 45.1
1218 1218 1140 Other Asian, 7.2
1000 Others, 6.3
Japan, 7.1
500
EU, 11.7
OTHERS
Africa: 1%
0 India, 4.9 Middle East: 1.5%
Potential growth of 2007 2008 2009 2010 2011 Central & South America: 3.3%
CIS, 7.4 NAFTA, 7.7 Australia & New Zealand: 0.5%
steel consumption in
Source: World Steel Association, Ministry of Steel- GoI
India will polarise
development of COMPETITIVENESS OF THE INDIAN STEEL INDUSTRY
global steel sector Abundance of raw materials, iron ore and cheap workforce makes Indian steel
towards India industry competitive. However dependence on imported coking coal, low
production efficiency, inadequate infrastructure & technology and delays in
regulatory clearances & approvals are major hindrance to growth of Indian
steel industry.
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6. 5.
Steel Industry in India - 2013
2. Steel Production Scenario in India: The Way Forward
KEY FIGURES INDIAN STEEL INDUSTRY: EVOLUTION AND GROWTH
Modern steel Steel making in India can be traced back to 400 BC. The foundation of modern
steel industry in India was led down in 1874 by establishment of steel making
production facility
facility of Bengal Iron Works (BIW) in Kulti (West Bengal). Beginning of large
started in India in
scale steel production started with establishment of Tata steel plant in 1907 in
1874 Jamshedpur, which started production in 1912. Later large steel plants in India
Post liberalisation were established in Bokaro, Durgapur, Bhilai, Burnpur and Bhadrawati. Except
(1991) steel making Tata Steel, steel production in India was confined to public sector companies
under control of SAIL till 1990s. Post liberalisation(1991) large scale
was made open for
development in steel industry was witnessed due to participation of private
private co.'s and
players and huge influx of foreign investment in steel industry of India.
steel price was also
deregulated STEEL PRODUCTION TREND IN INDIA
Finished steel Post independence steel production in India showed a considerable growth in
production in India: capacity. Finished steel production increased from 1.1 MT in 1951 to 14.33 MT
in 1991-92. Post liberalisation the growth trend continued however at a higher
Year 1951: 1.1 MT pace and finished steel production reached 73.7 MT(provisional) for 2011-12.
1991-92: 14.33 MT Exhibit 5: Historical trend of steel production in India: 1951 to 2012
2011-12:73.7 MT(P) Finished Steel Production in MT
80
India’s crude steel
production growth 60
CAGR: 8.53 %
during 12th FYP
40
2012-17:
estimated at 11.3 % 20 CAGR: 5.16 %
(CAGR)
0
Estimated crude FY 1951 FY 1992 FY 2012(P)
steel volume India Source: Public Information Bureau-GoI, Ministry of Steel-GoI
reaches by FY 17:
During the period FY 07 to FY 12 crude steel production has attained growth at
Prod.: 125.9 MT CAGR of about 7.7 %. While the average capacity utilisation remained near 89
percent of the total production capacity. During the twelfth five year plan crude
Capacity: 139.9 MT
steel production is estimated to grow at CAGR of about 11.3 % due to large
scale capacity addition plans for steel production during this period.
Exhibit 6: India’s crude steel production trend & projection- FY 2007 to FY 2017
Capacity utilisation Crude Steel Production vs. Capacity (MT) 139.9
of the Indian steel 150 127.2
Actual Estimates 115.6
industry on average 95.4
105
100 78 81.9
remains high at 89%, 66.3
72.9 Production
56.8 59.8
however the sector 50 104 114.5 125.9
Capacity
85.9 94.5
suffers due to low 50.8 53.8 58.4 64.8 69.5 73.7
efficiency 0
FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14 FY 15 FY 16 FY 17
Source: Ministry of Steel-GoI: working group report 2012-17, Annual Report-2011: MoS-GoI
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Steel Industry in India - 2013
2. Steel Production Scenario in India: The Way Forward
KEY FIGURES LEADING STEEL PRODUCERS IN INDIA
SAIL is the largest Steel making in India is concentrated along mineral rich belt of India, as vicinity
steel producer in to supply of raw materials like iron ore and coal provides considerable
India with 13.76 MT economic advantage. Most of the large scale steel making facilities are
crude steel concentrated in state of Jharkhand, Orissa, West Bengal, Chhattisgarh and
Karnataka. Steel production in India is leaded by SAIL, Tata Steel, JSW and
production in FY 11
others, while SAIL continues to be the largest steel producer in India.
