**Summary:**
This report, released by the Ministry of Steel on July 29, 2025, provides an overview of India's crude steel production capacity and output over the past five fiscal years (2020-2025). Crude steel capacity has steadily increased from 143.91 million tonnes (MnT) in 2020-21 to 200.33 MnT in 2024-25. Correspondingly, crude steel production has risen from 103.54 MnT in 2020-21 to 152.18 MnT in 2024-25. In 2024-25, Micro, Small, and Medium Enterprises (MSMEs) accounted for 94.42 MnT of the total crude steel capacity of 200.3 MnT, representing a 47% share.
The government emphasizes its role as a facilitator in the deregulated steel sector, aiming to create a supportive policy environment that fosters self-reliance and enhances the competitiveness of domestic steel manufacturers, including MSMEs, to reduce import dependence. Key measures implemented include:
1. **Domestically Manufactured Iron & Steel Products (DMISP) Policy:** Prioritizes the procurement of domestically produced steel for government projects.
2. **Production Linked Incentive (PLI) Scheme for Specialty Steel:** Encourages domestic manufacturing of high value-added steel to decrease imports through capital investment incentives.
3. **Steel Import Monitoring System (SIMS):** Enhances import monitoring to provide detailed import data to the domestic steel industry.
4. **Steel Quality Control Orders:** Prohibits the production, sale, and import of substandard steel products to ensure quality standards for industry, consumers, and the public.
This information was provided by the Minister of State for Steel, Shri Bhupathiraju Srinivasa Varma, in a written reply in the Lok Sabha. (Release ID: 2149769)
Key Entities Referenced
Ministry of Steel: The Indian government ministry responsible for policies related to the steel industry.
Production Linked Incentive PLI Scheme for Specialty Steel: A government scheme to promote the manufacturing of value-added steel within the country and reduce imports by attracting capital investments.
Domestically Manufactured Iron Steel Products DMISP Policy: A policy promoting Made in India steel for Government procurement.
Steel Import Monitoring System SIMS: A system for monitoring steel imports to provide granular details to the domestic steel industry.
Steel Quality Control Orders: Regulations banning substandard defective steel products in the domestic market and imports.
Shri Bhupathiraju Srinivasa Varma: Minister of State for Steel.
Lok Sabha: The lower house of the Parliament of India, where the information was presented.
Joint Plant Committee JPC: Source of steel production and capacity figures.
Ministry of Steel
CURRENT CAPACITY OF STEEL PRODUCTION
Posted On: 29 JUL 2025 4:58PM by PIB Delhi
The following table shows the details of capacity and production of crude steel during last five years:-
Year Capacity(in MnT) Production(in MnT)
2020-21 143.91 103.54
2021-22 154.06 120.29
2022-23 161.30 127.20
2023-24 179.51 144.30
2024-25 200.33 152.18
Share of MSMEs in crude steel capacity in 2024-25 is given below:-
Crude Steel Capacity
Secondary steel
Year plants including Total %Share
MSMEs
2024-25 94.42 200.3 47%
Source: Joint Plant Committee(JPC);figures in million tonnes
Steel is a de-regulated sector and the government acts as a facilitator by creating a conducive policy
environment for the development of the steel sector. The government has taken several measures to make the
steel sector, including MSMEs in the sector, self-reliant and to improve the competitiveness of domestic steel
manufacturers to reduce dependency on imports which include the following:
1. Implementation of Domestically Manufactured Iron & Steel Products (DMI&SP) Policy for promoting
‘Made in India’ steel for Government procurement.Launch of the Production Linked Incentive (PLI)
Scheme for Specialty Steel to promote the manufacturing of value-added steel within the country and
reduce imports by attracting capital investments.Revamping Steel Import Monitoring System (SIMS)
for monitoring of imports to provide granular details on imports to the domestic steel
industry.Introduction of Steel Quality Control Orders thereby banning sub-standard/ defective steel
products in the domestic market as well as imports to ensure the availability of quality steel to the
industry, users, and public at large.
This information was given by the Minister of State for Steel, Shri Bhupathiraju Srinivasa Varma in a written
reply in the Lok Sabha today.*****
TPJ/NJ
(Release ID: 2149769)