India’s Union Budget for 2018-2019 was presented in parliament on February 1, 2018. According to press releases, the budget was considered positive in regards infrastructure and construction project investments.
In regards to steel, Steel Secretary Aruna Sharma stated, “India’s steel output is expected to rise by 10 percent during the fiscal year starting April 1 due to the budget increase in infrastructure investment.”
India is presently the third largest steel producer in the world. Indian steel production is expected to be about 101-103 million mt in the fiscal year ended March 2018, thereby climbing up to 113 million mt in the next fiscal year ended March 2019. The plan is consistent with India’s goal of increasing production to 300 million mt over the next 10 years to meet domestic demand in housing, roads, railway, and airports along with export opportunities.
Sharma added, “These are conservative estimates. Last year’s budgetary allocation to infrastructure increased domestic steel consumption by 5.7 percent. We hope to touch 6 percent growth in consumption next year.”