Crude Steel Current Affairs - 2020

World Steel report: India’s steel output declined by 65%

On May 24, 2020, the World Steel Association released the World Steel Report. According to the report, the crude steel report of India declined by 65%. During April 2020, the steel output of India was 3.13 million tonnes.

Highlights

In April 2019, according to the report, India produced 9.02 million tonnes. In March 2020, India faced a decline of 14% steel output as compared to March 2019.

The report also says that the global steel output declined by 13%. In April 2019, the global steel output was 157.67 million tonnes. In April 2020, the output declined to 137.09 million tonnes.

Key Findings of the report

China has reported 1.7% fall in steel production. This is the first time China is facing an output decline. US faced a decline of 32%. South Korea’s steel production declined by 8.4%.

The other global steel producers such as European Union, France, Italy, Turkey, Spain, Russia, Ukraine and Brazil also faced decline in their output.

National Steel Policy

India is currently operating under its National Steel Policy 2017. Under the policy, India is to increase its steel production to 300 million tonnes by 2030. It alsi aims to make India self-sufficient in steel. It also aims to build a globally competitive steel industrial output in the country.

GoI to launch Purvodaya to accelerate Eastern India Development

On January 10, 2020, the Ministry of Steel announced that it will launch “Purvodaya”, a world class steel hub. The hub aims at an accelerated development programme of eastern states. The Ministry will be joined by CII (Confederation of India Industries) in the implementation of “Purvodaya”.

Highlights

The initiative aims at developing the eastern states through an integrated steel hub. The steel hub will create 2.5 million jobs in the region. It will create world-class logistics and infrastructure. This will also help in achieving India’s steel policy target of 300 MT by 2030.

The Steel Hub

The Steel Hub will develop steel clusters in the region. It will transfer the utilities and logistics infrastructure into socio-economic landscape. So far, 12 major steel zone has been identified under the initiative in the region.

Why Eastern States?

The 5 Eastern states namely West Bengal, Chhattisgarh, Jharkhand, Odisha and Northern Andhra Pradesh are extremely rich in coking coal, bauxite and dolomite reserves. The region also has major ports such as Haldia, Paradip, Kolkata and Vizag. Therefore, setting up a steel hub in the region will help India achieve its 5 trillion-dollar economy target fast.

The region also has potential to add 75% of country’s incremental steel capacity.