December 12, 2022
The addition of companies is expected to attract committed investment of INR 42500 crore
They’re expected to bring downstream capacity addition of 26 million tonnes
They’re expected to bring downstream capacity addition of 26 million tonnes
A total of 79 applications have been received from 35 small and large steel-making companies
The Indian government has selected about 67 applications from domestic companies under the Production Linked Incentive (PLI) Scheme for speciality steel, according to a report from the Ministry of Steel.
Media reports said that the addition of companies is expected to attract committed investment of INR 42500 crore, with downstream capacity addition of 26 million tonnes and employment generation potential of 70000. Among the 67 applications, 30 companies have already been selected for the PLI scheme.
On 15 September 2022, the application window for participation in the PLI scheme was concluded.
The PLI Scheme for Specialty Steel was approved by the Union Cabinet on 22 July 2021, with a financial outlay of INR 6322 crore, over a period of five years. With the scheme, the government plans to promote the domestic manufacturing of ‘Specialty Steel’ by enabling the country’s steel industry to attract capital investment, generate employment and promote technology up-gradation. The aim of the PLI scheme is to lower import dependency and create export-oriented production for India’s steel sector.
According to the report, a total of 79 applications have been received from 35 small and large steel-making companies, who have committed an investment of INR 46,000 crore and downstream capacity addition of 28 million tonnes by 2030.
India’s finished steel consumption is anticipated to increase to 230 MT by 2030 from 133.596 MT in FY22. With initiatives to promote local manufacturing, India’s steel industry can soon develop a circular ecosystem.
Source: Mint