Top five steel Exhibit 7: Leading steel producers in India and their production share: FY 2007 to FY 2011
producers
contribute to Crude Steel Production Share in MT (2007-11) Share in % (2011)
almost half of Producer FY 07 FY 08 FY 09 FY 10 FY 11(P)
crude steel
SAIL 13.51 13.96 13.41 13.51 13.76
production in India 20%
RINL 3.50 3.13 2.96 3.21 3.24 32%
Steel production 5%
Tata Steel 5.17 5.01 5.65 6.56 6.86
through induction 10%
furnace and electric JSW 2.64 3.15 3.22 5.26 5.85
14% 8%
arc furnace route ISPAT 2.76 2.83 2.20 2.69 2.38 3%
3% 5%
contributes to more ESSAR 3.01 3.56 3.34 3.47 3.37
than 50 % of steel SAIL RINL
JSPL - - 1.46 1.96 2.27
production Tata Steel JSW
Others-1 4.84 5.28 8.15 9.36 9.79
Steel production ISPAT ESSAR
Others-2 15.39 16.93 18.05 19.82 22.07
share- FY 2011: JSPL Others-1
Crude Steel Total 50.82 53.86 58.44 65.84 69.58 Others-2
Private Sector: 75% Others-1: Includes production from EAF Units/ COREX-BOF
Gov. Sector: 25% Others-2: Includes production from induction furnace
Finished Steel
Source: Joint Plant Committee: MoS-GoI working group report 2012-17
Private Sector: 80%
Gov. Sector: 20% Steel production in India which was primarily reserved for government
companies till liberalisation now sees dominance of private companies in terms
of production share. Share of private sector companies in crude steel
production raised from 49 % in FY 01 to 75 % in FY 11. While the share of
private sector companies in finished steel production increased from 68 % in
FY 01 to 80 % in FY 11.
Exhibit 8: Share of private sector companies in steel production in India (%): FY 2011
Post deregulation of Crude Steel Production (% Share) Finished Steel Production (% Share)
steel industry private
sector is gaining 25 20
dominance in terms
of cumulative
production share 75 80
Private Sector Companies Government Sector Companies
Source: Joint Plant Committee
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Steel Industry in India - 2013
2. Steel Production Scenario in India: The Way Forward
KEY FIGURES TECHNOLOGY WISE STEEL PRODUCTION
Steel production Steel production in India attained a high growth at CAGR of about 5.8 %
growth during 11th during the 11th FYP 2007-11 mostly contributed due to growth in steel making
FYP 2007-11: at through electric furnaces route. While the old method of steel making through
CAGR of 5.8 % oxygen route still remains dominating and contributes to about 44 % of crude
steel production in 2011.
Sponge Iron figures
Exhibit 9: Technology-wise crude steel production share (%): FY 2011 vs. FY 2006
for FY 12 (P):
Prod.- 20.37 MT Process Route & % Share in Crude Steel Making
Capacity- 32 MT
FY 11 Basic Oxygen Furnace Electric Arc Furnace Induction furnace Total
India is the largest (44%) (24%) (32%) 100 %
sponge iron Decline
Increase
in %
producer in the share
in %
share
world and
contributes about
Basic Oxygen Furnace Electric Arc Furnace Induction furnace Total
one third of the FY 06 (53%) (18%) (29%) 100 %
global sponge iron
production
Source: Joint Plant Committee
Production of pig
iron and sponge CATEGORY WISE STEEL PRODUCTION
remained almost
flat during last five Most of the sponge iron produced in India, about 75 % (in FY 11) comes from
years coal based units. Production of sponge iron touched 20.37 MT(P) in FY 12
while the capacity reached about 32 MT. India which is a net exporter of Pig
Product-wise Iron produced 5.78 MT(P) of pig iron in FY 12.
