Steel demand in India likely to improve in near term

Mining News - It said “Backed by healthy consumption growth rates of 6 per cent in the month of October 2017, domestic steel demand growth was marginally higher at 4.5 per cent in seven months of the current fiscal, compared to 4.4 per cent in four months of the fiscal.”

Domestic steel production growth, however eased to 5.1 per cent in seven months of the financial year from 6.9 per cent in the first four months, on the back of a moderation in export volumes and increased steel imports during the same period, ICRA added.

ICRA senior vice president Jayanta Roy said “Given the seasonally stronger demand in first half of the fiscal,and the government`s push on infrastructure spending, the domestic steel demand growth is expected to improve further in the near-term.

The production growth too is expected to revive on the back of a likely pickup in domestic demand and favourable international steel prices, enabling an export push.”