Even as the steel companies have reduced their production to cope up with the shrinking demand, Steel Minister Ram Vilas Paswan today exuded confidence that India will become the world's second-largest steel maker after China by 2015.
"We are already the world's fifth-largest steel producer and are poised to clinch the second slot by 2015 on the back of the capacity expansion lined up by the companies," Paswan told reporters after addressing the Golden Jubilee of state-run SAIL.
The Steel Ministry has already advanced the country's steel production target to 124 million by 2012 instead of 2020, envisaged in the National Steel Policy 2005.
Though admitting production cuts by steel companies in the recent months to tame the slump in demand, Paswan said the proposed brownfield expansions are on track.
At present, Indian companies, including SAIL, Tata Steel, JSW Steel, Essar, JSPL and Ispat Industries produce about 55 million tonnes of steel per annum.
Reeling under slackening demand, most of the companies have either cut production or changed their product mix on the basis of the market demand.
Asked if the Steel Ministry will favour a higher import tariff on steel to protect domestic firms against cheap arrivals of the commodity from countries like China, Paswan declined to divulge details.
"We had recommended (in October) 10 per cent import duty on steel, but the government levied only five per cent. It is now up to the government to take a call," he said.
Source : Business Standard