growth in steel
Exhibit 10: Category-wise crude steel production share (MT): FY 2008 to FY 2012
production during
11th FYP 2007-11, Steel Category FY 08 FY 09 FY 10 FY 11 FY 12(P)
in CAGR terms: Pig Iron 5.28 6.21 5.88 5.68 5.78
Flat Prod.- 4.9 % Sponge Iron 20.37 21.09 24.33 25.08 20.37
Long Prod.- 5.8 % Total Finished Steel (alloy +
56.08 57.16 60.62 68.62 73.42
Alloy Prod.- 16 % non alloy)
Source: Joint Plant Committee: MoS
Exhibit 11: Product-wise crude steel production for sale (MT): FY 2007 to FY 2011
With increasing 80
4.22
number of small 2.76 3.02 3.53
60 2.33
steel producers steel Total of Alloy Products
30.8
production through 40 25.45 26.99 27.18 30.16
Total of Flat Products
electric furnaces Total of Long Products
20
route is growing 24.73 26.32 26.98 26.95 31
substantially 0
FY 07 FY 08 FY 09 FY 10 FY 11 (P)
Source: Joint Plant Committee: MoS-GoI: working group report 2012-17
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Steel Industry in India - 2013
3. India’s Steel Consumption Trend and the Growth Drivers
KEY FIGURES INDIA’S STEEL CONSUMPTION ON HIGH GROWTH TRAJECTORY
Per capita steel Steel consumption in India has grown substantially since evolving of modern
consumption steel industry during nineteenth century. During the past two decade steel
growth (CAGR in consumption has grown at a faster pace driven by liberalisation, decontrol of
%) 2006-2011: steel industry, growing population, infrastructure development and changing
lifestyle of people. Per capita steel consumption in India (57kg: 2011) which is
World Avg.- 2.75 %
considerably low compared to global average (215 kg: 2011 ) is estimated to
For India- 6.71 % grow substantially during the next five years in proportionate with the growing
Steel consumption economy.
growth during 11th Exhibit 12: Per capita steel consumption in India (kg): 2006 to 2011
FYP (2007-11): at
India’s Per Capita Steel Consumption vs. World Average
CAGR of 8.8 %
250 214.7
205.5
Increasing 187.5
198.4 196.4
181.9
200
urbanisation and
infrastructure 150 India
growth to propel 100 World Average
per capita steel 50 55.4 57
41.2 45.8 45.1
consumption in 50
India 0
2006 2007 2008 2009 2010 2011
Finished steel
Source: World Steel Association
demand for India by
FY 17:
STEEL CONSUMPTION TREND IN INDIA
Scenario-1: 105
Steel consumption growth during 11th FYP (2007-11) has outpaced steel
MT (Estimated)
production growth. Steel consumption growth during this period was at CAGR
Scenario-2: 107 of 8.8 % compared to production growth at CAGR of 5.8 %. We have estimated
MT (Estimated) finished steel demand growth during 12th FYP (2012-17) in two scenarios. For
scenario- 1 we assumed finished steel demand to grow at CAGR of 9 % while
in more optimistic case of scenario-2 we assume demand growth at CAGR of
11 %, with respect to FY11 as base year.
