Indian finished steel exports soared by 53pc to 1.29mn mt in Sep 2019, when compared to the same month of the prior year.
Utilisation levels of the Indian steel industry are expected to rise further to 90pc, between 2020 and 2023, led by increased demand in the construction sector driven by affordable housing.
Demand for hot-rolled coils is driving the revival, with an order increase of 3pc over October putting prices at Rs 1,128 per mt for November.
Capacity of around 15-18mn mt per annum is expected to be added over three years and steel production is expected to grow between 3.5-5pc between 2019-20 and 2022-23, with utilisation forecast to rise between 4pc and 6pc in the same period.
Domestic mills are finding improved export prices, as domestic demand remained subdued due to elections and extended monsoon.
The Indian government, in 2018, approved a National Steel Policy (NSP) with an investment of Rs1tn (US $14tn approx) taking steel capacity to 300mn mt by 2030-31 from 103.13mn mt in 2018.