India hopes to rank 2nd in global steel production

India hopes to become the world's second largest steel producer after China, and the government has also taken steps to encourage secondary steelmakers to improve efficiency, the Metals Ministry said in a statement.

The growth in the secondary steel sector, coupled with the primary steel sector, has enormous potential to increase opportunities in the country, the ministry said in a statement.

The 2017 National Steel Policy set a target of 300 million tonnes per annum (MTPA) of production capacity by 2030.

Production capacity in 2017-18 has already reached 137.97 million tonnes.

One of the important aspects of the secondary steel sector is that it reaches millions of people in rural areas, which meets the needs of the rural population, the statement said.

The sector has certain advantages over the mainstream steel sector, such as lower capital and land-use requirements, and the ability to produce specialty sections and customized products, the statement said.

The sector will have an important role to play in achieving the growth target of 300 million tonnes of steel products by 2030.

India ranks third behind China and Japan, accounting for about 6 percent of total global steel production. India's steel industry contributes nearly 2 percent of the country's gross domestic product (GDP).