Exhibit 13: Steel consumption trend in India (MT): FY 2007 to FY 2017
Finished Steel Consumption (Actual) *Finished Steel Demand Growth (Estimates)
80 120.00
65.61 107.01
59.34 110.00
60 52.12 52.35 99.08
Steel consumption 46.78 100.00 91.74 105.08
growth in India 40 90.00 84.95
97.30
during 11th FYP has 78.65
90.09
80.00 72.83
outpaced domestic 20 83.41
70.00 77.24
steel production 71.51
0 60.00
growth with a FY 07 FY 08 FY 09 FY 10 FY 11(P) FY 12 FY 13 FY 14 FY 15 FY 16 FY 17
differential of 3% in Finished Steel Consumption Scenario- 1 Scenario- 2
CAGR
Source: WSA, Joint Plant Committee: MoS-GoI: working group report 2012-17, *Estimates
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Steel Industry in India - 2013
3. India’s Steel Consumption Trend and the Growth Drivers
KEY FIGURES CATEGORY WISE STEEL CONSUMPTION
Product-wise Steel consumption in India though maintained healthy growth during the
growth in steel 11th FYP (2007-11) but demand of steel in long product category remained
consumption during sluggish. Slow paced infrastructure and industrial projects development
11th FYP 2007-11, due to worldwide recession was the major cause for sluggish demand of
in CAGR terms: long product. While the demand of flat product posted high growth (12.1%
Flat Prod.- 12.1 % CAGR) driven by robust domestic demand of consumer durables and
Long Prod.- 5.9 % utility items.
Alloy Prod.- 9 % Exhibit 14: Product-wise consumption of finished steel (MT): FY 2007 to FY 2011
India’s steel sector 70 3.47
growth is primarily 60 2.74
3.26
3.36
driven by domestic 50 2.46
30.99 Total of Alloy Products
demand as export 29.27
40 22.97 21.83
volume is low 19.59 Total of Flat Products
30
Factors contributing 20 Total of Long Products
31.16
to steel demand 10 24.73 26.45 27.07 26.81
growth in India
0
- Economic growth FY 07 FY 08 FY 09 FY 10 FY 11 (P)
- Construction
Source: Joint Plant Committee: MoS-GoI: working group report 2012-17
- Infrastructure dev.
- Population growth PRIME GROWTH DRIVERS OF STEEL DEMAND IN INDIA
- Manufacturing
Steel demand has been proportionate with the GDP growth of the country.
Housing & real estate, construction & infrastructure and manufacturing
segment are the prime consumers and drivers of steel demand in India.
Exhibit 15: Steel demand drivers and their potential effect on steel demand growth during
next 5 year time frame
High
Construction &
Infrastructure Major Factors for Steel Demand Growth
Housing & Real
Estate Economic growth
Construction, Industrial, construction &
Potential Manufacturing
Sector manufacturing growth
infrastructure Demand
Driver Growth in population
development and Energy & other
Sector Rising middle class population and per
manufacturing capita steel consumption
Agriculture,
activity forms the Mining sector
Growth in rural steel consumption
activity
backbone of steel Infrastructure Development
industry demand High
Growth prospect of the segment
Source: Indicative model
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Steel Industry in India - 2013
4. India’s Steel Import Export Scenario and Future Prospects
KEY FIGURES STEEL IMPORT TREND AND FUTURE SCENARIO
India is net importer India has been a net importer of steel, primarily of high grade steel and special
of steel steel products. Deregulation and reduction in import duties on steel imports has
favoured steel imports. Steel imports has increased during the past decade due
India primarily to surge in domestic demand and reduction in price differential between
imports as well as imported steel and domestic steel. Import volumes have been fluctuating
exports value during the past five years and as per working group estimates steel imports
added and special during 12th FYP is estimated to be in 5-6 MT range.
steel products Exhibit 16: Steel import in India : past trends and future estimates- 2007-08 to 2017
Steel import in
India touched 7.38 Finished Steel Import in MT
MT in FY 10 8
Actual Estimates
Working group on 6
Steel estimates 4 7.03 7.38 6.66 6.83
5.84 6 5.5 5.5
steel imports in 5 5
2
range of 5-6 MT 0
during 12th FYP FY 08 FY 09 FY 10 FY 11 FY 12 (P) FY 13 FY 14 FY 15 FY 16 FY 17
Steel Import
During 11th FYP
steel import posted Source: Joint Plant Committee - MoS, Working group report 2012-17- MoS
negative growth of
about 9 % STEEL EXPORT TREND AND FUTURE SCENARIO
Working group on Liberalisation and free trade policy helped growth of steel exports from India.
