Top 5 steel producing industries in India

The steel industry is one of the most important industries and contributes majorly to the country’s GDP. The sector’s overall contribution to the GDP was nearly 2% in the financial year 2015-16 with a total exposure of about Rs. 3.13 lakh crore.

For the F.Y. 2014-15, India was the third largest producer of raw steel. The country produced 91.46 million tons of total finished steel. The main concern of the ministry now is the planning for growth and development of the steel industry in India, regarding policies, production, pricing, distribution, import and export, etc.

The contribution of this industry in the GDP proves its importance. Here is a list of the top 5 companies in the sector.

  1. RINL

The company, Rashtriya Ispat Nigam Ltd, which is also known as Vizag Steel, is a public company, the foundation stone of which was laid down in 1971, by the then PM of India.

The company was once wholly owned by the Government of India, but then the Government divested its stake due to huge losses, and now the company is a public company. The company was granted the Navratna status in November 2010. The government announced its plans to divest 10% of its stake in the company by issuing an Initial Public Offering in September 2011.A Nationwide protest against this disinvestment is said to have had followed the news.

The company has an operating capacity of 6.3 million tonnes per annum and is situated in Visakhapatnam. Though the company had to suffer huge losses in initially, the company later went on to become the only company in the steel industry to achieve a target profit of 200%.

The company is currently in the expansion stage and aims to increase the production capacity to 20million tonnes.

  1. Tata Steel

Popular for its goodwill and ethical conduct in business, this multinational steel-making company was founded by Jamshedji Tata in the year 1907 and is now headquartered in Mumbai, Maharashtra. It is not only the second largest steel company in India with an annual production capacity of 13million tonnes but also one of the top steel producers in the world. The company is reported to have delivered 23.88 million tonnes of Crude Oil this year.

  1. JSW Group

This group is one of the largest business conglomerates in India with a net worth of $11 billion. Led by Sajjan Jindal, JSW group is a part of US $15 billion O. P. Jindal Group. The conglomerate has strong holdings across sectors like Steel, Energy, Minerals, Port & Infrastructure & Cement. They operate in multiple locations across India, US, South America and Africa.

JSW Energy of this group has a power generation capacity of 4531 megawatts, and one of the largest single blast furnace with a capacity of 3.3 MTPA. India’s leading private sector steel producer, JSW Steel is headquartered at JSW Centre, Mumbai.

  1. SAIL

One of the largest state-owned steel-making company of India and one of the top steel makers of the world, the Steel Authority of India Limited is based in the capital of India, New Delhi and reported an annual turnover of ₹43,337 crore for the FY 2015-16. Incorporated on 24 January 1973, SAIL is a public-sector undertaking, largely owned by the Government of India. It is currently the 24th largest producer of steel in the world with an annual production of 13.9 million metric tons. They expect to increase the production capacity of the company by 50MTPA by 2025.

  1. Visa steel

Situated in Kalinganagar industrial complex of Odisha, VISA steel limited is a leading player in the Indian Special Steel industry and is backed by experienced promoters, reputed directors and qualified professionals. The shares of this company are traded both on the BSE and NSE.

The company wants to go for backward integration by acquiring a captive lease by the Government which will give them the permission for mining of Iron Ore in Chhattisgarh and manganese ore in Madhya Pradesh.

 

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