Global woes pull down Indian steel sector

Core sector growth data at variance with ground reality in segment

Wire rod; Photo Courtesy: Tata Steel Europe

Steel production rose marginally in May but company bosses say the industry is far from a turnaround because of the fall in global prices. The main reason for domestic production rising in May is commissioning of new plants. “Once a unit is commissioned, it has to be kept running. This has nothing to do with increase in demand for the commodity. A commissioned plant cannot be kept idle,” said Ravi Uppal, managing director and chief executive officer of Jindal Steel & Power. The Delhi-based company produced 1.10 million tonnes  (mt) of crude steel in the June ...