Stainless steel demand directly linked to economic growth as it not only has a low life cycle cost, but also improves overall quality of life
With the achievement of 2.5kg per capita, against 1.2 kg per capita in 2010, consumption of stainless steel in India has officially registered an increase of over 100% in a period of just eight years. This milestone was announced during the inaugural session of the 30th foundation anniversary celebration of the Indian Stainless Steel Development Association (ISSDA), attended by Hon’ble Minister of State, Ministry of Steel, Shri Faggan Singh Kulaste.
Lauding this milepost, Hon’ble Minister of State, Ministry of Steel, Shri Faggan Singh Kulaste added, “Growth rate of stainless steel demand in India is to the tune of 6-7% CAGR, which is also amongst the highest in the world, as stainless steel demand is directly linked to the economic growth. Stainless steel not only has a low life cycle cost, but improves overall quality of life. I compliment the industry for this achievement and assure support for future growth of the industry”.
India now ranks among the top 15 countries in the world in terms of per capita consumption of stainless steel. This was possible through collaborative efforts of the domestic stainless steel industry led by ISSDA, along with the pro-industry policy initiatives of the Ministry of Steel. Stainless steel demand in diversified applications such as Architecture, Building & Construction (ABC), Automobile, Railways & Transport (ART), Process Industries and White Goods, apart from conventional use in kitchenware and utensils, led to this increase.
Asserting the role of ISSDA in this achievement, President, ISSDA,Mr. K K Pahuja, said, “With the achievement of 2.5 kg/capita consumption level in short span of time, India has reached an inflexion point and entered in the league of countries of where stainless-steel consumption is recorded on the higher side. India is now the fastest-growing market for stainless steel.”
Addressing the challenges faced by the domestic stainless steel industry will add to the growth of consumption. Amidst growing trade protectionist sentiment across the globe, the growing Indian market has become an easy target for dumping of the surplus production from ASEAN producers. Low entry barriers for goods due to operational FTAs with ASEAN, Japan and Korea distort the demand-supply dynamic and adversely impact the domestic manufacturers. ISSDA has flagged these issues with the government and is working to remove the growth hurdles for domestic industry.