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Government infrastructure will fuel domestic steel consumption for two years, says Jai Saraf:CEO

The proposal to scrap levies ranging from 2.5% to 7.5% in the world's second biggest producer of crude steel comes ahead of the national budget for 2023/24 set to be unveiled in February. The ministry's plan to scrap the tax on limestone, manganese ore, steel scrap, graphite electrodes, chrome ore, and ferro nickel, in addition to coking coal, has been sent to the finance ministry, said the sources, who spoke on condition of anonymity.

Tata Steel, JSW Steel and Adani Group have shown "strong interest" in the entity during the pre-bid consultations held in early December, said people familiar with the development.

Finished steel exports slumped 55% to 4.3 million tonnes during April to November period due to a slowdown in global demand and the decision by India to impose an export tax on some steel products. Last month, the government scrapped the export tax but steel makers and industry officials said it would be a challenge for mills to regain their traditional markets, including Europe.

In its effort to synergise its metal business, Tata Steel is merging with itself six of its subsidiaries and an associate company.

After an entry into the cement sector by acquiring Ambuja Cement and ACC, Adani Group is now eyeing the steel sector with a focus on green energy

The Essar Group is looking to invest USD 4 billion in setting up an integrated flat steelworks plant in Saudi Arabia in the next three years, a senior company official said. The plant, which will cost Saudi Riyal 15 billion (USD 4 billion), is scheduled to break ground by this year-end and be completed by the end of 2025, said Amar Kapadia, general manager for corporate planning at Essar.

It’s a tale of contrasting fortunes in the Indian steel industry since last month’s revision of import and export duties on key raw materials and finished goods.

Ratings agency NSE 1.00 % on Thursday said it has revised its outlook on the domestic steel to stable from positive, mainly on the account mounting input cost amid low steel rates.

"As per the provisional figures of the Indian Bureau of Mines (IBM), production level of important minerals in April includes coal at 665 lakh tonnes, lignite 40 lakh tonnes, natural gas (utilised) 2,748 million cubic metre, petroleum (crude) 25 lakh tonnes and bauxite 2,054 thousand tonnes.