Most of the steel exports from India consists of value added steel products
Steel estimates
with higher margins. To remain competitive globally India needs to grow share
steel exports to of value added and sophisticated steel product in its export basket. Steel
reach 7 MT during exports from India declined during 2008-11 period due to subdued demand of
12th FYP steel globally. Steel export is expected to regain momentum as the global
economy revives . Steel exports is estimated to grow gradually from about 4
MT during FY 13 to 7 MT by FY 17.
Exhibit 17: Steel exports from India : past trends and future estimates- 2007-08 to 2017
Finished Steel Export from India in MT
8
6
India’s steel export Actual Estimates
will shift towards 4
7 7
higher percentage of 6
5.08 5
2 4.44 4.04 4
3.64
value added and 3.25
high margin steel 0
products in the FY 08 FY 09 FY 10 FY 11 FY 12 (P) FY 13 FY 14 FY 15 FY 16 FY 17
export basket Steel Export
Source: Joint Plant Committee - MoS, Working group report 2012-17- MoS
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Steel Industry in India - 2013
5. Raw Material Supplies for Steel Industry: Is India Self Sufficient?
KEY FIGURES ASSESSING RAW MATERIAL SUPPLY SCENARIO FOR INDIA
Iron ore production Raw material accounts for about 30-50% of the total cost of steel production in
in FY 12 was India. Raw materials for steel making includes iron ore, coke, lime, ferro-alloys
169.66 MT and refractories etc. India has a huge iron ore reserve of about 28.52 billion
tons. About 60-70 % of the iron ore produced is consumed domestically and
India has 28.52 remaining (mostly fines) is exported. India lags in coking coal reserves and
billion tons of iron have only 5.3 billion tons of coking coal reserves. India meets more than 50
ore reserves percent of coking coal demand through imports and imports will grow in parallel
with increasing steel production capacity.
Estimated iron ore
consumption by RAW MATERIAL DEMAND BY STEEL INDUSTRY
iron and steel About 2.5 to 3.5 ton of raw materials is required per ton of crude steel
industry in FY 12 production in India. With increasing crude steel production capacities demand
was 116.3 MT for main raw materials like iron ore and coking coal by steel industry will
Coking coal increase at faster pace.
production in India Exhibit 18: Raw material demand (MT) by steel industry during 12th FYP: 2012-17
for FY 12 is Estimated Demand Iron Ore Coking Coal Others Total
estimated at about FY 12 115.03 43.25 11.13 169.41
22 MT FY 13 135.7 52.29 13.92 201.91
FY 14 149.43 57.91 15.33 222.67
Coking coal import FY 15 166.66 67.49 17.28 251.43
in India for 2012 is FY 16 185.24 77.23 19.48 281.95
FY 17 206.18 90.16 21.76 318.1
estimated at about Others : PCI Coal, Manganese Ore, Chromite, Ferro Chrome, Ferro-Manganese, Silico-Manganese, Ferro-Silicon and Refractories
36.8 MT
Source: Working group report 2012-17- MoS, Projections by working group on steel industry
INITIATIVES THAT WILL IMPROVE & SECURE RAW MATERIALS SUPPLY
Indian steel industry requires reliable and economical raw material supplies to
remain competitive on global platform. Being deficient in coking coal and rich in
iron ore fines India needs to adapt steel making technologies which are
suitable for low grade Indian coal and iron ore fines. India requires technology
inputs and investments to increase sintering and pelletisation facility for making
use of iron ore fines. Indian companies needs to acquire coking coal assets
overseas to assure uninterrupted and economic supply of coking coal for its
steel Industry.
