The Indian Steel Association has said that steel demand in India is likely to grow by 7.1 percent in calendar year 2019 and by 7.2 percent in the next calendar year 2020 driven by sectors like construction, capital goods and railways. As for financial years 2019-20 and 2020-21, it forecasted steel demand to grow by 7.2 percent. Besides, it noted that the country’s steel consumption is poised to cross the psychological 100-million tonne (MT) mark in 2019.
Earlier, Steel Minister Chaudhary Birender Singh had said that growth trend in steel consumption in India will continue, due to strong manufacturing sector, diversified demand demographics, accelerated expenditure on infrastructure, anticipated increase in GDP and strong focus on 'Make in India'.
Meanwhile, the domestic steel body stated that investment driven sectors such as construction, capital goods and railways are likely to maintain the healthy growth momentum driven by infrastructure programmes such as Bharatmala, Sagarmala, railway track electrification, dedicated freight corridors, metro rails, etc. In addition, it said that while reduction in Goods and Services Tax (GST) rates will support the real estate demand, ongoing capacity additions in renewable energy segment would continue to boost the electrical equipment demand.
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