Govt sets up joint task force to ramp up steel demand

Govt sets up joint task force to ramp up steel demand

Steel demand will improve due to government policies and increase in infra spending.

The Dollar Business Bureau

The government has set up joint task forces with representatives from road, transport and highways ministries to examine possibilities to boost steel demand in the country.

"Joint task forces covering railways, urban development, Ministry of Shipping, Road Transport and Highways etc have been constituted comprising representatives from ministries concerned and their agencies to assess the possibilities of boosting demand of steel," Minister of State for Steel Vishnu Deo Sai informed the parliament in a written reply to the Lok Sabha.  

“The scope of these committees inter-alia covers codes and standards, life cycle cost analysis, development of designs of various structures and other suitable measures,” Deo said. 

Steel Minister Chaudhary Birender Singh had earlier noted that steel demand is projected to pick up in the upcoming months as increased spending on infrastructure and long-term government policies have generated overall positive sentiments in the industry.  

"The steel demand has grown 3.3% during April-December 2016. This is expected to improve in coming months due to long-term government policies and increase in infrastructure spending," he said.  

The World Steel Association has estimated India’s steel demand to grow at 5.7% in 2017. 

The Dollar Business Bureau - Mar 28, 2017 12:00 IST