An article published with the Reserve Bank of India’s October bulletin flagged the issue of vulnerability of India’s steel industry from competitive pricing by major steel-producing countries and “increased imports ”. While this and the emphasis in the article on the need to increase the competitiveness of India’s steel sector are relevant, imports have actually seen a decline in recent months.

There was a 29% fall in steel imports in the first half of the current fiscal year owing to various tariff and non-tariff barriers.

To be sure, imports remain uncompetitive now, with domestic steel priced at a discount of 7,000-8,000 per tonne to imported material.

Local steel prices have slumped to a five-year low, trading in the range of Rs 47,000-48,000 per tonne for hot rolled coil, as pe

See Full Page