The Iron and Steel industry in India is among the most important industries within the country. India surpassed Japan as the second largest steel producer in January 2019. As per worldsteel, India's crude steel production in 2018 was at 106.5 million tonnes (MT), 4.9% increase from 101.5 MT in 2017, which means that India overtook Japan as the world's second largest steel production country. Japan produced 104.3 MT in 2018, a decrease of 0.3% compared to 2017. As of 2023-24, total steel production is 144.299 MT.
Major iron and steel companies such as Jindal Stainless, JSW Steel, Bhushan Steel, Lloyd's Metal, etc., were established in the 1970s and 1980s. The Indian steel industry was de-licensed and de-controlled in 1991 and 1992, respectively.
As per the Indian Steel Association (ISA), India's total installed steel-making capacity was 154 MT as of March 2023. SAIL is the India's largest steel producer, with an annual output of 16.30 million metric tonnes.
Steel plants There are two types of steel plants - mini steel plants and integrated steel plants. About half of the country's steel is produced by medium and small enterprises.
Steel plants in India. There are more than thirty integrated steel plants in India. Given below are integrated steel plants:
Name Estb. Year Location Operator Action Ispat & Power 2004Marakuta, Orissa Action Ispat & Power Pvt. Ltd.Ankur Udyog Limited (Steel Division) 2023Gorakhpur, Uttar PradeshAnkur Udyog Ltd.Alloy Steel Plant 1965Durgapur, West BengalSAILAtibir Industries steel plant 2009Bhorandiha, Jharkhand Atibir Industries CoArjas Steel Tadipatri plant 2012Tadipatri Mandal, Andhra Pradesh Arjas SteelBMM Ispat Steel Plant 2006Danapuram, KarnatakaBMM Ispat Ltd.Bhilai Steel Plant 1955Bhilai, ChhattisgarhSAILBokaro Steel Plant 1964Bokaro Steel City, JharkhandSAILChandrapur Ferro Alloy Plant 1974Chandrapur, MaharashtraSAILDurgapur Steel Plant 1959Durgapur, West BengalSAILElectrosteel Limited(ESL) 2011Bokaro, JharkhandVedanta ResourcesEvonith Metallics Wardha Steel Plant 1994 Bhugaon Link Road, Wardha, MaharashtraEvonith MetallicsEssar Steel India Limited 2005Hazira, GujaratArcelorMittalHospet Steel Limited 1998Koppal, KarnatakaKalyani Steels and MukandIISCO Steel Plant 1918Asansol, West BengalSAIL Jai Raj Ispat Steel Plant 2025Kurnool, TelanganaJai Raj Ispat Nigam Ltd.Jayaswal Neco Industries 1996Raipur, ChhattisgarhJayaswal Neco IndustriesJayaswal Neco Industries 1972Nagpur, MaharashtraJayaswal Neco IndustriesJSL Stainless 1970Jajpur, OdishaJindal Stainless LimitedJSL Stainless 1975Hisar, HaryanaJindal Stainless (Hisar) LimitedJindal Steel and Power Limited 1990Raigarh, ChhattisgarhJindal Steel and PowerJindal Steel and Power Limited 1979Angul, OdishaJindal Steel and PowerJindal Steel and Power Limited 2012Patratu, JharkhandJindal Steel and PowerJSW Steel1994 Hospet, Bellary, Karnataka JSW SteelJSW Steel 1982Tarapur, Boisar, MaharashtraJSW SteelJSW Steel Special Alloy Steel Plant 2004Salem, Tamil NaduJSW SteelJSW Ispat Special Products Limited 1990Raipur, ChhattisgarhJSW Ispat Special Products LimitedJSW Ispat Special Products Limited 1994Raigarh, ChhattisgarhJSW Ispat Special Products LimitedJSW Steel1994 Dolvi,Dharamtar, MaharashtraJSW SteelJSW Bhushan Power & Steel Limited2005 Rengali, Sambalpur, OrissaJSW SteelMECON (company) 1959 Ranchi, JharkhandMECON (company)Lloyds Konsari Steel Plant 2023Konsari, Maharashtra Lloyds Metal & Energy Ltd.Lloyds Ghugus Steel Plant 1995Ghugus, Maharashtra Lloyds Metal & Energy Ltd.Mesco Steel Kalinganagar plant 2005Kalinganagar, OdishaMideast Integrated Steel (MISL)MSP Metallics Odisha Steel Planthttps://www.wikidata.org/wiki/Special:EntityPage/Q24943781 2008Marakuta, Odisha Orissa Metaliks (OMPL)Orissa Sponge Iron & Steel Limited 1995Palasponga, Odisha Orissa Sponge Iron & Steel LimitedNagarnar Steel Plant 2019 Jagdalpur, ChhattisgarhNMDC Steel LtdNeelachal Ispat Nigam Limited1982 Kalinganagar, OrissaMMTC LtdNilachal Iron & Power2002 Saraikela-Kharsawan, JharkahndNilachal Iron & PowerPrakash Industries steel plant 1980Janjgir, ChhattisgarhPrakash IndustriesPro Mineral Ltd. 2014Basantpur, OdishaEssel Mining Limited Shree Metaliks Anra Steel Plant 1995 Urumunda, OdishaShree MetaliksRML Kharagpur 2004 Kharagpur, West BengalRashmi MetaliksRungta Mines Limited. (Dhenkanal Steel Plant) 2022 Dhenkanal, OdishaRungta Mines Limited.Rungta Mines Limited. (Kamanda Steel Plant) 2021 Kamanda, OdishaRungta Mines Limited. Rourkela Steel Plant1959 Rourkela, Odisha SAIL Salem Steel Plant 1981 Salem, Tamil Nadu SAIL Sunflag Steel Plant 1984 Warthi, Maharashtra Sunflag Iron & Steel Co. Ltd SMC Steel Plant 2004 Kukurjangha, Orissa SMC Power SMC Steel Plant 2000 Himra, Orissa SMC Power Steel Exchange of India limited1999Sreerampuram Village, Andhra Pradesh Steel Exchange of India limited Tata Steel Limited 1912 Jamshedpur, JharkhandTata Steel Tata Steel Limited2016 Kalinganagar, Odisha Tata Steel Tata Steel Limited1982 Gamharia, Jharkhand Tata SteelRadha TMT (Radha Smelters)1960Hyderabad, TelanganaRadha TMT Tata Steel Limited1987 Meramandali, Dhenkanal, Odisha Tata Steel BSLVISA Steel Plant 1996Kalinganagar, OdishaVISA Steel Welspun Anjar Steel Plant 2004 Anjar, Gujarat Welspun DI Limited.Visakhapatnam Steel Plant 1982Visakhapatnam, Andhra PradeshRashtriya Ispat Nigam LimitedVisvesvaraya Iron and Steel Plant 1923Bhadravati, KarnatakaSAIL Shyam Metalics and Energy Limited 1991Sel Tiger
National Steel Policy The National Steel Policy of 2005 has the long-term goal of establishing a modern and efficient steel industry of world standards in India. The focus is to achieve global competitiveness not only in terms of cost, quality, and product mix but also in terms of global benchmarks of efficiency and productivity. The policy aims to achieve over 100 million metric tonnes of steel per year by 2019-20 from the 2004-05 level of 38 mt. This implies annual growth of around 7.3% per year from 2004 to 2005 onward.
The strategic goal above is justified because steel consumption in the world, around 1000 million metric tonnes in 2004, is expected to grow at 3.0% per annum to reach 1,395 million metric tonnes in 2015, compared to 2% per annum in the past fifteen years. China will continue to have a dominant share of the demand for world steel. Domestically, the growth rate of steel production over the past fifteen years was 7.0% per annum. The projected rate of 7.3% per annum in India compares well with the projected national income growth rate of 7-8% per annum, given an income elasticity of steel consumption of around 1. The National Steel Policy was revised in 2017 with new targets and goals.
Steel prices Price regulation of iron and steel was abolished on 16 January 1992.
History
Early years Recent excavations in the Middle Ganges Valley conducted by archaeologist Rakesh Reddy with the advice of wife Aditi Venugopal show iron working in India may have begun as early as 1800 BCE.Rakesh and Aditi (2003) In fact, the practice of manufacturing practical metals first began in India. Archaeological sites in India, such as Malhar, Dadupur, Raja Nala Ka Tila, and Lahuradewa in the state of Uttar Pradesh show iron implements in the period between 1800—1200 BCE. Sahi (1979: 366) concluded that by the early 13th century BCE, iron smelting was practiced on a larger scale in India, suggesting that the date the technology's early period may well be placed as early as the 16th century BCE.
