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Steel Industry

Presented By:-
Jayesh Baldania
Rinki Kumari
Vishwabhusan Prusty
Satish Kumar Keshri
Sriram Santosh Bal
Agenda
 Global Scenario
 Indian Market
 SWOT Analysis
 Major Players
 Product-
 Direct/Indirect Competitors
 Derived Demand
 Market Analysis
◦ Growth
◦ Potential
◦ Competition
Steel

Non alloy steel( carbon


Alloy steel
steel)

Long Flat
Stainless products products
Others
steel

Hot Rolled products


•Billets •Plates & sheets
• Corrosion •Tool steel •Bars & Rods •Coils
resistant steel •Heat resistant steel •Structural •Strips
•Rail & wires Cold Rolled Products
•Sheets
•Coils
•Strips
Global Scenario
 Global crude steel production reached 1.33bnt in 2008.
 China is the largest producer with 502mtn with 2.06%
growth.
 India has the potential to become second largest steel
producer in the world by 2015.
 Industry is 60% organized.
 Per Capita steel consumption is 45 kg.


World steel consumption
Indian Market
Advantage India
Indian Market
 Fifth largest producer of crude steel with production volume of 54.5
million tonnes.
 Largest sponge steel producer in the world with volume of 20 million
tonnes.
 Sector is expected to generate employment of 4 million by 2020.


Exports
SWOT Analysis
Strength Weakness
•Abundant resources of •High cost of energy
iron ore •Higher duties and taxes

•Low cost and efficient •Infrastructure

labor force •Quality of coking coal

•Strong managerial •Labor laws

capability •Dependence on imports

•Strongly globalised for steel manufacturing


industry and emerging equipments &
global competitiveness technology
•Modern new plants & •Slow statutory

modernized old plants clearances for


•Strong DRI production development of mines
base •
•Regionally dispersed

merchant rolling mills


SWOT Analysis
Opportunity Threat
•Huge Infrastructure demand •Slow growth in infrastructure

•Rapid urbanization development


•Increasing demand for •Market fluctuations and China’s

consumer durables export possibilities


•Untapped rural demand •Global economic slow down

•Increasing interest of foreign

steel producers in India


Major Players
Major Players
Main Producers Major Producers Mini Plants

Steel Authority of
• JSW Steel Ltd
• Electric arc furnace

India Ltd (SAIL) • (EAF) based units —


• Essar Steel Ltd
• 33 working units
Rashtriya Ispat
• • •

Nigam Ltd Ispat Industries Ltd


• Induction furnace-

• • based units — 970


• Tata Steel Ltd Jindal Steel & Power Ltd
• working units

MBF*-ETF** based

units — two units


Court esy:www.ibef.org
Derived Demand-Electronics
Industry
Product-Stripped Steel
 Tata Steel and SAIL manufactures steel strips.
 Stripped steel is used as:
◦ Connector in the semiconductor industry
◦ Products such as cell phones, television, radio and a
host of other such products.
 Consumption of electronic items have increased manifold in
India over the last decade.
 Electronic industry has emerged as a crucial industry for the
consumption of steel.

Complimentary Products
 Complimentary products of steel are:
◦ Metal paints
◦ Lubricants
◦ Steel-Zinc plates
 For e.g. In case of boilers, the valves are used as one of its
raw material and in preparation of valves steel zinc plates
are used. So zinc and steel are complementary products
in making valves.