Urgent need to move towards green steel: Union Minister RCP Singh
According to a media report, the minister also announced the decision to provide a discount of Rs 2,000-Rs 2,500 per metric tonnes to the MSME sector in the wake of the Ukraine-Russia crisis.
Union Minister for Steel, Ram Chandra Prasad Singh, on Sunday highlighted the "urgent need to move towards green steel," saying the use of hydrogen in the iron ore and steel sector would help reduce coal imports.
Speaking at the inauguration of the “Making India Atmanirbhar in Steel – Role of Secondary Steel Sector," he also said that Prime Minister Narendra Modi has an ambitious vision on Hydrogen.
"Iron and steel industry will be big beneficiaries as coal can be replaced by hydrogen and our dependency on import of coal also will reduce," he said.
Speaking during the day-long national conference, Singh said the suggestions from the industry will be considered and seamless, transparent, and flexible process is the avowed aim of the Centre.
He also said that the industry has made great strides in production by moving from 22 million tonnes in 1991 to 120 million tonnes in 2022. He added that a strategy needs to be devised to reach the target of 300 million tonnes by 2030 and 500 million tonnes by 2047.
According to a media report, the minister also announced that after discussing with steel companies, they have decided to provide a discount of Rs 2,000-Rs 2,500 per metric tonnes to the MSME sector in the wake of supply chain disruption caused by the Ukraine-Russia crisis.
Russia and Ukraine are leaders in the global production of metals. According to a report by Reliance securities, Russia currently accounts for 12 percent of the global steel trade, excluding intra-regional trade.
"Ukraine and Russia together exported about 55 MT steel to various countries across the globe. This supply has been disrupted due to the war and hence there has been a price increase of 5 percent to 7 percent," the minister was quoted as saying.
While the geopolitical conflicts have resulted in an increase in prices of raw materials and commodities, they might also open up opportunities for domestic steel export players in the global spectrum.
The conference was organised with the aim of providing a platform to players in the secondary steel sector to share their views on the challenges faced, and ways in which the Ministry can create an ecosystem in which the industry can thrive.
(With added inputs from the PTI)
Edited by Anju Narayanan