India needs to develop 20-25% of steel capacity along coast by 2025 to meet export targets: Birender Singh

Steel minister Birender Singh has said India could aspire to develop 20-25% of its steel capacity along the country's coastline by 2025 to meet its export targets.
The minister's comments came during an event when he flagged off the maiden coastal shipment of Rashtriya Ispat Nigam Limited(RINL), the corporate entity of Vizag Steel, marking the steel major's foray into sea trade for its domestic needs.

Speaking on the occasion, the Steel Minister said the Sagarmala Project would transform the logistic sector and change the lives of those living along the country's 7500-km coastline. India could aspire for 25-30% of steel capacity to be coastal by 2025 to meet the requirement of steel exports, the minister said. At present, logistic cost in India is amongst the highest in the world but Sagarmala programme has the potential to unlock full potential of India’s coast line and waterways and logistics sector competitive with the world standards, he added.
Coastal shipping is cheaper than road or rail by 60-80% and reduces the burden on rail and road transport. He observed that an overall cost saving of around Rs.40,000 crore per annum is estimated from this project by 2025.
While commending RINL for foraying into sea trade to strengthen its relationship with the coastal transportation for domestic requirements, he said and added that RINL should take advantage of utilizing its locational advantage for import of raw materials like coking coal and export of finished products. He lauded the inherent advantages of coastal shipping over land modes of transport adding that it is environmentally friendly, energy efficient and safer.

Steel production rises 5.1%, consumption up 4.3% in April-September

“Production for sale of total finished steel at 52.079 mt, registered a growth of 5.1 per cent during April-September 2017 over the same period last year… consumption of finished steel in India saw a growth of 4.3 per cent in April-September 2017 (42.883 MT) over the same period last year, under the influence of rising production for sale and imports,” the Ministry’s Joint Plant Committee’s (JPC) report said.

SAIL, RINL, TSL, Essar, JSWL and JSPL together produced 30.44 mt during the first six months of the current fiscal, which was a growth of 9.8 per cent over same period of last year.

However, the report said overall production for sale of total finished steel at 8.814 MT in September was down by 0.2 per cent over August 2017 but was up by 5.6 per cent over corresponding month last year.

“During April-September 2017, crude steel production was 49.764 MT, a growth of 4.5 per cent over same period of last year,” the report said.

According to it, the consumption at 7.449 MT last month was up by 4 per cent over September 2016.

However, India’s total import of finished steel at 4.318 MT in April-September period was up 20.1 per cent over the same period last year. Imports in September was 0.81 MT, up 31.9 per cent over year-ago month.

The report also said India’s steel export grew by 60.1 per cent to 4.852 MT in the first six months of the current fiscal over the same period last year.

“Overall exports in September 2017, at 1.119 MT, was up by 20.8 per cent over August 2017 and was up by 70.6 per cent over September 2016,” it added.