Exhibit 19: Major initiatives to improve and secure raw material supplies to steel industry
Progressive Impact
India lags in coking Reformation Measures
Small Medium High
coal reserves,
1. Limiting volatility in prices & assuring continuous supply through long term linkages
acquiring coal
2. Assuring raw material supply security through overseas assets acquisitions
assets overseas can
3. Consolidating steel industry and focus on backward integration
assure reliable &
4. Adapting new technology to increase output and maximise efficiency
economic supplies 5. Allotting iron ore and coal mines for captive consumption by steel plants
of coal in the future 6. Minimising duties & taxes on imports & increasing same for exports of raw material
7. Adding coal washing and iron ore sintering & pelletisation facility
Source: Indicative model
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Steel Industry in India - 2013
6. Inadequate Infrastructure: A Major Concern for Steel Industry in India
KEY FIGURES INFRASTRUCTURE ISSUES FOR STEEL INDUSTRY IN INDIA
Estimated Steel industry is heavily dependent on raw material and bulk movement. For
investment in every tonne of steel produced about four tonnes of raw materials requires to be
infrastructure sector transported. Indian steel industry is facing difficulties and delays caused due to
during 12th inadequate infrastructure for transportation and handling bulk materials. Most
of the steel plant does not have proper connectivity through rail network to
FYP(2012-17): $ 1
mines and ports. Bulk handling facility at majority of the ports, mines and steel
trillion plants are of low capacity causing delays in loading & unloading. In most cases
Estimated bulk road networks connecting steel plants to mines and ports are congested
transportation & leading to delays in supply and delivery of raw material and other items.
handling capacity Exhibit 20: Bulk movements and associated issues faced by steel industry in India
requirement of
steel industry by
STEEL PLANT
Inadequate
2017: more than - Handling facility
400 MT - Road network
- Rail network Inadequate MARKET
Inadequate
- Storage & Logistics
Investment in - Loading/unloading
Lack of dedicated
Facility
infrastructure sector - Road network
Congested
- Rail network
- Road network
of India is MINES - Rail network PORT
estimated to remain Source: Indicative model
in 9-10 % range
during 12th FYP INFRASTRUCTURE ADDITION IN INDIA DURING TWELFTH FIVE YEAR
(2012-17) PLANS (2012-17)
Infrastructure With increasing capacities of steel production in India more than 400 MT of
requirement by bulk handling capacity and transportation infrastructure will be required by steel
industry by 2017. Almost two fold rise in infrastructure demand by steel
steel industry is
industry during next five years will require massive investment in road, rail and
estimated to port infrastructure facility. An estimates investment (by public and private
double in next five sector) of $ 1 trillion has been envisaged for infrastructure sector(including
years. road, rail, port and other transportation infrastructure) during 12th FYP.
Exhibit 21: Estimated Investment in Infrastructure during 12 th FYP: 2012-17
1200 12
10.3 10.7
9.5 9.9
8.3 9 Investment in
8
800 INR,000 crore
1039.5
918 4
809.5
712.7 Investment as
528.3 619.4
400 0 % of GDP
Infrastructure
FY 12 FY 13 FY 14 FY 15 FY 16 FY 17
development will
Source: Planning Commission - committee on Infrastructure
drive steel demand
as well as support ACTIONS TO BOOST INFRASTRUCTURE SUPPORT TO STEEL INDUSTRY
infrastructural - Rapid completion of “Dedicated Freight Corridor” by - Developing self, part of project linked transportation
requirement by steel railways to address increasing freight traffic infrastructure by large project developers
- Addition of large capacity siding and loading facility - Widening congested road and railways
industry itself at ports, mines and steel plant - Improving loading and transportation infrastructure
- Developing road, rail and port infrastructure by adapting latest technology and equipment
dedicated for steel industry - Introducing large capacity wagons for rail transport
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Steel Industry in India - 2013
7. Indian Steel Industry and Increasing Role of Technology
KEY FIGURES TECHNOLOGICAL EXPOSURE OF INDIAN STEEL INDUSTRY
Expenditure on Indian steel industry is highly fragmented with large number of small to large
research & scale producers. Use of steel making technologies varies among different steel
development by making units. With overall low level of advanced technological exposure, Indian
Indian steel steel industry faces issues of quality, efficiency, hazards and process
standards. The overall use of latest and modern technologies is inadequate in
Industry is
the entire steel industry value chain comprising of raw material mining and
estimated to be processing, transportation and steel making. This leaves a broad scope for
very low at an process improvement through introduction of latest and efficient technology.
