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Infrascape 2013 | Optimistic growth of steel

Infrascape 2013 | Optimistic growth of steel
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H M Nerurkar, Managing Director, Tata Steel Limited

The overall performance of the steel sector is ‘optimistic.’ In the fiscal 2012-2013, growth in domestic steel demand is expected to be around five and a half per cent. The total demand is expected to be around 75 million tonnes, up from 71 million tonnes in 2011-2012.

Growth Factor: In 2013-14, demand is expected to be higher at around 7 per cent. Reforms announced by the government will provide a fillip to growth in the economy. In Europe, we expect a modest growth against the backdrop of a negative gro­wth this year.

The formation of the cabinet committee on infras­tructure for single window clearance for mega projects will generate activity in the power and roa­d­­w­ays sec­tors, among others.

The expected lowering of interest rates by RBI in January will provide impetus to the manufacturing and consumer durables sectors, among others. The full im­pact of all these will be felt in 2013-14.

Moreover, with the ongoing Greenfield and Brownfield expansions, India is expected to become the worldÂ’s second largest producer of crude steel in the next two years.

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