India plans to nearly triple its steel production capacity to 604 million tonnes by 2047, according to the draft National Steel Policy Vision 2047. This long-term roadmap aims to build a globally competitive, technologically advanced, and environmentally sustainable steel sector. The policy also targets increasing per capita steel consumption to 302 kilograms and raising steel exports to 45 million tonnes by 2047.
- India's crude steel capacity is projected to grow from 220 million tonnes in 2025-26 to 604 million tonnes by 2047.
- Per capita steel consumption is expected to rise from 116 kg to 302 kg by 2047.
- Steel exports aim to reach 45 million tonnes by 2047.
- The policy emphasizes raw material security, technological modernization, and environmental sustainability.
- It plans to reduce carbon emission intensity from 2.54 to 1.54 tonnes of CO2 per tonne of crude steel by 2047.
What are the main goals of the National Steel Policy Vision 2047?
The policy aims to expand India's crude steelmaking capacity to 604 million tonnes by 2047. It also targets finished steel demand of 505 million tonnes and increasing per capita steel consumption to 302 kg, up from 116 kg in 2025-26. Additionally, steel exports are expected to reach 45 million tonnes. The policy supports technological advancement, environmental sustainability, and global competitiveness.
How will the policy support raw material availability?
Raw materials account for 65-70% of steelmaking costs, making their availability crucial. India is self-sufficient in iron ore but imports about 92% of its coking coal. The policy proposes expanding domestic mining and coal washeries, improving the use of domestic coking coal, acquiring overseas mining assets, and diversifying supply sources. It also plans to increase production of limestone, dolomite, and manganese ore, strengthen steel scrap collection and recycling, and improve logistics through better rail, road, and multimodal connectivity.
What role does technology and environmental sustainability play in the policy?
The policy emphasizes technological modernization to produce high-value steel products and transition towards low-carbon manufacturing. It targets reducing the steel sector's carbon emission intensity from 2.54 tonnes of CO2 per tonne of crude steel to 1.54 tonnes by 2047, with a goal of net-zero emissions by 2070. The transition includes phases focusing on energy efficiency, renewable energy, scrap utilization, best available technologies, coal gasification, green hydrogen-based production, and carbon capture and storage.
How will the policy improve the steel industry's global competitiveness?
The policy seeks to make the domestic steel industry globally competitive by expanding capacity, modernizing technology, and developing high-value steel products such as automotive, coated, electrical, stainless, and specialty steel. It also plans to improve export infrastructure, expand market access through trade agreements, and diversify export destinations to regions like Africa, the Middle East, ASEAN, and Latin America. Compliance with international environmental standards, including the EU's Carbon Border Adjustment Mechanism, is also a priority.
What measures are proposed for the secondary steel sector and workforce development?
The secondary steel sector, which comprises about 2,550 units and accounts for nearly 47% of crude steel production capacity, will receive support for technology upgrades, better raw material access, skill development, and workplace safety. The policy proposes establishing a Steel Industry Safety Council, a Safety Directorate for audits and disaster preparedness, and a Steel Skill Development Working Group to assess workforce needs and improve training institutions.
How will digital technologies be integrated into the steel sector?
The policy envisions establishing a Steel Digital Centre of Innovation and a National Steel Data Platform to cover production, quality, energy, emissions, logistics, and raw materials. It encourages wider adoption of artificial intelligence, robotics, automation, and digital manufacturing. Support for research institutions, startups, and industry-academia collaboration is also planned to foster innovation.
What is the significance of this policy compared to the 2017 National Steel Policy?
The 2017 policy aimed to increase steel manufacturing capacity to 300 million tonnes by 2030 with a per capita consumption target of 160 kg. Since then, India's crude steel production has nearly doubled from 89 million tonnes in 2014-15 to 170 million tonnes in 2025-26, and finished steel consumption has more than doubled. The new draft policy reflects emerging priorities such as artificial intelligence, machine learning, and technical upgrades, addressing current challenges and future requirements to support India's infrastructure and manufacturing growth.
