India’s steel sector is witnessing robust growth, emerging as one of the few global bright spots amid otherwise stagnant or declining steel markets. According to a recent report, India is the only major economy to achieve substantial steel output growth between fiscal years 2019 and 2024. During this period, while global production edged down by approximately 1 per cent, Indian steel output surged by a remarkable 33 per cent, driven by strong impetus from domestic demand and infrastructure development. The report forecasts that this upward momentum is likely to continue, projecting an 8–10 per cent compound annual growth rate (CAGR) in steel volumes through FY25–FY27. This growth trajectory is supported by increased activity in coal and aluminum markets, powering broader industrial expansion.
In parallel, India has seen a dramatic escalation in domestic stainless-steel consumption, which has grown by 84 per cent over the past five years. Consumption escalated from around 2.61 million tonnes in FY20–21 to 4.80 million tonnes in FY24–25, driven primarily by rising demand from critical sectors such as infrastructure, railways, airports, metros, and construction activities. The Indian Stainless Steel Development Association (ISSDA) reports that per capita usage has increased from 2.5 kg to 3.4 kg and is projected to reach 6.8 million tonnes by FY2030, with per capita consumption rising to about 4.5–5.5 kg.
These dual trends reflect a steel sector that is scaling up rapidly: domestic output is surging alongside heavy internal consumption. Continued policy support—such as import safeguards and infrastructure investment—will be key in sustaining this growth. With India poised to lead in steel demand and production, the industry is gearing up for a transformative decade ahead.