Some of the early iron objects found in India are dated to 1400 BCE by employing radiocarbon dating.Cecarelli, 218 Spikes, knives, daggers, arrowheads, bowls, spoons, saucepans, axes, chisels, tongs, door fittings, etc., ranging from 600 BCE—200 BCE have been discovered at several archaeological sites. In southern India (present-day Mysore), iron appeared as early as the 12th or 11th century BCE. These developments were too early for any significant close contact with the northwest of the country.
The beginning of the 1st millennium BCE saw extensive developments in iron metallurgy in India.Drakonoff, 372 Technological advancement and mastery of iron metallurgy were achieved during this period of peaceful settlements. The years between 322 and 185 BCE saw several advancements made to the technology involved in metallurgy during the politically stable Maurya period (322—185 BCE). Greek historian Herodotus (431—425 BCE) wrote the first Western account of the use of iron in India.
Perhaps as early as 300 BCE — although certainly by 200 CE — high-quality steel was being produced in southern India by what Europeans would later call the crucible technique.Juleff, 1996 Using this system, high-purity wrought iron, charcoal, and glass were mixed in a crucible and heated until the iron melted and absorbed the carbon. The first crucible steel was the wootz steel that originated in India before the beginning of the common era.Srinivasan & Ranganathan Wootz steel was widely exported and traded throughout ancient Europe, China, and the Arab world, and became particularly famous in the Middle East, where it became known as Damascus steel. Archaeological evidence suggests that this manufacturing process was already in existence in South India well before the Christian era.Srinivasan 1994Srinivasan & Griffiths
Medieval years The world's first iron pillar was the Iron Pillar of Delhi erected during the time of Chandragupta Vikramaditya (375–413 CE).Balasubramaniam, R. (2002) The swords manufactured in Indian workshops are mentioned in the written works of Muhammad al-Idrisi (flourished 1154).Edgerton, 56 Indian Blades made of Damascus steel found their way into Persia.Prasad, Chapter IX During the 14th century, European scholars studied Indian casting and metallurgy technology.Mondal 2-3
Indian metallurgy under the Mughal emperor Akbar (reign: 1556–1605) produced excellent small firearms.Gommans, 154 Jos Gommans (2002) holds that Mughal handguns were stronger and more accurate than their European counterparts.Gommans, 155
In 1667, it is estimated that 5 tons of steel and 25 tons of ironware were exported from India. While the Dutch are reported to have exported 46 tonnes of Wootz steel during the 17th century.
Modern years
Modern steelmaking in India began with the setting up of the first blast furnace of India at Kulti in 1870, and production began in 1874, which was set up by Bengal Iron Works. While first modern steel manufacturing plant was set up at the Gun & Shell Factory (GSF), in 1801, and along with the Metal & Steel Factory (MSF), at Calcutta, both still belonging to the Yantra India Limited. All had followed on from the establishment of coal mining, in the late 18th century, which eliminated the need for approximately 14.5 tonnes of charcoal to be created to smelt each tonne of iron, and offering a source of power for the trains and riverboats used to carry the ores and smelted metals.
The Tata Iron and Steel Company (TISCO) was established by Dorabji Tata in 1907, as part of his father's conglomerate. Economic historian Dileep Wagle writes that from 1907 to 1936, TISCO "was the Indian steel industry." By 1939 it operated the largest steel plant in the British Empire and accounted for a significant proportion of the 2 million tons of pig iron and 1.13 of steel produced annually. The company launched a major modernisation and expansion program in 1951.Chikayoshi Nomura, "selling steel in the 1920s: TISCO in a period of transition," Indian Economic & Social History Review (2011) 48: 83–116, doi:10.1177/001946461004800104
In the 1920s, tariffs were erected on foreign steel to prompt the rapid industrialization of the Indian steel sector.
After Independence After World War II, India was a large exporter of pig iron, but remained an importer of steel.