India has showed significant rate of growth in the steel sector in last one decade. The steel sector is speedily emerging as one of the biggest producers and consumers of steel in the world. At present, India has already been emerged as fifth largest producer of crude steel in the world. It was placed at seventh rank in the year 2006.

On Wednesday, Union minister for Steel, Chemicals and Fertilisers Ram Vilas Paswan said it while addressing a press conference at Chandigarh. Earlier, the Parliamentary Consultative Committee had reviewed the overall performance of steel sector and its contribution in country’s growth.

Paswan stressed on the importance and the role of the public sector in the rapid expansion of steel sector. He said that the Steel Authority of India Ltd. (SAIL) and the Rashtriya Ispat Nigam Ltd. (RINL) have decided to complete the process of implementing their ambitious expansion and modernisation programs as soon as possible.

According to him, the SAIL’s ongoing expansion program has fixed the target to increase the production capacity from 14.6 million tonnes of hot metal at present to around 26 million tones. The PSU has set deadline to achieve the target by 2010 at an expected cost of Rs. 53,000 crore and 60 million tonnes by 2020.

The Indian economy is likely to receive an investment of Rs 150 lakh crore (Rs 60,000 crore in PSUs) in the steel sector in coming five years. Paswan also indicated about the possible merger of Maharashtra Electros Ltd (MEL), Bharat Refractory Ltd (BRL) and Nilanchal Ispat Ltd to overpass the gap between demand and supply of iron ore in the country. At the same time, SAIL unit, Bhilai Steel Plant (BSP), has recorded the best-ever production chart by showing the growth of as much as 176% in some steel products.