average 0.2% of
the turnover Exhibit 22: Technological input status at various process stages of Indian steel industry
RAW MATERIAL SUPPLY STEEL MAKING PROCESS
Introducing latest - Low mechanisation level & latest technology - Most of steel making facilities use: old and less
technologies will input: for mining and processing raw materials efficient steel making technology
improve Indian - Inadequate facility: for use of iron ore fines - Expenditure on research and development: is
using pelletisation & sintering technology considerably low
steel industry’s: - Lack of coal processing & washing technology STEEL INDUSTRY - Present steel making facility: not suitable for
- Efficiency : to make higher use of low grade Indian coal PROCESS CHAIN Indian iron ore fines and high ash coal
- Inadequate facility: for raw material loading - Relatively lower number of steel plants: with
- Product quality and transportation facility to make complex steel products
- Carbon footprint - Lack of facility: for use of raw material rejects - On average Indian steel industry lags: in
process efficiency and hazard control
- Production cost
- Competitiveness
Source: Indicative descriptive model
- Use of domestic
raw material
INDIAN STEEL INDUSTRY NEEDS TO ADAPT LATEST TECHNOLOGIES
- Growth
With open trade policy for steel, Indian steel industry faces global competition,
hence to remain competitive and profitable it has to adapt latest and efficient
technologies. Using latest technologies can boost steel companies business
with advantages of scale, quality, productivity, safety and higher margins. As
overall exposure of Indian steel industry to latest technology remains low, so
there is a huge potential for increase in production and process optimisation.
Also with development and use of technologies suitable for steel making using
iron ore fines and low grade Indian coal, Indian steel Industry can have
advantage of raw material security and sustainability.
Exhibit 23: Potential benefits of technological up-gradation in steel Industry
Improvement In Steel Production Efficiency
Use of latest Improving Cost Effectiveness & Profit Margins
technology by Indian Improving Unit Yield and Product Quality Improving overall
steel industry
Reduction In Environmental Impact and Hazards efficiency and
remains low so there Potential Benefits in the Value Chain competitiveness of
is huge potential for Indian Steel
Utilise Domestic Coal and Iron Ore Fines In Steel Making
improvement Industry
Addition In Production Capacity
through introducing Reduction In Raw Material & Energy Wastage
latest technology
Source: Indicative model
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Steel Industry in India - 2013
8. Prospective Analysis of Indian Steel Industry
KEY FIGURES POTENTIAL GROWTH DRIVERS OF INDIAN STEEL INDUSTRY
Planned projects Indian steel industry is aiming for high growth during the next 5-7 years,
for steel making is supported by economic growth and positive change in consumption behaviuor
likely to increase of the large and growing population. The prime factors which will support
steel production growth of Indian steel Industry are demand driving factors, government policies
and capacity addition plan for steel.
capacity of India to
150 MT by 2017 Exhibit 24: Factors propelling Indian steel industry’s growth
Promising factors of Steel Demand Drivers Government Policies Capacity Addition in Steel Making
Indian steel - Growing economy - Funding developments - SAIL, Tata Steel, JSW, ISPAT, RINL,
industry: - Large population - Stressing on R&D ISPAT etc. along with global multinationals
- Potential for - Low per capita steel - Offering incentives like POSCO, Arcelor Mittal, Nippon Steel,
consumption - Policies favoring Kobe Steel, Severstal and others have
high growth
- Manufacturing & domestic industry & large scale expansion plans for steel
- Cheap labour making in India
construction activity regulating dumping
- Untapped market
- Untapped rural market - Judicious Import- - Planned projects by Indian and global
- Abundant raw
- Industrial activity export taxes/duties companies is likely to increase India’s steel
material supply growth - Faster approvals producing capacity to 150 MT by 2017
- Growing
Economy Source: Indicative descriptive model
STRENGTH, WEAKNESS, OPPORTUNITY & THREATS: (SWOT) ANALYSIS
Indian steel Industry is evolving itself to become global leader in terms of
product quality and overall efficiency. It’s growth objective can be attained
efficiently by addressing the present issues and challenges and building the
growth strategies in cohesion with its strength.
