INTRODUCTION

Steel, the recycled material is one of the top products in the manufacturing sector of the world.
Steel as a framing material in construction had a radical effect on the design of buildings, bridges
and others. It changed the way the architects and engineers thought about structural design.
Economic and financial advantages of steel based constructions were realized by the architects
and structural engineers in many developed countries. The use of steel in construction was
further filled up with the development of high strength and high performance steels, more
suitable sections and advances in fabrication techniques like computer controlled cutting and
welding, robots, bending machines etc. Modern Structural steel is stronger, it can be formed into
shapes which optimise that strength for specific structural applications, beam for bending, rods
for tension, and tubes for compression. Strength combined with high modulus of elasticity and
efficient shapes made the application more efficient and cost effective.
 
Indian Scenario

The Indian steel industry entered into a new development stage from 2005–06, resulting in India
becoming the 5th largest producer of steel globally. Producing about 53m tonnes  of steel a year,
today India accounts for a little over 7% of the world's total production. There are mainly four
industry types which are generating the domestic demand for Indian Steel Industry :- 
 Infrastructure industry (both private and government projects)
 Construction Industry
 Automobile Industry
 Real Estate Industry

The organization structure of Indian Steel Industry can be categorized in the following manner

 Main Producer of steel

 Other major producers of steel
 Secondary Producer

The first two categories have an integrated system of steel production with a productive capacity
of more than 0.5 metric ton. Some of the main players included in this category are TATA Steel,
SAIL, Ahmedabad Steel Craft, Bengal Industries, Bokaro Steel Plant, Central Steel Corporation,
Essar Steel, Devson Steels, Buyao Info, Jindal Steel & Power, Lloyds Steel, etc. The third
category, namely, Secondary Producer, include :-

 Producers of sponge iron

 Furnaces meant for induction
 Furnaces meant for energy optimization
 Electric Arc Furnace
 Mini Blast Furnace
 Re-rolling Firms
Indian Steel Industry has some advantages that give it the extra sought after mileage over its
peers from other countries which can be summed up as follows :-

 The wage rate of the laborers working in the steel industries are low
 The base for production of steel is a matured one
 The automobile industry in India, one of the main demander of steel, has a steep upward
moving slope.
 The construction as well as the infrastructure industry, big demander of steel, are also on
an upward slope due to the government policy regarding emphasis on developmental
works.
 The workforce associated with the Indian Steel Industry are highly knowledgeable and
experienced

The most significant news regarding Indian Steel Industry is TATA Steel's acquisition of the
Corus group after going through a strenuous bidding. Ultimately, TATA Steel was able to buy
Corus at eight billion US dollars which makes the deal to be fixed at 455 pence per share which
are needed to be paid in cash by the TATA Steel to the shareholders of Corus. This deal is a
highly expensive one and comes only after the Mittal-Arcelor deal of thirty eight billion US
Dollars. The finalization of TATA-Corus deal has catapulted TATA Steel from 65th position to
5th position in terms of productive capacity. This has not only strengthened the Indian Steel
Industry's position in the Asian market but also on the productive capacity of the whole world.
Some of the relevant and striking facts about Indian Steel Industry are :-

 Capital base of Indian Steel Industry revolves around a whooping ninety thousand crore
rupees.
 The contribution of this industry to GNP of India is almost six percent.
 The weightage assigned to Indian Steel Industry in the Industrial Production is 5.13.

According to the 11th Five Year Plan (2007-2008 to 2011-2012), some of the projections related
to Indian Steel Industry are mentioned below :-

 Domestic Supply of steel would reach a whooping target of seventy seven million tonnes
which is approximately 66 % higher from 2007-08.
 Domestic demand for steel would touch a milestone of seventy million tonnes which is
approximately 4 % higher from 2007-08.

It has been noticed as well as observed that the correlation between the growth of Indian Steel
Industry and the economy is very high. As the Indian economy is regularly reaching new highs,
so the steel industry is also expected to reach new production levels.