Second PLI launched on 6 Jan, says Minister
Specialty steel has drawn an investment of Rs.27,106 crore as of Dec 2024, Rs.18,848 crore of which has been achieved till end of last year, Minister of State for Steel and Heavy Industries, Bhupathiraju Srinivasa Varma, said in a written reply in the Rajya Sabha today.
Production of specialty steel up to Dec 2024 was 1,258,000 tonnes, he said in an update on the new segment of the steel industry for which Production Linked Incentive (PLI) Scheme has been introduced to boost output of value-added steel in the country https://www.investindia.gov.in/.
The PLI Scheme for specialty steel covers five broad product categories, namely Coated/Plated Steel Products, High Strength/Wear resistant Steel, Specialty Rails, Alloy Steel Products & Steel wires and Electrical Steel https://steel.gov.in/.
Second round of the PLI scheme for specialty steel was launched on 6 Jan 2025, within the overall budget allocated for the scheme.
To ensure wider participation in the second round, irrespective of the company size, following steps have been taken:
Launch of dedicated web portal for PLI scheme 1.1 and wide publicity through media http://worldsteel.org.
Frequent webinars with companies that expressed interest to participate in the scheme.
Easing of rules of participation in the scheme such as allowing 50% of investment in cases where companies invest in augmentation of existing facilities to participate in the notified sub-categories, Varma said on 7 Feb.
Steel is a de-regulated sector and the government acts as a facilitator by creating a conducive policy environment for the development of steel sector, he elaborated.
The Government has taken the following measures to create a conducive policy environment for boosting the steel sector in the country:
Promotion of ‘Made in India’ steel and expanding investments;
Implementation of Domestically Manufactured Iron & Steel Products (DMI&SP) Policy for promoting ‘Made in India’ steel for Government procurement;
Improve raw material availability and reduce raw material cost;
Reduction in the Basic Customs Duty on Ferro Nickel, a raw material from 2.5% to zero, making it duty free;
Extension of duty exemption on ferrous scrap up to 31 Mar 2026, in the Budget 2024.
Import monitoring and quality control:
Revamping of Steel Import Monitoring System (SIMS) for effective monitoring of imports to provide granular details on imports to the domestic steel industry.
Introduction of steel Quality Control Orders thereby banning sub-standard and defective steel products in domestic market as well as imports to ensure the availability of quality steel to the industry, users and public at large, stressed Varma. Fiinews.com