Exhibit 25: Prospecting Indian Steel Industry via SWOT analysis
STRENGTH WEAKNESS
Low manpower cost Overall production efficiency is low
Abundance of raw materials Inadequate infrastructure support
Policies for long term linkages for raw Lacking in coking coal reserve and most of
material supply iron ore reserves consists of iron ore fines
Option of getting project linked captive iron Latest technological input and research and
ore, coal mines development activity is low
Large economy and population driving steel
demand
SWOT
Analysis
There is a huge OPPORTUNITY THREAT
potential growth Growing & untapped rural market Delays in approvals and regulatory
opportunity for Infrastructure & manufacturing activity clearances
growth to drive steel demand Land acquisition and rehabilitation issues
Indian steel industry
Per capita steel demand to grow, which at Competition from large number of small
with untapped rural present is one fourth of the global average steel producers
markets and growing Low present export volume: so potential for Threat from cheap import and dumping
economy growth in exports is considerable Issues of capital for projects and high
Option for investment and stake acquisition interest on loans
Source: Indicative descriptive model
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Steel Industry in India - 2013
9. Executive Summary
AUTHOR:
Post liberalisation in 1991 Indian steel Industry has attained a substantial
growth on domestic as well as global platform. Growing in pace with the
economy Indian steel industry has positioned itself as the largest sponge iron
producer and the fourth largest crude steel producer in the world. Global crude
steel production reached 1527 MT in 2011 in which India contributed a
significant 4.7%.
Though effect of global economic recession post 2008 was witnessed by steel
TARUN MISHRA
sector globally, but Indian steel industry showed resilience and growth due to
Director- Consulting & Research
Corpotrade Global Pvt. Ltd., India robust domestic demand. The credit of Indian steel industry’s growth goes to
policies of government and Indian public and private sector steel producers.
For any queries or information With present low per capita steel consumption at 57 kg in India against global
regarding contents of this report
average of 215 kg there lies a huge potential for steel demand growth in India.
or for any type of assistance I can
be reached at following contacts: Also the estimated massive $ 1 trillion investment in India’s infrastructure
sector during 12th FYP will boost demand of steel. Significant steel demand will
Phone: +91 11 6469 7575 also arise from rural markets and proactive steel producers in India have
Mail: tarun@cptgl.com
started exploring untapped rural markets to get maximum share of this market.
business@cptgl.com
Indian steel industry attained appreciable growth post liberalisation but it has
Web: www.cptgl.com
www.corpotradeglobal.com suffered due to issues of efficiency, quality, safety and productivity. Future
growth and sustainability of Indian steel industry lies in adapting latest
technologies, improving efficiency and optimising process.
Thanks,
Tarun Mishra
& CorpotradeGlobal Team
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Steel Industry in India - 2013
10. Abbreviations and Bibliography
ABBREVIATIONS
Short Name Full Name
CAGR Compounded Annual Growth rate
CIS Commonwealth of Independent states
E Estimates
EU European Union
FY Financial Year (April to March)
FYP Five Year Plan
GDP Gross Domestic Product
GoI Government of India
JPC Joint Plant Committee
MT Million ton
MoS Ministry of Steel
P Provisional
PPP Purchasing Power Parity
WSA World Steel Association
$ US Dollar
INR Indian Rupee
Crore 10^7
BIBLIOGRAPHY
World Steel Association, International Monetary Fund, Economic Times, Ministry of Steel - India, Public
Information Bureau - India, Joint Plant Committee- India, Planning Commission - committee on
Infrastructure, Annual report 2010-11- MoS, World Steel in Figures 2012-WSA, Press Information
Bureau- GoI, moneycontrol.com, The Telegraph, The Economic Times, miningweekly.com, Wikipedia,
mjunction and CorpotradeGlobal Research & Database.
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18. Steel Industry in India - 2013
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